Speak out for financial literacy

A recent survey of high school seniors showed that many of them still have a lot to learn about important financial concepts. Among the findings:

• Less than half knew that a credit card holder only paying the minimum amount on monthly card balances will pay more in annual finance charges
• Only 17% knew that stocks are likely to yield higher returns than savings bonds, savings accounts and checking accounts
• Only 40% knew they could lose their health insurance if their parents become unemployed
• Only 36% knew that a house financed with a fixed-rate mortgage is a good hedge against a sudden increase in inflation

If passed by the House of Representatives, Senate Bill 834 will ensure all high school students have access to a course in financial literacy before graduation. No further action has been taken on this bill since it was referred to the Michigan House of Representatives on May 13. In order to draw attention to this important bill and provoke action, please contact your state representatives and urge them to support the bill and ensure its quick passage.