36% of Millennials Have Never Owned a Credit Card

36% of Millennials Have Never Owned a Credit Card

April 23, 2015         Written By Natalie Rutledge

Millennials are sometimes viewed as the most irresponsible generation when it comes to finances, but new research suggests they may not be quite as careless as perceived. A recent study from Princeton Survey Research Associates International assessed the financial habits for 18-29 year olds, revealing that 36% have never owned a credit card.

One of the biggest factors to this relatively high number of non-cardholders is the passing of the CARD Act of 2009. Under this law, young adults under the age of 21 could not get a credit card without sufficient proof of income or a cosigner. That protects recent high school graduates and new college students from enticing credit card offers which can put them on the road to serious debt.

Concerns about the job market may also play a role in the lack of credit card ownership among Millennials. Many young adults have struggled to find a job in the current economic environment, so tempting themselves with anything that can lead to debt is just not wise. Plus, they may have observed the credit card debt their parents have incurred. It’s a positive sign that the youngest generation of adults is making an effort at securing their financial future.

The survey consisted of 1,000 adults, 142 of which were Millennials. The results may not be a complete picture of what is actually going on with this generation, but they indicate Millennials are cautious about taking on debt.



The information contained within this article was accurate as of April 23, 2015. For up-to-date
information on any of the terms, cards or offers mentioned above, visit the issuer's website.


natalierutledge

About Natalie Rutledge

Natalie Rutledge majored in Communications at Mississippi State University. She was in sales for a number of businesses and spent nine years working as a communications advisor to various entities. Natalie can be contacted directly at natalie@lowcards.com
View all posts by Natalie Rutledge
Featured Limited/No Credit
Top Features : No annual fee; reports to major credit bureaus; access to higher credit line after making first 5 monthly payments on time
Featured Fair Credit Card
Top Features : No annual fee; access to higher credit line after making first 5 monthly payments on time
Featured Low Interest Card
Top Features : 1.25X miles on every purchase; no annual fee; bonus of 20,000 miles once $1,000 is spent in first 3 months
Featured Cash Back Card
Top Features : 1.5% cash back on all purchases; $150 bonus after spending $500 in first 3 months
Featured No Annual Fee Card
Top Features : Earn cash back TWICE. 1% when you buy plus 1% as you pay; 0% APR for 18 months on balance transfers
Featured Bad Credit Card
Top Features : Perfect credit not required; Reports to major credit bureaus