Consumers Optimistic about Finances, Thirsty for Knowledge
A new survey from Wells Fargo shows consumers are optimistic about their personal finances.
82% of respondents say their finances are currently stable and strong, and an even higher 90% expect to see steadiness or an improvement in their personal finances during the next year.
The survey consisted of more than 2,000 Americans between the ages of 18 and 65. Of all groups surveyed, Millennials were more optimistic about their finances than other generations. 28% of 18-34 year olds say their current financial situation is favorable, compared to 24% of the population as a whole. This differs from last year’s survey results, where there was more similarities in statistics between each generation.
Despite the optimism Americans show about their finances, many respondents reported a need for more knowledge about credit scores, borrowing, and money management. Just over half of survey respondents (52%) said borrowing money made them feel uncomfortable, and 34% rated their understanding of personal finances average or below average (C, D, or F). 41% said their understanding of credit scores was average or below average, while 45% felt that way about credit and loan products.
If credit providers can find new ways to educate consumers about personal finances, lending, and borrowing, the already high optimism in America may continue to rise.