Nearly Half of Teens Use Budgeting Apps to Manage Money
According to a new survey from Wakefield Research, 48% of teenagers use a mobile app for budgeting or financial planning. This may include an online banking app or a designated budget app, such as Mint.
Despite the increase in teen credit card usage, 80% of teens say cash is the primary form of money they receive from their parents. Twenty-six percent of teens say their parents have wired money to their bank accounts, and 23% say they have used their parent’s credit card to make an online purchase. Less than 10% have received money through Venmo or other peer-to-peer apps.
Surprisingly, 17% of teens have never been inside a physical bank location. Yet, 66% of respondents said they have a bank account, and one-third of those teens got the account before they turned 12. Among teens with a bank account, 62% have a debit card in their name.
Nearly three-quarters (71%) of teens are worried about their future credit scores. Most high schools do not have a curriculum that adequately prepares teens to manage adult finances. Parents can help prepare their teens for good credit by educating them about debt, savings, and other money management skills.