[Congressional Record Volume 159, Number 59 (Friday, April 26, 2013)]
[Extensions of Remarks]
[Page E570]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]


IN SUPPORT OF H. RES. 172: SUPPORTING THE GOALS AND IDEALS OF NATIONAL 
                        FINANCIAL LITERACY MONTH

                                 ______
                                 

                          HON. RUBEN HINOJOSA

                                of texas

                    in the house of representatives

                         Friday, April 26, 2013

  Mr. HINOJOSA. Mr. Speaker, I rise in strong support of House 
Resolution 172, supporting the goals and ideals of National Financial 
Literacy Month, 2013. I would like to thank my four co-sponsors of the 
bill, Mr. Steve Stivers of Ohio, my new co-chair for the Financial and 
Economic Literacy Caucus, Ms. Eddie Bernice Johnson of Texas, Ms. Terri 
Sewell, of Alabama, and Mr. Matt Cartwright of Pennsylvania.
  Mr. Speaker, personal financial literacy is essential to ensure that 
individuals are prepared to manage money, credit, and debt, and become 
responsible workers, heads of households, investors, entrepreneurs, 
business leaders, and citizens. Financial literacy has been linked to 
lower delinquency rates for mortgage borrowers, higher participation 
and contribution rates in retirement plans, improved spending and 
saving habits, higher net worth, and positive knowledge, attitude, and 
behavior changes. Expanding access to the mainstream financial system 
provides individuals with lower-cost and safer options for managing 
finances and building wealth and is likely to lead to increased 
economic activity and growth.
  According to the newly released study from Girl Scouts of the USA, 
``Having It All: Girls and Financial Literacy,'' ninety percent of 
girls say it is important for them to learn how to manage money. 
However just twelve percent say they feel confident in making financial 
decisions. They are also products of how the world has changed, as many 
distrust large financial institutions and think that debt is a normal 
part of life. Young people look to their parents for guidance on money 
issues. Unfortunately, too many parents themselves are choosing to opt 
out of the financial mainstream, for a number of reasons. According to 
the Federal Deposit Insurance Corporation, at least 28.3 percent of 
households in the United States are unbanked or underbanked and, 
subsequently, have missed opportunities for savings, lending, and basic 
financial services. According to the National Foundation for Credit 
Counseling, 39 percent of adults in the United States report that they 
have no savings. For families to be able to emerge out of poverty, 
these statistics must change. Financial literacy is the key to social 
mobility in America.
  In February 2005, then-Congresswoman Judy Biggert of Illinois and I 
co-founded, and currently co-chair, the Financial and Economic Literacy 
Caucus, FELC, to provide a forum for interested Members of Congress to 
work in collaboration with the Financial Literacy and Education 
Commission, highlight public and private sector best practices, and 
organize and promote financial literacy legislation, seminars, and 
events, such as Financial Literacy Month and the annual Financial 
Literacy Day Fair on the Hill that is being held today, April 26, 2013, 
in the Cannon Caucus Room.

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