[Congressional Record Volume 163, Number 91 (Thursday, May 25, 2017)]
[Extensions of Remarks]
[Page E733]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]




       INTRODUCTION OF THE YOUNG AMERICANS FINANCIAL LITERACY ACT

                                 ______
                                 

                           HON. ANDRE CARSON

                               of indiana

                    in the house of representatives

                         Thursday, May 25, 2017

  Mr. CARSON of Indiana. Mr. Speaker, today I am pleased to re-
introduce the Young Americans Financial Literacy Act. Financial 
literacy is critical to ensuring future financial responsibility. 
Studies have shown that 87 percent of Americans believe finance 
education should be taught in schools and 92 percent of K-12 teachers 
believe that financial education should be taught in school, but only 
12 percent of teachers actually teach the subject. Yet, according to a 
2016 survey, only 1 in 3 states require high school students to take a 
personal finance course, and only five States require high school 
students to take a semester long personal finance course.
  I believe that Congress has an opportunity and a responsibility to 
address the pressing needs of individuals faced with the loss of their 
financial stability and the challenges of economic uncertainty. This 
should include financial literacy education reform and long-term 
solutions to prevent future personal financial disasters. Research-
based financial literacy education programs are needed to reach 
individuals at all ages and socioeconomic levels, particularly those 
facing unique and challenging financial situations, such as high school 
graduates entering the workforce, soon-to-be and recent college 
graduates, young families, and to address the unique needs of military 
personnel and their families. High school and college students who are 
exposed to cumulative financial education show an increase in financial 
knowledge, which in turn drives increasingly responsible behavior as 
they become young adults.
  According to the Government Accountability Office, giving Americans 
the information they need to make effective financial decisions can be 
key to their well-being and to the country's economic health. The 
recent financial crisis, when many borrowers failed to fully understand 
the risks associated with certain financial products, underscored the 
need to improve individuals' financial literacy and empower all 
Americans to make informed financial decisions. This is especially true 
for young people as they are earning their first paychecks, securing 
student aid, and establishing their financial independence. Therefore, 
focusing economic education and financial literacy efforts and best 
practices for young people between the ages of 8 through 24 is of 
utmost Importance.
  I believe America should be leading the world with the best-educated 
students who will drive our economic innovation and success, so please 
join me in cosponsoring the Young Americans Financial Literacy Act. 
This act:
  Establishes a grant program in the Bureau of Consumer Financial 
protection to develop and implement financial literacy programs for 
young people ages eight to twenty-four;
  Incentivizes the development of partnerships between institutions or 
higher education, local educational agencies, non-profit organizations, 
and financial institutions to develop programs aimed at young Americans 
in different phases of their life;
  Ensures the development of evidence-based instructional material that 
is geared towards targeted groups and addresses unique life situations, 
including bankruptcy, foreclosure, student loans, credit card misuse; 
and
  Conducts ongoing assessment and accountability of the program over 
the short-and long-term to ensure that grand money achieves the 
greatest impact.
  I urge all of my colleagues to join me in supporting the Young 
Americans Financial Literacy Act.

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