[Congressional Record Volume 166, Number 141 (Friday, August 7, 2020)]
[Extensions of Remarks]
[Pages E740-E741]
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

                         Friday, August 7, 2020

  Mr. CARSON of Indiana. Madam 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 88 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 
2020 survey, less than half of states require high school students to 
take a personal finance course, and less than 17 percent of high school 
students were required 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

[[Page E741]]

need to make effective financial decisions can be key to their well-
being and to the country's economic health. The global financial 
crisis, when many borrowers failed to fully understand the risks 
associated with certain financial products and currently, the economic 
hardships presented by the sudden disruptions caused by the spread of 
COVID-19, underscore 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 8-24 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.