Financial literacy helps disadvantaged youth

Improving financial literacy skills can help disadvantaged young people set goals and get on top of personal financial challenges, according to Parliamentary Secretary to the Treasurer, David Bradbury.

ANZ’s MoneyMinded financial literacy program reached more than 125,000 people over the past six years through partner community organisations across Australia. An RMIT report into the program found that at-risk young people who received that education through Mission Australia saw vast improvements in attitudes towards money, Bradbury said at the paper’s launch yesterday.

“Many of the young people who received MoneyMinded financial literacy training through Mission Australia had very little income, high levels of debt and difficult personal circumstances,” he said.

“After participating in various Mission Australia programs, where these young people were taught basic financial literacy skills based on MoneyMinded, they began to set goals for their own future, set their own budgets and better understand where to go for help and information.”

The Government has also introduced a range of measures to boost Australians’ financial literacy, including launching the MoneySmart website, developed by the Australian Securities and Investments Commission, Bradbury said.

The report also found that participants experienced a range of improvements around budgeting, spending less money on items such as take away food, cigarettes and illicit dugs. It also found that participants showed a greater understanding of shopping around for the best price, increased willingness to seek help in times of financial stress and improved saving and goal-setting behaviour.