Education on Finances Needed
Sinn Féin MLA Foyle Martina Anderson has said that more needs to be done to help young people understand money management after a recent survey carried out for the Department for Education and Skills (DFES) found that 40% of 16-21 year olds did not know what APR stood for and the basic aspects of money and finance are still baffling to many young people.
Ms Anderson said:
"The results of this survey are very worrying indeed, we need to find ways to ensure that our young people fully understand money management and the financial terms of loans, store cards, credit cards and particularly mortgage deals in the current climate of ever rising house prices.
"In areas like Derry and Donegal where there is a low wage economy, high unemployment and additional social issues there is a danger that young people are inclined to take out loans, store cards as a quick fix solution without the means to pay them back. Therein lays the dangers of accumulation of debt, young people ending up going to unscrupulous money lenders as a way out and ending up with a lifetime of debt. It cannot be allowed to become a taboo subject,
"Its frightening that many young people don't know the implications of many of the deals and contracts they are signing up to .The process of how we address that needs to start in our schools and in our youths services with a dedicated team of financial experts visiting them on a regular basis with workshops giving all the practical details on how finance will affect them in their everyday lives." ENDS