Mr. Speaker, I thank the gentleman from Georgia for yielding me the time. Mr. Speaker, I rise today in support of House Resolution 737 to designate April as Financial Literacy Month. This is the third year that I have introduced this…
Mr. Speaker, I thank the gentleman from Georgia for yielding me the time.
Mr. Speaker, I rise today in support of House Resolution 737 to designate April as Financial Literacy Month. This is the third year that I have introduced this resolution with my colleague from Texas (Mr. Hinojosa) to raise public awareness about the importance of financial education in the United States.
The state of financial literacy among our citizens may not garner much in the way of headlines, but it is an issue that should command our attention. It is a problem that is serious and urgent but is one that could be solved through education, and that is why I urge my colleagues to support this resolution.
In 2003 I worked with my colleagues and again Mr. Hinojosa to establish within the Fair and Accurate Credit Transaction Act, or the FACTA, the Financial Literacy and Education Commission. We tasked the commission with establishing a Web site, a toll-free hotline, and a national financial literacy strategy. I am happy to say that the commission immediately launched www.mymoney.gov and 1-888-MYMONEY, and just yesterday it unveiled the national strategy report.
It is called ``Taking Ownership of the Future: The National Strategy for Financial Literacy.'' And it highlights best practices and outlines outreach and education goals for the public and private sectors. I would urge my colleagues to go to mymoney.gov and take a look at the report. It is a great roadmap for how Americans can improve their understanding of issues such as credit management, savings, and homeownership. It is my hope that this national strategy can serve as a focal point for the hundreds of groups out there who are stepping up to the plate on financial literacy. There are so many issues and so many groups of individuals who need help and want to help.
Since my colleague Mr. Hinojosa and I founded the Financial and Economic Literacy Caucus, which now has 68 Members of Congress, literally hundreds, if not a thousand, not-for-profit groups and private sector organizations have called us to offer their help or tell us about their financial literacy programs.
And I would like to take a moment to insert into the Congressional Record letters of support for these resolutions from four such organizations.
Networks Financial Institute
at Indiana State University,
Terre Haute, IN, April 4, 2006.
Hon. Judy Biggert,
House of Representatives, Co-Founder and Co-Chair, Financial
and Economic Literacy Caucus, Washington, DC.
Hon. Ruben Hinojosa,
House of Representatives, Co-Founder and Co-Chair, Financial
and Economic Literacy Caucus, Washington, DC.
Dear Representatives Biggert and Hinojosa: We are writing
to express our support for H. Res. 737, ``Supporting the
goals and ideals of Financial Literacy Month.'' The
resolution is an important step in raising awareness among
individuals, policymakers, and institutions about the need
for a more competent, financially literate country.
A lack of basic money-management skills is widespread among
Americans. Over a quarter of our population have not received
adequate financial literacy education in order to manage
household finances. Personal bankruptcies increased 19% in
2002 over 2001, and increased by over 10% in 2003 with young
adults between 20 and 24 representing the fastest growing
segment of bankruptcy filings. In 2004, America's teenagers
scored a failing grade in basic financial literacy knowledge,
and more people filed for bankruptcy than graduated from
college. Now more than ever, there is a critical need for
research-based financial literacy educational programs to
reach individuals at all age and socioeconomic levels,
particularly in the early years. Our nation's educational
systems are an effective conduit through the use of quality
programming with a common set of educational standards, pre-
and post-education assessment tools, effective training
programs for educators, and materials which appropriately
serve various segments of adult and child populations. The
goal of these efforts is to develop an adult population of
consumers that have adequate skills and confidence for making
day-to-day financial decisions, and planning for their
financial futures.
Thank you again for introducing H. Res. 737. Your continued
leadership and commitment to financial literacy is essential
to raise awareness of the need to implement a national
strategy, and improve the money, credit, and debt management
skills of all individuals.
Sincerely,
Liz Coit,
Executive Director.