Quiz: Are You Financially Literate?
As you make your way through the world, you’ll be asked to make financial decisions that are a little bit more complex than, “Save this money or spend it on a pair of earrings?”
In order to save for retirement or reach your financial goals (like buying a house), you’ll need to know some basic financial concepts. Unfortunately, a recent roundup of surveys shows that women are more likely to say they don’t know the answers to basic financial questions. This is bad news, since not being confident in these concepts means you are less likely to save for retirement or invest wisely.
To find out how financially literate Americans are, the survey asks three basic financial questions. Out of respondents over 51, only 18% were able to correctly answer a question concerning interest on a savings account. Younger people aged 23-28 scored much better, with 80% able to correctly answer it. Overall, 65% of Americans were able to answer the question on interest-bearing savings accounts.
Want to find out how you compare? We have the quiz for you here to test your knowledge. Find out your literacy, then learn about the concepts you don’t know: