Sorry about this off topic rant, but just had to post this.
I have a friend who works in a bank. She was tasked with the job of calling one of the bank’s customers to tell them that they owed a significant amount of money and hadn’t paid off any of their credit card bills since they were issued with their credit card.
According to her, this isn’t that rare. But the more worrying part is that this customer’s response is also a common occurrence.
First, they couldn’t provide any of the details on their card, claiming ‘I threw it away once the money ran out’. To which my friend responded with an explanation as to how credit cards work. And that the debt doesn’t just go away when you get rid of the card.
The customer was utterly baffled and very adamant that the bank had given them money, and now that they didn’t have the card they didn’t have to pay it back.
That’s terrifying! That people are so uneducated about money that they don’t understand that they have to pay back credit. If everyone thinks they’re getting free money, no wonder they’re running around searching ‘loan companies near me’ to get their next ‘free gift’. Wow. Just wow.
Why don’t we teach kids how to manage their finances in school? When I was at school I learned the quadratic formula by heart. I can still recite it now, over a decade later. Yet, I haven’t used it once. Not one time have I needed to perform any complicated algebraic equation in my everyday life.
Surely we can get rid of some of the unnecessary stuff so that our children don’t drown in debt by the age of 20?
Managing money is something that we, as adults do and think about every single day. More probably than almost anything else we ever learn at school. Yet we do it blind. No one (unless your parents decide to) teaches us how to do any of it. And we wonder why the economy is in bad shape. Another thing we need to talk about is car insurance, but that’s a whole nother matter!