By Consolidated Credit, Special for USDR
After evaluating almost 100 opinion polls, Consolidated Credit created an infographic summarizing What Millennials Really Think About Money. The results make clear that this generation is different– and there’s a reason why.
The 2008 financial crisis changed the way Millennials view money. Their attitude toward credit cards, family and money, and where they do their financial transactions shifted. While Gen Xers and Baby Boomers practice similar financial habits, such as credit card ownership, Millennials don’t.
- Most Millennials don’t have credit cards and aren’t interested in applying for one.
- Thirty percent of Millennials merged bank accounts before they were married, compared to twelve percent of Baby Boomers.
- Millennial moms want to have babies, but cringe at the thought of becoming stay at home moms.
- Doing business with pawn shops and prepaid cards is more appealing than relying on the banking industry.
“After witnessing the financial crises and the role the banking industry played in it, Millennials are skeptical when it comes to traditional banking,” says Gary Herman, president of Consolidated Credit. “But that doesn’t make their decisions to trust other sources right.”
When asked why they turn to alternative financial services such as prepaid cards, Millennials identified the products as convenient (42 percent), have more predictable fees (31 percent), and say the products generally better meet their needs (30 percent), according to a Harris Interactive survey.
Although this generation is plagued with high levels of student loan debt, a job market that’s not exactly throwing money at them, and the worry of ever being able to buy a home, Consolidated Credit found that Millennials “want to do more than make money.” This generation hopes to “make a positive social impact.”
Herman says, “With so many troubling social issues besides financial concerns in the news, it’s great to see that Millennials want to make a difference, but to do that, they’ll have to better manage their finances. It all works hand in hand.”