Stories | May 8, 2012

Who is “financially competent”?

Interest rates, inflation and other factors can make a huge difference to our financial lives.

The ING International Survey polled more than 11,000 people in 11 countries to discover how well they understood these essential concepts.

Crunching the numbers on those who scored 80% or higher (four or more in the five-question test), some interesting characteristics of “financially competent” people emerged. They were more likely to:

Be aged over 25 – this is not particularly surprising as people can learn through trial, error and experience as they age)

Work full-time

Not argue with their life partner about money. But some do still have disagreements over money – such as if one half goes on a spending spree, annoying the other.

Manage their money very carefully – going though bank statements, credit card bills and other documents thoroughly every month.

Make their own financial decisions instead of relying on others to make choices for them.

It’s never too late to learn
The “financially competent” were also more likely to have some “financial education”, such as school, university or studying online resources or from books. In fact, about a third (or 30%) of those who scored 80% or more didn’t have any financial education, compared with about half (or 46%) of those who scored less than 80%. Remember, it’s never too late to learn about money – and these results suggest it’s a good idea.

Our infographic builds a profile of “who is financially competent” and lists the five-question test, so you can check your results.



 

Click here to view the PDF.

eZonomics team
.(JavaScript must be enabled to view this email address)

InvestingSavingFamilyJobsEducationMortgageInflation

This article is related to the ING International Survey:

Financial Competence 2012

Financial Competence 2012

April 1, 2012

How many of us can correctly answer questions about interest rates, inflation, mortgages and more? Does “financial competence” make a difference to our satisfaction with life? The ING International Survey on...

Have your say

Should schools teach financial literacy?