Research from UK FinTech Paysend, a financial services business with a focus on financial education, highlights the need for the education system to incorporate the concept of digital money into the school curriculum as the coronavirus pandemic has driven consumers towards digitisation at a much more rapid rate than had been previously forecast.
The report draws out the correlation between GDP and financial literacy evidenced by the global picture of economically developed countries matched by financial education infrastructures.
The Global Financial Literacy Survey, pointing to a drift in financial awareness in younger generations, aligns with the gradual move away from cash to digital money and the associated ease of impulsive and online spend, leading to looser control of financial budgets.
The report cites statistics which leave little doubt to the demand for a focus on financial education across all ages of schooling.
More than 4 out of 5 17 and 18 year olds in the UK say that they worry about money, and 3 out of 5 call for financial education to be a core subject at school.
The need for this is reinforced by over 90% of parents believing it is the schools’ role to teach their children about money as opposed to it being a parental responsibility.
In calling for governments to act now in recognising the importance of preparing future generations for wise financial management, Paysend also looks to the emerging FinTech sector to play its part.
Paysend themselves are committing to three key areas of action in:
- Developing simple FinTech solutions that encourage new generations to become more financially independent
- Creating engaging video content explaining different aspects of digital money
- Providing easy-to-follow user guides about the world of international money
CEO of Paysend, Ronnie Miller said, “Accelerated by the coronavirus pandemic, we are seeing seismic changes in the way people manage their money, in their spend attitudes and also in their behaviours, not just in the UK, but globally. As a leading international FinTech we are at the centre of these changes and have the responsibility to help ensure that consumers are educated both on the components of digital money and also on the need to adopt good financial habits. At Paysend we are committing to play our part and, based on our report, are calling for governments and the FinTech sector as a whole to do likewise.”