Money Management and Budgeting a Problem in America, Confirms Pioneer Law Firm and Recent National Surveys

July 17, 2014   Business News
(PRLEAP.COM) Westminster, CO July 17, 2014 Pioneer Law ( a Colorado firm providing bankruptcy, FDCPA, real estate, and business law services, confirms multiple findings that Americans lack basic money-management skills. Data from multiple recent reports show that while Americans have changed their attitudes towards credit and savings, we typically don't budget our spending, we aren't concerned with our credit report, and we don't want to talk about these shortcomings - even with loved ones.

A financial literary survey by the National Foundation for Credit Counseling (NFCC) reports that the majority of U.S. adults say they don't have a budget to keep close track of their spending. A sizable portion also say they could benefit from professional answers or advice to everyday financial questions. Additionally, despite the recent data breaches at Target and other retailers that impacted more than 40 million credit cards, 60% of borrowers have not reviewed their credit score in the last year. We collectively are not using our credit score to our benefit to get better rates.

The same NFCC survey reports that one-third of U.S. adults do not save any portion of their household's annual income for retirement. The same number of U.S. adults carries credit card debt from month-to-month, a number that has steadily declined since 2009. This means one-third expects Social Security alone to provide for their retirement and an equal percentage of the population needs a credit card to finance their lifestyle each month.

A recent Wells Fargo Financial Health study revealed Americans have more difficulty talking about personal finance compared to any other topic, including: death, politics, religion, taxes, and personal health. One third of those surveyed were more concerned with their financial health than physical health. Two in five said money is the biggest stress in their life and were more stressed about finances now than they were a year ago. A third has difficulty discussing money with their partner. In contrast, another survey by the NFCC reports 68% of engaged couples hold negative attitudes towards discussing money with their fiancé. A small portion indicated the discussion would cause them to call off the wedding.

Another survey among millennial Americans reports 80% say the Great Recession of 2008 taught them to save now for the future, yet only half of millennials are saving for retirement. The pressure of debt has made a mark for this generation; nearly half say debt "is their biggest financial concern currently." Forty percent of millennials describe their debt as "overwhelming" versus 23 percent of baby boomers. More than half of millennials are living paycheck to paycheck.
The American economy is slowly recovering from the financial collapse of 2008, however Americans have not learned their lesson. They know it, and they don't want to talk about it until it gets out of control and they need professional help," says John Dougherty, Founding Attorney at Pioneer. "Over the last decade so many people lost their jobs, had their home equity disappear or home foreclosed, had unplanned medical debt, or simply found their savings inadequate when hard times came. Pioneer hears these stories first-hand every day but recent reports are quantifying the fact that American financial literacy needs to be addressed by parents, mentors, schools, or some level of government in this case. Talking about it and dealing with the problem will help."

About Pioneer Law
Pioneer Law is a legal firm specializing in Bankruptcy, Business Litigation, FDCPA, and Real Estate law. For those paralyzed by debt, disputing with a business, troubled by a collector, or involved in the sale of real estate, the specialists at Pioneer Law are prepared to advise, represent, and give peace of mind. For more information visit
Contact Information
Pioneer Law Firm Staff
Pioneer Law Firm
Contact Us