A new study from FICO shows fewer than one-third of American consumers have a passable understanding of their financial rights. In a comprehensive survey of U.S. bank customers, the analytics company found only 30 percent of those quizzed about their financial rights earned a passing grade, with only 1 percent achieving an A. Out of the remaining number who passed, 3 percent earned a B grade, 12 percent got a C, and 14 percent got a D.
As a whole, FICO found younger consumers were generally less informed about their credit rights than older generations. According to the survey results, only 48 percent of millennials (age 25–34) could answer even half of the questions, while 57 percent of Generation X (35–50) and 62 percent of people over the age of 50 could achieve the same result. FICO says banks should take notice of the survey results, as consumers who fared better on the test also tended to say they were more satisfied and engaged with their banks.
Stagnant income growth and uncertainties about the economy's future have spurred more Americans to putting a tight lid on their monthly spending, according to a new poll. In survey findings released Tuesday, Bankrate-dot-com reported that two-thirds of American consumers are now limiting how much they spend each month. Of those who have had to draw their purse strings tighter, 32 percent cited stagnant income as the main reason, while 29 percent said they need to save more. Sixteen percent cited worries about the economy in general. On a positive note, millennials—the population that accounts for the majority of first-time homebuyers—were the most likely to cite the need to save more money as their primary reason for spending less, indicating a possible interest in future homeownership.