Question of the Day: Children with bank accounts are ______ times more likely to graduate from college than those that don't have bank accounts.
Answer: 4 times more likely
- Do you have a bank account currently? Why or why not?
- Why do you think there is a link between having a bank account and graduating from college?
- What are the reasons that young people might decide NOT to open a bank account?
- What do you need to open a bank account, if you are under the age of 18?
Behind the numbers (Atlantic):
A 2013 University of Kansas analysis of the Panel Study of Income Dynamics, a long-running survey, found that low- and middle-income students who had saved between $1 and $500 for college were over three times more likely to enroll and four times more likely to graduate than students with no savings.
About the Author
Tim's saving habits started at seven when a neighbor with a broken hip gave him a dog walking job. Her recovery, which took almost a year, resulted in Tim getting to know the bank tellers quite well (and accumulating a savings account balance of over $300!). His recent entrepreneurial adventures have included driving a shredding truck, analyzing executive compensation packages for Fortune 500 companies and helping families make better college financing decisions. After volunteering in 2010 to create and teach a personal finance program at Eastside College Prep in East Palo Alto, Tim saw firsthand the impact of an engaging and activity-based curriculum, which inspired him to start a new non-profit, Next Gen Personal Finance.
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