Teens, Parents, and Financial Literacy

Teens' financial literacy, their ability to understand financial concepts and make effective decisions, is an important topic in the US. Educational programs targeted at teens have had little impact. Our study investigated if parents should play a role in teaching their teens. We conducted a literature review on teenage financial literacy and a competitive analysis of current tools. We interviewed parents and teens, probing on what teens know and how they learned these concepts. We conducted speed dating sessions, exposing parents and teens to provocative services meant to trigger conversations about financial values. These included a system where parents gave loans and charged interest and a game where teens guessed the prices of family expenses. Results showed a strong interest for tools that allow parents to educate their teens. Concepts worked best when they addressed teens' current needs and when they allowed parents to influence spending based on values.