Young Adults Are Getting Buried In Credit Card Debt Over A Basic Misunderstanding. 'Isn't Something Like This Supposed To Be Common Sense?'

Core Insights - Young adults are increasingly unaware that credit cards require full repayment, leading to debt accumulation and interest charges [1][2] - There is a significant gap in financial literacy education, with many individuals feeling unprepared to manage credit responsibly [3][4] Group 1: Financial Literacy and Education - Many young adults report that schools have failed to provide adequate financial literacy training, with classes often being introduced too early to be effective [3] - The lack of real-life money management skills is a recurring theme, with some attributing this to the removal of practical financial education from school curriculums [3] Group 2: Behavioral Aspects - Impulse control and short-term thinking are significant factors contributing to credit card misuse among young adults [2] - Personal anecdotes reveal that many young individuals view credit cards as "free money," leading to irresponsible spending habits [5] Group 3: Industry Practices - Credit card companies are perceived to benefit from consumer financial illiteracy, as they profit when individuals do not understand the implications of credit use [4] - There is a notable trend of banks targeting young consumers with credit card offers, often in college settings, which can lead to financial pitfalls [1]