Skip to main content
Menu
Back to All Blog Posts

Financial Literacy

It’s hard to believe that in a nation with one of the most advanced educational systems in the world, financial education is sorely lacking. The financial illiteracy problem may be beyond the scope of our country and actually might be more of a global epidemic.

One of the reasons we may be in this situation is that money tends to be a taboo subject. People have a hard enough time discussing money within their household. Speaking publicly about it seems to be out of the question. Perhaps that is why schools tend to avoid the subject as well.

If schools aren’t going to teach the basics of financial education, the burden then defaults to parents. The trouble there is that many adults are financially illiterate as well. If children learn by example, then they may pick up all of their parents’ bad habits. As bad as your poor financial decisions may be, knowing that you may be passing them on to your children makes things even worse.

To break the cycle of financial illiteracy, you need to be proactive. Reading the Lending Club blog is a great place to start. The internet has some excellent resources, but is so vast that it can be difficult to separate the good from the bad. I learn about financial topics through books. I highly recommend taking full advantage of your local library. If your library is lacking, you can go to one of the large chain bookstores and use them as a library. Pick out a book and read a few chapters each time you go. If I do purchase a book, I tend to do a price comparison online. You can often find books for half of the retail price.

To get you started, here are my top two book recommendations:

Rich Dad, Poor Dad by Robert T. Kiyosaki, ISBN 0446677450
The Millionaire Next Door by Thomas J. Stanley, ISBN 0671015206

Used copies of either book can be found online for less than five dollars on such sites as Amazon.com and Half.com.

Check Your Rate

This is FREE and won't impact your credit score.

I want
Enter up to $40,000
for
My credit is:

To Read Next

1 min read

Lending Club and the Marketplace Model

Some of our investors have observed the funding environment and asked: “Are you going to become a balance sheet…

Read More
< 1 min read

More Data Coming for Investors

We’re always seeking feedback and looking to make the investor experience better and more transparent. In that spirit we’ve…

Read More
< 1 min read

Bloomberg Markets Names Renaud Laplanche on its 2015 “Most Influential” List

Bloomberg Markets released its annual “Most Influential” list, and we’re thrilled to share that our CEO, Renaud Laplanche, was…

Read More