Financial literacy empowers Canadians to make informed decisions about borrowing, spending, saving and investing that will positively impact their financial health. As seen in the Canadian Financial Capability Survey, Canadians with higher financial literacy are better able to save money, pay bills on time, pay down debt, and overall manage their cash flow successfully.
Moreover, in a financial literacy study conducted by Loans Canada, Canadians with lower levels of financial literacy were “credit constrained”, demonstrating problematic financial outcomes such as:
Not saving for emergencies (72%)
Not having a budget (66%)
Not paying their credit cards in full each month (67%)