Measure seeks to strengthen consumer financial education

U.S. Rep. David Scott (D-GA) recently introduced the Consumer Financial Education and Empowerment Act (H.R. 9272), which seeks to provide consumers with resources to achieve financial goals and generate economic stability.

© Shutterstock

H.R. 9272 enables a portion of the Consumer Financial Protection Bureau (CFPB) Civil Penalty Fund to be utilized for financial education programs in schools, libraries, and non-profits, as well as within other similar organizations.

“Today, far too many Americans struggle with decisions around financial planning, saving, and investing,” Scott, chairman of the House Agriculture Committee, said. “This lack of basic financial education often leaves consumers vulnerable to potentially avoidable financial pitfalls. My bill will allocate vital financial education resources, thus allowing consumers to make better-informed decisions regarding their personal finances while improving the overall financial health and well-being of their families.”

The Credit Builders Alliance (CBA) is among the organizations endorsing the bill.

“On behalf of our 611 members, the Credit Builders Alliance applauds the introduction of the Consumer Financial Education and Empowerment Act that builds on proven statewide models,” CBA CEO Dara Duguay said. “By using a small percentage of the Consumer Financial Protection Bureau’s Civil Penalty Fund, we can directly support the delivery of high-quality financial counseling and guidance to individuals and families, we can ensure help to empower more consumers with the resources and tools that foster financial stability.”

Thomas Foley serves as executive director of the National Disability Institute, which also supports the Consumer Financial Education and Empowerment Act.

“This change would significantly improve financial outcomes for people with disabilities,” he said. “Individuals with disabilities are more than three times more likely to be unbanked than individuals without disabilities.”