NEW YORK–Americans are in clear need of financial education, as a new survey makes clear. 

A new survey by U.S. News conducted in conjunction with Financial Literacy Month, found 53% don’t know FICO scores are the scores lenders look at to determine your creditworthiness, and approximately 44% confuse FICO with one of three credit reporting bureaus.

U.S. News said it surveyed 1,200 consumers in April, asking them about their spending habits and general financial knowledge.

The survey found most respondents got their first credit card after the age of 18, with about 50% getting their credit card in college or after high school and another 25% getting their first credit card after college.

It further found a combined 25% were able to get a leg up with the help of a parent or guardian and were added an authorized user before they applied for their first credit card.

Thirty-nine percent of respondents maxed out that first credit card. 

The Findings

Among the findings:

• When asked what happens to credit reports and credit scores when two people get married, a combined 48% failed to get the answer, either saying the reports combined into one as they are assigned to each household (22%) or they don’t know (26%).
• Over half of respondents carry a balance month to month (57%), and 53% incorrectly say doing so boosts your credit score. 
• The only age group that correctly said carrying a balance could actually lower your score was the 55-and-over group. Every other age group leaned toward the notion that carrying a balance helped your score.
• Respondents were asked what the difference is between credit scores and credit reports. While 46% choose the correct answer, a combined 54% choose incorrectly or say they don’t know.
• Almost 45% of respondents say they sought out financial advice from friends and family, with only 25% going to online publications for advice; 32% don’t seek out financial advice at all.

Spending Habits

• When it comes to tracking spending, the majority of respondents rely on budgeting apps (37%). “But what’s interesting is that the older a consumer gets, the less they track their spending,” U.S. News reported.
• Overall, 29% of respondents acknowledge not tracking their spending. 

When divvied up by age group, the percentages only go up, the report noted:

• I don’t track my spending: 29%
• 18-24 years old: 16%
• 25-34 years old: 18%
• 35-44 years old: 24%
• 45-54 years old: 30%
• 55 and over: 39%

Personal Savings

How much do people have in savings? The survey found:

• Under $1,000: 37%
• $1,000-$5,000: 27%
• $5.001-$10,000: 13%
• Over $10,000: 23%

The CU Daily also has separate reporting on how Americans’ lack of understanding over how credit cards work is contributing to card debt. That story is here.