Packaged Facts says teens represent a total yearly income of $80 billion. -- This makes them a prime target of advertisers and marketers.
Two-thirds of American teens currently use financial services but very few have credit cards. -- They are at risk to mismanage their credit cards, overspend and have excessive debt.
Also, 95% of teens between the ages of 14 and 19 have either bought or received a gift card, with some 48% of college-bound teens purchasing cards. A recent poll by First Data revealed that the average number of gift cards teen consumers plan to purchase is three for the holiday season. The survey also found that teens purchased almost double the number of gift cards they did in 2006 (7.6 vs. 4.3 cards - a 77% increase). -- With nearly 30% of gift cards going unused, this is not smart money management.
Hence, educating teens about healthy financial behaviors and smart decision making can create the financial stepping stone for success as adults.