A financial advisor says getting a handle on your money impacts more than your wallet
of ConsumerAffairsMillions of Americans started 2025 with rising credit card debt, living paycheck-to-paycheck and falling further behind their financial goals.
Charlotte, N.C., financial advisor Marcus Sturdivant Sr., says the start of a new year is a good time to improve your financial literacy, suggesting that improved money skills affect not just your bank account but your entire life.
Im a financial advisor by trade so Ive seen the results in other peoples lives, Sturdivant told ConsumerAffairs. When we sit down and have a conversation we see that many people dont understand the value of owning a home, of credit, and how to use credit and debt.
So what does he mean? Sturdivant says much of the stress in family life is caused by the lack of proper money management and is one of the biggest causes of divorce.
People can be married 20 or 30 years and not really understand each others views of money, or where they want to get to by retirement, he said.
For young people, having a good financial literacy education is important when dating. For example, if you have a good credit score you probably want to avoid getting involved with someone who has a poor score.
Happier, more stable life
Sturdivant says someone with a strong financial literacy grasp will likely have a happier, more stable life. They will have fewer worries about debt because they will pay their credit card balance in full each month. Someone without this knowledge may be quickly burdened with unsustainable debt.
Einstein stated that compounding interest is the strongest force in nature, Sturdivant said. That blade cuts both ways, if people are saving and compounding those gains, it is beautiful. On the flip side, paying minimum balances or not paying at all will have detrimental consequences on the growing balance.
Sturdivant has worked with a Charlotte-area non-profit, offering a free financial literacy course to help people get a grasp of their finances, sometimes turning their lives around. He says it just takes that initial step.
People fear what they do not understand and finances can seem daunting and only for the affluent, he said. The first step in mindset is realizing everyone can grow in their financial literacy and start to grow their returns.
Photo Credit: Consumer Affairs News Department Images
Posted: 2025-01-21 12:17:36
