| July 25, 2014

Why are Women So Afraid to Make Financial Decisions?

The thing is, maybe they’re not. And companies like Prudential don’t like it.

Women have confidence to choose the right financial path

Since the recession of 2008 women “are gaining confidence in their ability to manage money.” That’s according to a recent study by Prudential. And it seems that Prudential is not very happy about it. Why? Let’s use the words of Lori Fouché, CEO of Prudential Group Insurance.

“Just because women are less worried, doesn’t mean they feel ready to make important, long-term financial decisions. What is more worrisome is they still aren’t seeking help from financial professionals to do so.”
Aha. They aren’t looking toward professionals to help them. In 2008, 48 percent of women polled used a professional. That number plummeted to 31 percent in this latest Prudential poll. One of the reasons the numbers may have dropped off could be age. If the poll is split by generations the numbers read:

  • Forty-five percent of Baby Boomers use a professional
  • Thirty-one percent of Generation X use one
  • Fifteen-percent of Millennials use one

Fouché thinks “the declining use of financial professionals may be due in part to the vast amount of investment research and tools available on the Internet, which Millennials and Gen Xers are often more likely to use than Baby Boomers.”

So the younger generations could feel empowered by utilizing resources that are readily accessible to them on their personal devices. More numbers that support women’s growing confidence include:

  • Since 2006 the percentage of married women managing their financial and retirement strategies jumped 13 percent to 27 percent
  • Sixty-five percent of married women as breadwinners control retirement and financial preparation
  • Fifty-percent of basic contributors to the family wages, or women who do not earn a paycheck at all, still evenly share in financial strategy-making

The other side of the coin

To be fair to Prudential, there are signs that women don’t have complete control over their financial future. These signs include:

  • Seventy-five percent of women surveyed think sustaining their lifestyle during retirement is “very important.” But merely 14 percent are “very confident” in doing it
  • Just thirty-three percent believe they are prepared or ahead of the game when it comes to preparing for retirement
  • Only 31 percent are knowledgeable about annuities “very” or “somewhat well” and 38 percent comprehend mutual funds

Gary Herman, president of Consolidated Credit, believes there are effective money management strategies available to women that they can review at their leisure.

“Consolidated Credit has a whole section of information geared specifically for women,” Herman says. “It highlights the importance of budgeting so when retirement age finally comes around, a woman or a married couple will have the appropriate amount of funds to enjoy their time off together.”

Start planning for your retirement now

If you need help planning for your golden years or just want to talk with a professional about improving your money management skills, don’t hesitate to speak with one of Consolidated Credits certified credit counselors today.

"We are really proud to recommend Consolidated Credit" Kathleen Cannon, President & CEO of United Way of Broward County. Consolidated Credit Counseling Services, Inc. is pleased to announce our partnership with the United Way as a United Way Chairman’s Circle Organization.

"We are really proud to recommend Consolidated Credit" Kathleen Cannon, President & CEO of United Way of Broward County. Consolidated Credit Counseling Services, Inc. is pleased to announce our partnership with the United Way as a United Way Chairman’s Circle Organization.

All Consolidated Credit counselors are certified personal financial counselors (CFC) We've helped 5 million people get out of debt! Call us today and see what we can do for you.

Consolidated Credit is honored to receive the 2012 Excellence in Financial Literacy Education (EIFLE) Nonprofit Organization of the Year award. The EIFLE awards acknowledge innovation, dedication and the commitment of organizations that support financial literacy education worldwide. See what Consolidated Credit can do for you.

Consolidated Credit is honored to receive the 2012 Excellence in Financial Literacy Education (EIFLE) Nonprofit Organization of the Year award. The EIFLE awards acknowledge innovation, dedication and the commitment of organizations that support financial literacy education worldwide. See what Consolidated Credit can do for you.

The National Industry Standards for Homeownership Education and Counseling are a set of guidelines for quality homeownership and counseling services. Industry professionals who adopt these standards can be trusted to provide consistent, high quality advice.
Click here to learn more.

Consolidated Credit Consulting Services, Inc. has been verified as the owner or operator of the Web site located at www.consolidatedcredit.org. Official records confirm Consolidated Credit Consulting Services, Inc. as a valid business. Call us today and see what we can do for you.

Consolidated Credit is a Certified ISO 9001 company, as verified through Bureau Veritas Certification.

Time tested and customer trusted. Consolidated Credit Counseling Services has been a BBB Accredited Business since 1998 and has a current A+ rating. Call us today and see what we can do for you.

View the Consolidatedcredit.org review status

Time tested and customer trusted. Consolidated Credit Counseling Services has been a BBB Accredited Business since 1998 and has a current A+ rating. Call us today and see what we can do for you.

View the Consolidatedcredit.org review status

Consolidated Credit is proud to be an ANAB accredited member. Accreditation by a recognized and respected body such as ANAB ensures the impartiality and competence of our company. To see what we can do for you, give us a call.

U.S. Department of Housing and Urban Development - HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. Consolidated Credit is proud to be a member of HUD and also part of the Hope Now Alliance.

You can save!

With this amount of debt, you'd pay around $xx.xx on a DMP.

FREE Debt Consultation