Financial Awareness Day: 94% of people seeking debt advice weren’t taught about money in school

To mark Financial Awareness Day 2025 (Thursday, 14 August), we’re looking at how failing to teach kids about money at school can lead to problems in later life and providing tips on how to boost your own financial wellness.

The stats

We believe improving financial education in schools would boost prospects for all children by helping them avoid future money problems. And our customers agree.

Among the people who contact us for debt help, 94% haven’t had any financial education whatsoever, 80% feel having done so would have helped them avoid their current problems and 51% think it would have given them a more positive attitude towards money.

And there are certain knowledge gaps our customers would like to see prioritised:

• 77% think budgeting lessons are vital
• 68% say guidance on credit and debt would be useful
• 62% feel savings advice should feature in the school curriculum

Josh’s story

By the time Josh (32) turned to us for help, he had racked up over £12,500 in payday loan, credit card and store card debt. As well as a 15-year-long battle with addiction, he believes that a lack of financial education contributed to his money worries.

He explains that his desire for a certain lifestyle wasn’t matched by an understanding of what was required to maintain that kind of existence. This lack of awareness meant he failed to demonstrate caution when presented with multiple offers of credit.

“The process was so easy, too easy in fact, where they didn’t really ask any questions. They were just like, ‘Have you got a bank account?’ Yes. ‘Have you lived in the UK?’  Yes. ‘Are you over 18?’ Yes. Tick, tick, tick. That's no problem. We'll transfer you £1,000.”

He explained being unfamiliar with the terminology used by lenders meant he agreed to terms and conditions without fully appreciating the financial implications.

“When I used to see the adverts on TV, I'd see APR in big words, in big writing. But the description of what it was was very small on the TV, so I never really went out of my way to have a look at it.”

Despite falling behind with repayments, Josh kept borrowing until he’d exhausted his available lines of credit.

“It got to the point where I was getting letters in the post. I was getting threatening phone calls. If you don't pay this money, this is what's gonna happen. We're gonna send bailiffs out to you. 

“And it just spiralled out of control to the point where I just thought, ‘Oh, do you know what I'll do? I know how to deal with this. I'll hide away from it all and hope for the best, and it'll go away.’ And it didn't.

At that point, Josh came to us for advice and we were able to apply for a debt relief order (DRO) on his behalf.

A DRO freezes your debts for a year and, if your situation doesn’t improve in that time, they’re then written off.

This can offer people a fresh financial start, but the DRO remains on your credit file for six years making it more difficult for you to borrow.

Josh thinks a little guidance could have prevented his situation getting so bad.

“I never got taught once how to save money or where to go to get support, or you know, what happens if you spend too much money that's not yours.

“When you’re a child you soak a lot of things up, and I would have definitely soaked up all that information.”

Des’ story

After falling off the back of a wagon and breaking his femur on the first day of a new job, Des could no longer work and found himself relying on benefits to get by. The drastic drop in his income meant he could no longer afford his full credit card and loan repayments.

When Des came to us, he owed £25,000. After running through his finances in detail, we recommended a debt management plan. This was approved by his creditors within ten days and meant his repayments were reduced to an affordable level. We also carried out a benefits assessment, as a result of which, Des is now getting an extra £140 a month.

Although Des is relieved that his debt repayments have been cut, it means it will take him longer to pay off what he owes. And he feels his situation would never have got as bad as it did if he’d received better financial education.

One of his debts was a business loan that he was tricked into taking out for a Ponzi scheme. He doubts he would have been duped if he’d been taught about money growing up. In fact, he’s convinced better financial education would have improved his prospects all round.

“When I look back on it, some of the struggles I had, especially when I married early and had kids, I didn’t know what half of the stuff meant, like mortgages, and ended up getting sort of done over on one… It should be taught - it’s the main thing in life… It should be on the curriculum at school, definitely.”

Tips to boost your financial wellbeing

If you’re worried that a lack of financial education may mean you’re not making the most of your money, we’ve got a few key tips that could help.

Check you’re not missing out on financial support

Every year, £23bn of benefits and social tariffs (special low-cost deals on water, broadband and mobile for people on low incomes) go unclaimed in the UK, according to Policy in Practice. Make sure you’re not missing out by checking out our free benefits calculator.

Create a budget

The route to financial wellness starts with a comprehensive budget. Once you know exactly how much money you have coming in and where it’s going, it makes it easier to work out if you need to cut back and spot any areas where you’re overspending.

Get debt help

If, once you’ve checked you’re claiming all the support you’re entitled to and created a budget, you find your income doesn’t cover your essential expenses, it’s probably time to get help. We can advise you on the options open to you, either online or over the phone – whatever works best for you.