The CFPB has released a new report, “Financial well-being in America,” and a new on-line interactive tool that allows consumers to measure their own financial well-being and access CFPB resources intended to help consumers meet financial goals.

In January 2015, the CFPB issued a report in which it created a definition of “financial well-being”:  “a state of being wherein a person can fully meet current and ongoing financial obligations, can feel secure in their financial future, and is able to make choices that allow enjoyment of life.” … Continue Reading

Last week, the CFPB released “A guide to using the CFPB Financial Well-Being Scale.”  The guide builds on a report issued by the CFPB in January 2015, “Financial well-being: The goal of financial education,” in which it defined “financial well-being” as a state of being wherein people:

  • Feel in control of their day-to-day and month-to-month finances
  • Have capacity to absorb financial shock
  • Are on track in meeting financial goals
  • Have the financial freedom to make choices that allow them to enjoy life

The new guide contains a 10-question scale developed by the CFPB to measure “financial well-being” and instructions for scoring a consumer’s responses and interpreting scores. … Continue Reading

A new CFPB report entitled “Financial well-being: The goal of financial education” describes the CFPB’s initial research into how people acquire financial capability.  The CFPB states in the report that it undertook the research specifically to inform financial education and improve consumer outcomes.  According to the CFPB, its “overarching objective” was to determine how to define and measure the success of different financial literacy strategies so that it would have a basis for measuring the effectiveness of different strategies. … Continue Reading