Many graduating seniors are not financially literate

A significant percentage of UNC’s senior class could graduate without knowing how to manage a personal budget — but UNC senior marshals are working to change that.

The senior marshals’ Beyond Carolina committee hosted a financial literacy seminar Wednesday to teach seniors how to handle personal finances after graduation.

Tony Patterson, the featured speaker, made a presentation that covered topics from budgeting to managing consumer credit to saving and investing.

Patterson is the program coordinator of the Bottom Line, a collaborative effort between UNC students and staff that teaches students how to manage their money.

The seminar, which about 20 seniors attended, was modeled after a similar event held in the fall.

Ken Jameson, committee chairman and main organizer of the event, estimated that 30 to 40 percent of seniors at UNC are not financially literate.

“A lot do know, but we want to catch those that don’t,” he said.

Jameson said students’ personal finances are often handled by their parents throughout their college career.

Many financial lessons, such as how to buy a car with a loan, are not necessary during college but are essential in life after graduation, he said.

Laura Lane, assistant director of University Career Services, said students today have more opportunities than previous generations to learn about money.

Though she said UNC seniors are generally financially savvy, she said seminars like the one on Wednesday are still necessary.

“You can’t educate too much about finances,” she said.

Some seniors said the University should require students to take a class on financial literacy.

“You have to take these liberal arts classes, which is great for becoming cultured, but … people can graduate from a wonderful four-year institution like UNC and not know a thing about a 401(k) or know the difference between a stock and a bond,” said Nick Beeson, a senior business major.

Senior advertising major Esther Lee said she attended the seminar to learn practical tips that aren’t taught in class.

“UNC needs to have a mandatory course,” she said. “A one-night session isn’t really enough.”

Senior business major Coty Lee said even students majoring with a focus in finance are often ignorant about certain aspects of personal finances.

“As a business major, I have a pretty good understanding of investment and interest rates but not so much retirement or other issues of financial literacy that do not fall under a finance major,” she said.

Will Taylor, a senior business major who helped organize the event, said society’s current dependency on credit makes maintaining financial stability even more difficult for graduates.

“We’ve just gotten to a swipe culture,” he said. “I think the idea of a budget is more elusive because it’s not as tangible now.”

Contact the University Editor at university@dailytarheel.com.