U.S. Bank has launched a partnership with Greenlight aimed at increasing financial education.
The collaboration will give eligible U.S. bank customers complimentary access to Greenlight’s debit card and money app, designed to help families teach their children financial skills, according to a Thursday (June 6) new release.
The bank is the first financial institution to offer Greenlight through an embedded mobile app experience, employing Greenlight’s new software development kit, according to the release. The program will let younger U.S. Bank family members learn to earn, save, and spend — all with parental supervision. Greenlight also lets parents send money instantly, automate allowance payments, manage chores and set spending controls.
“For families, there is no better way for kids and teens to build confidence and money skills than with hands-on experience,” said Tim Welsh, vice chairman of consumer and business banking at U.S. Bank.
“Our partnership with Greenlight revolutionizes how our clients can teach their kids about money, by providing trusted and proven financial tools that create positive money habits.”
The partnership comes on the heels of a recent request by the Office of the Comptroller of the Currency (OCC) for American financial institutions (FIs) to help improve “the financial capability and financial health of their customers.”
While the request was issued in conjunction with National Financial Capability Month in April, PYMNTS Intelligence data shows consumers are seeking trustworthy financial advice from their FIs year round.
In fact, “looking for advice” is an understatement. According to PYMNTS Intelligence’s “How CUs Can Help Younger Consumers in a Distressed Economy,” nearly 6 out of 10 FI customers expect their financial institutions to help them improve their financial health.
The report, completed in collaboration with PSCU, found the need for financial advice is especially pronounced among younger consumers, with 29% of Generation Z consumers surveyed admitting they don’t know their credit scores.
“This may not be surprising, considering that 79% of Gen Z and millennials say they get their financial advice through social media,” PYMNTS wrote. “Only 11% say they use financial advisers to get the direction they need.”
A different PYMNTS Intelligence Tracker, “Personalization Beyond Traditional Banking to Build Financial Wealth,” found similar patterns in the United Kingdom, where 58% Gen Z consumers say they follow TikTok “fin-fluencers.” A little more than a quarter said their social media gurus offer better advice than the professional financial providers they speak with.