Financial Literacy and First-Generation College Students: Set for Success or Fated to Fail?

Adult Education and Human Resources Development 

This study provides a critical analysis of financial literacy education for first-generation college students. The reviewed literature details the obstacles experienced by this population of students and additionally, suggests a link between financial literacy and student success. A mixed-method approach was taken, with data obtained from the Office of Institutional Research (OIR) and a survey completed by first-generation college students. The data supplied by OIR was demographic in nature and provided an opportunity for comparison between first and continuing-generation students at JMU. The remaining quantitative data was collected via survey and included information about challenges, exposure to financial literacy, FAFSA completion as well as issues with dates/deadlines linked to receipt of financial aid, and types of financial aid received. The qualitative information further explored prior knowledge of financial literacy along with current personal finance practices, awareness of available resources at JMU, and finally assessed interest in possible programming for the future. Findings indicate a relationship between the challenges of paying for college and issues in obtaining financial aid. They also highlighted the diversity of the first-generation population with proportionally more Hispanic, Black, Asian and Multi-Race students than their continuing-generation peers. These are also traditionally underserved groups, which is a cause for concern when so many are experiencing difficulties in their efforts to persevere to graduation. This study provided helpful insight into what first-generation college students need as well as the most effective ways to connect them to available resources. The implications of this study can serve and support a vulnerable population, increase retention rates, foster responsible borrowing and personal finance skills, and provide relevant resources so these students have what they need to be successful both during and after college.