Financial Literacy Isn’t Keeping Up—Here’s Why That Matters

April marks Financial Literacy Month, a time to reflect on how we equip individuals with the knowledge and tools needed to make informed financial decisions. Yet today’s financial landscape is evolving faster than traditional education systems can keep pace. This is most evident in the growing intersection between financial products and gambling-like experiences.

Financial literacy efforts have not fully kept pace with the complexity, speed, and integration of modern gambling and adjacent financial products. From mobile betting platforms to emerging prediction markets, consumers are increasingly navigating environments where lines between investing, gambling, and financial participation are blurred. These products have evolved rapidly, outpacing formal education systems and leaving individuals—especially young people—to make high-risk financial decisions with limited preparation or protection.

While financial literacy education is now a required high school graduation benchmark in 30 states, implementation remains uneven. More importantly, current curricula do not consistently address gambling-related financial risks. At the same time, financial literacy rates are lowest among younger adults, with only 38% of Generation Z considered financially literate (Huble, 2025). Meanwhile, approximately 15% of adults aged 18–34 report concerning gambling behavior (Huble, 2025). This combination of high exposure, lower financial literacy, and limited safeguards increases vulnerability to financial harm.

Further complicating this landscape is the frictionless design of many digital platforms. Reduced friction in transactions can delay awareness of losses and make it difficult for individuals to recognize the full extent of their spending in real time. At the same time, traditional wealth-building pathways are increasingly supplemented or even replaced by platforms that emphasize speed, speculation, and short-term gains. In this environment, gambling and gambling-adjacent activities can be perceived as viable streams of quick income, reinforcing risk-taking behaviors while obscuring potential financial
consequences.

Despite these shifts, most financial management tools, such as budgeting apps and expense trackers, rarely address gambling-related spending explicitly. This represents a critical gap in how we approach financial health in today’s digital environment.

What Can We Do?

Financial Literacy Month presents an opportunity to view financial education through a new lens. To better support consumers in this fast-moving landscape, several actions are needed:

• Integrate financial literacy into real-world platforms: deliver education and spending-awareness tools directly within banking apps, fintech tools, and gambling platforms—meeting consumers where they make gambling decisions.
• Address gambling-related financial behaviors explicitly: adapt existing financial literacy and mental health resources to acknowledge gambling-related spending patterns, financial stress, and early indicators of harm, while offering guidance on how to recognize and manage gambling-related spending.
• Shift the narrative: Move away from moralized or compliance-focused narratives and toward practical, actionable guidance focused on spending awareness, financial resilience, and long-term financial health.

As financial ecosystems continue to evolve, so should our approach to financial literacy. By modernizing education and embedding it into everyday financial experiences, we can better equip individuals to navigate risk, build resilience, and make informed decisions in an increasingly complex world.

Interested in learning more? Read Kindbridge Research Institute’s recent Insights Report on Gambling-Related Financial Harm: A Public Health Approach to Financial Stability in a Digital Era.

References

Huble, C., 2025. National Council on Problem Gambling Survey Shows Drop in Problem Gambling Risk, Highlights Ongoing Challenges. [Online]

Available at: https://www.ncpgambling.org/news/national-council-on-problem-gambling-survey-shows-drop-in-problem-gambling-risk-highlights-ongoing-challenges/

Kary Carbone, MBA

Kary Carbone leads the Financial Stability and Responsible Gambling Initiative at the Kindbridge Research Institute. She has a strong track record of leading cross-sector initiatives and driving impactful outcomes. Drawing on her experience in public health and the nonprofit sector, she brings together diverse stakeholders to address complex challenges at the intersection of financial health, public health, and responsible gambling.