CANADIAN TALK A GOOD GAME
By Adnews Staff
Canadians say they are knowledgeable and in control of their finances, but they may not be as knowledgeable as they say, according to a survey done by Dun and Bradstreet Market Research of Toronto. Ninety-four per cent of Canadians believe they are knowledgeable about their personal finances. When it comes to specific areas, 84% are confident about planning their financial future and 74% say they can select appropriate insurance. But, Canadians find financial information confusing. Sixty-four per cent said they need to know more about managing their personal finances and 61% stated there were completely overwhelmed by the amount of information available. Half of Canadians believe information about personal finances is deliberately confusing and 54% stated that they think their personal finances should be a priority, but they don't have enough time to think about them. When probed for more proof of their expertise in their personal financial matters, respondents were stumped. Forty-three per cent admitted they weren't familiar with the term investment yield. One in four claimed to be very knowledgeable about mutual funds, one in five felt they were knowledgeable about segregated funds and 43% of those who have life insurance didn't know how much coverage their policy provided. Respondents also claim to be in control of their finances, with 83% saying there are saving at least some money and 74% saying they are saving for retirement. However, Canadians remain cautious about saving, with 74% of respondents using savings accounts as their means of savings. Eighty-two per cent felt they knew a lot about RRSPs, but only 21% were familiar with the term tax deferral. Fifty-four per cent own life insurance. Of those, 57% know how much coverage they have, yet 88% felt they had enough coverage. Thirty-eight per cent stated that their debt load is lower this year than last, and while 86% said they will be debt-free some time, less than half expect that to happen in the next three years. The survey was commissioned by Primerica Financial Services-Canada.