TD Bank survey reveals financial instability among students, with many relying on parental support
A survey conducted by TD Bank Group highlights the financial difficulties faced by many Canadian students and their parents in funding post-secondary education.
According to the survey, 65 percent of students consider themselves financially unstable, with nearly half (45 percent) struggling to meet basic needs like food and housing.
Over a third (37 percent) of students regularly compare their financial situation to others, and 28 percent feel inadequate compared to those who appear more financially secure.
Although 64 percent of students have some form of a budget to manage their monthly expenses, less than half (41 percent) can stick to it consistently.
The survey also reveals that 61 percent of students wish they knew more about budgeting and financial planning strategies, while 46 percent want to learn more about savings and investment options, including RRSPs and GICs.
Interestingly, 20 percent of students now rely on social media platforms like TikTok, Instagram, and YouTube as their primary sources of financial advice.
Emily Ross, VP of Everyday Advice Journey at TD, noted that many students desire better financial management skills, which is an encouraging sign. However, she cautioned against relying on unvetted financial advice from social media, emphasizing the importance of tailored financial guidance.
From the perspective of parents, the survey indicates that 94 percent of parents of post-secondary students provide financial support, with 58 percent offering significant assistance. However, 87 percent of parents believe their children need to improve their budgeting skills.
Key areas identified for improvement include developing better spending habits (60 percent), enhancing financial literacy (42 percent), reducing reliance on parental support (37 percent), and using financial apps to track budgets (27 percent).
Ross also commented on the parents’ concerns, stating that TD understands the financial pressures associated with post-secondary education and offers solutions to help ease this burden.
TD’s resources include the TD Student Budget Calculator, which helps students manage their finances by tracking income and expenses, and TD MySpend, an app that helps users control savings and spending by monitoring cash flow and setting savings goals.
Additionally, the TD Student Advice Hub offers financial literacy tools and advice to guide students through their financial journey during and after their studies.
