Financial education and Gen Z: the role of banks
Thursday 27 November 2025
As the financial landscape grows more complex, financial education has become essential for the economic well-being of younger generations, particularly Generation Z. With evolving technologies, new financial products, and shifting economic conditions, many young people are navigating unfamiliar territory without a solid foundation of financial knowledge.
Banks, as central pillars of the financial system, have a vital responsibility and opportunity to help close this knowledge gap. By providing accessible and relevant financial education, they can support the next generation in making informed, confident financial decisions.
In this article, we’ll examine:
- Why financial literacy is more important than ever for Gen Z
- The key challenges and opportunities banks face in engaging younger audiences
- How UniCredit is contributing to a more financially informed future
The importance of financial education for Generation Z
Born between 1997 and 2012, Generation Z represents a new wave of consumers with distinct habits, values, and expectations. Having grown up in a digital-first world shaped by smartphones, social media, and instant access to information, Gen Z is exceptionally tech-savvy. Yet, this digital fluency doesn't always equate to financial confidence or a strong grasp of money management.
Unlike Millennials, who witnessed the shift from analog to digital, Gen Z has only ever known a fully connected environment. From a young age, they’ve engaged with digital financial tools like mobile banking apps, contactless payments, and even cryptocurrencies. Despite this exposure, many still lack a solid foundation in financial literacy and an understanding of the long-term impact of their financial decisions.
Recent studies show that only a small proportion of Gen Z young adults feel confident in managing their personal finances. This lack of knowledge can lead to risky financial behaviors, including overuse of credit cards, growing debt, and insufficient long-term savings.
Providing financial education is essential to help young people build a solid understanding of core concepts such as budgeting, investing, and risk management. Without these skills, Gen Z may find themselves unprepared to navigate future economic uncertainty and make informed financial decisions.
Banks today are more than just financial service providers - they are influential social actors with the power to drive meaningful change. Investing in financial education for Generation Z is not only a demonstration of social responsibility, but also a forward-looking strategy to build trust and cultivate long-term relationships with the customers of tomorrow.
Financially informed young people are more likely to make thoughtful, responsible banking decisions, which in turn fosters stronger loyalty and engagement. At the same time, improved financial literacy can help reduce the likelihood of loan defaults and promote more sustainable management of both personal and broader economic resources.
While the opportunity to support Generation Z is significant, banks also face several key challenges in reaching and engaging this digitally native audience:
- Communicating effectively: Gen Z is used to fast, visual, and interactive content. Traditional messaging often falls flat, requiring banks to adopt more dynamic and innovative communication strategies.
- Overcoming skepticism: Many young people view financial institutions as impersonal or lacking in transparency. Building trust requires a shift toward greater openness, authenticity, and responsiveness.
- Adapting technology: To meet expectations, banks must offer digital experiences that are seamless, user-friendly, and accessible across platforms.
To address these challenges and better support Generation Z, banks can implement a range of targeted strategies:
- Developing educational content: Offering webinars, video tutorials, and easy-to-digest articles that break down financial concepts in a relatable and engaging way.
- Partnering with educational institutions: Collaborating with schools and universities to embed financial literacy into the curriculum, helping young people build essential life skills from an early age.
- Creating interactive digital tools: Designing user-friendly apps that enable Gen Z to monitor their spending, set savings goals, and build healthier financial habits.
UniCredit’s role: innovation and social initiatives
UniCredit plays a leading role in advancing financial education among younger generations. Through initiatives like Start Lab, the bank supports young entrepreneurs by providing training, mentoring, and access to financial resources to help turn their business ideas into reality.
In parallel, the Road to Social Change program focuses on empowering local communities and promoting financial awareness, with dedicated educational initiatives aimed at improving the financial skills of young people and families.
UniCredit has also launched a series of financial literacy campaigns tailored to high school and university students. These include interactive workshops and customized learning materials designed to build confidence in managing personal finances and encourage responsible financial planning for the future.
Through these tangible efforts, UniCredit reaffirms its commitment to supporting the economic and social development of the next generation.
- Why is Financial Education Important for Gen Z?
Financial education is essential to help young people manage their finances consciously, avoiding mistakes that could jeopardize their economic future.
- How Can Banks Support Young People in Managing Their Finances?
Banks can provide educational tools, interactive apps, and mentoring programs to offer both practical and theoretical skills in financial literacy.