After Release: A Qualitative Investigation into the Financial Lives of Previously Incarcerated Individuals

Barriers to Banking: A Mixed‐Methods Investigation of Previously Incarcerated Individuals' Banking Perceptions and Financial Knowledge

“…Spouses, parents, grandparents, and other influential persons were cited as reasons for taking a particular action, such as opening a bank account or starting to save. Such narratives support the notion that relationships or financial mentors matter for financial experiential learning (Mielitz et al 2018a). Building upon Huston's (2010) framework for financial literacy, our findings support the idea that financial literacy is a symbiotic and ongoing relationship between knowledge and behavior, which makes literacy continuous.…”

“…Distrust is among the reasons individuals identify for not using traditional banking services (FDIC , ). Likewise, Mielitz et al's () qualitative investigation of banking perceptions of the post‐incarcerated found that attitudes toward banks and banking services were mixed for the post‐incarcerated, influencing the decision of whether or not the formerly incarcerated person chose to participate in the mainstream banking system. Their findings showed that having a positive view of banks and banking was often influenced through a financial “mentor.”…”

“…For previously incarcerated individuals, transitioning back into the mainstream can be a frightening and difficult process, especially when they are not equipped with the necessary knowledge and skills to help them adapt (Mielitz et al ; Pager ). Financial literacy is one area of research that has shown most Americans have low financial knowledge and capability, with research reporting that most of the population does not possess a passing grade for financial knowledge (Fernandes, Lynch Jr., and Netemeyer ; Lusardi and Mitchell ; Lusardi, Mitchell, and Curto ).…”

A Consideration for Increasing Post-Release Financial Success

“…Lived financial experiences of recently released Transitional Center residents supports the need for financial education as part of correctional programming. In their qualitative investigation, Mielitz et al (2018b) identified financial confusion as one of the barriers to positive financial change after release. Other barriers included a lack of self-confidence in financial matters as well as feelings of being overwhelmed.…”

“…Correctional programming that addresses financial literacy may decrease confusion as well as issues of financial self-confidence and being overwhelmed in financial situations. Incarceration and financial literacy in reentry are directly connected by way of employment and the impact employment has on recidivism (Mielitz et al 2018b). The financial literacy of people reentering society is of particular importance because if one generates an income, but experiences barriers to banking, low financial self-efficacy, and/or struggles with financial autonomy, one may have difficulties making decisions that enable them to stay on course financially (Mielitz et al 2018b(Mielitz et al , 2019.…”