Many Latinos living in the U.S. suffered through acute economic upheaval in their countries of origin. Our troubled experiences influence our financial behavior and our economic outlook. It’s like we have financial PTSD.
Our instinctive reaction is to save money in places that feel safe — under the mattress or, at best, in a checking or savings account — rather than investing it to build wealth. Far too many Latinos grew up with parents who did this because they had no trust in banks.
We know firsthand how life-altering experiences can lead to financial trauma. During our childhoods, one of us lived in Mexico and the other in the Dominican Republic. When the economies in our home countries toppled without warning, we witnessed our families lose their savings within hours.
