Foster Teens Learn Financial Facts
A dozen teenagers gathered their swivel chairs around a conference table on a recent afternoon and talked about the credit crisis, or more specifically, how to avoid one of their own.
After agreeing that too much debt could lead to a life of deprivation and dog food, they practiced reading the fine print on credit card bills. Conversant in the language of truth-in-lending disclosure statements, they evaluated an assortment of “Super Preferred!!” credit card offers and decided which would be the best, or the least bad, given a tangle of variable interest rates and fees.
Many young adults get little or no financial education and make mistakes, learning lessons the hard way. This class is meant to make money matters a little easier for some teenagers who, as foster children, have already experienced their share of hard lessons.
In addition to lessons on credit, banking and budgeting, the Thursday class gets some lifelike practice. Each student has a class job, and they take on the roles of clerks, police officers, audiovisual specialists, bankers and janitors. The first Thursday of the month is payday. On the same day, rent is due.
Another student said the lessons have been helpful. She will turn 18 soon and looks forward to living on her own and going to college to study cooking and business management.
But she knows she has much to learn. She has never written a check and doesn’t have a savings account.
Tags: class job, clerks, conversant, credit card bills, credit card offers, credit crisis, disclosure statements, dog food, financial education, first thursday, going to college, janitors, many young adults, money matters, police officers, preferred credit card, swivel chairs, tangle, truth in lending disclosure, variable interest rates
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