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Financial Education

The growing complexity of financial products and services has made it increasingly difficult for most people to understand such products. Individuals with few financial resources or experience with financial institutions are more likely to be uneducated about such products, and lack the money to pay for financial advice and avoid predatory financial products.

Asset building coalitions can play a critical role in advocating for policies and programs that expand access to financial education and provide the tools necessary to make sound financial decisions.  For example, some states have required personal finance to be integrated into high school curricula and included in standardized testing. Similarly, some states and local governments have taken steps to help public assistance recipients receive financial education. In addition, Children's Savings Accounts and Individual Development Account programs also promote financial education for low to moderate income individuals.

Resources:

"The Culture of Money: The Impact of Race, Ethnicity and Color on the Implementation of Asset-Building Strategies" (2006)

Description: This article gives examples of models of financial education that take into account racial history and context of target groups.
Author Name: Orson Watson (prepared for the Annie E. Casey Foundation)
Organization Type: Foundation

"The Culture of Money: The Impact of Race, Ethnicity and Color on the Implementation of Asset-Building Strategies" (2006)

From Financial Education to Financial Capability: Opportunities for Innovation

Description: As the economy rebounds, one solution for financial success lies in consumers ability to take responsibility for their finances through behavior changes as well as increased financial knowledge. CFSI proposes, in a new research paper from CFSI sponsored by the Citi Foundation, that financial capability become the focus in moving towards a new financial landscape. Whereas financial education is a set of provider outputs, financial capability is a set of consumer outcomes. The implications of this research are far-reaching. Becoming financially capable is a critical step toward establishing financial security and bringing America back to prosperity.
Author Name: Center for Financial Services Innovation
Organization Type: Nonprofit

Financial_Capability.pdf

Evaluating Your Financial Literacy Program: A Practical Guide (2002)

Description: This document is a guide targeted to a wide range of financial literacy providers that would like to know how effective their programs are but need a format with which to evaluate them. It can be used to help organizations discover what works best for their customers.
Author Name: Woodstock Institute
Organization Type: National Intermediary

Evaluating Your Financial Literacy Program A Practical Guide

Take Financial Education Beyond 101

Description: According to a recent survey, nearly two-thirds of American’s said they did not use a budget to guide their spending, a third reported having no emergency savings, and 26% admitted not paying all their bills on time. Many efforts to educate Americans about these issues have been enacted over the past two decades, yet there is little evidence that these efforts have succeeded in combating the overall lack of financial responsibility. In this month’s American Banker article, CFSI Director Jennifer Tescher suggests that the answer to the financial problems facing many Americans lies in embracing a broad framework of financial capability, which in addition to financial knowledge emphasizes the proper steps to take in order to become financially successful.
Author Name: Jennifer Teacher, Center for Financial Services Innovation
Organization Type: Nonprofit

finanical education beyond 101.pdf

"Analyzing the Relationship between Account Ownership and Financial Education" (September 2007)

Description: This paper presents a review of programs across the country that combine account ownership with financial education to analyze their relationship and the impact that each component has on the other to inform financial service and education policies for lower-income individuals and families.
Author Name: Christi Baker and Doug Dylla (Prepared for thew New America Foundation)
Organization Type: National Intermediary

"Analyzing the Relationship between Account Ownership and Financial Education" (September 2007)

"Financial Education in the Workplace: Motivations, Methods, and Barriers" (November 2008)

Description: This overview looks at methods of delivering workplace financial education, including print media, workshops and seminars, Internet and intranet instructional programs, and counseling offered through employee assistance plans.
Author Name: Lewis Mandell (Prepared for the New America Foundation)
Organization Type: National Intermediary

"Financial Education in the Workplace: Motivations, Methods, and Barriers" (November 2008)

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