This BusinessInsider article might be a useful activity to try in your classroom for a few weeks or even a month. Challenge your students with debit and/or credit cards to put them away and only use cash for a period of time. Probably best for them to estimate their weekly expenses and then take out that amount at the beginning of the week. While they spend, they should also be sure to collect receipts so they can track their spending. The research is well documented that we spend less when use cash instead of plastic. Continue reading
Good video to incorporate in your lesson regarding payment types. In this three minute video, an industry expert reviews smart credit cards on CBS News while also providing a vision for the future of digital payments.
Key terms that come up in the video that students should be ready to define: Continue reading
During our last six week course with seniors at Eastside College Prep., it struck me that many students’ first experience with the financial services world was not a bank account but rather a prepaid debit card. This article from AdAge brought this trend to the surface again:
One-third of millennials either currently use or have used a reloadable prepaid card in the past two to three years compared with one-quarter of the general population, according to the study. And 60% of millennials would consider using one…Prepaid cards, which are also used by parents to teach their children financial responsibility, allow issuers to connect with teens early on, whether they stick with prepaid, like their millennial siblings, or move on to credit or debit card products. “We are seeing it as not only an entry to staying with prepaid, but also as a door that opens to traditional banking products,” said Mr. Chang.
The assignment for students: decide whether a checking account or a prepaid debit card are a better fit given their financial behaviors. Continue reading