connecting students to money management education webinar
TRANSCRIPT
Connecting Students to Money
Management EducationApril 14, 2016
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Completion Crisis!
More than a quarter of those who start college drop out
with no credential.
No credential + lower earnings + student loan debt =
– > financial stress
– > student loan defaults
Dynarski, Susan. “How to Help More College Students Graduate.” The New York Times Feb. 19, 2016
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Why Is Money Management Education Needed?
Average Class of 2015 graduate
will have to pay back more than
$35,000 in student loans.*
Almost 71% of bachelor’s degree
recipients will graduate with a
student loan.*
Overall, $1.2 trillion in outstanding
student loan debt, 40 million
borrowers, average balance of
$29,000.**
*Sparshott, Jeffrey. “Congratulations, Class of 2015. You’re the Most Indebted Ever (For Now).” The Wall Street Journal May 8, 2015.**Holland, Kelley. “The High Economic and Social Costs of Student Loan Debt.” CNBC June 15, 2015. Web. Accessed April 5, 2016.
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Why Is Money Management Education Needed?
Students have a strong desire to finish their education.
Attrition peaks between term two and term three.
Less than half of students have the financial resources
to complete their education.
Almost 30% report that financial issues interfere with
their studies.
Ruffalo Noel Levitz (2016) 2016 national freshman motivation to complete college report. Cedar Rapids, Iowa: Ruffalo Noel Levitz. Retrieve from www.ruffaloNL.com/Motivation .
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Connect Students to Money Management Education
Money management education is a
retention tool.
Involve your students in the process.
Once is not enough.
Assessment is key.
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Connect Students to Money Management Education
Students often don’t know how to manage their
academic life, so we help them.
Students also don’t have the financial knowledge to
make the most of their investment in higher education.
Finances are usually the primary reason cited for
dropping or stopping out of school.
Generally, schools think of financial literacy as a default
prevention tool.
We need to start thinking of money management
education as a retention tool.
Money management education is a
retention tool.
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Once is not enough.
To download a copy of Brown’s dissertation visit http://disexpress.umi.com/dxweb and specify UMI Number: 3372749
Connect Students to Money Management Education
Dr. Kim Brown: repeated exposure to financial literacy
topics over time causes positive changes in behavior.
Think about what behaviors would be useful to your
students and when education about those behaviors
would be most relevant.
Do not forget about the needs of your students’ families
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Ask students what they need to know and how they
would like to learn it.
Approach it from their perspective.
Identify the points in the student career where money
management education would make sense and develop
programming specifically for those occasions.
The use of peer mentors has proven effective for many
schools.
– Truckee Meadows Community College
– Valencia College
Involve your students in the process.
Connect Students to Money Management Education
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Keep it simple:
– Participation.
– Perception.
– Outcomes.
– Results.
Assessment is key.
Connect Students to Money Management Education
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Money management education is a
retention tool.
Involve your students in the process.
Once is not enough.
Assessment is key.
Connect Students to Money Management Education
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Evolution of USA Funds Life Skills - Past
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Evolution of USA Funds Life Skills - Present
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Evolution of USA Funds Life Skills - Future
Let’s change the dynamic together.
– No longer – “How can we make them consume this
information?”
– Moving to – “How can we make them want to consume this
information?
A new approach.
– A student-centric user experience that provides relevant
education and resources to students when they are making key
decisions and in a format that is engaging and interactive.
Your voice matters. And so do the voices of your
students.
– That’s why USA Funds is turning to those that matter most to
inform the development of our new tools and solutions.
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Join the Conversation - #NSCFW16
The 2016 National Summit on Collegiate Financial
Wellness (NSCFW) connects professionals who value
student financial wellness and want to move this
emerging field forward.
Join George and Sara during their session: Using the
Power of Stories to Boost Your Financial Literacy Efforts.
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Contact Information
George R. Covino– Email: [email protected]
– LinkedIn: https://www.linkedin.com/in/georgercovino
– Twitter: @GeorgeRCovino
Sara Wilson– Email: [email protected]
Default Prevention Forum– http://defaultpreventionforum.org/
A nonprofit corporation, USA Funds® works to enhance
postsecondary education preparedness, access and success
by providing and supporting financial and other valued services.