Monthly Archives: February 2017

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How Is The New FAFSA Timetable Impacting College Offers?

I was wondering about this question. so was happy to see this article in the WSJ last week (subscription). Our post last September described two of the major changes to the FAFSA. First, families could now complete the FAFSA starting October 1st (previous deadline was January 1st). Secondly, the financial information provided on the FAFSA now will come from prior prior (not a typo) year’s tax return. Let me explain. Those families completing the FAFSA in October 2016 for the 2017-18 school year, data from their 2015 tax year would be used.

The most dramatic impact is that students should expect to receive offer letters from colleges SOONER with about 50% of colleges expecting to send their need-based offers sooner. Here’s the data:

Snapchat Is Going Public. Would You Buy Their IPO?

First an admission. I have never used Snapchat. Despite that, I thought their upcoming IPO would be a good hook to get students interested in how the stock market works. Before diving into the specifics of Snapchat (actually it is their parent company, SNAP, who is going public), here’s a good video from Wall Street Survivor that explains what an IPO is:

Questions:

NGPF Podcast: Tim Talks to FinLit Mover and Shaker Brett Burkey

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He’s written personal finance workbooks, successfully lobbied Florida legislators, trained hundreds of teachers and taught thousands of students in his career. Oh, he also was a pioneer in bringing a blended learning model into his classroom. Who’s “he”? That would be educator Brett Burkey who took time to appear on the NGPF podcast to share insights from his incredible career. From the statehouse to the classroom, Brett describes how he was able to engage his audience to bring about change. Enjoy!
Details: 

Happy Birthday Dad!

I often get the question “Why did you start Next Gen Personal Finance?” It usually comes after I describe an eclectic career which has found me driving shredding trucks, analyzing executive compensation packages and making investment decisions at a mutual fund company. To answer the question, you have to start with the man who would have celebrated his 88th birthday yesterday. He was raised during the Depression and forced to the countryside when the Nazis bombed his home city of London during the Battle of Britain. He didn’t talk much about his childhood yet it was easy to see how these events were seared into his psyche and explained his frugal nature. 

By |February 21st, 2017|Savings|

Implementing “COMPARE: Making Credit Decisions” Amanda Volz-style

NGPF Fellow Amanda Volz took a fairly basic activity from our bank — COMPARE: Making Credit Decisions — and made it her own. Now, she’s sharing the strategy, guaranteed to liven up your classroom, with you. As an added bonus, the activity she’s referring to is now available in Spanish, too, so some of your English Language Learners can participate fully in this discussion-based fun. Read on for Amanda’s guest blog post…

By |February 20th, 2017|Activity, Credit Cards, Lesson Idea, NGPF Fellows|

Video Resources: Avoid Those Checking Account Fees

It’s often the first financial product that a young person will use. Maybe they start with a savings account but eventually they graduate and pair their savings account with a checking account. In that process of setting up this new account, the customer will be asked (or they should be) whether they would like “overdraft protection.” The term sounds innocuous and better yet lures them in after all who doesn’t want to be protected. Have your students watch one or more of these videos (hat tip to NGPF’s Jessica for curating these videos from December 2016) and odds are they will choose to “just say no” when it comes to overdraft protection.

This Pew Charitable Trust video from December 2015 interviews people “on the street” to get their thoughts on overdraft fees and policies. Also highlights the blind spots that consumers have when it comes to the “fine print” of checking account agreements. A great overview and only 3 minutes long! Pair this video with the NGPF Fine Print: Reading the Fine Print of Your Checking Account and you will have savvy students when it comes to checking fees!

Key questions for your students:

By |February 20th, 2017|Checking Accounts, Debit Cards, Research, Video Resource|

Question: How Much Does Bad Credit Cost You With Auto Insurance?

Answer (from Consumer Reports): $2,090

A two-car couple with poor credit will pay an extra $2,090, on average, compared to a family with excellent credit. That’s more than what it usually costs to add a teen driver or even the penalty for having two DWIs.

Many people are surprised to discover the various ways that credit scores are used to gauge an individual’s trustworthiness (note that I didn’t say creditworthiness). Now, here’s some evidence that auto insurance companies price risk using credit scores and that a low credit score can really cost you.

I actually just had a insurer who provides homeowner’s insurance ask me for my credit score since they thought they could get me a lower premium. When I sent them my score, I was surprised to see a 30% reduction in my premium. Yay! Another reason to manage your credit well!

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Want to give your students experience reading a credit report? Here’s our Fine Print on Credit Reports.

 

By |February 16th, 2017|Uncategorized|

Schools in the News

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  • Altoona teacher awarded for her work with personal finance (Leader Telegram)

An Altoona High School teacher won a statewide award Thursday for her work as a personal finance instructor and involvement in a financial literacy program for high school students. Kelly Ostrander, in her 27th year at Altoona High School, received the 2016 Financial Literacy Award in the legacy category. 

  • What high school freshmen are learning could save you thousands of dollars (WBAY)

It’s easier than ever to find your credit score–an important number that could save you thousands of dollars over time. That’s why high school freshmen in Ashwaubenon are learning a lesson about building good credit as a requirement for graduation. Students in Mr. Lotto’s Career and Financial Planning Class live and work in a virtual world via an online personal finance program.

Pelham High School’s freshman class got a taste of what it’s like to be an adult on Friday, Feb. 10, during Keeping it Real, a program created by the Greater Shelby County Chamber of

By |February 15th, 2017|Schools In News|