A program sponsored by the American Bankers Association Education Foundation is to teach children to save.
"The value of saving and budgeting is an important lesson for every generation, and it is an essential lesson if one is to take full advantage of the wonderful economic opportunities of this country," said U.S. Treasury Secretary John Snow. "Learning about how to become, and stay, financially healthy is a life-long pursuit, and one that you're never to young to begin. I'm pleased to be sharing the 10th annual National Teach Children to Save Day with this class of young Americans. This nationally-recognized day gives us all a great opportunity, every year, to help young people realize that beginning to plan and save today, can mean great things tomorrow."
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On NTCSD, bankers across the country make financial education presentations to students in kindergarten through 12th grade. Presentations include games and activities about saving, how interest makes money grow, how to budget and prioritizing needs and wants. Since NTCSD began in 1997, thousands of bankers have made more than 39,000 presentations to nearly 1.5 million students.
"For many kids, the only thing they know about money is how to spend it," said Susan Cole, director of the ABAEF. "By making classroom presentations on budgeting, savings and the value of compound interest, bank employees are attempting to turn the tide and create a generation of savers."
Cole cited several statistics that prove the need for financial education:
"Tweens" - children between ages 9 and 12 - spend $19.1 billion per year, according to Harris Interactive, and teenagers spent $159 billion last year, according to Teen Research Unlimited.
More than 50 percent of 12th graders received a failing grade on a test of basic personal finance administered by the Jump$tart Coalition.
Fifty percent of kids said they had never been taught about money by their parents, and one in two said they received no training on the facts of money in school, according to the KidSense Money Survey.
With fewer than 10 states requiring a personal finance course for high school graduation, Cole said bankers and parents need to fill the gap.
"We spend a lot of resources in this country teaching kids to make money, but not enough teaching them how to save money," said Cole. "The goal of Teach Children to Save Day is to help create a generation of well-informed consumers who know how to manage money."
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