University Business - October 2011 - (Page 51)

and sense By Kristen Domonell ix years ago, when Ted Beck Became president and ceo of the national endowment for Financial education (neFe), a nonprofit dedicated to helping americans become more financially capable, student financial literacy had been overlooked by colleges and universities for a number of years. “when i would talk to university presidents, parent groups, and students, they all thought [financial literacy] was a very important skill, but it was lacking in the college setting,” recalls Beck. now more than ever, financial literacy is crucial. record unemployment levels mixed with an unprecedented amount of student loan debt could be a recipe for disaster for recent college graduates if they don’t know how to manage their money. in fact, college seniors who graduated in 2009 carried an average of $24,000 in student loan debt, up six percent from the previous year—and the unemployment rate for that group rose from 5.8 percent in 2008 to 8.7 percent in 2009, the highest annual rate on record, according to a report by the research and policy group Project on student debt. in the same year, seniors graduated with an average credit card debt of more than $4,100, according to sallie mae’s national study of Usage rates and Trends focusing on credit cards. “in the current economic climate, recent college graduates who borrowed for their education face unique challenges in paying back their student loans,” the Project on student debt report states. Flash forward two years to 2010 and the forecast is equally grim. so what does this mean for college and university administrators? implementing some sort of financial literacy program on campus is key for the future success of students as they graduate and advance into careers. Following are five tried-and-true tips for getting started. Tips for implementing financial literacy programs on campus S 1. Develop a solid base of helpful web content. it goes without saying that the easiest way to reach today’s student is via the web. That’s why it’s important to have financial literacy materials that students can return to again and again available online, either through your institution’s website or through a partnership with an outside site. “we think that repetition is the most important thing,” says With a number of customizable financial literacy programs out there, including CashCourse from the National Endowment for Financial Education, institutions need not start from scratch. rob LaBreche, ceo of igrad, a company that provides online content for 40 client institutions. “schools can give financial literacy lip service and just go through the motions, but if they find a solution that includes a reason to come back, that’s where real learning starts.” The igrad site gives students at partner institutions access to a customizable online community where they can access October 2011 | 51 universitybusiness.com http://www.universitybusiness.com

Table of Contents for the Digital Edition of University Business - October 2011

University Business - October 2011
Contents
Editor's Note
College Index
Ad Index
Behind the News
Sense of Place
Viewpoint
Human Resources
Cloud Email
Tuition Setting
Campus CFO
Independent Outlook
End Note

University Business - October 2011