3 Ways Credit Unions Celebrate Young Members
Every year in April, credit unions celebrate National Credit Union Youth Month. This month serves to encourage kids to develop healthy saving habits by making savings fun and exciting. Although the month is over, credit unions work year-round to engage with young members and help them learn about finances.
Hear from credit unions about how they’re educating and engaging with younger demographics.
1. Personal Finance 101
According to an ING Direct study, an overwhelming majority of teens – 87% – admit they don’t know much about personal finance. The study shows that 35% of teens want to learn how to save, and 28% know that managing a budget is important and want to learn the required skills.
Enter: credit unions.
Cobalt Credit Union in Papillion, Nebraska, details a 5-step plan to teach kids about budgeting, earning, and saving. The sooner you start teaching kids about budgeting, earning, and saving, the better. As a guideline, however, the credit union suggests, “when kids begin to grasp the basic concept that money is exchanged for goods and services, it’s wise to also start teaching them about the importance of saving.”
Here is Cobalt Credit Union’s simple 5-step plan:
- Start with a piggy bank
- Progress to a savings account
- Establish savings goals
- Look at youth-oriented accounts
- Continue the education
Another credit union, Farmers Insurance Group Federal Credit Union in Burbank, California, hosted a webinar to teach teens how to create, and maintain, a budget based on their needs.
Credit unions are your child’s financial ally.
2. Youth Savings Accounts
For parents who want to teach their kids about money and finances, one of the best places to start is to help your child open a savings account. Many credit unions offer special savings accounts for kids that can be opened under the child’s name. Opening a kids’ savings account can help your child learn more about managing money, saving for the future, and other aspects of personal finance.
TTCU Federal Credit Union in Tulsa, Oklahoma, offers the TTCU Kids’ Savings Club for children under the age of 12. The goal of this club is to help children start their financial futures on the right path by introducing them to the fundamentals of saving and money management at an early age. The club boasts an incentive structure for kids who make a deposit into their savings accounts, regardless of the size of the deposit.
Unity Catholic Federal Credit Union in Parma, Ohio has a similar program for school-age children through the eighth grade. The program, Student Savers, encourages younger members to save by having their own savings accounts. Nearly 1,000 local youth are involved in the Student Savers program, each developing good saving habits by having their own savings account and making regular deposits. Students are offered incentives and surprises for making regular deposits.
Credit unions have your entire family’s back – even your children. Get started by opening a savings account for your kids today!
3. Youth Programs
Another way credit unions celebrate young members is through various youth programs. Co-Op Credit Union in Black River Falls, Wisconsin, hosts CCU Kids CAFÉ, a program for youth, ages 17 and under, that teaches the value and benefits of saving, community involvement, education, and fitness. Children and teens are encouraged to participate in tasks in 4 different categories – each category making up a letter of the word CAFÉ.
- Community Involvement
- Active Lifestyle
- Financial Wellness
- Educational Enrichment
When a task is complete, children receive stamps on their program passports from CCU employees. A completed passport earns a prize.
Credit unions want to help your children get involved and give back. Contact your local credit union to set up an account.