Financial Literacy for Community Development

The number of students willing to stretch themselves financially to pay for college is at its highest level in five years. New data shows 11% of student loans were 90 days or more past due in the third quarter, up from 8.9% in the previous quarter according to the Federal Reserve Bank of New York. 91% of undergraduates have at least one credit card. 7.2% of students drop out of college due to debt and/or financial pressures. It’s a red flag and a warning sign that more Americans are struggling to repay their student loans and credit card debt. The truth of the matter is that things are bad, really bad, and they’re only going to get worse.

With collaborative approaches, the Center for Community Learning and Leadership at SJSU along with financial bank institution partners provided students and staff with eye opening personal money management knowledge and education on managing personal budgets for both school and post college life. We hosted our Financial Education Week- February 18th-21stwith various informative workshops that include certain incentives to help promote and draw an audience.

The Financial Literacy program was spearheaded by the Center for Community Learning & Leadership and spurred by a Sociology course. In 2008 when the great recession began, Michael Fallon, Co-Director of Community Center of Leadership & Learning, taught Socio 120, a contemporary issues class that had a unit on financial literacy, and realized at that time most students didn’t know anything about what money management was all about, so the center started focusing on financial literacy for students about 3 years ago. Fall 2012 semester the center, along with additional support from Aspire/Mcnair, Bursar, Economics, EOP, and Financial Aid, hosted a series of 40 workshops throughout the semester, covering various topics of which half of the seminars needed to be cancel because of the serious lack of attendance. Despite our efforts, our Money Management Workshops were reeling in 4 to 6 students’ max and sometimes no attendance at all. As much benefit these workshops are for students, as a committee, we decided to direct and focus all our efforts to one main financial education week this semester for students to attend, rather than overwhelming them with 40 workshops; there was an information overload when looking at Fall 2012 Workshop Series. The problem is students didn’t understand the need, benefits, importance, and incentive the workshops had for them.

Agenda of Events & Workshops

10:00 a.m.  Welcome (Introducing Sponsors)

10:30 a.m.Workshop #1: Choose one from the following three workshops

  1. Break Money Smart/ FDIC

Location: Martin Luther King Library 255

  1. Tax Rules, Breaks, and Cautions for the Emerging Entrepreneur/ Sampada Deshmukh, SJSU MST- A basic understanding of federal and California tax rules relevant to business owners will save new entrepreneurs a lot of heartache and help make sure they are following all tax rules from the start. This workshop covers the basics of tax rules a new and emerging small business should be aware of including start-up costs, choice of entity, home office and other deductions.

Location: Clark Hall 100H 

  1. Budgeting Basics / Prof. R. Okumoto, SJSU BUS12- This workshop will address the basic questions of what is a budget and where to start one. A budget template will also be provided that can be used by anyone.

Location: Clark Hall 412

11:45 a.m.    Break

12:00pmWorkshop #2:Choose one from the following three workshops

  1. Hands on Banking/ Wells Fargo Bank

Location: Martin Luther King Library 255

  1. Earn Funds for Your College Education / Opportunity Fund- Do you need help paying for college? Learn how to manage your personal finances while you earn matched funds of up to $4,000. For every $1 you save, earn $2 – up to $4,000! (To be eligible you need to: 1. Earn less than $44,100 per year for a family of four, or $21,660 for a family of one. 2. Have an earned source of income/ a steady job.)

Location: Clark Hall 100H

  1. Earn Basics of Personal Finance/ Tech Credit Union-This workshop will cover the basics of budgeting, saving and debt management.

Location: Clark Hall 226

1:30 p.m. Workshop #3:Choose one from the following three workshops

  1. How much do I Owe? The ABCs of Tax/ Sujin Pradhan, SJSU MST- This workshop answers the important questions you might have (and should have) about taxes. What do you owe? How do you pay your taxes? When? Why?
Location: Martin Luther King Library 255
  1. Business Banking, The Next Generation/ Bridge Bank-This workshop will provide a better understand what Bankers look for, the 5 C’s of Credit, communicating, negotiating with your banker, and the intangibles of banking.
Location: Clark Hall 100H
  1. Finances 101/ Jim Dale - From basic banking to getting an affordable auto loan, Finance 101 will make sure that understand the fundamental concepts that are needed to successfully manage credit and you overall personal financial situation.
Location: Clark Hall 225

3:00 p.mWorkshop #4:Choose one from the following three workshops

  1. No Credit, No Problems?A guide to understanding credit reports and credit scores/ / Meriwest Credit Union-  In this session we will review the top ten credit management issues. In addition, we will also discuss the components of a credit score and the role each component plays in creating your credit score. Finally, we will review how to access our credit reports for free and how to review the data on those reports.
Location: Martin Luther King Library 255
  1. Financial Aid @ SJSU / SJSU Financial Aid Office- This workshop will discuss the steps to applying for financial aid in SJSU.
Location: Clark Hall 100H
  1. Your Credit Report / Jim Dale- With hundreds of websites and services claiming to offer your credit solution, Your Credit Report will teach you how to access your credit report for free, how to read the details and where to get a genuinely free credit score.
Location: Clark Hall 225

Financial Education: