Relationship to Building
Family financial capability is an important family strength. In order to teach children how to be responsible consumers, parents need to have a good understanding of how to create and follow spending plans, how to avoid predatory lending and how to incorporate lessons about finances into family time. As children age, it is important they have a basic understanding of how finances work so they can begin their young adulthood on strong financial footing.
Families need to communicate with each other, work together, have a commitment to family goals and spending plans, and help each other get through challenging times.
Brief program description
Adults, youth and children are bombarded with media and marketing information every day. Although estimates vary, the average American can be exposed to roughly 600 ads per day (n.a., 2007). It can be difficult for people to make sense of the information and make good decisions for their families. Sometimes people do not get what they thought they were buying.
In addition to making sense of the ads and companies themselves, people now also have to worry about the sharing of information. In 2005, 8.3 million Americans suffered $15.6 billion in losses from identity theft. Types of identity theft include credit card, checking and savings, telephone service, Internet payment accounts, email and other Internet accounts, and medical insurance (Federal Trade Commission [FTC], 2007).
People purchase products in stores, through the mail, over the phone and in a variety of ways on the Internet (e.g., email, direct ordering, auction and classified sites). Furthermore, the dependence on “plastic” has continued to rise, with Americans now using credit and debit cards more than cash or checks (debit cards are the main purchasing tool; Amromin & Chakravorti, 2007; Goodman, 2008; Seidel, 2009).
In today’s world of technology, the transfer of personal information is astounding. Although most consumers’ product/purchase options have expanded and transactions have been made easier, consumer-related technological advancements bring additional risks (Holt & MacManus, 2008). This module helps families plan for these risks and set a plan in place to protect themselves.
Goals and objectives
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