Financial Literacy for All Ages: Building a Strong Foundation

Home Blog Financial Literacy for All Ages: Building a Strong Foundation

Posted On: July 1, 2024 by Peoples Bank of Kankakee County in: Personal Finances

In today's fast-paced world, financial literacy is more important than ever! Understanding how to manage money, save, invest, and plan for the future is essential for financial well-being. At Peoples Bank, we believe in empowering individuals at every stage of life with the knowledge and tools needed to make informed financial decisions.

Below we explore financial literacy for different age groups and highlight how Peoples Bank supports financial education in the community!

The Importance of Financial Literacy

Financial literacy is the ability to understand and use various financial skills, including personal financial management, budgeting, and investing. It forms the foundation for effective financial decision-making and is crucial for achieving financial stability and success. By promoting financial literacy, we aim to help individuals make smarter financial choices, avoid common pitfalls, and build a secure financial future.

Financial Education for All Ages

1. Teaching Kids About Money and Saving

It's never too early to start teaching kids about money. Early financial education can help children develop healthy money habits that will last a lifetime.

Introduction to Money: Teach kids about different denominations of money and their values.
Saving Basics: Encourage saving by using a piggy bank or a savings account.
Budgeting: Explain the concept of budgeting with simple examples, such as saving for a toy or a treat.

2. Budgeting and Financial Planning for Teenagers and College Students

As teenagers and college students begin to earn money from part-time jobs or allowances, it's crucial to instill good financial habits.

Creating a Budget: Help them create a budget to manage their income and expenses.
Understanding Credit: Teach the basics of credit and the importance of maintaining a good credit score.
Saving for the Future: Encourage them to save for future goals, such as college or a car.

3. Managing Finances as a Young Adult: Loans, Credit, and Investments

Young adulthood is a critical time for establishing a strong financial foundation.

Credit Management: Educate on the responsible use of credit cards and the impact of credit scores.
Student Loans: Provide information on managing and repaying student loans.
Investing: Introduce the basics of investing and the importance of starting early to build wealth over time.

4. Retirement Planning and Financial Management for Seniors

For seniors, financial literacy focuses on managing retirement savings and ensuring financial security.

Retirement Accounts: Explain different types of retirement accounts and distribution strategies.
Healthcare Costs: Provide guidance on managing healthcare expenses and understanding Medicare.
Estate Planning: Highlight the importance of estate planning, including wills and trusts.

Resources and Tools for Financial Literacy

In addition to our in-person and online resources, we recommend the following tools to enhance your financial literacy:

Budgeting Apps: Utilize apps like Mint or YNAB (You Need a Budget) to track your spending and manage your budget.
Financial Calculator Library: Using the financial calculators available on Peoples Bank’s website, you can get a better sense of what the future holds for your finances.
Educational Websites: Explore websites such as Investopedia and the Financial Literacy and Education Commission for comprehensive financial education.
Books: Research and read books focused on valuable financial insights.

Conclusion

Financial literacy is a lifelong journey that evolves with each stage of life. By equipping yourself with the knowledge and tools to manage your finances effectively, you can achieve financial stability and success. At Peoples Bank, we're here to support you every step of the way with tailored resources and personalized service. Whether you're teaching your child about saving, navigating student loans, or planning for retirement, we’re committed to helping you build a strong financial foundation.

Experience the difference of banking with Peoples Bank and take control of your financial future today!

An overdraft occurs when you do not have enough money in your account to cover a transaction, but we pay it anyway. We can cover your overdrafts in two different ways:

We have standard overdraft practices that are available after your account has been open for 30 days and as long as you maintain your account in good standing.
We also offer an overdraft protection plan, Overdraft Protection Sweep, a link to a savings account. It may be less expensive than our standard overdraft practices. To learn more, ask us about this plan.

This notice explains our standard overdraft practices.

What are the standard overdraft practices that come with my account?

After your account has been open for 30 days and as long as you maintain your account in good standing, we do authorize and pay overdrafts for the following types of transactions:

Checks and other transactions made using your checking account number
Automatic bill payments

We do not authorize and pay overdrafts for the following types of transactions unless you ask us to (see below):

ATM transactions
Everyday debit card transactions

We pay overdrafts at our discretion, which means we do not guarantee that we will always authorize and pay any type of transaction.

If we do not authorize and pay an overdraft, your transaction will be declined.

What fees will I be charged if Peoples Bank of Kankakee County pays my overdraft?

Under our standard overdraft practices:

We will charge you a fee of up to $30 each time we pay an overdraft.
The maximum daily overdraft fee per presentment or item paid using the Overdraft Reserve Program is $150.00 per day.
No per item handling fee will be charged on de minimis overdrafts. De minimis overdraft for this policy means transactions that overdraw your account by $30 or less.
There is an overdraft fee of $5 per day that will be charged beginning the 4th consecutive business day your account is overdrawn.

Nonsufficient funds (NSF) fees - if an item drafted by you (such as a check) or a transaction you set up (such as a preauthorized transfer) is presented for payment in an amount that is more than the amount of money in your account and we decide not to pay the item or transaction, you agree that we can charge you an NSF fee for returning the payment. Be aware that such an item or payment may be presented multiple times by the merchant or other payee until it is paid, and that we do not monitor or control the number of times a transaction is presented for payment. You agree that we may charge you an NSF fee each time a payment is presented if the amount of money in your account is not sufficient to cover the payment, regardless of the number of times the payment is presented.

PAYMENT ORDER OF ITEMS - The law permits us to pay items drawn on your account in any order (for purposes of this section "items" means checks, orders and electronic transactions). To assist you in handling your account with us, we are providing you with the following information regarding how we process those items. When processing checks and orders drawn on your account our policy is to pay lower numbered checks and orders in numerical sequence, but electronic transactions are paid first in the order received. The order in which items are paid is important if there is not enough money in your account to pay all of the items that are presented. There is no policy that is favorable in every instance. If the smallest items are paid first, you may have fewer NSF or overdraft fees, but the largest, and perhaps more important items (such as rent or mortgage payments) might not be paid. However, if the largest items are paid first, your most important items might be paid but it may increase the overdraft or NSF fees if funds are not available to pay all of the items. We think our policy attains a reasonable balance between minimizing additional costs to you and paying your more important items. We encourage you to make careful records and practice good account management. This will help you to avoid creating items without sufficient funds and incurring the resulting fees.

What if I want Peoples Bank of Kankakee County to authorize and pay overdrafts on my ATM and everyday debit card transactions?

If you also want us to authorize and pay overdrafts on ATM and everyday debit card transactions after your account has been open for 30 days, you may opt in.

You have an ongoing right to change this consent at any time. If your overdraft privilege has been revoked for any reason, the opt-in or opt-out selection may not apply. Please contact your nearest office for more information.

Alternate ways to Opt In/Out or make changes:

By Phone. Our Customer Care Representatives can be reached at 815-936-7600.
By Mail. Peoples Bank of Kankakee County, 333 E. Court Street, Kankakee, IL 60901
In Person. Please visit your local office and ask a representative to help you decide which plan is best for you.