Teaching financial literacy: a survey of community‐based educators

Abstract

A nationwide online survey of financial educators in adult community‐based financial education programmes in the US was conducted to examine teaching beliefs, related curriculum and teaching strategies used to reach underserved populations. A transformative learning theoretical framework was used to discover how financial education engages learners in relation to their own lives. Survey findings indicate in community‐based settings financial educators are largely White, female, college educated and with multiple years of experience; believe their role is to provide expert information to help learners make informed financial choices; and often adapt published materials to reflect the life circumstances of learners. Learners are more racially diverse than educators, most having attended high school, who identify their own financial need to attend the programmes. Programmes do not often target specific groups, are frequently free and can take place in a variety of face‐to‐face settings. Implications indicate best practices for financial educators require inclusive, culturally responsive pedagogies.

Age differences in consumer financial capability

“…Some researchers examined measuring issues of financial literacy, such as its conceptual definition (Remund, 2010), validation of the measures (Knoll and Houts, 2012), its relevance to product design (West, 2012), and consumer ability to correctly answer financial quiz questions (Schmeiser and Seligman, 2013). Researchers also examined financial educators' teaching strategies (Taylor et al, 2012), discussed how to develop a financial literacy component in a liberal art curriculum (Crain and Ragan, 2012), and conducted international comparative studies on financial literacy (Nicolini et al, 2013). …”

Factors associated with financial independence of young adults

“…For example, financial education can be integrated into general education programs for young adults in college (Crain and Ragan, 2012). For young adults who have never attended college, dropped out of college or graduated from college, effective financial education programs should adopt inclusive, culturally responsive pedagogies (Taylor et al, 2012). To educate young adults with various educational attainments to achieve the goal of full financial independence and sustainable financial well-being, teaching strategies should be carefully designed (Baumann and Hall, 2012), financial responsibility values should be emphasized (Hira, 2012), and psychological biases and limitations should be addressed in the financial education programs (West, 2012).…”

Effects of financial education on sound personal finance in Korea: Conceptualization of mediation effects of financial literacy across income classes

“…Financial literacy plays the role of a mediator between financial education and sound personal finance. Becoming financially literate and improving financial soundness is a multistage process (Taylor, Tisdell, & Forté, ). By establishing the role of financial literacy as a mediator, we anticipate the existence of a domino effect among financial education, financial literacy, and sound personal finance.…”