School teaches loans as a a way of life

[shootingstar]

Children really don't have a clue what things cost, groceries, utilities, gas... They just don't think about it. Anything that gets them thinking about money beyond borrowing it from you and spending it, is good I think.

Veronica

Well Melavi, at least your daughter went through the financial planning exercise, even though the scenarios didn't get the students to stretch their options of how to fit in consumer habits in relationship to personal values. (ie. alternative transportation vs. car).

Over the years, I've been intrigued how other people grew up in their family, quite ignorant of their family's financial situation. I was aware of my father's salary starting when I was around 12-13. I was told this stark fact because my parents were saddled with a house mortgage and 6 children.

And I knew the cost of the house also at that age.

and why we didn't have a car until I was 15. (I am the oldest child.)

and why we were refused money allowance as kids, why we couldn't go out even to buy penny candy, etc.

and why my mother sewed alot of our own clothing. Then she made sure her daughters learned how to sew. We wanted to because we wanted to be in fashion.

and the fact neither parent whipped out a credit card to pay for their purchases.

and why we ate lousy meat cuts, etc.

It is really important that parents model for their children, good spending and saving habits. But also equip them with skills and activities where saving money doesn't have to be continuously onerous.

I could trust any sibling to manage my money, when I reach that stage in life. Seriously. It is one area I know for certain we all share in common..saving money after watching parents work their butt off.