The League and credit unions in North Carolina and South Carolina collaborated on two Financial Literacy Day events in Columbia and Raleigh in April. The events educated more than 160 students on budgeting basics.

The students experienced what adult life is like in the hour-and-a-half simulation. Each participant received a job and income, and had to make decisions about how they would spend their available income on basics from food & housing to optional items like entertainment.

Nearly 60 credit union volunteers participated in the two events, helping the students navigate the choices presented to them. These events reflect the commitment credit unions have to providing financial education to employees, members and communities throughout the Carolinas on an ongoing basis.

'Life Improved', the tag line for Truliant Federal Credit Union's new brand image, is not a mere slogan - it's the framework by which the cooperative demonstrates its value proposition. As part of the 'Life Improved' image, Truliant is inviting its members to share how the credit union has improved their financial situations in a series of video testimonials.

The four video segments include members at various life stages, and range from a new member to a member who has been with Truliant for more than 14 years. Each testimonial describes specific instances where the credit union assisted the member in a variety of ways.

"We share stories internally every day about the ways members’ lives are improved by a Truliant membership, but we also wanted to show it,” said Karen DeSalvo, chief marketing officer. "These videos demonstrate our ‘Life Improved’ brand by showing members who genuinely benefit financially from a membership with us."

Troy Knight, a member of Truliant for less than a year, benefited from the credit union's No Cost Credit Review. Knight shared the review "really gave me a better understanding of my personal credit situation." He noted that the comprehensive review was the basis of helping him understand where he needed to be in terms of his credit score, and how to establish goals. 

Other segments include a married couple with four children - and $60,000 in credit card debt. Jacob Bishop noted that the credit union took the time to help the family get on top of the situation and improve their financial lives.

DeSalvo says that in addition to demonstrating the difference Truliant makes in the lives of its members, the videos share "the guidance we give individuals to help them persevere in difficult financial situations. Both are ways Truliant executes our mission to improve the quality of life of our members.”

Like many communities in the Carolinas, Great Falls in Chester County has fallen on hard times in the wake of a shifting economy. Manufacturing plants, which at one time powered the local economy and provided stable employment for hundreds of residents, shut down one-by-one as companies shifted operations overseas or went out of business altogether.

In order to help residents of Great Falls gain a better working knowledge of money management, ArrowPointe FCU joined efforts with the local middle and high schools to create the REDHOT program. REDHOT identifies six character traits for young people to strive for: respectful, engaged, dedicated, honorable, organized and thoughtful. 

These traits were identified by students, parents and administrators at the schools as the core facets of a REDHOT student. Each month, students earn REDHOT tickets for good behavior, and students are selected as REDHOT Students of the Month.

The credit union supports the program financially, including custom-designed tee shirts, certificates for all winners, and all marketing materials that help the school avoid out-of-pocket expenses. All told, ArrowPointe commits some $2,000 per school year to the program, now in its third year.

ArrowPointe staff take things one step further, providing ongoing financial education sessions in the classroom at least once a month. Felicia Pope, the credit union's VP of marketing and business development notes that these sessions get at the heart of ArrowPointe's mission. "We were created by the community, and we are here serving our community."

Pope notes even though students are not in the workforce full time yet, learning money management and other lessons offered through REDHOT has important implications for Great Falls. "We helping them become better people, and by learning about financial education we are providing them with the tools to rebuild their community."

While that payoff may be years away for the community, Pope adds that these lessons do make an impact today. "Parents tell us that their kids are sharing those financial lessons at home, so adults are definitely benefiting from this program."

Two years ago, Carla Kimel of Members Credit Union looked for ways to provide a memorable financial education experience for school-aged students in the Winston-Salem area. As a result, more than 200 middle and high school students have received a crash course in being an adult through the credit union's "Mad City Money" program.

Kimel, the public relations director, and Andrea Blanton, the public relations assistant at Members, found themselves drawn to the "reality fair" concept as a means of helping students learn by doing. "We tried to develop our own model and quickly figured out we were re-inventing the wheel," recalls Kimel.

After connecting with Coastal FCU in Raleigh, which also uses the Mad City Money model as its experiential learning tool for teens, Kimel and Blanton volunteered at a Coastal event and had the opportunity to see how it worked first-hand. Members then purchased the Mad City Money module from CUNA and held its first fairs a year ago.

The credit union has taken its efforts to the next level during the 2013-2014 school year, reaching well over 200 students in multiple schools. Students are given a job, income and lifestyle profile and must make purchasing decisions over the course of an hour and a half.

Each student also has at least one child, and quickly learns how expensive children can be. "They ask us all the time if they can give their kids back," Kimel shares, "but we just say no, you can't do that."

The Mad City Money concept ties in neatly with the social studies curriculum in North Carolina, and allows students a hands-on experience that is grounded in the lessons they've received through the school year. Teacher Matt McPherson of North Davie Middle School says the program helps his students have a new appreciation for what their parents go through. McPherson recalls a past student of Mad City Money hugged her mom afterwards and told her, "please, don't let me grow up."

As the school year winds down, Kimel and Blanton are laying the foundation for expanding the program and its reach in the year ahead. As a result, more students will benefit from the credit union's commitment to providing a valuable financial lesson for North Carolina's future leaders.

Members of credit unions don’t always realize they’re doing business with a local financial institution in which they have an ownership stake. But more-and-more people do realize the importance of supporting locally-owned businesses as a means of building healthy communities.

Over the past several months, Mountain Credit Union has provided members with a chance to learn about and support both of these concepts by scheduling a series of cash mob events at small businesses in western North Carolina. Cash mobs are pre-planned events that connect consumers with local businesses. Simply put, consumers meet at the business, check out the goods and (hopefully) make purchases.

Mountain worked with three local small businesses in the greater Asheville area in 2013, and they hope to do more in the year ahead. "We target businesses that have an existing relationship with the credit union,” said Mountain Credit Union Business Development Director Chris Angel, "so it’s a way for us to give back to them, and connect staff and members with local businesses they may not be aware of.”

One such business the credit union targeted was Asheville Home Crafts, which is located in the Grove Arcade. Asheville Home Crafts sells fiber art produced by artisans within a 100 mile radius of Asheville, and sells locally grown and woven yarns in the western NC region.

Founded 11 years ago by Judy Quinn and Marie Hendrix, Asheville Home Crafts gives local artists a place to sell their crafts. Through this time, the local business has flourished and has provided a prime connecting point for artists and tourists alike. The owners of the store are long-time members of Mountain Credit Union, and have their business accounts there as well.

Besides giving local businesses a boost, these cash mob events have given Mountain Credit Union a chance to share with staff and members that the credit union is also a local, cooperatively-owned business. "It’s a win-win,” noted Angel, who envisioned the events as a means to educate staff and members about the credit union, while saying thank you to member businesses.

"A member came to me because her husband had passed away recently. The Department of Social Security reclaimed the funds of a previous direct deposit by taking the check amount back out of the account from the month in which he had passed away. This meant that the account was in the negative for over $1000! She had asked to set up payment arrangements but told us that she could only afford $25 a month (which would have taken about 3 ½ years to pay back!). She herself is on Social Security and on a very limited income.

"She was telling me about all of her bills and I stopped her when she told me what her car payment was. I asked what kind of car she drove and started to look up the value as she continued to tell me her story. By the time she had finished her list, I had determined that we could not only refinance her car and pay off her negative account with MCU, but we could also pay off most of her credit cards.

"When it was all said and done I had saved the member $300 /month. That’s over a quarter of her monthly SS income back in her pocket! I was also able to remove a burden by setting the payments up on payroll deduction. As an added bonus, paying off these revolving credit card accounts will also increase her credit score by as much as 70 points!" - Tara Garrett, Branch Manager, Mountain Credit Union in Fletcher, NC

 

The above video documents a Reality Fair produced by SC Telco FCU for students at Landrum High School. (Video courtesy Landrum High School.)

Since 2012, students at two Upstate high schools have gotten an opportunity to experience a dose of financial reality thanks to SC Telco Federal Credit Union. Called a Reality Fair, the exercise puts students in the role of working adults.

The Reality Fair coordinator assigns each student a career, income level and life situation. Some are single, some are married and some are parents. Some are white collar professionals, while others are blue collar workers. All students navigate a series of booths and make financial choices like any working adult would, from housing and transportation to food and clothing. The object through the 90 minute exercise is for students to manage their money wisely and stay out of debt.  

Seniors at Landrum High School experienced the first Reality of Money simulation in January 2012. More than 100 seniors attended the first simulation at Landrum.The credit union also began doing Reality Fairs at Berea High School in Greenville County. Students at both schools now experience Reality Fair sessions during the school year.

Over the summer, SC Telco did a Reality Fair for 25 Spartanburg County teens in foster care. All told, SC Telco has reached more than 800 students with important financial lessons that will serve them well as they move into the working world.

 "SC Telco is committed to engaging these students at a level that they can relate to, understand easily and have a little fun at the same time," said SC Telco FCU Community Relations Manager Terri Hendrix. "We get survey responses indicating over 90% of those who go through the simulation say that the Reality Fair will change the way they save and spend money, --that’s reward enough for us!”