Financial literacy is essential for navigating the complexities of modern life. Yet, many young people graduate from high school without a solid understanding of basic financial concepts. This gap has implications for their futures, influencing everything from their ability to manage debt to their capacity to invest wisely. Recognising this critical need, our Leasing and Finance team has taken proactive steps to deliver financial literacy education to high school students within the Stanthorpe region, empowering students to make informed financial decisions and set themselves up for success.

Why would a team of finance brokers take on the challenge of educating high school students? The answer is simple—we saw a need and felt a responsibility to address it. Through our daily interactions with clients, we've noticed significant variations in financial literacy levels. Many individuals lack basic financial knowledge, which affects their ability to secure loans, manage budgets, and build a stable financial future.

We believe that financial education should start early, equipping young people with the tools they need to make smart financial decisions. That's why we've partnered with local high schools and community programs like Blue EDGE to deliver tailored financial literacy lessons. Our goal is to bridge the gap in financial knowledge and give students the best possible chance of success.

What is Financial Literacy?

Before diving into the specifics of our program, it's important to define financial literacy. Simply put, financial literacy is the ability to understand and effectively use various financial skills, including personal financial management, budgeting, and investing. It involves being knowledgeable about financial principles and concepts such as the time value of money, compound interest, debt management, and financial planning.

Why Financial Literacy Matters

Financial literacy isn't just about managing money—it's about creating opportunities and enhancing quality of life. Here are some key reasons why financial literacy is crucial:

• Better Decision Making: Financially literate individuals are better equipped to make informed decisions about spending, saving, and investing.
• Reduced Financial Stress: Understanding how to manage finances can significantly reduce stress and improve overall well-being.

Our expertise in leasing and finance gives us a unique perspective on the importance of financial literacy. We see firsthand how financial knowledge—or the lack thereof—impacts people's lives. By sharing our expertise with students, we aim to demystify financial concepts and provide practical tools they can use in their everyday lives.

Our financial literacy program is designed to be comprehensive and engaging, covering a wide range of topics relevant to young people. Here are some of the key areas we focus on:

1. Understanding Credit Ratings

One of the first topics we cover is credit ratings. We explain what a credit rating is, how to find out your rating, and how to maintain a good credit score. We also discuss the impact of phone accounts, electricity accounts, and other bills on credit ratings.

2. Managing Bank Accounts and Statements

We teach students how to read and understand bank statements, manage their bank accounts, and the importance of keeping track of their finances. This foundational knowledge is crucial for effective financial management.

3. Budgeting Basics

Budgeting is a fundamental skill that everyone should master. We guide students through the process of creating a budget, tracking expenses, and making adjustments to stay on track. We also discuss the importance of setting financial goals and planning for the future.

4. The Pros and Cons of Buy Now, Pay Later Services

Buy now, pay later services are becoming increasingly popular, but they come with risks. We educate students about the benefits and pitfalls of these services, helping them make informed decisions.

5. Interest-Free and Payday Loans

We shed light on interest-free and payday loans, explaining how they work, the potential dangers, and alternatives to consider. This knowledge helps students avoid falling into debt traps.

6. Savings and Investment Strategies

We introduce students to the concepts of saving and investing, discussing different savings accounts, investment options, and the power of compound interest. We emphasize the importance of starting early and making consistent contributions.

7. Understanding Superannuation

Superannuation is a critical component of retirement planning in Australia. We explain what superannuation is, how it works, and why it's important to start thinking about retirement early.

8. The Basics of Insurance

Insurance is another important topic we cover. We discuss different types of insurance, such as health, car, and home insurance, and explain why it's essential to have adequate coverage.

9. Financial Planning for the Future

We encourage students to think long-term and start planning for their financial futures. This includes setting financial goals, creating a financial plan, and regularly reviewing and adjusting their strategies.

Our involvement with Blue EDGE program facilitated through the Stanthorpe Police Service has been instrumental in expanding the reach of our financial literacy program. Blue EDGE, which stands for Educate, Develop, Grow, Empower, is a program designed to extend a young person’s mind and physical capability through physical training and life skills lessons. By integrating our financial literacy education into Blue EDGE, we're able to reach a diverse group of young people and provide them with valuable skills for the future.

If you're interested in bringing our financial literacy program to your school or workplace, we're here to help. Our presentations are tailored to suit different audiences and can cover a wide range of topics.