1
Money Smart News Fall 2011
IN THIS ISSUE
Message from the FDIC
FDIC Testimony on Credit
Availability Reinforces the Need
for Financial Education
FDIC Introduces the Money
Smart Instructor-Led
Multilingual DVD
10 Years of Success Stories
from Money Smart
FDIC Issues Tips on Preparing
Financially for a Disaster, Mak-
ing Payments by Mobile Devic-
es, and Researching Old Bank
Accounts
Advisory Committee to Discuss
Mobile Banking and Electronic
Payments
FDIC Research Symposium
Examined Consumer Financial
Behavior in Difficult Times
Major Change in the Delivery of
Projected Social Security
Benefits Information
IRS Tax Assistance Program
Offers Opportunities for
Financial Educators
Message from the FDIC
This edition of our newsletter commemorates the 10th anniversary of the
FDIC's Money Smart financial education program. Money Smart
was initially launched for classroom instructors to teach adults in partner-
ship with the U.S. Department of Labor. It has evolved into a multimedia,
multilingual curriculum supported by the efforts of more than 1,500 partner
organizations in the United States. Money Smart's success has led de-
posit insurers and central banks in several other countries to seek advice
on how to adapt our curriculum to promote financial literacy in their countries.
As we move into the second decade of Money Smart, we are still developing Money
Smart to reach new audiences and in new ways. For example, we recently partnered
with the U.S. Small Business Administration (SBA) to develop a financial education
resource for the growing number of entrepreneurs who are starting or otherwise oper-
ating their own small businesses. On October 5, 2011, the FDIC and the SBA, one of
our newer national partners, conducted the first workshop using a new FDIC financial
education curriculum for small business owners and employees. We plan to release
the new, free curriculum to all financial educators by year end.
Also, Money Smart is now available in a total of nine languages, including two recently
released versions in Hindi and French Creole. All nine languages also include the new
Financial Recovery module, which provides an overview of how to develop a plan to
recover from a financial setback. And, there is more to come: Watch closely for future
editions of Money Smart News so you don't miss the announcement of significant en-
hancements to versions of Money Smart for consumers to use independently.
Here at the FDIC, we believe it is essential to learn how financial education affects indi-
vidual behavior. For that reason, the FDIC has launched an evaluation of the Money
Smart for Young Adults curriculum to determine how students who complete the curric-
ulum manage their finances in the months following the training. In other words, does
knowledge gained equate to sustained behavioral changes? This "longitudinal" survey
will build on a previous evaluation that found the Money Smart curriculum improves the
money-management practices of adults. If you are an educator who plans to use
the Money Smart for Young Adults curriculum soon, please send an e-mail to our Com-
munity Affairs staff (see below) if you would be willing to participate in the evaluation.
By doing so, you will contribute to this important study.
While much has changed in the last 10 years, the Money Smart program continues to
emphasize the role of combining education with access to appropriate bank accounts
and banking services. The FDIC wants financial educators who work for non-profit or-
ganizations, schools or similar organizations to talk to financial institutions - and for
financial institution executives to talk to their staffs - about ways to ensure that consum-
ers who complete Money Smart classes have an opportunity to open bank accounts
that fit their needs. That conversation also may be about how to help consumers who
already have accounts -- to use them more effectively and expand their banking rela-
tionships.
Finally, we want to thank our Money Smart partners for the critical role you have played
in the success of our program. For a special look at how some of our earliest partners
have used and changed the Money Smart curriculum to meet their needs and reach
underserved communities, see below for the latest installment of our Success Stories.
And for anyone who has a question, a recommendation or a Money Smart success
story, send an e-mail to communityaffairs@fdic.gov.
Mark Pearce
Director
FDIC Division of Depositor and Consumer Protection
Money Smart News Fall 2011
IN THIS ISSUE
Message from the FDIC
FDIC Testimony on Credit
Availability Reinforces the Need
for Financial Education
FDIC Introduces the Money
Smart Instructor-Led
Multilingual DVD
10 Years of Success Stories
from Money Smart
FDIC Issues Tips on Preparing
Financially for a Disaster, Mak-
ing Payments by Mobile Devic-
es, and Researching Old Bank
Accounts
Advisory Committee to Discuss
Mobile Banking and Electronic
Payments
FDIC Research Symposium
Examined Consumer Financial
Behavior in Difficult Times
Major Change in the Delivery of
Projected Social Security
Benefits Information
IRS Tax Assistance Program
Offers Opportunities for
Financial Educators
Message from the FDIC
This edition of our newsletter commemorates the 10th anniversary of the
FDIC's Money Smart financial education program. Money Smart
was initially launched for classroom instructors to teach adults in partner-
ship with the U.S. Department of Labor. It has evolved into a multimedia,
multilingual curriculum supported by the efforts of more than 1,500 partner
organizations in the United States. Money Smart's success has led de-
posit insurers and central banks in several other countries to seek advice
on how to adapt our curriculum to promote financial literacy in their countries.
As we move into the second decade of Money Smart, we are still developing Money
Smart to reach new audiences and in new ways. For example, we recently partnered
with the U.S. Small Business Administration (SBA) to develop a financial education
resource for the growing number of entrepreneurs who are starting or otherwise oper-
ating their own small businesses. On October 5, 2011, the FDIC and the SBA, one of
our newer national partners, conducted the first workshop using a new FDIC financial
education curriculum for small business owners and employees. We plan to release
the new, free curriculum to all financial educators by year end.
Also, Money Smart is now available in a total of nine languages, including two recently
released versions in Hindi and French Creole. All nine languages also include the new
Financial Recovery module, which provides an overview of how to develop a plan to
recover from a financial setback. And, there is more to come: Watch closely for future
editions of Money Smart News so you don't miss the announcement of significant en-
hancements to versions of Money Smart for consumers to use independently.
Here at the FDIC, we believe it is essential to learn how financial education affects indi-
vidual behavior. For that reason, the FDIC has launched an evaluation of the Money
Smart for Young Adults curriculum to determine how students who complete the curric-
ulum manage their finances in the months following the training. In other words, does
knowledge gained equate to sustained behavioral changes? This "longitudinal" survey
will build on a previous evaluation that found the Money Smart curriculum improves the
money-management practices of adults. If you are an educator who plans to use
the Money Smart for Young Adults curriculum soon, please send an e-mail to our Com-
munity Affairs staff (see below) if you would be willing to participate in the evaluation.
By doing so, you will contribute to this important study.
While much has changed in the last 10 years, the Money Smart program continues to
emphasize the role of combining education with access to appropriate bank accounts
and banking services. The FDIC wants financial educators who work for non-profit or-
ganizations, schools or similar organizations to talk to financial institutions - and for
financial institution executives to talk to their staffs - about ways to ensure that consum-
ers who complete Money Smart classes have an opportunity to open bank accounts
that fit their needs. That conversation also may be about how to help consumers who
already have accounts -- to use them more effectively and expand their banking rela-
tionships.
Finally, we want to thank our Money Smart partners for the critical role you have played
in the success of our program. For a special look at how some of our earliest partners
have used and changed the Money Smart curriculum to meet their needs and reach
underserved communities, see below for the latest installment of our Success Stories.
And for anyone who has a question, a recommendation or a Money Smart success
story, send an e-mail to communityaffairs@fdic.gov.
Mark Pearce
Director
FDIC Division of Depositor and Consumer Protection
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Money Smart News Fall 2011
FDIC Testimony on Credit Availability Reinforces the Need for Financial Education
On September 22, 2011, Robert W. Mooney, the FDIC's Deputy Director for Consumer Protection and Community Af-
fairs, testified before a House subcommittee about ways to support affordable small-dollar credit products that are both
reasonable for consumers and beneficial for banks. He said the need for small, short-term loans could be ameliorated if
consumers became more knowledgeable about personal financial management. To read his testimony, visit: http://
www.fdic.gov/news/news/speeches/archives/2011/spsep2211.html.
FDIC Introduces the Money Smart Instructor-Led Multilingual DVD
The FDIC is now making available the updated and enhanced Money Smart curriculum issued for instructors in Novem-
ber 2010 in the following languages (in addition to English): Chinese, Haitian-Creole, Hindi, Hmong, Korean, Russian,
Spanish, and Vietnamese. All languages are available on one DVD. To order the curriculum, visit https://
vcart.velocitypayment.com/fdic/.
10 Years of Success Stories from Money Smart
As the FDIC prepares to celebrate the 10th anniversary of our financial education program, we asked 10 long-
time Money Smart partners to share with us why and how they continue to reach out to the underserved communities
they serve. Also, Luke W. Reynolds, Chief of the FDIC's Outreach and Program Development Section, offers 10 lessons
learned from the past 10 years to take into consideration as the Money Smart program builds on its second decade.
(Read the stories and tips.)
FDIC Issues Tips on Preparing Financially for a Disaster, Making Payments by Mobile Devic-
es, and Researching Old Bank Accounts
The Summer 2011 issue of the quarterly FDIC Consumer News features tips on how to prepare financially for a natural
disaster, a fire or another tragedy, especially one that requires people to evacuate their home and not return for days or
weeks. Other timely topics include what to know before signing up for person-to-person, or "P2P," electronic payment
services using a smartphone or mobile computer; how to solve mysteries of old bank accounts; and an update on new
standards for and disclosures by mortgage loan professionals. Financial educators are encouraged to share information
from FDIC Consumer News with their students. See this issue of the newsletter and subscription information
at www.fdic.gov/consumers/consumer/news/cnsum11.
Advisory Committee to Discuss Mobile Banking and Electronic Payments
On December 1, 2011, the FDIC's Advisory Committee on Economic Inclusion (ComE-IN) is scheduled to meet. The
discussion is anticipated to focus on mobile banking and other forms of electronic payments. The meeting will be open to
the public for observation online at http://www.fdic.gov/about/comein/index.html.
FDIC Research Symposium Examined Consumer Financial Behavior in Difficult Times
Financial education researchers and others may be interested in reviewing papers and presentations on consumer fi-
nance topics from the FDIC's Consumer Research Symposium entitled "Financial Behavior in Turbulent Times," which
was held on September 15, 2011. Panels focused on a series of papers centering on two major themes: "Lessons and
Limits from Behavioral Economics" and "Economic Decisions of Financially Constrained Households." To read more,
visit http://www.fdic.gov/news/conferences/2011-09-15.html
Major Change in the Delivery of Projected Social Security Benefits Information
Traditionally, financial educators have encouraged consumers to carefully review their annual statement of projected
earnings and other benefits from the U.S. Social Security Administration (SSA), for financial planning and to look for dis-
crepancies that could be signs of identify theft or other fraud. However, to save money as part of budget-related cut-
backs, the SSA has announced that it has suspended these mailings. Instead, consumers should use the online Retire-
ment Estimator at http://www.ssa.gov/estimator. Because the SSA is also phasing out paper checks by 2013, financial
educators may wish to suggest that students who receive federal benefits should consider signing up for direct deposit
into an affordable bank account. For more details, see the SSA's press release.
Money Smart News Fall 2011
FDIC Testimony on Credit Availability Reinforces the Need for Financial Education
On September 22, 2011, Robert W. Mooney, the FDIC's Deputy Director for Consumer Protection and Community Af-
fairs, testified before a House subcommittee about ways to support affordable small-dollar credit products that are both
reasonable for consumers and beneficial for banks. He said the need for small, short-term loans could be ameliorated if
consumers became more knowledgeable about personal financial management. To read his testimony, visit: http://
www.fdic.gov/news/news/speeches/archives/2011/spsep2211.html.
FDIC Introduces the Money Smart Instructor-Led Multilingual DVD
The FDIC is now making available the updated and enhanced Money Smart curriculum issued for instructors in Novem-
ber 2010 in the following languages (in addition to English): Chinese, Haitian-Creole, Hindi, Hmong, Korean, Russian,
Spanish, and Vietnamese. All languages are available on one DVD. To order the curriculum, visit https://
vcart.velocitypayment.com/fdic/.
10 Years of Success Stories from Money Smart
As the FDIC prepares to celebrate the 10th anniversary of our financial education program, we asked 10 long-
time Money Smart partners to share with us why and how they continue to reach out to the underserved communities
they serve. Also, Luke W. Reynolds, Chief of the FDIC's Outreach and Program Development Section, offers 10 lessons
learned from the past 10 years to take into consideration as the Money Smart program builds on its second decade.
(Read the stories and tips.)
FDIC Issues Tips on Preparing Financially for a Disaster, Making Payments by Mobile Devic-
es, and Researching Old Bank Accounts
The Summer 2011 issue of the quarterly FDIC Consumer News features tips on how to prepare financially for a natural
disaster, a fire or another tragedy, especially one that requires people to evacuate their home and not return for days or
weeks. Other timely topics include what to know before signing up for person-to-person, or "P2P," electronic payment
services using a smartphone or mobile computer; how to solve mysteries of old bank accounts; and an update on new
standards for and disclosures by mortgage loan professionals. Financial educators are encouraged to share information
from FDIC Consumer News with their students. See this issue of the newsletter and subscription information
at www.fdic.gov/consumers/consumer/news/cnsum11.
Advisory Committee to Discuss Mobile Banking and Electronic Payments
On December 1, 2011, the FDIC's Advisory Committee on Economic Inclusion (ComE-IN) is scheduled to meet. The
discussion is anticipated to focus on mobile banking and other forms of electronic payments. The meeting will be open to
the public for observation online at http://www.fdic.gov/about/comein/index.html.
FDIC Research Symposium Examined Consumer Financial Behavior in Difficult Times
Financial education researchers and others may be interested in reviewing papers and presentations on consumer fi-
nance topics from the FDIC's Consumer Research Symposium entitled "Financial Behavior in Turbulent Times," which
was held on September 15, 2011. Panels focused on a series of papers centering on two major themes: "Lessons and
Limits from Behavioral Economics" and "Economic Decisions of Financially Constrained Households." To read more,
visit http://www.fdic.gov/news/conferences/2011-09-15.html
Major Change in the Delivery of Projected Social Security Benefits Information
Traditionally, financial educators have encouraged consumers to carefully review their annual statement of projected
earnings and other benefits from the U.S. Social Security Administration (SSA), for financial planning and to look for dis-
crepancies that could be signs of identify theft or other fraud. However, to save money as part of budget-related cut-
backs, the SSA has announced that it has suspended these mailings. Instead, consumers should use the online Retire-
ment Estimator at http://www.ssa.gov/estimator. Because the SSA is also phasing out paper checks by 2013, financial
educators may wish to suggest that students who receive federal benefits should consider signing up for direct deposit
into an affordable bank account. For more details, see the SSA's press release.