Pub. 1 2012 Issue 3

April/May 2012 7 l e a d i n g a d v o c a t e f o r t h e b a n k i n g i n d u s t r y i n k a n s a s A PRIL WAS AN IMPORTANT TIME OF YEAR, AS IT was National Financial Literacy Month andApril 24 was theABAEducation Foundation’s annual Teach Children to Save Day. The latter event – marking the 16th year that bankers have gone into classrooms across the country to teach children lessons about the importance of saving money – provides a very visible example of the work that all of you do to make your communities better places. The numbers through the years tell us that banks are making a positive impact on the lives of children. Since the first Teach Children to Save Day in 1997, more than 100,000 volunteer bankers have reached more than five million children. Nine Kansas banks committed to support this year’s activities. WASHINGTON UPDATE MARCH 2012 INSPIRING A FINANCIAL FUTURE Through the Teach Children to Save program, bankers use their real- life experiences and their background knowledge to motivate students to become lifelong savers. This important perspective produces clear benefits. Experts say that children who understand concepts such as delayed gratification, wants versus needs and the importance of budgeting will outperform their peers. According to Reid Cramer and William Elliott of the NewAmerica Foundation, “Agrowing body of compelling research has illuminated the connection between savings and educational outcomes. Even modest- sized savings and asset holdings have the potential to alter the way people think about the future, which can lead to productive changes in behavior. For example, children with a savings account in their own name are more likely to have higher math scores than children without a savings account – scoring on average almost 9 percent higher.” The importance of children’s savings accounts is emphasized in the ABA Education Foundation’s “Race To Save” campaign. The founda- tion started the campaign last year by challenging banks to open 15,000 new children’s accounts in 2011 in an effort to promote savings among America’s youth. This year’s goal is for banks to open 100,000 children’s savings accounts. Research shows that children who regularly save are more likely to go to college, have better control over their spending and have a more positive outlook on life, as well as being more financially literate. I’m proud of how bankers can help inspire a positive financial future for America’s youngest generation. If your bank is not yet involved in financial education, visit the ABA Education Foundation’s Website at www.abaef.com for resources and information about how to get started. E-mail Frank Keating at keating@aba.com | © 2011 American Bankers Association. All rights reserved. Reprinted with permission. Frank Keating, President and CEO American Bankers Association