Put your event name and date here.
Forum moderator and guest speakersList convener, moderator, and guest speakers
for your event here.
Enhanced understanding of a societal / community problem
Brainstorming of possible solutionsRealistic weighing of pros and cons
of suggested solutionsCommitment to take action in one or
more waysFormation of partnerships to carry
out a multifaceted strategy to bring positive change
Everyone is encouraged to participate. No one or two individuals dominate. The discussion focuses on the
approaches (solutions). All approaches on the issue are considered
equally. A constructive atmosphere for dialogue
and analysis of alternatives is maintained.
People listen respectfully to each other. All cell phones and pagers are off. The moderator guides the deliberation, yet
remains neutral.
Excessive debtNo savings or
emergency fundsPoor credit ratingVulnerability to
predatory lending and other scams
Loans involving negative equity
Personal bankruptcyHome foreclosure
and car repossessionFew, if any,
workplace benefitsInability to retire
when desired, if at allLack of financial
security at important stages of life
PovertyCompulsive and impulsive
spendingAddictive behaviors related
to alcohol and drug misuse, as well as gambling
Physical and mental health problems
Individual and family crisesLack of helpful networks of
supportCultural and societal
barriersLack of knowledge and
skills
What can be done?Four possible approaches
Prevention Through EducationProvide Counseling / AdviceExpand and Improve RegulationAsset Building Strategies and other Innovations
Prevention Through Education Design and deliver
educational programs High quality Convenient / accessible Low cost Varied
Require completion of personal finance course prior to high school graduation
Take advantage of “teachable moments”
Concerns Effectiveness has not been
proven Few qualified teachers People do not realize or admit
deficiencies Receiving information does
not mean it will be used well
Likely trade-offs Resources to enhance
financial literacy means less devoted to other educational needs
Returns on funding for financial education not guaranteed
Provide Counseling / Advice
Develop and deliver counseling and advisement services Accessible Reasonable cost Customized where possible
Ensure counselors/advisors are well-trained, competent, and credentialed
Create cadre of volunteers to serve low-income persons and families
Incentives/grants to providers to offset costs of pro bono work
Concerns: Some cannot or will not
accept responsibility Until standards/
certification is in place, charlatans will seek to take advantage
Expensive / resource intensive
Trade-offs Is subsidization
worthwhile? Initial positive outcomes
may not be long-lasting Loss of privacy
Expand and Improve RegulationAuthorize and fund
financial product safety regulatory entities
Use existing regulatory agencies to bring about improved products and services
Provide protection for those most vulnerable
Fund and carry out well-designed consumer research studies
Concerns Already too much
regulation & oversight Market pressures provide
best incentive for making improvements
Regulation stifles innovation
Trade-offs Willingness to
participate in consumer studies
Willingness to lose some freedom in order to gain protection
Asset Building and Other Innovations Individual Development
Accounts (IDAs) Tax advantages of 401(k) Earned Income Tax
Credit (EITC)
ASPIRE Act – KIDS Accounts
Young Saver’s Accounts or Roth IRAs for kids
Automatic payroll deposits in savings account unless employees opt-out
Credit card innovations
Concerns Reduces free will Can seem patronizing,
even Orwellian Cannot truly be
customized for each unique situation/ need
Likely trade-offs Willingness to allow employers
to make some financial decisions Willingness to divert current
funds for immediate uses to build assets for future
Final reflections Is there a fifth approach? If so,
what does it involve? Is any one approach going
to solve the problem by itself? Which approach(es) have
the most promise in your community? Which “interested parties” in
your community need to be energized to work on these strategies?
What action(s) are those who arepresent at tonight’s forum willing to undertake?
What innovative partnerships could be formed in order to bring about positive change?
Gentry, D. B. (2012). (2nd Ed.) Financial fitness... It’s priceless: Public policy deliberation guide. Alexandria, VA: American Association of Family Consumer Sciences.
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