15-6-2023 (SINGAPORE) In an effort to promote financial literacy among children, several banks are implementing new initiatives and programs to help youngsters develop better money management skills from an early age.
One such initiative involves the introduction of automated teller machine (ATM) models equipped with animation to explore financial concepts. Local bank POSB and educational platform EYEYAH! have stationed these interactive ATMs in various schools and libraries across the country. The initiative, running until December 31, aims to reach 400,000 teachers, parents, and children.
Ms. Lim Bee Bee, head of marketing in DBS Bank’s Consumer Banking Group in Singapore, explained that the bank sought to provide children with a physical venue for learning beyond digital consumption. She emphasized the importance of a tactile experience to effectively teach financial concepts and habits.
The initiative includes providing children with worksheets and activity booklets that cover topics such as compound interest, saving tips, distinguishing between needs and wants, and making ethical purchases.
While the program currently targets primary school-aged children, some parents believe that introducing these lessons at an even younger age would be beneficial. Ms. Kristen Yee, a finance professional and mother of a 10-year-old daughter and a 14-year-old son, expressed her belief that starting financial education at the primary school level might be somewhat late. She emphasized the need to tailor the content to different age groups, making it more accessible and engaging for younger children.
Another bank, UOB, has collaborated with social service agencies to assist children from lower-income households in developing financial literacy skills. Through interactive scenarios, children are encouraged to make choices and gain a deeper understanding of personal finance and opportunity costs. For example, they might need to decide whether to spend S$2 (US$1.49) on a cold drink or on medicine for their grandparents.
However, Ms. Evelyn Choo, a manager at the Hougang Sheng Hong Student Care Centre, noted that some children tend to forget what they have learned after a month. She stressed the importance of parental involvement in reinforcing financial concepts at home on a daily basis.
Looking ahead, UOB aims to provide children with more relevant information, particularly regarding digital payments and potential scams. Ms. Lilian Chong, UOB’s head of group brand and corporate social responsibility, emphasized the need for children to develop the ability to identify scams and be vigilant against potential threats. The bank is also planning to train its own staff to conduct financial literacy workshops, further extending its commitment to educating children about financial matters.
