More than 1,750 area students recently participated in Pawtucket Credit Union’s financial literacy program that culminates in Real World Day – a simulation where students apply lessons learned to real world situations. The program helps students identify their money management goals, develop a budget, understand the cost of using credit, and learn about general banking products like checking, savings and CDs.

On Real World Day 576 students attended a budgeting fair and receive projected salaries based on career interests along with information regarding living expenses. They must then visit community partner booths representing food and housing needs, transportation, insurance, utility costs, and continued education expenses to allocate their income. There are also booths that entice students to allocate money for trips, health and golf club memberships, cell phones and more. Students must visit each community partner and make financial decisions based on class lessons with the objective of building a balanced budget and savings plan. After each student completes the exercise, a volunteer audits his/her financial decisions and provides recommendations.

With America’s rising number of personal bankruptcies, increases in consumer credit card debt, and inadequate retirement savings, the need to teach financial literacy in the nation’s high schools is critical. In response to this need, Pawtucket Credit Union began teaching a six-week course in 2004 to high school students that focuses on educating and preparing them for real life financial decisions after graduation. High schools participating in Real World Day include: Cranston High School East, Cranston High School West, Bishop Feehan, St. Raphael Academy, Tolman, Davies Career & Technical High School, Pilgrim, North Kingstown, Lincoln, Smithfield, North Smithfield, North Providence and Rhode Island, northern Rhode Island and Providence Transition Academies.

Community partners participating in Real World Day include: United Way of RI, RI Secretary of State’s office (complete with voting machine and mock ballots), Andrews Nationwide Insurance, West Bay Collaborative, University of Rhode Island, Brown and Bryant Universities.