Company Expands Education First Initiative to Teach Financial Literacy
LAKE SUCCESS, N.Y., April 21 /PRNewswire-FirstCall/ -- In recognition of
Financial Literacy Month, Astoria Federal Savings will host fun and
educational National Teach Children to Save Celebrations from April 26-30,
2005, in every neighborhood branch during normal branch hours. Astoria
Federal's Boro Park and Midwood branches will hold celebrations April 26-May
8, during normal branch hours.
During the celebration, children throughout Brooklyn, Queens, Nassau,
Suffolk and Westchester, can visit any Astoria Federal branch and experience a
special "Teach Children to Save" banking experience created just for them.
There will be fun, financial learning activities from "Guess How Much Money is
in the Jar" to "Make Your Own Bank" and "Put Your Picture on Your Own Bill" as
well as the opportunity to meet with their own personal banker, open a child-
friendly and free, no-fee savings account, make a deposit at a special Student
Saver teller window and sign up for an upcoming special tour of the branch.
Existing Student Saver accountholders can also visit the branch and join
in the fun. Any child making a deposit will receive a special gift and every
child visiting the branch will have a chance to enter a raffle to win a
savings bond, special board game or magazine subscription.
In order to open an account, parents only need to bring in two forms of
proper identification (a driver's license or current U.S. passport, as well as
a credit card statement or utility bill) and their child's social security
number to open the account. Teenagers (18 and over) can also stop by the
branch and open their own free Easy Checking account if they have two forms of
proper ID.
According to Astoria Federal Senior Vice President and Director of
Marketing Brian Edwards, these child-focused celebrations mark the expansion
of Astoria Federal's on-going Corporate Social Responsibility (CSR)
initiative, Education First. Edwards said Astoria Federal is joining in the
effort to improve financial literacy in young people, because early financial
literacy builds the foundation for a young person's future financial health as
an adult.
"Studies show only half of all U.S. high school students possess basic
financial literacy skills," he said. "These include awareness of the value or
importance of savings, compounding interest, balancing the savings register to
the monthly statement, budgeting and planning, checking account management
such as how to write a check and balance a checkbook, credit awareness and
debt management," Edwards added.
A 2002 Jump$tart Coalition for Financial Literacy survey reported of the
4,000 students who participated in its personal finance survey, 68.1% received
failing scores. Teens, surveyed by Teenage Research Unlimited, reported
spending 98% of their money, rather than saving it (an average of $104 a week,
$5,408 a year, or as a cohort-$172 billion a year). Federal Reserve Board
Chairman Alan Greenspan has also testified before Congress about the
importance of early financial literacy.
"Research conducted by the National Endowment for Financial Education has
shown that as little as 10 hours of personal financial education positively
affects students spending and savings habits. We must do what we can to
strengthen the many communities we serve," Edwards said. "Teaching financial
literacy is one great way to accomplish that goal. We want young people to
understand that the student savers of today are the investors of tomorrow."
Edwards cited the accomplishments of thousands of Astoria Federal Student
Saver accountholders as a testament to the power of early financial literacy.
"It's remarkable to know thousands of young people have saved millions of
dollars in their own accounts. It's clear these boys and girls, and their
families, are committed to their financial future," he said. "Our goal is to
have more children experience this opportunity."
On an annual basis, Astoria Federal provides local, community-based
program support to more than 650 groups in such areas as education, the Arts,
health care education, homeownership and community development, and small
business and entrepreneurship development. In addition, its Education First
initiative includes an In-School Banking program, "Be a Smart Banker" in-
branch banking tours, Kids Tools for School(TM) to help children be prepared
on the first day of school by providing them with new school supplies, and The
First Home Club(TM) which promotes homeownership. For additional information
about Astoria Federal's Education First financial literacy program, call 1-
800-ASTORIA.
About Astoria Federal Savings
Astoria Federal Savings and Loan Association is the wholly-owned
subsidiary of Astoria Financial Corporation (NYSE: AF). With assets of $23.3
billion, Astoria Financial Corp. is the fifth largest thrift institution in
the United States. Established in 1888, Astoria Federal is the largest thrift
depository headquartered in New York with deposits of $12.6 billion and
embraces its philosophy of Putting people first by providing the customers and
local communities it serves with quality financial products and services
through 86 convenient banking office locations and multiple delivery channels,
including its website, http://www.astoriafederal.com . Astoria commands the
fourth largest deposit market share in the attractive Long Island market,
which includes Brooklyn, Queens, Nassau and Suffolk counties with a population
exceeding that of 39 individual states. Astoria originates mortgage loans
through its banking offices and loan production offices in New York, an
extensive broker network in 24 states, primarily the East Coast and in the
District of Columbia, and through correspondent relationships in 44 states and
in the District of Columbia.
Money Tips for Parents*
1. Start your child saving early. Whether we're talking about birthdays,
first Holy Communion, bar mitzvah, bat mitzvah gifts or money from
babysitting, children need to become comfortable with setting aside
some or all of that money in a savings account. They need to learn
that they don't need to spend it all.
2. The earlier you and your child are focused on going to college, the
earlier the savings can begin using a 529 Account, Coverdell
Education Savings Account or other method.
3. A 529 college savings plan is a type of investment account that
allows you to set aside money for your child's education and let it
grow tax-free. The federal government won't tax your money when you
take it out of the account as long as it's used for higher education.
New York State taxpayers (married, filing jointly) can deduct
contributions to the account up to $10,000 annually. Any family can
contribute to a 529 account regardless of income, and there's a
lifetime maximum contribution in New York State of $235,000. The best
part: You can often start an account with as little as $25 and it can
be deducted automatically from your checking account.
4. Most banks offer debit cards, so college students and parents can
keep track of their purchases. Since this card is tied to the
balances in your checking account, there's little chance of piling up
a lot of debt. Astoria Federal's debit program is known as a
MoneyPlus debit card.
5. Astoria Federal has free online banking with bill pay so parents and
students can view account activity and pay bills online, to make sure
finances are managed correctly.
6. It's really about smart money management for the long term.
Money Tips for Young People*
1. As early as possible, open up a savings account. Commit to saving a
percentage of your earnings or monetary gifts from grandma in your
account.
2. Once a year, create a budget for yourself and track your spending so
you can see how far your money is going.
3. Set a savings goal. Make a decision to save a certain amount each
year.
4. At 18, open your own checking account.
5. Good habits of saving regularly enable a person to make good
financial decisions over their lifetime.
6. Saving early gives a high schooler options like being able to afford
to buy your first car or pay for college; For college graduates it
could mean being able to afford the rent of an apartment in the city
rather than living at home with mom and dad.
7. Acquiring a lot of debt at an early age makes it harder to get out of
debt over your lifetime. Properly managing your debt will enable you
to earn a high FICO score-which results in lower interest rates for
mortgages, car loans and personal loans over your lifetime. For
example, a solid credit score can cut your interest rate by as much
as 5% on a car loan.
* Tips courtesy of Astoria Federal Savings. Please consult your tax
advisor or attorney to discuss your individual situation.
SOURCE Astoria Federal Savings; Astoria Financial Corporation
 back to top
Related links:
http://www.astoriafederal.com
Company News On-Call:
http://www.prnewswire.com/comp/104529.html
CONTACT:
Dianne Baumert-Moyik, +1-516-327-7863, cell,
+1-516-903-1107, dbaumert-moyik@astoriafederal.com
|
