Grant Will Help Fund Program to Provide Personal Finance Education to Young Adults Transitioning Out of Foster Care, While Also Helping Participants Build Savings
Richmond, Virginia, Sept. 27, 2024 (GLOBE NEWSWIRE) -- Virginia Credit Union (VACU) has been awarded a $60,000 grant from the National Credit Union Foundation to offer an intensive six-week personal finance course for older youth in foster care and provide these young people an opportunity to kick-start their personal savings.
"Learning how to plan, budget, save and spend wisely are personal finance skills that help us achieve financial well-being and financial security. While VACU and other organizations have made tremendous strides during the past two decades to create youth-focused financial education programs and readily available personal finance resources, so many money management lessons are learned and reinforced in the home,” says Cherry Dale, senior vice president for financial education at VACU. "We recognized that young people in foster care may need a helping hand to successfully transition from foster care to financial independence as an adult. We're grateful to the National Credit Union Foundation for enabling us to help what is a financially vulnerable population.”
Virginia Credit Union will host three six-week Financial Education for LIFE programs and anticipates reaching as many as 30 youth and young adults in foster care through the programs. In-person programs are planned in Richmond and Lynchburg, with an additional virtual cohort. A partnership with United Methodist Family Services of Virginia Project LIFE program is making the VACU initiative possible. This organization is helping identify potential program participants, most of whom will be ages 15 to 19.
Research shows that young adults are especially vulnerable in terms of their financial health and often struggle to build personal savings. For those aging out of the foster care system, personal finance challenges can be particularly difficult owing to a lack of family support and assistance.
Through VACU's Financial Education for LIFE program, participants will learn the basics of budgeting and today's banking products and services. The course will also offer a deep dive into credit products, avoiding financial scams, and the importance of building and maintaining a good credit score. Participants will also learn about the auto-buying process.
Participants can each receive a financial incentive of up to $1,000 following the completion of the six- week course. They will also gain access to VACU membership with checking and savings accounts.
As each cohort completes its six weeks of training, VACU will assist those who successfully complete the program with financial counseling and advice. After six months, VACU will match the dollar amount program participants contributed to their personal savings accounts.
VACU will also leverage its resources to evaluate and track outcomes for program participants, who will be surveyed pre- and post-program to measure the program's impact in improving financial health and personal finance knowledge. Through VACU's financial education partnership with Virginia Commonwealth University, we'll use aggregate information from program participants to analyze data points and spot trends that can be used to improve our own financial education programs and address the real-world financial challenges faced by today's young adults.
"Research highlights the critical financial vulnerabilities faced by young adults, especially those transitioning out of the foster care system. Without the foundational support that many take for granted, these individuals encounter significant obstacles in building savings and achieving financial stability,” says Christine Hickey, senior financial health manager for the Foundation. "We recognize the urgent need for targeted financial education and resources tailored to their unique circumstances, enabling them to cultivate the skills necessary for a successful and independent future and to help enable financial well-being for all.”
About Virginia Credit Union
A financial cooperative serving almost 500,000 members, Virginia Credit Union and its Member One Division offer a variety of affordable banking services, loans, mortgages, and free financial education resources, with a focus on helping people be more confident with their finances. Virginia Credit Union and its Member One Division are equal housing opportunity lenders and are federally insured by the NCUA.
CONTACT: Lewis Wood
Virginia Credit Union
804-560-5664
