By high school, children are young adults. They may get their first credit card, have their first job or even be looking for student loans. All of these matters can be tricky without a bit of guidance. It is up to parents and educators to guide them throughout all these decisions. What teens are learning now can shape their lives for years to come.
Help them achieve a good credit score, avoid predatory loans and learn how to file taxes at these ages.
Loans and debt
High schoolers have a lot to learn about loans. Since many high schoolers head off to college at this time in their lives, it is a perfect opportunity to discuss student loans. Parents and educators must teach them not only how to apply for them but also how to avoid predatory lenders. It is vital to offer them effective security tips for navigating online spending, loans or credit cards.
Learning about loans also comes with understanding debt. You can teach these subjects together naturally. Teach your teens about healthy borrowing habits, the different types of loans and the difference between good and bad debt. Make these subjects a reality for them by discussing how they will pay for college.
Credit scores and credit building
The teenage years are also perfect for learning about credit scores and building credit. Your teen may already know what a credit card is but not know exactly how it works. Teens attending college and entering the workforce must learn how to navigate credit.
Teach them what a good balance is, what they can afford to charge and how to pay off debt. Tie in conversations about interest charges, late payments and credit utilization ratios.
Apps and tools
Below is a list of apps and tools suitable for high schoolers:
- Scam Busters: Scam Busters follows Liam as he tries to help his family avoid being scammed. Perfect for high schoolers, this game introduces students to the world of predatory lending and fraudulent activity.
- Charge!: Charge! is a simulation tool that introduces teens to credit cards. The game explores interest rates and payment periods.
- Stock Market Game: The Stock Market Game is an online simulation of the global capital markets that prepares kids for financially independent futures.