FOR IMMEDIATE RELEASE Contact: Tricia Jaworski Morningstar Communications Company 913-851-8700 ext. 59 tricia@morningstarcomm.com Achieve Financial Independence Week™ October 16 – 22, 2005 How Americans can learn to depend on themselves for financial independence (KANSAS CITY, Mo.) – More than 80 percent of college students have a credit card, according to campusdoor.com. Just under half have four or more. With climbing credit limits and tempting interest rate offers, credit cards are the norm for America’s youth. When spending gets out of control, the consequences can follow students well beyond their college years. Achieve Financial Independence Week™, created by Stowers Innovations, Inc. and supported by American Century Investments, Nationwide Insurance and JPMorgan Retirement Plan Services, focuses on educating young adults and people of all ages on the dangers of irresponsible spending. The following top ten tips, based on the Yes, You Can… book series written by Stowers Innovations, Inc., give teachers ways to reach out to middle- and high-school students before they get to college, and teach them about achieving financial independence. The Devil is in the Details – As credit card companies blanket college campuses, students – especially freshman – will have to sort through an array of seemingly attractive interest rates and credit limits. Students need to read the fine print, as many of the lower interest rates are introductory and will rise in just a few short months. Just Say No – According to the Consumer Federation of America, many students accumulate debt due to peer pressure and lack of knowledge about just how adversely their future credit could be affected. Teach students to ignore credit card offers and "just say no." Freedom at Last? – For bright-eyed and bushy-tailed 18-year-olds, college marks the passing to a new era: no curfews and pizza for dinner every night. But financial independence means more than freedom from mom and dad. Students should learn the importance of appropriately managing their finances for life — the parental safety net won’t be there forever. It’s Never Too Early – The earlier you start saving for retirement, the better. Showcase a lesson on the math of compounding interest. The difference between ten years of investing can be tens of thousands of dollars . Needs vs. Wants – For the college student, financial naiveté can make it hard to decipher needs from wants. Lead students through an exercise on really determining which purchases are necessary and which can wait. Financial Fitness – When it comes to physical fitness, we know the importance of exercise to maintain good overall health. Good financial health entails regular exercise of the brain. Students should read up on the latest financial and economic news so they understand how it will impact them and their decision-making abilities. Establish Good Habits Now – The late teens and early twenties are key years to establishing habits students will take with them into adulthood. By implementing basic principles now, students can give themselves a better chance of reaching financial independence. Budget Basics – Budgets are a fact of life. Students will need the skills to manage not only their personal budgets, but those of future employers as well. Solid budgeting skills will go a long way to achieving financial independence. Worst Case Scenario – A look 10 years down the road at a life without financial independence brought on by out-of-control college credit card debt paints a dire picture. Show students the very real life-limiting consequences of overspending. Poor credit history can ruin chances of purchasing a house, a car or other things they’re sure to want later in life. Visualize Success – Financial independence can be achieved. Ask students to think about their financial life goals. What will happiness mean to them? Retiring early? The ability to travel the world? By thinking ahead, students can better reflect on planning to achieve their goals. About Achieve Financial Independence Week Created by Stowers Innovations, Inc., Achieve Financial Independence Week™ helps raise Americans’ awareness of their own spending and saving habits, and provide people of all ages with the strategies and information they need to achieve financial independence. The week is supported by American Century Investments, Nationwide Insurance and JPMorgan Retirement Plan Services. Achieve Financial Independence Week features a variety of educational activities designed to make individuals aware of the resources and people who can help them dramatically improve their financial position. They focus on: Monday: Reviewing and Reflecting on Financial Goals Tuesday: Protecting Your Assets with Insurance – sponsored by Nationwide Insurance Wednesday: Investing Wisely – sponsored by American Century Investments Thursday: Planning for Retirement – sponsored by JPMorgan Retirement Plan Services Friday: Increasing Your Financial Literacy – sponsored by Stowers Innovations, Inc. Get a PDF version of this page here.