A multi-agency government commission has released a report recommending colleges offer mandatory financial literacy programs to educate students on loans and college debt.
The report, “Best Practices for Financial Literacy and Education at Institutions of Higher Education,” was produced by the U.S. Financial Literacy and Education Commission (FLEC). The commission is comprised of 23 government departments, including the departments of Treasury, Labor, Education, Defense, and the White House Domestic Policy Council.
The report estimates that more than 43 million individuals in the U.S. collectively owe more than $1.5 trillion in student loan debt.
[RELATED: FREE, FREE, FREE: 2020 Dems dish up higher ed policies]
“Helping students and their families avoid the pitfalls associated with financing higher education, and empowering them to make optimal financial choices, should be a priority of all institutions of higher education,” the report introduction states. “In order to provide guidance to these institutions, this report establishes best practices for teaching financial literacy and providing information about making financial decisions.”
In addition to suggesting mandatory financial literacy courses, the report officially recommends the integration of financial literacy into the core curriculum of universities, peer educators of financial literacy to be incorporated in colleges, as well as encouraging institutions to communicate financial information more frequently to students.
“Institutions should communicate with students about financial topics more often than upon entrance and exit,” the report recommends. “Financial education might be provided before the start of classes, and as early as acceptance, and be provided in courses throughout the student’s educational experience.”
[RELATED: Grads from Ivy League schools pay least in student debt]
“In addition to or instead of orientation or student success, financial education could also be part of courses to meet general education or distributional requirements, such as quantitative reasoning and/or social studies,” the FLEC report continues. “Institutions could follow the lead of elementary and secondary schools by integrating financial education into math, economics, civics, other social studies, and business and family education courses.”
Read more: https://www.campusreform.org/?ID=13342