Teachers Corner Financial Literacy

Teachers Corner Financial Literacy Ideas and lesson plans for Financial Literacy CDVEC Curriculum Development Unit Ireland

Publisher: Design: City of Dublin VEC, Curriculum Development Unit, Captains Rd, Crumlin, Dublin 12, IRELAND Tel: ++353 4535487 CRM Deign & Print Ltd. Unit 6 Bridgecourt Office Park, Dublin 12, Ireland Email: admin@crmdesignandprint.com Cover Design: ad line GmbH für Werbedesign Hintausstr. 20/3, A-2481 Achau, Austria E-mail: isa.farnleitner@ad-line.at Text: Madeleine Mulrennan CDVEC, Curriculum Development Unit, Dublin ISBN: 978-0-946791-34-7 This booklet has been financed by the Directorate-General for Health and Consumer Protection (DG SANCO). Ideas and lesson plans are a selection from the Teachers Corner, within the e-learning programme DOLCETA (Online consumer education: www.dolceta.eu). DOLCETA is managed by EUCEN (European University Continuing Education Network). Your comments are very welcome to miriam.odonoghue@cdu.cdvec.ie

TEACHER S CORNER Contents FINANCIAL LITERACY Page Letter to teachers 2 Financial literacy in the spotlight! 3 How financial education at www.dolceta.eu works? 4 Financial Literacy Teacher s Corner an overview 5 Understanding Risk sample fact sheet 6 Sample lesson plans and teaching and learning materials: Pay your way! Primary level 8 Budgeting for Teens Post-primary level 12 Recognising scams Post-primary level 16 Know your rights! Primary level 20 Taispeán dom an t-airgead! Post-primary level 24 Saving for a rainy day! Post-primary level 28 1

Consumer Education Financial Literacy Sustainable Consumption Exercise your rights. Be informed. Act responsibly! Consumer Rights Services (energy, transport, communication...) Product Safety Sustainable Consumption Financial Services Dear Teachers Dolceta www.dolceta.eu is an on-line consumer education tool which is financed by the European Commission and managed by the European Association for University Lifelong Learning (EUCEN). In April 2010 a new section on financial literacy was added to the site. Given the economic crisis that exists in many countries financial literacy has never been more important for consumers. The financial literacy section of the website contains ready to use lesson plans, fact sheets, games, case studies, worksheets and quizzes on various financial topics, such as investments, budgeting, spending and borrowing. These resources are designed to enable teachers at primary and post-primary level to easily incorporate financial topics into their programmes and classrooms. Dolceta is a Europe wide project comprising 27 country versions, in 21 languages. There are almost 100,000 webpages, 2000 documents and 5,600 quizzes and it is updated on an ongoing basis. Dolceta targets consumers, adult learners and teachers. Other Dolceta sections include: n Financial services, explaining in plain language financial concepts such as savings, investments and loans n Consumer rights, basic consumer rights, e.g. in sales contracts or in price labelling n Consumer education contains lesson plans and teaching and learning materials to use with primary, post-primary and adult learners n Services such as energy, transport and telecommunications e.g. providing consumers with tips and checklists to use before choosing a supplier n Product safety, advising how to buy safe products n Sustainable consumption, containing tips and guides e.g. on sustainable use of heating or on food labelling. A new section, Food Safety, will be launched in 2011. This booklet aims to provide you with an overview of the financial literacy section which will hopefully encourage you to visit the site www.dolceta.eu and to use the lesson plans, activities, resources and links. Enjoy! Dolceta Team (Ireland) 2

Financial literacy in the spotlight! Financial literacy has become increasingly important not just for investors but also for individuals and families. It is essential that a family can balance its budget, buy a home, meet its financial commitments, fund children s education and plan for retirement. People have, of course, always been responsible for managing their finances on a day to day basis but recent developments in world and national economies together with longer life expectancy and changing pension arrangements have made financial education and awareness increasingly important. People need to be equipped with the skills and knowledge to manage their financial affairs and to make considered and rational financial decisions. The need for consumer education has become increasingly evident at European level. This is particularly true in the financial services area, which is especially complex due to its rapid rate of development and the emergence of new products. At the same time, and integral to the day to day functioning of all consumers, particular skills and knowledge are required by consumers to grapple with everyday decisionmaking. http://ec.europa.eu/internal_market/finservices-retail/ capability/index_en.htm Measuring the consumer competency and financial literacy of citizens across Europe has revealed significant gaps in knowledge. Recent studies have shown that consumers are not able nancial Literacy. to get the best deal in financial services. Information given to consumers is often not comparable or easy to understand (1), 79% of Europeans want standardised and therefore comparable information for financial products. In Ireland in a study of the financial capability of Irish adults, which was carried out before the current crisis hit, 62% of people agreed that it is very important or quite important to keep up to date with financial matters, although 16% of people say they do not. The mainstream media were the clear leaders for sources of financial information (2). Today in a rapidly changing consumer society we all operate in an increasingly complex global market, often by electronic means. More and more products are available and consumers are exposed to increasing risks economically, socially and environmentally. Therefore, consumer information and education is vitally important never more so than in the current economic climate Sean Haughey, TD, Minister for Lifelong Learning at launch of Dolceta On-line Consumer Education, December 2009. In this context it is highly appropriate that in Ireland a Financial Competency Framework has been developed by the Steering Group on Financial Education, set up by the Financial Regulator (3). This framework sets out learning outcomes on personal finance that might form the basis of any educational resource that relates to personal finance whether it is formal or informal and sets out the elements that add up to make someone financially competent. 1 Eurobarometer 298 of June 2008: http://ec.europa.eu/consumers/strategy/docs/eurobar_298_summary_en.pdf 2 O Donnell N. & Keeney M. (2009) Financial capability: New Evidence for Ireland. Dublin: Central Bank and Financial ervices Authority of Ireland http://www.financialcapability.ie/files/financial%20capability%20%20new%20 Evidence%20for%20Ireland.pdf 3 Financial Regulator (2009) Improving Financial Capability - a multi-stakeholder approach. Report of the National Steering Group on Financial Education. Dublin: Irish Financial Services Regulatory Authority. http://www.financialcapability.ie/files/sg.report.01jul09.ek.pdf 3

How financial education at www.dolceta.eu works? Experience has shown that it is beneficial to begin the process of consumer financial education as early as possible. The DOLCETA Online Consumer Education website aims to assist in this process and adopts a dual approach to the topic. Firstly, it provides free, online access to information on financial services for the general consumer and, secondly, it provides relevant and age appropriate teaching and learning resources at primary and post-primary levels on topics linked directly to the Irish curriculum. Financial Services (visit http://www.dolceta.eu/ireland/mod2/) In this section, information is available in the following areas: management of the family budget; consumer credit; property loans; running a bank account; means of payment and savings & investments. Each area contains explanatory notes, practical examples and quizzes to enable the user to test their understanding of the topic. Relevant internet links are also available to provide further information. level. The resources, while linked to a particular level or curriculum context, can be adapted to meet the needs of a range of learners at different levels or integrated into a number of subject areas. The materials comprise: n An Introduction to financial education, providing background materials, references and links for teachers. n 12 Fact Sheets present background information on topics that are not already included in the Financial Services section of the website or are covered only briefly or the content is not at a level appropriate for the age groups targeted in the Financial Literacy section. Fact sheets are written in nontechnical language. They can be used by teachers or adapted for use by students. n The teaching and learning materials are presented as four broad headings - spending; saving/investing; borrowing and protecting/insuring. An overview of materials is provided on the following page. Financial Literacy (visit http://www.dolceta.eu/ireland/mod7/) The Financial Literacy resources were developed by a team of experts in consumer education and experienced teachers at primary and post-primary 4

FINANCIAL LITERACY TEACHER S CORNER - an overview BACKGROUND Why teach financial literacy How to teach financial literacy What to teach in financial literacy 12 FACT SHEETS Budget and cash flow Coping with debt Inflation Insurance Investment funds Making a complaint Money On-line banking Paying with a credit card Social finance Student finance Understanding risk 25 LESSONS SPENDING n All about money SAVING/INVESTING n Saving is savvy! BORROWING n Pay your way! PROTECTING/INSURING n Know your rights! n Shopping n Budgeting for teens n Advertising n Recognising scams n Making a complaint about advertising n Taispeán dom an t-airgead! n Comparing saving accounts n Saving for a rainy day n Socially responsible investment funds n Funding the future n Rainy days are never very far away! n I want it now! n Borrowing money to buy my first car n Credit uncovered n Getting a loan from the credit union n Can I borrow money as a student? n How to complain! n Worth the risk? Be safe - insure! n Insuring my car n Risk assessment n The game of risk 5

SAMPLE FACT SHEET Understanding Risk We usually talk about risk when there is a known chance or possibility of loss: Will I realise a high profit from my investment? Will I lose my savings due to financial instability of my bank? People usually make financial decisions based on a perceived/subjective spectrum of probability of different consequences. Some situations have a higher chance of happening (higher probability) and risk can be reduced: You know your bank is new on the market and that it invests its free capital in volatile stock funds. Even though it offers high profit, you probably won t put all your savings on their accounts. You feel that there is a higher chance that the bank might go bankrupt for its unsafe investments and do not want to risk losing all your money. On the other hand, some situations have a lower probability about them, though not impossible, and you can only try to lower the possibility that undesirable consequences will occur: You invested a significant amount of your savings in a conservative deposit fund operated by a well established bank with branches all over the EU. An unexpected/unpredictable situation occurs when the banks officials allow bad investments that deeply affect the bank s cash flow. You will not get any dividends that year. Risky Behaviour! In economic theory, we recognise three different types of personalities according to their relationship to risk: n risk-averse people who are cautious regarding risk and generally try to avoid it, they prefer low, but certain profit. Given a bet with a 50-50 chance of success or failure, a risk averse person will always refuse the bet and will insist on better than 50-50 odds. How much better than 50-50 odds is a measure of their riskaversion. It is generally believed that most people are risk-averse, to some degree at least. n risk-loving people who seek out risk in the full knowledge that the rewards may be great but also that they take the risk of significant loss. A risk-loving person will always take on a bet with a 50-50 chance of success or failure and will even take it on if the chance of success is less than 50%. How much less than 50-50 is a measure of their degree of risk-loving. 6 URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique18

n risk neutral people who are in-between the above two categories in terms of their attitudes towards risk take risk sometimes. They would be indifferent between taking or not taking a bet with a 50-50 chance of success or failure. Optimism bias is a new concept - people tend to be over-optimistic about the outcome of planned actions. Sources of Risk We encounter risk in all areas of finance from saving and investing through paying in different ways, to borrowing. Insurance is probably the most common area to talk about risk but not the only one. Financial risks come from different sources: n n n n n n n risk of theft, loss or damage of personal property risk of illness, injury or accident risk of change in life situation unemployment, retirement, loss of a partner risk of liability for damages caused to third persons risk of identity abuse risk of payments (over internet, with payment cards) and risk linked to saving and investing. How can we n by having all the information Reduce Risk? l compare products and make informed choices read your offers / contracts / bank statements carefully when contracting financial services in foreign countries, make sure you are familiar with local legal system and language. n l l by insuring diversify your savings / investment portfolio - by putting money into different investment instruments you ensure that you don t lose it all at once; see the fact sheet - Insurance, for further information. l l Investment and Risk Everyone who wants to save or invest should ask him/herself the following questions: Do I prefer high profit? if yes, will I be able to bear high risk of loss and low liquidity, or would I prefer lower profit and an easy nights sleep? n l l Making an investment is a trade-off between risk and return. For more Information This fact sheet can be found at URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique18 where you will also find information about textbooks and links to relevant organisations. URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique18 7

PRIMARY LEVEL LESSON PLAN Pay your way! SECTION: BORROWING Target Group Time Curriculum Context 10 12 year olds 4 sessions @ 45-60 minutes duration Literacy, role play, numeracy Learning SKILLS: Outcomes n Active engagement in role play and discussion n Communicating ideas and opinions with peers n Analysing and evaluating data from graphs ATTITUDES: n Awareness of credit card fraud n Familiarity with various methods of paying for services KNOWLEDGE: n Investigate ways to reduce credit card debt n Have acquired some knowledge to enable good financial decision making in the future n Reflect on consumer habits. Teaching and Learning Materials Tool 1: Introduction to Payment Methods Tool 2: Credit Card Components Tool 3: The Do s and Dont s of Using a Credit Card Tool 4: Financial Literacy Cards Flip Chart, mock credit card statement, graph paper (optional) Teaching and Session 1 & 2 can be found on the website. Sessions 3 & 4 are explained here. Learning Session 3: Approach Begin by recapping credit card components from sessions 1 & 2. Teacher displays a mock credit card statement on flipchart / board. Q. Compose a definition for a credit card statement. Q. What are the payment options for the customer?(use the format of Hangman to obtain the following phone banking, bank branch, direct debit, online payment) Q. Within what time frame should the minimum balance be paid? Visit http://www.mabs.ie/process/step2.html as an introduction to the group work that follows on the topic budgeting : Working out a personal budget Working out your income Working out your spending Reducing your outgoings Spending diary. 8 URL: http://www.dolceta.eu/ireland/mod7/spip.php?article35&var_mode=calcul

Part 1 Part 2 Session 4 Compose a credit card statement Give each group a flip chart page and a different credit limit e.g. 200, 500. Include date of purchase, purchase, amount, name of credit card. Encourage each group to overspend. Pupils reflect on ways to reduce their bills Make a list of weekly/monthly income and how much is spent weekly/monthly. Pupils can identify areas where spending can be reduced and income increased. Name the two busiest times of the year when credit cards can be overused. Q. What do you think happens if your monthly balance is not cleared each month? Q. What advice would you give a customer who has a huge credit card debt? (2 suggestions) Keeping Your Card Safe Stimulate discussion in the class based on credit card fraud. Teacher explains chip and pin technology. Mention that PIN arrives separately in the post from your new credit card. List 4 safety tips for your credit card (in groups). Role Play Situation: n A is the Credit Card Holder n B is a Service Provider n C is from Customer Service (credit card provider ) Suggested situations: petrol station, restaurant, shop, a purchase made over the phone... n B distracts A to copy their card n A realises some thing is wrong some weeks later when statement arrives n A panics and contacts the bank n C handles the situation and gives advice. Distribute Tool 3: The Do s and Don ts of using a Credit Card (see following page) and ask the pupils to fill in the missing words to test their knowledge of prudent credit card use. Concluding (see cards on page 11) Activity Distribute a copy of Tool 4: Financial Literacy Cards between every pair. Each pair must compose a definition that is appropriate for the words on the cards. If time allows, pairs can quiz each other informally on their definitions. Glossary Resources and Information Links includes following words: Credit Card, Card, Debit/Laser Card, Pre-paid Card, Store Card Money Advice and Budgeting Service www.mabs.ie URL: http://www.dolceta.eu/ireland/mod7/spip.php?article35&var_mode=calcul 9

worksheet The Do s and Don ts of using a Credit Card Select words from the word bank below and complete each of the following sentences: 1. Do pay your bill in full every if you can. 2. Do allow at least working days for your payment to reach your account. 3. Do switch your credit card provider if you can get better for money. 4. Do stop using your credit card if you have difficulty your bill. 5. Don t use your credit card for long-term borrowing, consider a personal instead. 6. Don t use a second credit card to pay off on the first. Try and your old card. 7. Don t go over your credit or use your card to withdraw cash. 8. Don t just pay the amount each month as it is usually not enough to reduce your balance. month value four debts cancel money limit loan minimum paying 10 URL: http://www.dolceta.eu/ireland/mod7/spip.php?article219

5 d Financial Literacy Cards (work cards) Bank Logo Store Card On-line Payment work cards Financial Literacy Cards Students cut out the 15 cards then compose a definition appropriate for each of the words on their cards. Bank Logo Store Card Chip Tele-banking Gold Card ATM machine Credit Card Monthly income Credit limit Debt Balance On-line Payment Chip Tele-banking Gold Card ATM machine Credit Card Monthly income Credit limit Debt Balance Statement Fraud CCV number Statement Fraud CCV number URL: http://www.dolceta.eu/ireland/mod7/spip.php?article220 11

POST-PRIMARY LESSON PLAN Post-Primary Lesson Plan Title: Budgeting for Teens Section: Spending Budgeting for Teens SECTION: SPENDING Target Group Time Curriculum Context Junior Certificate 12 15 years 1 session @ 40 minutes Junior Certificate Home Economics & Business Studies Learning SKILLS: Outcomes n Students will be able to plan a budget for themselves or for a family n Students will demonstrate their understanding of the concept of balancing a budget ATTITUDES: n Students will appreciate the benefits of budgeting KNOWLEDGE: n Students will be able to explain the key terms related to budgeting. Teaching and Tool 1: Worksheet - Budgeting Learning Tool 2: Worksheet - My Budget Materials Tool 3: Worksheet - Budgeting for a Family Tool 4: Answer sheet - Budgeting for a Family Online Quiz: Budgeting - www.doceta.eu/ireland/mod7/spip.php?article52 Calculators for students Teaching and Session 1 Learning Introduction Approach Question: Has anyone here ever wanted something but couldn t get it because it was too expensive? Explain that today we will be looking at how to manage our money so that we can afford the things we need, and save for the things we want. Tool 1 Worksheet: Budgeting n A budget is a plan for spending and saving n A good budget will make sure there is a balance between the money we earn (income) and the money we spend (expenditure) n If we spend more than we earn, the budget will not be balanced. 12 URL: http://www.dolceta.eu/ireland/mod7/spip.php?article29

Activity I think budgeting is important because Students fill in the speech bubbles on the worksheet with reasons why they think budgeting is important. Examples of suitable answers include: n Reduces stress more financial security n You know exactly how much money you have n Helps you to take control of your finances n Helps you to prepare for large expenses e.g. bills n Helps you prepare for unpredictable expenses n Less chance of overspending n Helps you identify items that are costing too much n Helps you identify where you could be saving money. Steps in planning a Budget 1. Calculate total income 2. Make a list of expenses 3. Give a percentage of the income to each expense Tool 2 Worksheet: My Budget (see page 14) Students work out a weekly budget for themselves. Budgeting for a family Question: Write a list of the expenses a family with two young children might have in order of importance Example: 1. Mortgage/rent 2. Food 3. Household expenses (electricity, heat etc) 4. Transport (car payments, petrol, bus fares etc) 5. Education/childcare 6. Clothing 7. Insurance (medical, house, car) 8. Luxuries 9. Savings Tool 3 Worksheet - Budgeting for a Family When budgeting for a family, it is a good idea to decide what percentage (%) of the income will be spent on each expense. Go through sample budget with students. Case Study: Jones Family Students work out a weekly budget for the Jones family. Teacher can refer to answer sheet (Tool 4). Calculators may be needed for students. Test your knowledge/evaluate the lesson On-line Quiz: Budgeting (see questions on page 15). URL: http://www.dolceta.eu/ireland/mod7/spip.php?article29 13

worksheet My Budget You don t have to be a math whiz to plan a budget. Let s plan a weekly budget for you! In the table below is a list of income and popular expenditure for a teenager. Fill in the table, estimating the average weekly cost of each item. Add up your total income and total expenditure. WEEKLY INCOME Pocket money Part-time job Presents (Christmas/birthday coming up?) Other Total WEEKLY EXPENDITURE Clothes Transport (bus, train, Luas, Dart) Entertainment (cinema, disco etc.) Hobbies Lunches/snacks Toiletries Savings Other Total Did your income cover your expenditure? YES q NO q If no, where can you cut down on your spending? 14 URL: http://www.dolceta.eu/ireland/mod7/img/pdf/tool2_budgeting_final-3.pdf

online quiz Budgeting Quiz Questions Students complete the following sentences by filling in the missing word. 1. A budget is a for spending and saving. 2. A good budget will make sure there is a between the money we earn and the money we spend. 3. The money coming in is called. 4. The money we spend is called. 5. One of the steps in planning a budget involves giving a of the income to each expense. 6. A is a loan you take out to buy property. It is usually the biggest expense for most families. usua 7. Money that is not used for expenses is usually. Answers Plan Balance Saved Income Expenditure Percentage Mortgage URL: http://www.dolceta.eu/ireland/mod7/spip.php?article52 15

POST-PRIMARY LESSON PLAN Recognising Scams SECTION: SPENDING Target Group Time Junior and Senior Cycle, 13 16 years 2 sessions @ 40 minutes each Curriculum Junior Certificate: Context n Social Personal and Health Education (SPHE) n Civics Social and Political Education (CSPE) n Business Studies Transition Year Programme: n Social Studies; Media Studies; Communications Learning Outcomes Teaching and Learning Materials SKILLS: Distinguish between a scam e-mail/letter/phone call/website and a real one Know what steps to take in the event of being the victim of a scam/hoax ATTITUDES: Be a responsible consumer Be aware of how to protect oneself against a scam KNOWLEDGE: Understand the nature of scams/hoaxes Have knowledge of a range of scams that are commonly occur in Ireland Understand the implications of being drawn into a scam/hoax. MATERIALS Flipchart/pad/markers or blackboard/chalk Students require pen and paper Computer with internet access (if available) RESOURCES Tool 1: Worksheet Scam or Not? (see page 18) Tool 2: Handout Top Ten Scams in Ireland (see sample of scams on page19) Tool 3: Worksheet Teenager Targeted Scams Tool 4: Handout How to Protect Yourself Online Quiz: Answer True or False - www.dolceta.eu/ireland/mod7/spip.php?article55 16 URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique33

Teaching and Learning Approach The teacher introduces the lesson by facilitating a brainstorming session on What you understand a scam to be? followed by an explanation of a scam/hoax. The teacher then asks, Have you or any member of your family ever been scammed?. Answers will be documented on the flipchart. This will ascertain the level of understanding of scams. Prompts can be used by the teacher to include media by which scams can occur e.g. scams involving post (chain letters for lottery wins), internet & email (lottery wins, credit card scams), telephone (lottery win phone calls, text messages to download ring tones etc.). The teacher asks the class to work in pairs and hands out Tool 1 - Scam or Not? (see page 18), and asks each pair to complete the worksheet followed by feedback form the students. The teacher facilitates a group discussion on how to spot a scam and what to look out for. There are a number of things to look out for, including: n If it sounds too good to be true, it usually is n You have won a prize but never entered a draw n You are asked for money up front to release your win n You are asked for your bank account details or other personal information n The caller is more excited that you n The stranger who phones wants to be your best friend n You are told you must reply straight away or the money will be given to somebody else. The teacher distributes Tool 2 - Top Ten Scams in Ireland (see sample scans on page 19). The class discusses each one. The teacher again asks the class to work in pairs and hands out Tool 3 - Teenager Targeted Scams and asks each pair to consider each situation and decide whether they were ever a victim of any of the scams outlined. The teacher facilitates feedback from the each pair to the group The teacher facilitates a class discussion on How to protect yourself from a scam? Points that could be included are: n Be aware of what to look out for (see above how to spot a scam) n Don t engage with unsolicited callers on the phone or with unsolicited e-mails/text messages n Don t open suspect e-mails n Don t give out personal and/or bank information. The teacher distributes Tool 4 - How to Protect Yourself to each student and works through each one with the class (visit the site for full details of this section). The teacher outlines what to do if you suspect you have been scammed. Interactive Quiz/Glossary and/useful Information Students can complete the on-line quiz accompanying this lesson. The final section includes a glossary of new words and links section. URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique33 17

worksheet Scam or Not? Indicate yes or no to each of the following statements: Is it scam or not? Yes/No You submitted a scratch card and your name was called out on TV to be in the TV game next week You receive a letter telling you that you won money in a Spanish lottery, however, you never entered a draw You bought a lottery ticket and you have four numbers from the lottery draw You get an e-mail telling you that you won a prize but you never entered a draw You bought a raffle ticket for a local draw and you are told that you have won a prize You are asked for money up front to release your win, but you never entered a draw You are asked for your bank account details by someone who tells you that you have won a prize, but you can t remember entering a draw You get a phone call to tell you that you won a prize and the caller is more excited than you are You wish to book a flight online and you are asked for your credit card details You are told you must reply straight away or the prize money will be given to someone else 18 URL: http://www.dolceta.eu/ireland/mod7/img/pdf/tool1_scam_or_not_final.pdf

discussion sheet Top Scams in Ireland 1The Bogus Holiday Club You are pressurised, usually while on holiday to join a holiday club. But some of these operators are very shady and hit you with hidden costs. The package turns out to be very costly and once you sign up it is very hard to get out of the arrangement. 2The Misleading Prize Offer You receive a letter or a phone call asking you to complete a questionnaire/survey. It takes a few minutes and the information they are looking for seems harmless. If you go along with it you are put on a so-called suckers list and a short time later someone contacts you about a fantastic prize. But in order to collect you must pay a fee or go to a high pressure time share seminar or listen to some other presentation. You will probably be responsible for the travel/ accommodation costs to get there and it often turns out that there isn t a prize at all. 3The Pyramid Scheme These come in all shapes and sizes, from clubs to chain letters. The scheme works by recruiting people so everyone supposedly makes money. People are lured by the promise of free-money. When you join you have to recruit more people so you can move up higher in the pyramid and they in turn form the bottom of the pyramid. As you move up the pyramid you are supposed to get more money. However, the main problem is that pyramid schemes are mathematically impossible and when the pyramid collapses those at the bottom lose everything. The scheme might work for a handful at the start of the scheme, but everyone else is ripped off. 4The Nigerian Letter Scam This scam got its name from the fact that many e-mails appeared to come from Nigeria though the scam could be based anywhere. The scam is usually an e-mail, but it could be a letter or a fax. The person claims to be a widow of a government official or from a charity or business group. The situation usually involves a foreign country and a promise that you will receive a large sum of money. They say all you have to do is send your bank details or pay some kind of advance fee. Your bank account could be emptied before you know it. Source: National Consumer Agency: www.consumerconnect.ie o Details of other scams can be found at: 19 http://www.dolceta.eu/ireland/mod7/img/pdf/tool2_scams_final.pd 19

PRIMARY LEVEL LESSON PLAN Know your rights! SECTION: PROTECTING/INSURING Target Group Time Curriculum Context 5th & 6th class, 10 to 12 year olds 3 sessions @ 45 60 minutes each ICT, literacy, oral language, role play and art. Learning SKILLS: Outcomes n Verbal and written communication when orchestrating a complaint n Acting through role play ATTITUDES: n To be motivated and have the confidence to complain n To be able to question if answers are not forthcoming KNOWLEDGE: n Know the correct complaints procedure n Know how to act responsibly and correctly assess the situation. Teaching and Learning Materials Teaching and Learning Approach Session One Access to computers, Shoppers Rights Cards (NCA), art materials, coloured card, display notice board, dictionaries Tool 1: Cloze Procedure Worksheet Tool 2: Making a Complaint Tool 3: Word search Interactive Online Quiz - www.dolceta.eu/ireland/mod7/spip.php?article6 Introducing the topic Option 1: In advance teacher invites a speaker from the National Consumer Agency or other relevant consumer agency to address the class. Pupils will have pre-prepared questions. Option 2: Teacher orders a set of Shoppers Rights cards from the National Consumer Agency. www.consumerconnect.ie. Distribute cards and allow time for pupils to study them. Questions to prompt discussion: What are the cards for? Do you think they are useful? Who benefits from these cards? Do you think they are they well promoted to the public? Read, discuss and memorise text on the cards. Pupils can quiz each other in pairs. Make a list of the most common complaints from consumers. 20 URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique25

Activity 1: Design a Shoppers Rights poster and display on notice board with a suitable caption and information bites. Activity 2: Visit www.consumerconnect.ie/eng/learning_zone/quizzes/. Complete multimedia quizzes. Session Two Session Three Quiz Resources & Information Links Making a complaint Recap on Session One: Shoppers Rights etc. Comment on posters. Allow pupils to evaluate their own work. Distribute Tool 1: Cloze Procedure Worksheet. Conclusion: Group discussion. Q. Have you or a family member ever complained about any goods /services? Share your experience. Write a paragraph and stick it onto coloured card. Add to notice board. If possible stories could be recorded on Interactive whiteboard and played back to the class for further comment. Distribute Tool 2: Making a Complaint (see page 22) Visit www.consumerconnect.ie and read the section, How to make an effective complaint. The answers for Tool 2: Making a Complaint Worksheet can be found on the website. Divide pupils into pairs and create a telephone drama. Use props if necessary e.g. Ipod, mobile phone. Pupils can vote for the best performance! In larger groups pupils can draft a letter of complaint referring to a particular item. These letters can be added to class display. Consumer Affairs Topics Simplify and read Irish Times article (18 September 2009). Alternative and topical articles can be substituted for the article provided. Promote class discussion. Discuss main points. Print article and add to display. Buying goods in another European country. Visit www.eccdublin.ie. Divide class into groups of 2 or 3 pupils. Each group clicks on an option from the menu. One pupil records information. Another pupil will report back to rest of class. Encourage pupils to type/write information in their own words for the class display. Include illustrations. Review Review all the work which has made up the display. Distribute Tool 3: Word Search (see page 23) Extension work Use a dictionary and look up a definition for words in the word search. Now test your partner! How many of the words can you spell? Know Your Rights On-line Quiz This true or false quiz can be completed in school or at home. www.consumerconnect.ie www.citizensinformation.ie www.eccdublin.ie URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique25 21

worksheet Making a Complaint Suggest three ways to make a complaint. 1. 2. 3. Select the way you think is most effective and explain why. When complaining by phone and by letter, suggest some tips on how to approach the problem and how to resolve it Making a complaint by phone: - - - - - - Making a complaint by letter: - - - - - - 22 22 URL: http://www.dolceta.eu/ireland/mod7/img/pdf/tool2_making_a_complaint.pdf

word search K Complaining Words! PBUKNSFUEGBKJVBGPFJM E F E Y T L S S C O N S U M E R R Y T X B V I H F Z E O N L I N E M J I O Q P T DDGAZRONWJRVNPLJDO I O A I UTVXMRODQERNAAUGE I R L A I T N E D I F N O C Y F E C A C C T L C F F N U C T I N X P O V B T U E J X E O A V H T B Q V B O Z I R L V D R V COXRITNXFFCZTVTDSDQV SOWZNIIGDQSCYPTFLPMU L T L J D W A F M W E O R E P P O H S Q V E N W L P L P W F T T T D L T B P Z Q SMFECWPWFBAAWQLZBNZC O O E K M G M E V D D T D M L C M O Z P C W L L Y U O C Q I Q I H N W J F A V T GMQUBACLAGELAHWOZGYR QXCUTOKOANHXWJZHJZWA M M Y L U I R U D T B Z L G L P M S Q D LCTYGNOPCKWXPGJLXUSE Y X K K O P B N L O J S V R H E W O V R Find all of these words related to consumer complaints in the word search CALM COMPLAINT CONFIDENTIAL CONSUMER COPY DATE DOCUMENTS EFFECTIVE FAULT LEGAL ONLINE PROBLEM PRODUCT RECEIPT RECORD RIGHTS SERVICE SHOPPER SOLUTION TRADER URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique25 23

POST-PRIMARY LESSON PLAN Taispeán dom an t-airgead! SECTION: SPENDING Spriocghrúpa Daltaí Ardteistiméireachta, 15-17 bliana Am Comhthéacs Curaclaim Cuspóirí Foghlama 2 rang @40 nóiméad an ceann Eacnamaíochat Bhaile: Bainisteoireacht acmhainní agus staidéar tomhaltóra Siollabas 2.1.3. Ba chóir go gcuirfimis ar chumas an pháiste na rudaí seo a thuiscint: SCILEANNA n An teaghlach mar aonad airgeadais taistigh den gheilleagar n Ioncam teaghlaigh i dtaca le cúinsí sóisialta; aois;gnéas, oideachas;cultúr DEARCADH n An tábhachtach atá idir oideachas agus pá maith EOLAS n Foinsí Ioncam n Rátaí cánach agus creidmheasa Acmhainní Múinteoireachta agus Foghlama Uirlis 1: Taispeántas sleamhnán Uirlis 2: Billeog Oibre Meaitseáil Suas Uirlis 3: Billeog Oibre Ceisteanna athbhreithniú Modhanna Úsáid an taispeántas sleamhnán don rang ar fad Múinteoireachta agus Foghlama 1. Taispeán sleamhnán 1 agus dean plé air leis na daltaí 2. Freagraí ar shleamhnáin 2-3 3. Taispeán sleamhnán 4 agus déan plé leis na daltaí 4. Freagraí ar shleamhnán 5 5. Taispeán sleamhnán 6 agus dean plé ar cén fáth a mbíonn difríochtaí idir thuarastail dhaoine 6. Úsáid na griangrafanna ar shleamhnáin 7-8 chun na daltaí a spreagadh 24 URL: http://www.dolceta.eu/ireland/mod7/spip.php?article262&var_mode=calcul

7. Billeog oibre 1 le líonadh ag na daltaí 8. Úsáid sleamhnáin 10-16 chun plé a dhéanamh ar na fáthanna sin 9. Úsáid sleamhnáin 17-21 chun plé a dhéanamh ar na cúiseanna nach bhfaigheann daoine oideachas agus cáilíochtaí 10. Tóg isteach mála milseán. Tairg milseán amhái do ghach dalta anois ach abair leo dá mbeidís sásta fanacht go dtí an lá dár gcionn go bhfaighidís trí cinn. Déan plé ar neamhábaltacht an duine fanacht chun sásamh a fháil 11. Úsáid sleamhnáin 23 chun plé a dhéanamh ar na foinsí ioncaim a bhíonn ag teaghlaigh 12. Freagraí ar shleamhnáin 24-25 13. Úsáid sleamhnáin 26-35 chun plé a dhéanamh ar an Liúntas Leasa Forlíontach agus an Forlíonadh Ioncaim Teaghlaigh 14. Úsáid sleamhnáin 36-40 chun a thaispeáint conas an méid FIT a oibriú amach 15. Úsáid sleamhnáin 41-61 chun plé a dhéanamh ar ollioncam, ioncam glan, ÍMAT, rátaí cánach, creidmheasa cánach, ÁSPC, an rannaíocht sláinte, an tobhach ioncam agus ranníochtaí 16. Tabhair amach Billeog Oibre 2 agus iarr ar na daltaí na cesiteanna a fhreagairt Foclóir Liúntas Leasa Forlíontach Is liúntas seachtainiúil do dhaoine ar bheagán ioncam nó gan ioncam Forlíonadh Ioncaim Is íocaíocht sheachtainiúil é FIT do fhostaithe a Teaghlaigh (FIT) bhfuil clann acu An Rannaíocht Sláinte Íoctar an tobhach sláinte ar ioncam inchánach Árachas Sóisialach De thoradh ranníocaíochtaí árachais shóisialaigh Pá-Choibhneasa bíonn tú i dteideal réimse leathan sochar ón Roinn Gnóthaí Sóisialacha agus Teaghlaigh An Taobhach Ioncaim Is cáin ar d ioncam an taobhach seo Íoc Mar a Thuillir (ÍMAT) Dá mhéad a thuilleann duine, is mó cánach a íocann sé/sí Ollioncam Iocam roimh aisbhaintí Iomlán Ioncam Glan Iocam i ndiaidh aisbhaintí. Acmhainní n http://www.citizensinformation.ie agus Gréasáin n http://www.revenue.ie Measúnú ar n Uirils 2: Billeog Oibre an Rang n Ceistiúchán idirghníomhach URL: http://www.dolceta.eu/ireland/mod7/spip.php?article262&var_mode=calcul 25

1 Ní bhíonn a 1Ní 2Bíonn billeog oibre Meaitseáil na daoine thíos leis an cur síos a bhaineann leo: bhíonn a lán airgid le caitheamh ag an dream seo de ghnáth de bharr easpa oideachais, taithí nó cáilíochtaí go leor airgid le caitheamh ag an dream seo. Méadaíonn a thuarastal go rialta mar is minic a fhaigheann siad tuilleadh cáilíochtaí nó faigheann siad ardú céime 3 Titeann an méid arigid a bhíonn le caitheamh ag an dream seo mar titeann a thuarastal go géar. Is minic a ghearrtar a thuarastal ina dhá leath. 4 Tá an dream seo le feiceáil níos minicí san ionad oibre agus líontar folúntais bhainistíochta leis an dream seo níos minicí chomh maith 5Sna 6Sna 7I Daoine agus a n-ioncam na na tíortha seo caitear ioncam teaghlaigh ar riachtanais an tsaoil na tíortha seo caitear cuid d ioncam an teaghlaigh ar rudaí ar nós laethanta saoire measc cultúir éagsúla níl cead ag an dream seo obair lasmuigh den bhaile 1 2 3 4 5 6 7 A. Daoine ar phinsean B. Fir C. An Tríú Domhan D. Déagóirí E. Tíortha Forbartha F. Mná G. Daoine gairmiúla 26 URL: http://www.dolceta.eu/ireland/mod7/spip.php?article263

ceisteanna athbreithniu Ceisteanna agus Freagraí 2. Cad is brí leis na litreacha FIT? A: Folúntas Ioncaim Teaghlaigh B: Forbairt Ioncaim Teaghlaigh C: Forlíonadh Ioncaim Teaghlaigh D: Forlíonadh Ioncaim Tí 1. Cad é Liúntas Leasa Forlíontach? A: Is liúntas seachtainiúil é do dhaoine ar bheagán ioncaim B: Is liúntas bliantúil é do dhaoine nach bhfuil post acu C: Is liúntas é do dhaoine saibhre a bhfuil páistí acu D: Is cáin ar ioncam é 3. Tá triúr páiste ag Tomás. Faigheann sé 450 in aghaidh na seachtaine. Cé mhéad FIT a bhfuil sé i dteideal dó? A: 107.60 B: 703 C: 53.52 D: 64.56 4. Cad é ollioncam? A: Ioncam i ndiaidh aisbhaintí B: Ioncam roimh aisbhaintí C: Ioncam teaghlaigh D: Ioncam an duine singil 5. Cad is brí leis na litreacha ÍMAT? A: Íoc mar a thuilltear B: Íoc mar a thuigtear C: Íoc mar a thugtar D: Íoc mar a thógtar 6. Cad é an ráta cánach do dhuine singil? A: 36,000 @ 20%, Iarmhéid @ 41% B: 40,000 @ 20%, Iarmhéid @ 41% C: 36,000 @ 21%, Iarmhéid @ 40% D: 40,000 @ 21%, Iarmhéid @ 40% URL: http://www.dolceta.eu/ireland/mod7/spip.php?article264 27

POST-PRIMARY LESSON PLAN Saving for a Rainy Day! SECTION: SAVING/INVESTING Target Group Junior Certificate, 12 15 years Time 1 session @ 40 minutes Curriculum Context Junior Certificate Home Economics & Business Studies Learning SKILLS Outcomes n Communicating n Investigating n Identifying n Filling in an application form ATTITUDES n To adopt good saving habits KNOWLEDGE n Knowledge of savings terminology n How to set up a bank account Teaching and Learning Materials Worksheet: Saving for a rainy day! Fact sheet: Budget and Cash Flow Information sheet: Opening a bank account Activity: Filling in an application form to open a bank account On-line quiz: Savings - www.dolceta.eu/ireland/mod7/spip.php?article64 Teaching and Learning Opening Question: Ask students if they have ever wanted to buy something but did not have enough money? If so what did they do? Possible answers n Ask parents for money n Save up for the item n If you had a credit card you could use it. 28 URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique36

Group work 1: Put students in pairs and have them discuss which option is better? Students hopefully say saving. Worksheet: Saving for a rainy day (see page 30) What is saving? Putting an amount of money aside regularly (every week/month). What things might a person save for? Students answer either individually or in pairs e.g. an item such as laptop, Ipod, an event such as holiday, a rainy day. Why is it a good idea for a family to save? Students answer either individually or in pairs (link to Fact Sheet Budget and Cash Flow ) Possible Answers n Future security in the event of an emergency e.g. job loss n Used for small items e.g. pair of jeans n Reduce need for credit when buying large items e.g. car n Creates financial record useful when getting a loan n Save for special occasions e.g. gift for someone n Can earn interest if you have a savings account n Sets a good example for others e.g. children Methods of saving include: Piggy Bank, Bank, Post Office, Building Society, Credit Union. Considerations n Interest rate: The percentage at which you are paid for saving your money in a particular account n Ease of withdrawal: How easy it is to take your money out of the account? Information Sheet: Opening a Bank Account (Guide students through this information sheet). Activity Filling in an application form for a bank account. On-line Savings quiz This can be completed in class or at home. Links to Relevant Organisations Money Advice and Budgeting Service http://www.mabs.ie/ National Consumer Agency http://www.itsyourmoney.ie/ URL: http://www.dolceta.eu/ireland/mod7/spip.php?rubrique36 29

worksheet Saving for a rainy day! Saving means putting an amount of money aside regularly (every week/month) What things might a person save for? 1. 2. 3. 4. Why is it a good idea for the family to save? 1. 2. 3. 4. Suggest the most common methods of saving used by families. 1. 2. 3. 4. What are the factors that would influence ones choice of savings method? 1. 2. 30 URL: http://www.dolceta.eu/ireland/mod7/img/pdf/tool1_worksheet_- _Saving_for_a_rainy_day_1_.pdf

information sheet Opening a bank account When opening a bank account you will usually be asked to: 1. Prove your identity This is to prevent criminals from opening accounts under false names to hide money they have stolen. Forms of acceptable photo identification include a passport or drivers licence. 2. Prove where you live Present a document that has your (or your guardian s) name and address on it e.g. household bill, phone bill. 3. Prove that you are a student Banks usually offer free banking to students. You can ask your school/college to give you a headed letter confirming that you are a student. 4. Fill in an application form If are under 16 years of age, this form must be signed by a Parent/Guardian. Key terms on application form Account number: the number the bank uses to identify your account as they may have another customer with the same name as you. NSC: (National Sort Code) A number given to each branch of a bank for internal purposes. Mandatory: Sections of the form that are mandatory and must not be left blank. Gross Annual Income: The amount of money earned per year before tax deductions. URL: http://www.dolceta.eu/ireland/mod7/img/pdf/tool2_information_sheet _-_Opening_a_bank_account_1_.pdf 31

Dolceta (Financial Literacy) is managed in Ireland by the CDVEC Curriculum Development Unit, Captains Rd, Crumlin, Dublin 12, IRELAND Miriam O Donoghue, Deputy Director, CDVEC Curriculum Development Unit Madeleine Mulrennan, Dolceta Team Manager, CDVEC Curriculum Development Unit Development Team for Financial Literacy Pat Brennan Primary Teacher/Project Manager TeachNet Ireland H2 Learning, Dublin Finola Butler Support Officer Further Education Support Service, CDVEC Curriculum Development Unit, Dublin Tommy Flynn Post-Primary Teacher, St Mary s College, Dundalk, Co Louth Enda Kenny Post-Primary Teacher, Collinstown Park Community College, Dublin Deirdre Phelan Co-ordinator, Student Council Support Mary Sheehy Support Officer Further Education Support Service, Wicklow VEC Jenny O Donoghue Post-Primary Teacher, Wesley College, Dublin Sarah Ganly Primary Teacher, Assumption G.N.S., Walkinstown, Dublin 12 Maura Griffin Post-Primary Teacher, St Vincent s Secondary School, Dundalk, Co. Louth

Teachers Corner Financial Literacy DOLCETA - E-Learning-Programme for teachers Financial Literacy Ideas for Teachers The Financial Literacy Teachers Corner is designed to assist teachers with financial literacy in the classroom. The resources on the website include 25 lesson plans for Primary and Post-Primary level students, each one designed to link to an aspect of the curriculum; fact sheets on financial topics; Powerpoint presentations; games; case studies; worksheets and online quizzes on various financial topics such as investments, budgeting, saving and borrowing. This booklet includes a sample of these teaching and learning resources. Visit www.dolceta.eu/ireland to see the resources in full. EU ISBN: 978-0-946791-34-7