BankMarketingCenter

It’s a financial literacy test, and a full 66% of Americans cannot answer more than 3 out of 5 questions correctly.

April is Financial Literacy Month, a time when we recognize the importance of financial literacy and how we are doing at this as Americans. If you recall, we discussed this just about a year ago in our blog “Financial Literacy becomes Required Subject.”

So, what has changed since then?  On March 11, 2020, according to the World Health Organization, the Coronavirus Disease 2019 (COVID-19) officially reached pandemic status. Families across the globe are now faced with a crisis unlike any in their lifetimes. A crisis not only of health, but also of financial wellbeing. As you can imagine, there is no better time than the coming months to talk about financial literacy and the importance of sound financial management.

This is a tremendous opportunity for financial institutions. In order to properly prepare our children for the huge leap into adulthood it is imperative they are equipped with tools to properly manage their money, obtain and maintain credit, plan for their future savings, budget their expenses, and much more. Who are the parents of those children so in need of an education in how to manage money?  Your customers.

According to the Council for Economic Education, fewer than a third of the high schools in the U.S. require high school students to take a personal finance class in order to graduate. And one in five 15-year-olds in the U.S. lacks basic financial literacy, according to the Program for International Student Assessment, as outlined in a US News and World Report article, 8 Scary Financial Statistics and How to Avoid Becoming One. Concepts such as student loans, interest rates, qualifying for a mortgage, credit, and balancing a checkbook are proving to be foreign concepts to many Americans. Recent studies show that “Americans demonstrate relatively low levels of financial literacy and have difficulty applying financial decision-making skills to real life situations. Study participants were asked five questions covering aspects of economics and finance encountered in everyday life. In the U.S., 66% are unable to answer more than three of the five questions correctly” – a worrisome figure!

What happens when young people do not achieve a good foundational understanding of money management?  They become the elderly Americans who are not prepared for retirement, of which there is an absolutely staggering number. According to a pre-Covid 19 survey done by the Federal Reserve Board, around 40% of U.S. adults do not have enough money in their savings account to cover a $400 emergency or household expense.  That financial situation has, unfortunately, worsened for many Americans.

Given the uncertain economic times we now face, and we could face tough times for quite some time, it’s critical that young people know how to earn, save, invest, and spend their money.  And as a financial institution, the lessons you help their parents teach will benefit them (your customers), their children (your future customers) and, therefore, your bottom line. By providing your customers with just a few of the basic tools and guidelines they need to educate their children in financial literacy, you can enhance your brand image while helping your future customers better understand, and value, the products and services you offer.

For more information on how BankMarketingCenter.com can help your bank with messaging that stresses the importance of financial literacy in a Covid-19 world, contact Neal Reynolds at 678-528-6688 or nreynolds@bankmarketingcenter.com

Financial institutions have a tremendous responsibility, now and in the coming months. Because right now, your customers are engaged in the financial struggle of their lives.  According to the 2019 U.S. Financial Health Pulse report, less than 30% of Americans are considered financially healthy enough to get through a single month on their savings.  When asked about their financial status, 54% reported “struggling” and nearly 20% described themselves as “vulnerable.” And, sadly, that survey was conducted even before Covid-19 swept the nation.

Your customers need your assistance. They need your assurance.  As their financial institution, what is your message going to be? Here is some of the messaging we’ve created for our banks, which they in turn have put to good use reaching out to their customers.

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CARES Act Loans now available

The Coronavirus Aid, Relief, and Economic Security (CARES) Act allocated $350 billion to help small businesses keep workers employed amid the pandemic and economic downturn.  But with 35 million small businesses in the US, these loan dollars will be distributed quickly. Make sure that your small business owner customers know about this opportunity!

Client Spotlight: Equitable Bank

Alison Larson, Vice President, Marketing Director at Equitable Bank, needed new creative that she could use to let her customers know about SBA Loans that could be available to small businesses. She was able to customize our “Coronavirus SBA Loan - Shot In The Arm” layout to perfectly match her bank's brand and get the message out to her customers via social media.

"That particular one I added to LinkedIn with some links to content I thought our small businesses might be interested in. I may add it to Facebook, too."       - Alison Larson

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They’re Safe. And So Is Their Money.

Customers are still very concerned about their safety… and the safety of their accounts and investments. Provide them with the peace of mind they need with messaging that assures them that you’re taking the necessary steps to ensure both their personal health… and wealth.

Client Spotlight: Lifestore Bank

April Hartzog, Marketing and Process Coordinator at Lifestore Bank, wanted to guide her customers in alternative ways that they could still access her bank's services. She was able to easily customize our “Coronavirus - You Don’t Have to Walk In” layout to focus on online and mobile banking, and even included steps to make it easier for her customers to get started.

"I really appreciate the groundwork being done already by Bank Marketing Center. As the only person creating marketing and communication pieces for our bank and updating the website with current information, I just did not have time to create anything from scratch. It was fast and easy to find a layout that worked and to edit it.”           - April Hartzog

 Client Spotlight: American Nation Bank

Kevin Butler, Executive Vice President at American Nation Bank, decided to go in a different direction giving his customers peace of mind during unpredictable times. He needed to create content that reflected what his community needs right now. He was able to customize our "Coronavirus - Economic Stimulus” layout to focus on his bank’s payment deferment options so that customers seeking financial relief knew what actions they could take immediately. 

"We are in a constantly changing environment. New government programs along with waiting for guidance from the government as to how to implement them are a struggle. Yet we need to be united in our message as to the overall strength and stability of our banking system. We need to encourage calmness in a time of stress."  - Kevin Butler

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Signs of the Times… Unfortunately.

Closing branch offices? Let customers know with closure signs that are quick and easy to customize and print in whatever quantity you need.

Client Spotlight: United Republic Bank

Amy Keltner, Executive Assistant & Marketing at United Republic Bank, needed to quickly inform her customers of a temporary Saturday closure of the bank's lobby without spending too much time developing content. She was able to customize our “Coronavirus Closing - Temporary Closure” layout to inform her customers about alternative ways they could still access their accounts and bank services.

"During this ever busy and mind-boggling time in keeping things going, it is great to have these various templates and not having to create the wheel but just make it your own.”         - Amy Keltner

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For more information on how BankMarketingCenter.com can help your bank with the critical messaging needed during this Covid-19 crisis, contact Neal Reynolds at 678-528-6688 or nreynolds@bankmarketingcenter.com