Grundy Bank encourages parents to teach kids about finance

Grundy Bank said many kids are working for extra cash during the summer months, which makes the summer a good time to teach children financial lessons that will last a lifetime.

“It’s never too early to begin teaching children the basics of finance,“ said Kevin Olson, President and CEO of Grundy Bank. “We encourage parents to expose their children to experiences like visiting the bank, budgeting and paying bills.”

Grundy Bank said in a Tuesday news release that it’s a proud supporter of financial literacy within local high schools, summer camps and social organizations, and it offers examples of teachable moments that can help parents get started.

· At the bank: When going to the bank, bring children along and show them how transactions work. Get the manager to explain how the bank operates, how money generates interest and how an ATM works.

· On payday: Discuss how pay is budgeted to pay for housing, food and clothing, and how a portion is saved for future expenses such as college tuition and retirement.

· At the grocery store: Explain the benefits of comparison shopping, coupons and store brands.

· Paying bills: Explain the many ways that bills can be paid, like over the phone, paper or by check, electronic check or online check draft. Discuss how each method of bill pay takes money out of the account. Be sure to cover late penalties, emphasizing the importance of paying bills on time.

· Using credit cards: Explain that credit cards are a loan and need to be repaid. Share how each month a credit card statement comes in the mail with a bill. Go over the features of different types of cards, such as ATM, debit and credit cards.