Afena FCU: Afena FCU debuts student credit card program
| Recipient | Teens in Grant and surrounding counties |
|---|---|
| Timeframe | Card debuted in April 2011 |
| Indiana Congressional District 5 | |
Afena FCU is offering a new credit card program to high school students which seeks to educate and empower students to use credit wisely. This program will allow students to gather real world experience to provide a great foundation for good credit.
Afena FCU will give all interest income generated back to local high schools to provide additional funding at a time of extreme budget cuts. The program teaches students how to use credit responsibly before they attend college. Students participating in this program will have access to financial counselors and are required to attend a class which ties into participation in the NEFE High School Financial Planning Program.
The card has a $100 limit to prevent overspending or accruing debt. Student information is not reported to the credit bureau, so students have the opportunity to earn history with the credit union, learn from mistakes and correct them without being penalized.
According to CFO Janet Shaffer, “Far too often students graduate high school, and get accepted for a credit card not fully understanding how to use credit wisely. Most students who graduate high school are completely unaware of the responsibility and consequences that come along with using credit poorly, having “bad” credit, and developing too much credit card debt.”
Shaffer belongs to the League’s ignite program. Her group developed the student credit card education program, and Afena FCU volunteered to be the first to implement it. Afena FCU is committed to ending the cycle of bad credit and poor financial education. “It is our goal to help every member better their financial lives,” said CEO Sheila Burkhart.
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