Author Archives: Melissa Hart

Oct 11 2014

Active Learning Strategies

To encourage student involvement and enhance long-term learning (more than memorization), consider the following:

  •  Case studies and simulation allow students to think and reflect, both individually and in groups. These real-world situations allow student to gain a broader view and increase understanding. An analysis of cases helps student develop higher levels of learning and enhances creative problem solving.
  • Concept maps, or frameworks, are visual representations for organizing knowledge and showing connections among various course topics.  Student-created concepts can be used to assess student understanding of relationships among various course concepts.
  • Short writing assignments can a valid gauge of student learning. Using open-ended questions can encourage reflection and feedback on the subject matter. Possible prompts for these short papers might include: (1) What was the most important learning from today’s class? (2) What topic needs to be further clarified? (3) How did you prepare for today’s class? (4) What was most beneficial about today’s class learning environment.:

For additional information on active learning strategies go to:

http://www.facultyfocus.com/articles/effective-teaching-strategies/three-active-learning-strategies-push-students-beyond-memorization/

 Teaching Suggestions

  • Ask students to suggest ideas to enhance their involvement in class.
  • Conduct online research to obtain additional information on active learning strategies.

 Discussion Questions 

  1. What are potential benefits of active learning strategies?
  2. What concerns might be associated with active learning?
  3. What active learning techniques have you used?
Oct 8 2014

Mistakes of Homebuyers

An increasing number of homebuyers are coming into the market. However, along with that trend, is an increasing number of financial regrets due to mistakes such as:

  •  considering that renting may still be a viable financial choice in some situations; for example, if you may be moving due to a job or other circumstances.
  • with rising housing prices and higher mortgage rates, some buyers may not be competitive when bidding on a property.
  • other debts (such as a high car loan) may limit the monthly payment a person can afford.
  • putting too much faith in online property prices, which can give a false sense of true home values.
  • skipping the home inspection can result in not being aware of subtle home defects.
  • unrealistic expectations of the future appreciation of the home.

For additional information on mistakes made by homebuyers go to:

http://www.cnbc.com/id/101837611

Teaching Suggestions

  • Have students research suggestions for avoiding home buying mistakes.
  • Ask students create an in-class presentation with suggestions for avoiding home buying mistakes.

 Discussion Questions 

  1. What actions might be taken to avoid these home buying mistakes?
  2. Describe other difficult situations that a person might encounter in process of buying a home.
Oct 4 2014

Thinking Like A Rich Person

While thinking about getting rich will not get you there, certain attitudes (along with accompanying behaviors) can move you in that direction. In his book How Rich People Think, Steve Siebold makes these suggestions:

  1.  Leverage, the use of other people’s money to make money, is the foundation. Look for investment opportunities that will grow your wealth faster than saving part of your wages as an employee. Look for methods to solve problems to make money.  New products and services are created each day, and some will result in large fortunes.
  2.  Avoid the lottery since only a very, very small number of people will retire using that financial planning path.
  3. Worrying about money is a waste of time. Concentrate on problem solving to make money. Even as an employee, your creativity and innovations can result in a higher salary.
  4. Emphasize investing instead of spending. This action will result in higher wealth.
  5. Use credit to your advantage, not for things you don’t need and can’t afford.

 For additional information on thinking like a rich person go to:

http://www.foxbusiness.com/personal-finance/2014/09/12/5-ways-to-think-like-rich-person/

Teaching Suggestions

  • Have students talk to others to obtain additional suggestions for improving a person’s long-term financial security.
  • Ask students to propose a product or service that solves a problem in our society and could result in future income.

 Discussion Questions 

  1. What are common barriers that people face when taking the actions suggested above?
  2. Describe additional actions that might be taken to create long-term wealth.
  3. What are some examples of problems to be solved in our society that could be the basis for future products or services?
Oct 1 2014

Creating a Low-Cost Food Plan

Spending on food can represent as much as one-third of a household budget.  Despite careful shopping many consumers are able to reduce this expenditure since they want to buy organic, eat a lot of produce, and buy high quality ingredients for cooking at home.

For better shopping (and healthier eating), especially with the possibility of higher food costs in the future (due to rising oil prices, drought, and massive food shortages), consider these suggestions:

  • reduce the variety of foods eaten; focus on 20 items or less
  • limit portions
  • buy seasonal produce
  • find substitutes for foods with the largest price increases
  • simplify your meal planning
  • reduce use of expensive herbs, spices, and other seasonings
  • avoid caffeine, alcohol, over-processed foods, fad-diet foods, and pricey meats

For additional information on creating a low-cost food plan go to:

The 17-Item Grocery Challenge: Creating A Low-Cost Food Plan

Teaching Suggestions

  • Have students interview some friends and family members about their food buying activities.
  • Have students create a video presentation with wise food buying strategies.

Discussion Questions 

  1. What are short-term and long-term benefits (financial and others) of wise food buying and eating healthier?
  2. What are some wise food buying techniques that may be commonly overlooked?
Sep 27 2014

Prescreened Credit and Insurance Offers

Many companies that solicit new credit card accounts and insurance policies use prescreening to identify potential customers for the products they offer.  Prescreened offers–sometimes called “preapproved” offers–are based on information in your credit report that indicates you meet criteria set by the company.  Usually, you receive prescreened solicitations via mail, but you may also get them in a phone call or in an email.

For additional information, go to

http://www.consumer.ftc.gov/articles/0148-prescreened-credit-and-insurance-offers

Teaching Suggestions

You may want to use the information in this article to discuss

  • Why some people prefer not to receive prescreened offers in the mail, especially if they are not in the market for a new credit card or insurance policy?
  • What might be some advantages of receiving prescreened offers?
  • Ask how many students have received prescreened offers and what did they do with them.

Discussion Questions

  1. Can prescreening hurt your credit report or credit score?
  2. How can you reduce the number of unsolicited credit and insurance offers you receive?
Sep 24 2014

Data Breaches and Credit Freezes

News reports of large-scale data breaches–like the September 2014 announcement from Home Depot–have prompted many people to consider a credit freeze.  Also known as a security freeze, this tool lets you limit access to your credit report, which makes it more difficult for identity thieves to open new accounts in your name.

Remember, credit freeze doesn’t prevent a thief from making charges to your existing accounts.  Even if you elect a credit freeze, you still must monitor your existing credit card and bank accounts for charges you don’t recognize.  Also, remember that you can check your credit reports for free, every few months by visiting AnnualCreditReport.com or calling 1-877-322-8228.

For additional information, go to

http://www.consumer.ftc.gov/blog/data-breaches-credit-freezes-and-identity-theft-oh-my?utm_source=govdelivery

Teaching suggestions

You may want to use information in this article to discuss

  • The difference between a credit freeze and a fraud alert.
  • If anyone can see your credit report, is it frozen?

Discussion Questions

  1. Does a credit freeze affect your credit score?
  2. Does a credit freeze stop prescreened credit offers?
  3. How can you place a freeze on your credit report and how do you lift a freeze?
Sep 20 2014

You Tube Videos: Healthcare and Taxes

In September 2014, the Internal Revenue Service announced the availability of new You Tube Videos to help taxpayers get important information about the Affordable Care Act and tax return filing.  These videos on IRS You Tube channel discuss the premium tax credit and the individual shared responsibility provision.  These provisions of the Affordable Care Act will affect tax returns beginning with the 2014 filing year.

In the premium tax credit video, the IRS Commissioner explains how it can help make purchasing health care through the Health Insurance Marketplace more affordable for people with moderate incomes.

For additional information on the tax provisions of the Affordable Care Act go to
http://www.irs.gov/uac/Newsroom/New-YouTube-Videos-Provide-Tips-on-Health-Care-Tax-Returns

Teaching Suggestions

You may want to use the original article to discuss

  • What are the criteria used to be exempt from the Individual Shared Responsibility provision?
  • How and where can you obtain an exemption?
  • Who is subject to the individual shared responsibility provision?
  • What you need to do if you want to be sure you have minimum essential coverage or an exemption for 2014?

Discussion Questions

  1. What will you have to do if you don’t have or don’t maintain your health insurance coverage?
  2. If you don’t have health insurance coverage or qualify for an exemption, how and when must you make an Individual Shared Responsibility payment?
Sep 17 2014

The Credit Card Mistake That’s Costing Millenials

“A new survey from BMO Harris Bank shows consumers are confused on how credit card balances affect credit scores. . .”

While using a credit card is one of the easiest ways to build credit, there are plenty of misconceptions about how best to do that.  According to this survey

  • 39 percent of Millennials—people between ages 18 to 34—believe carrying a balance increases their credit scores. In fact, carrying a balance does not improve credit scores and can actually hurt scores.
  • 23 percent of those surveyed indicated that a person’s educational level affects his or her credit score. In fact, a credit score is based only on the information in your credit report, and educational level is not included in your credit report.
  • 27 percent of those surveyed thought checking their credit scores would lower their credit score. In fact, the opposite is true:  If you regularly check your credit scores, it’s likely you’ll make financial decisions that will improve your credit score.

For more information go to http://finance.yahoo.com/news/credit-card-mistake-thats-costing-103040745.html

Teaching Suggestions

You may want to use the information in this blog post and the original article to

  • Discuss why a credit score is important.
  • Stress the importance of “managing” credit card debt.

Discussion Questions

  1. What affect will your credit score have on the finance charges you pay for credit purchases?
  2. How can your credit score affect your ability to purchase a home or an automobile?
  3. Assume you have a low credit score and have been turned down for a home mortgage. What steps can you take to increase your credit score?
Sep 13 2014

U.S. Job Growth: Eight-Month Low, Labor Force Shrinks

U.S. employers hired the fewest number of workers in eight months in August and more Americans gave up the hunt for jobs . . .”

This Reuters article describes current employment trends and the effect it has on both the economy and the actions of the Federal Reserve.  Specifically,

  • Nonfarm payrolls increased 142,000 in August after expanding by 212,000 in July.
  • The jobless rate fell one-tenth of a percentage point to 6.1 percent in August.
  • The lower jobless rate in August was the result of more people dropping out of the labor force and not because of an increase in working Americans.
  • The Federal Reserve Board and Fed Chair Janet Yellen will use the weakness in the unemployment numbers to keep interest rates at present levels in order to provide a stimulus for the economy.

Specific information about different industry sectors, labor force participation, the number of part-time employees, etc. is also provided in this article.

For more information go to http://www.reuters.com/article/2014/09/05/us-usa-economy-idUSKBN0H008E20140905

Teaching Suggestions

You may want to use the information in this blog post and the original article to

  • Reinforce how the nation’s economy can affect a person’s ability to obtain employment, develop a financial plan, and achieve both personal and financial goals.

Discussion Questions

  1. Assume you are unemployed and looking for a full-time position after graduating from college.  What knowledge, skills, and experience do you have that will make an employer want to hire you?
  2. What steps can you take to provide financial security if you think the economy is about to experience a recession?
Sep 10 2014

Home Depot Data Breach May Top $50 Million

“Home Depot spokeswoman Paula Drake said ‘protecting our customers’ information is something we take extremely seriously.’” 

At the time of this blog, it is not clear how many Home Depot stores or shoppers were involved, but this breach could be one of the largest data breaches to ever hit a retailer.  It is also estimated that the cyber thieves made an estimated $50 million from this breach by selling credit card numbers and personal information.

Home Depot and many other retailers including Target, P. F. Chang’s, Neiman Marcus, and other companies, have all experienced similar data breaches in recent months.  To combat this problem, many companies are beginning to use a new “chip and pin” technology.  Already in use in Europe, the new technology contains a chip in your credit or debit card with account information, requires the user to use pin identification, and is nearly impossible to counterfeit.  Because the new technology has dual verification, card transactions are much, much safer for both retailer and customer.

For more information go to http://www.cbsnews.com/news/home-depot-data-breach-may-top-50-million/

Teaching Suggestions

You may want to use the information in this blog post and the original article to

  • Stress the importance of students monitoring credit and debit card activity on a regular basis.
  • Obtain a credit or debit card with the new chip and pin technology.
  • Encourage students to determine their liability if their credit or debit card information is stolen.

Discussion Questions

  1. Assume you are trying to decide between two different credit cards. One card does not have chip and pin technology and does not charge an annual fee.  The other card does have chip and pin technology, but charges an $85 annual fee?  Which card would you choose?  Explain your answer.
  2. Besides choosing a credit or debit card with chip and pin technology, what other steps can you take to make sure you are not a victim of identity theft?