Now, more than ever, it’s important to teach your teen about the importance of financial smarts! There are a few simple things they can start doing now to really help them out in the future.

1. If they don’t already have a savings and checking account, it’s a good idea to set them up with one. Teach them the importance of putting money in their savings account each month. That way, when an unexpected bill pops up- they won’t have to turn to a cash advance.

2. Encourage them to get a part-time job while they’re still in school. Having a job will teach them responsibility as well as how to handle money.

3. Encourage them to focus on their studies and explain the importance of scholarships and grants. This way, they’ll avoid having to take out huge student loans for college. They’ll thank you later, when they don’t have student loan payments that cost as much as their rent.

For more information on reforms on student loans, checkout the Whitehouse Blog- student loans.

The money saved will go back into the federal Pell Grant program, hopefully, bridging the gap in rising tuition costs. The reforms will also cap college graduates’ annual student loan repayments at 10% of their income, revitalize community colleges, and increase support for Minority Serving Institutions.

Tips on paying back student loans