School Banking: Yes or No?

I spoke a couple of weeks ago about the plans of the SA Australian Education Union, and the SA Labor Party, to completely do away with school banking.

Just punt it totally.

In an age of increasing household debt, I thought that was a bit off.

Especially because there was no plan to introduce anything else to go with it.

Saving, like all habits, starts early. IMAGE: Studioroman/Canva

Now, Scott Pape enters the conversation.

He’s no fan of the Dollarmites either, but he has suggested that financial literacy becomes a formal school subject instead.

I will declare I love the idea of school banking, and not just because it teaches kids about the concept of saving.

It actually DOES help kids save.

Now, the question is then raised about whether the bank involved makes more money because they get a monopoly on school banking.

That’s a fair point.

But how many kids grow up without a savings account already in their hands?

This is why I love the idea of school banking.

Do you want to remove the colourful little cartoon characters and stop kids being drawn in that way?

Well, I don’t know if it’s a great idea given how much kids love colour and music, but why not have the government create their own little cartoon characters?

You can spread the programme among different banks if you don’t want one to have a monopoly.

But doing away, totally, with school banking just doesn’t sit well with me.

Nothing would help someone more than having a savings account already established in their name before they even enter the workforce.

It seems too often we’re taking a sledgehammer to a problem that can be solved with a spanner.

I understand some families are hard up for money, but a dollar a week for a child in primary school would leave them with $320 when they finish primary school, with that soon to be $280.

Saving is vital, even if governments aren’t doing it right now.

Please don’t take away something that can help kids in the future when you can tweak it and make it more about learning rather than marketing.