1. Let’s Talk Money! Presented by © 2010, 2013 Wells Fargo Bank, N.A. All rights reserved. For public use.

2. Does this sound familiar? Source: The Student Market: Financial Insights (Synergistics) 2011  Seventy-five percent of students in the U.S. agree that the state of the economy makes them very concerned about their financial future  They also say they would value financial information on developing a budget, saving for a specific goal, understanding credit scores and managing credit.

3. Your money know-how  Current climate  Basics of money management  Why a spending plan  Debit Card  Credit & you  Student loans  Protecting your money & information

4. Today’s climate….  Challenging economic conditions  Competition for jobs  Costs of housing  Tight credit market Here are some facts…

5. Student financials  Two-thirds of college seniors graduated with loans in 2010, and they carried an average of $25,250 in debt.  The Class of 2010 also faced the highest unemployment levels for new college graduates in recent history: 9.1% (still less than half the unemployment rate for young adults with only a high school diploma). Source: The Project on Student Debt,2011 www.projectonstudentdebt.org

6. Basics – right starting point  Manage your accounts  Checking, saving, credit card and debit card  Keep track of all your “spending”  If you don’t have it – don’t spend it!!  Use account options to save you $$ and time  Mobile and online banking  Account alerts  Direct deposit

7. Your responsibility to avoid overdrafts  Overdrafts occur when there is not enough money in your account to cover a transaction and the bank pays it on your behalf  You need to know your available balance*  Keep track of all your transactions  Remember the bank's available balance may not include all your transactions  Stay alert to your account activity "The amount of money in your account that you can use or withdraw. This balance may not reflect all of your transactions, such as checks you have written or debit card transactions that have been approved but not yet submitted for payment by the merchant."

8. Question? How many of you would go online to “shop around” for the best price for an item like concert tickets, computer equipment, etc.?

9. Spending Plan  Your plan – your money  Planning saves you $$  Minimizes “out of control” spending  Easy tips for saving  Automatic monthly transfer  New money: ½ for you – ½ for savings  Shop for thrift – save for excitement

10. Your basic budget Monthly income – Monthly expenses  Housing  Food  Clothes  Books & supplies  Savings  Fun  Misc. (emergencies)

11. Debit Card Allows you to:  Enjoy a faster, safer, easier way to pay for everyday purchases  Make bill payments with your service providers  Perform ATM transactions  Different from a credit card  Money comes out of your primary checking account linked to the card  Track Debit Card purchases anytime  Through online banking or on your checking statement

12. Debit Card  Why is it important to know your Daily Dollar Limits (DDL)?  Where can you find your DDL?  What is Zero Liability?

13. Let’s talk credit  How many of you have more than one credit card?  Received an offer for the card in the mail or online?  Actually know what your Annual Percentage Rate (APR) is?

14. How did you use that card? Coffee & Pizza – 1 year 200 expressos @ $3 $600 100 pizzas @ $15 $1,500 Total credit card debt: $2,100 So at @12% interest w/min. payment Yikes…7 years to pay off + $700 in interest – total cost to you is $2,800!

15. Your credit basics  Exactly what is credit?  Why should I care?  How do I get it?

16. Credit card realities  It’s a loan  Limits are real  So many offers  Rewards  Cash back  Personalize But...

17. Select your card by costs! A few things to consider: Annual Percentage Rate (APR) Fees & Penalties Cost of cash advances Rate increases Payment cycle Annual fees These are the REAL need to knows…

18. The cost of APR Card Balance Interest Rate (APR) Minimum Payment Interest Paid $1,00014%$25$669.96 123 Months of payments Total paid $1,669.96 $1,0008%$25$289.93 97 Months of payments Total paid $1,289.93 You’ve just charged $1,000… Illustration only

19. The costs of minimum payment You have got to have this $1,500 computer! Card balance$1,500 APR14.7% Lowest payment:$40 51 months & $521 interest >$2,021 Double lowest payment:$80 22 months & $215 interest >$1,715 Illustration only

20. The cost of credit card cash advance Card limit$1,500 Cash advance$1,000 APR24% Fee5% of amount of borrowed Minimum payment $35 It would take 47 months to pay off paying a total of $1620 including $570 in interest Illustration only

21. Your credit profile  Credit report  Credit score  Why should I care?  Your job or housing  Check yearly Annualcreditreport.com

22. Question? What was the average student loan amount I mentioned earlier?

23. Paying for college  Be smart about where you get money for college  First, use money you won’t have to repay like scholarships and grants  Next, consider money you work for through a work- study program at your school  Then, use student loans  Federal student loans – apply for these by completing a Free Application for Federal Student Aid (FAFSA)  Private student loans – available from private lenders to cover additional costs  If you need to borrow  Borrow only what you need  Keep track of your loans and estimate your eventual monthly payments  Be realistic about your starting salary

24. Salary realities Can you guess the annual average salary for these jobs?  An Accountant  A Public School Teacher  A Registered Nurse  The median starting salary for students graduating from four-year colleges in 2009 and 2010 was $27,000. Source: John J. Heldrich Center for Workforce Development at Rutgers University

25. Responsible borrowing  Do you understand your student loan?  Who is your lender?  What are your loan terms?  What are your rights and responsibilities as a borrower?  What are your repayment options?  How are you going to repay your loan?  What is your financial plan? Did you answer “I don’t know” to any of these questions? Then run—don’t walk—to your financial aid office or your lender!

26. You can start to manage now  While you are in school  Know your student loan total – build it into your spending plan (future expense)  Consider making interest payments while in school  After graduation  Stay connected with your lender  Discuss payment options  Your effort is key

27. What personal info do you need to protect?  Credit cards and reports  Social Security card and driver’s license  Account numbers  ATM and telephone calling cards  Mortgage statements  Date of birth  Passwords and PINs  Home addresses and phone numbers

28. Internet ID theft schemes Phishing: A criminal attempt to obtain personal info using email spam Pharming: A scam in which a malicious code is installed on a personal computer or server, misdirecting users to fraudulent websites without their knowledge or consent

29. Defend yourself!  Shield your PC and wireless router with firewalls and software to catch viruses, spyware and crimeware  Avoid unknown sites offering free music and game downloads  Ignore and delete emails urging you to click on a link to verify or provide account information

30. For more information….  Visit the Hands on Banking ® program: www.handsonbanking.org

31. Thank You! © 2010, 2013 Wells Fargo Bank, N.A. All rights reserved. For public use.