Game focuses on financial planning

October 1, 2007 —

by Doug Julian

Business administration and management sophomore Chrissy Mandeville is left with a a mere $100 after poor budgeting in The Money Game.

An event to help students manage their money better better was held Tuesday in the Rhea Miller Recital Hall.

Chief Executive of the National Financial Educators Adam Carroll gave students a little more insight with his speech entitled "The Money Game: You're Already Losing, Do you Want to Know the Rules?"

Carroll made the claim that college students are set up to lose the game with money because no one has taught them the rules, and emphasized the main mistakes that most college students make and how to avoid them, as well explaining how to get of debt difficulties, the dangers of credit cards, and the tricks to investing money as soon as possible.

The Essential Money Skills most clearly defined in the talk were balancing a checkbook, using a monthly budget, limiting impulse buys, having the proper bank accounts, eliminating and avoiding extra fees, and understanding interest.

In regards to interest, Carroll was adamant that students start to save and invest whatever money they can while still in school. He used students in a visual example of how quickly money slips away and how much easier life is in the long run for "The Saver" as opposed to "The Spender."

Carroll quoted Albert Einstein when he said, "Compound interest is the eighth wonder of the world" and suggested that students cash in on that wonder as soon as possible.

He also mentioned that $8 billion in scholarship money goes unspent per year and is relatively easy to get a hold of, and that the best way of dealing with credit cards is to follow the phrase, "If you can eat it, drink it, or wear it, don't put it on plastic."

Kalenga Pembamoto, a member of the Mu Phi chapter of Delta Sigma Pi spoke for the fraternity when she said that they would like for such talks to become an annual event on campus, as their goal is to build career and professional awareness in the community.

She also said that this seminar was a bit different from the kinds of events the fraternity generally put on, which range from interview sessions to having professional speakers give tips on career building.

In her opinion, the biggest mistake most college students make is thinking that student loans are "free money" and they spend it carelessly, and she believes that the most important thing students who attended the talk should take away from it is the necessity of building the habits needed to build wealth in the future.