Child off to College? Checklist for Packing Money Management Essentials

Preparing to send a child off to college can bring a cascade of emotions.

After you recover from the initial jolt, you can help ensure both your own and your child's ongoing peace of mind by being sure your student is well-equipped to manage his or her finances. Among the books, computer, pens, towels and sheets your college-bound child takes to school, remember to tuck in money-management essentials, too.

Check Them Off

"Success at college encompasses more than academic prowess. It also requires that students handle more personal responsibilities, including their finances," notes Donna LoStocco, Vice President, Member Experience, Affinity Federal Credit Union. To help ensure that your student is ready for life on his or her own, review this checklist with your child before he or she leaves home.

• Checking and savings accounts

  These accounts form the basis of any money management system. "An ATM/debit card allows your student to access funds through ATMs and to make purchases conveniently," Donna comments. Be sure to remind your student to carefully track withdrawals, purchases and deposits to prevent overdrawing their accounts.

• Online, mobile and text banking

  College students sometimes keep crazy schedules. But with online, mobile and text banking, your student's accounts are accessible 24/7. Useful tools like email/text message alerts about bills due and balance amounts help to keep students on track with their accounts.

Average Undergaduate Budgets, 2010-2011¹

Costs indicate average annual fees.

	Two-year public commuter	Public four-year on-campus	Private four-year on-campus
Tuition and Fees	$2,713	$19,595	$27,293
Room and Board	$7,259	$8,535	$9,700
Books and Supplies	$1,133	$1,137	$1,181
Transportation	$1,491	$1,073	$862
Other Expenses	$2,041	$1,989	$1,440
TOTAL	$14,637	$32,329	$40,476

• A budget

  "Take time to estimate your child's out-of-pocket expenses and income for a semester," Donna suggests. "Then help him or her create a spending plan. You may also want to reinforce the difference between needs and wants, and emphasize that the desire for a late-night pizza while studying does not constitute a need."

• A credit card

  A credit card can be a great way for your child to cover true emergencies, shop online, safeguard purchases and benefit from a zero liability policy for lost or stolen cards. "A student can apply for a credit card with a qualified co-signer," Donna says. It's important for your child to understand how finance charges and fees - for cash advances and late payments - can add up. A low-rate Affinity Student Visa® credit card allows your student to experience the benefits and responsibilities of a credit card, all with no annual fee. "If used prudently, a credit card can help your child establish a sound credit history, which will come in handy later when he or she needs to rent an apartment or take out a car loan," Donna adds.

• An education line of credit

  Help cover the gap between financial aid and your child's actual out-of-pocket costs with an education line of credit. You or your child may be able to borrow up to the full cost of college, including additional expenses beyond tuition, such as books, computers and tuition, with no application for federal student aid (FAFSA) or collateral required. With an Affinity Education Line of Credit, you can choose to start making payments on the credit line right away or defer them until six months after the student's anticipated graduation date or 60 months after the loan's inception, whichever comes first. And it couldn't be easier to tap your education line of credit - just charge your qualifying education expenses to an Affinity Student Visa credit card, then submit the statement for reimbursement, and Affinity will make a payment directly to your credit card account.

Pack it All Up

"Affinity offers all the financial tools a college student needs," Donna says. Student Asset Management accounts provide free Savings and free Checking, plus no fees at any Affinity ATM² and access to more than 65,000 surchargefree ATMs throughout the nation.² Online Banking is a click away at affinityfcu.org. To ensure your student has all of the financial management tools he or she needs to succeed in school, talk to an Affinity Member Experience Officer at your nearest branch or call 800.325.0808. We'll help you and your student go to the top of the class!

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¹ Source: The College Board, "Annual Survey of Colleges," www.collegeboard.org.
² Fees for usage of the ATM by the ATM provider apply.

Securities and investment advisory services offered by Affinity Investment Services, LLC, 73 Mountain View Boulevard, Basking Ridge, NJ 07920, member FINRA/SIPC. Investments offered by Affinity Investment Services are not deposits or obligations of Affinity Federal Credit Union. They are NOT NCUA INSURED and NOT GUARANTEED by Affinity Federal Credit Union or any governmental agency and are subject to INVESTMENT RISK, including LOSS of PRINCIPAL. Investments may lose value. Affinity Investment Services, LLC is a wholly owned subsidiary of Affinity Federal Credit Union. Business Continuity Disclosure Statement.