September 17, 2013 > Financial literacy bill signed into law
Financial literacy bill signed into law
Submitted By Primitivo Castro
On August 26, Assembly Bill 166, authored by Assemblymember Roger Hernandez (D-West Covina), was signed into law. AB 166 promotes financial literacy in the K-12 curriculum, which includes education on budgeting, student loans, managing credit, consumer debt and identity theft security.
"Our schools will be able to tackle the issue of financial management and provide our children with the knowledge to become better informed financial planners. Requiring our children to learn the benefits of savings, reading of interest rates and the like, will give them the skills to make wise financial decisions," said Hernandez.
With this new law, California requires financial literacy to be taught as part of the official state curriculum. A biennial survey by Jumpstart Coalition for Personal Financial Literacy, conducted between 1997 and 2008 showed financial literacy of high school seniors had fallen from 57 percent in 1997 to a record low of 48 percent in 2008. This bill becomes effective once the California Department of Education revises the history/social science, health and mathematics curriculum frameworks.
"AB 166 empowers young Californians with the financial literacy tools they need to enter a globally competitive workforce and helps protect them against deceptive practices," added Hernandez.