European Stars and Stripes (Newspaper) - April 15, 2007, Darmstadt, Hesse                                Page 30 stars and stripes sunday april 15 2007 your Money a Small Price for teaching kids fiscal skills fiscal responsibility can be Learned through discipline i strategies for implementing an allowance by Chris Fowler stars and stripes Yokosuka naval base Knock on the door Sig nals a parents Nightmare your adult child who you thought knew enough about managing Money stands before you with maxed out credit cards and a stack of unpaid Bills but dont worry Hes got a plan he wants to move Back Home at that moment you realize that maybe you could have done More to teach your child about personal finance for those for whom its not too late what s the Best Way to do this one method also happens to be that most ubiquitous of eco nomic arrangements Between children and parents an allow Ance i didst get an allowance said Petty officer 3rd class Jam Mie Cooper at Yokosuka when i have children they will get an allowance i think it is important because it puts children in a Posi Tion to decide How to manage to save it or to spend it Many experts agree with this philosophy if certain Steps Are taken Sam x Renick founder and ceo of the its a habit co which teaches financial literacy skills to children of All Ages wrote in an email to stars and stripes that if parents decide to use an allowance to teach Money management they first should decide the goals and guidelines the keys to allowance Are a Good attitude consistency simplicity and Clear ground rules Renick said any allowance sys tem a Parent adopts or devises should be simple easy to admin ister easy to understand and promote Parent child interaction Renick said its also a Good idea for parents to Post the ground rules in a conspicuous place like the refrigerator that Way if there Are Ever any questions the rules Are easy to find photo illustration by Christopher and stripes h when i have children they will get an All Ivance i think it is important because it puts children in a position to decide How to manage Money whether to save it or to spend it w Petty officer 3rd class Jammie Cooper Yokosuka naval base but whether or not a child fully understands the rules at first Renick said there Are a few keywords that should be used and reinforced when discussing finances with children manage save invest compound Choice decision predict and frugal when i was Young my parents would give me about a week said uss Kitty Hawk air Man Abdul Aziz from an Early age i was making decisions about spending and saving Money a Parent May say we Are going to Start to provide you with one Dollar a week this is your Dollar to manage Renick said you get to make most of the decisions on How to use it master chief Petty officer Perry Wilson pays a weekly Al Lowance to his two children i use the allowance As an incentive to do their chores and to give them some Money to do things Wilson said the oldest of Wilsons Chil Dren Perry Wilson n earns each week for doing the dishes sweeping the floor and keeping his room clean i think an allowance is a Good Way for kids to learn about Money said the younger Wil son adding that if he runs out of Money he usually can ask for More he must be talking about on a really Good Day his dad said with a laugh email Chris Fowler at there Are three guidelines parents should follow when starting their children on an allowance says Collin Schriver Yokosuka Fleet and family service Center financial educator Start the process by Purchas ing a Piggy Bank have your younger children participate in daily chores like putting dishes in the dishwasher cleaning their room making their bed or putting their dirty clothes in the washing machine Schriver said each time they com plete a chore throw some change into their Piggy Bank together the idea is that kids will learn that they have to work to earn Money if s not just Given to them if they earn Money they Are less Likely to blow it hold firm on allowances if your child spends her entire allowance the Day after she gets it do not give in to the but mom whine Factor children must learn that in Stant gratification like spending All of their allowance too soon is a behaviour that can have unpleasant consequences Schriver said hopefully after a few mis takes  develop better Money management skills additionally Schriver Dis shades parents from advancing children their allowance it teaches them that its of to live beyond their Means and As they get older May Lead to credit prob lems help children set financial goals maybe they want to save up their Money to buy a video game Schriver said or better yet they want to save in their Bank account whatever the goal is Schriver suggests having the child write it Down on paper and share it with you their goal should be a de tailed plan of How much Money they will save each allowance period to reach their goal Chris Fowler bankruptcy Reform urged to Aid subprime borrowers by Alan Zibel the associated press Washington As the us housing slump worsens Congress needs to make it easier for families facing foreclosure to file for bankruptcy and keep their Homes con Sumer groups and a bankruptcy lawyers organization said thursday homeowners who file for bankruptcy can easily lose their Homes under current us Law because mortgage lenders have a higher priority than almost All other Credi tors the groups charged in a Telephone press briefing the Law dates Back to the late 1970s when adjustable rate mortgages were uncommon and foreclosures were rarely the reason for a bankruptcy filing officials from the National association of consumer bankruptcy attorneys said Eric Stein senior vice president of the Center for responsible lending said lend ers who made High interest rate Loans to borrowers with weak credit Are to blame for pushing homeowners into financial peril the Durham a based Center projects that 22 million families will lose their Homes due to a growing crisis in the subprime mortgage Market of borrowers with the Riskiest credits bankruptcy is not a great option Stein said its a last option but it needs to be an option Floyd Stoner executive director for con Gressional relations policy at the american Bankers association agreed that bankruptcy should be an option for those who need it he disagreed though that bankruptcy Law changes Are needed the focus should be on working with borrowers in financial distress rather than focusing on changing bankruptcy Law As the first response to these concerns Stoner said the Nachba countered that 80 percent of 640 bankruptcy lawyers surveyed nationwide this month said 2005 bankruptcy Law reforms Are adding to the challenges borrowers facing foreclosure confront in efforts to keep their Homes As bankruptcy lawyers in the trenches we Are seeing every Day the consequences of this crisis and ifs Only going to get worse said Henry Sorner a Philadel phia bankruptcy lawyer and president of the Nachba which has Long criticized the 2005 bankruptcy code overhaul the Washington based consumer federation of America joined the Nachba in Call ing for Congress to take Quick action thurs Day As several More lawmakers joined Calls for providing hundreds of millions of dollars in Federal Aid to financially Trou bled homeowners