Credit unions’ powerful role in Latino financial education

In Latin American countries, the concept of financial education is not taught in schools nor by financial institutions. If you were to scroll through the website of a Latin American Bank it will probably take you some time to find a link to an educational portal or blog. It’s rare to find financial literacy programs, even at the very same financial institutions that provide checking, savings and loans. Most Latinos learn the process of buying a house or a car from their family and friends and then use their best judgment to make their financial decisions.

Hispanics who move to the U.S. encounter different types of problems when it comes to financial education. For most Hispanics, the U.S. dollar is a new currency, so that learning curve confronts them along with the inevitable exchange-rate math they do in their head when buying goods or making big purchases. The very basics of financial education are a necessity that credit unions are primed to provide as part of their service to the Latino community, which is ripe with young, tech-savvy new potential members who make recommendations to their friends and family. Outsourcing your Hispanic marketing efforts to experts who understand the nuances and cultural mores is often your best bet. Discover more about YMC’s Hispanic marketing here and don’t hesitate to reach out to me to learn more.

Latinos will take the time figure out if the money they’re spending to purchase goods would be too much to spend instead of sending some more back home to help their families. As community-based cooperatives, credit unions can help Latinos feel at ease knowing we won’t take advantage of them. Credit unions can help them understand how the U.S. dollar works, how the American financial system works and how to budget for their needs through educational and marketing efforts.


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