CTVNEWS

Pat Foran on his role on the financial literacy task force

Pat Foran CTV consumer affairs reporter
Published Thursday, February 10, 2011 8:57AM EST

Text:

Financial Literacy Task Force: 30 recommendations for the federal government

It's no secret many Canadians are getting a failing grade when it comes to financial literacy. Debt levels in Canada are at record levels and while many of us are great at spending money -- unfortunately few of us are saving for a rainy day. It was almost two years ago the federal government commissioned a Federal Task Force to research the state of Canadians financial affairs. We held public hearings across the country and researched ways to help Canadians become better savers and spenders. In my role as the Consumer Reporter for CTV News -- I was asked to participate.

It was a volunteer position. We would meet in person every 6 to 8 weeks. Have one to two hour phone meetings periodically and of course be in touch often by email. There was always plenty of reading and research material to pile through. We studied what they were doing in other countries to advance financial literacy and we met with financial groups, student councils, credit counselling officials, charitable agencies, government officials and many other stakeholders to hear what they had to say and what suggestions they would make to help Canadians become more financially literate.

For the national public hearings I was asked to travel to Yellowknife, Edmonton, Calgary, Saskatoon, Ottawa and Toronto. Across the country Canadians appeared very engaged and interested in this very important topic.

Making Canadians more financially literate will not be an easy task, however. While there are many people who do carefully watch the amount of interest they pay, know the management expense ratios on their mutual funds and pay off their credit card bills every month -- they are many others that could do so much more to help their bottom line.

It's also not about how much you make. We heard that even those with six-figure incomes are running into problems because despite earning a good salary they are poor money managers. So whether you are a single parent trying to make ends meet, a student facing huge school loans or a person ready to go into retirement -- the more money you can keep for yourself, the better off you will be.

Here are five of the top recommendations:

Appoint a national financial literacy leader
Establish financial literacy advisory council
Create website for independent financial information
Integrate financial literacy into all school systems
Require clear communication in financial documents

There are 30 recommendations in all and I would urge you to go to the Task Force on Financial Literacy website for more information.

http://www.financialliteracyincanada.com/eng/index.php?PHPSESSID=ef87c43199c86366c8c0730516403738

I was very proud to take part in the Task Force on Financial Literacy and I thank Chairman Don Stewart as well as the 12 other members for a interesting and rewarding experience that we collectively hope will benefit the people of Canada for many years to come.

In the interests of full disclosure I was paid $1 by the federal government for volunteering to be part of the task force. It's encased in glass so at least I know I won't be able to spend it!

Key Points:

The list of 30 recommendations was released to the public yesterday after 18 months of research and meetings
Appointed in June 2009, the Task Force on Financial Literacy is comprised of 13 members drawn from various sectors (Pat Foran is one of those members)
Members of the Task Force travelled in small teams to communities in every province and territory, meeting face-to-face with individuals and organizations
The five priorities of the National Strategy on Financial Literacy include shared responsibility, leadership & collaboration, lifelong learning, delivery & promotion and accountability
It recommends the appointment of a national leader accountable to the Minister of Finance, the creation of a national advisory council, and the creation of a website where Canadians can obtain financial information
It also recommends that the formal education system provide a foundation for financial literacy
In the 2009 budget, the Minister of Finance announced his intention to establish a national task force dedicated to the issue of financial literacy
Between April 6 and May 13 of 2010, sessions with Task Force members were held in every province and territory – in Calgary, Charlottetown, Halifax, Iqaluit, Moncton, Montreal, Ottawa, St. John's, Saskatoon, Toronto, Vancouver, Whitehorse, Winnipeg and Yellowknife
Canadians were invited to participate by making a formal submission, by participating in the public hearing or by taking part in the interactive online forum
In September 2010, the Task Force published What We Heard – a summary of the main themes and suggestions from its public consultations

Task Force Members