Provo High students check out credit union

PROVO — Nestled under the stairs at Provo High School is a storage-closet-turned-credit-union aimed at providing students with real-life financial experience before they graduate.

The Utah Community Credit Union "Bulldog Branch" opened for business Tuesday afternoon and will be offering students a chance to start savings and checking accounts in the hallway of their high school.

"The point is to encourage savings and wise and modest savings," said Brad Norton, vice president of marketing and development for UCCU. "We hope this is a controlled environment where students can learn."

"And they're not going to go home with a second mortgage or a credit card," said Jeff Sermon, CEO and president of UCCU.

The branch, at 1125 N. University Ave., is open for one hour during lunch and is run by student interns trained and watched over by UCCU employees.

High schoolers can set up savings accounts and, with parental approval, a checking account with a debit card. No lines of credit will be available.

The branch will function just like any other branch, albeit with limited services, and is available for the adult teachers as well, Norton said.

No money will be stored at the school. It will be removed each night.

The school branch is the second one in Utah, and the only one in Utah County, although UCCU and business leaders hope the trend will continue.

"We have a vested interested in making sure young people understand finance," said Steve Densley, president of the Provo/Orem Chamber of Commerce, who helped with a ribbon-cutting Tuesday at the school-based branch.

He said he's worried that many teens don't understand how a credit card works, nor how fast debt and interest can accrue.

Several years ago, the Utah Legislature passed SB154, which required financial literacy classes for all high school seniors.

After the bill passed, school officials conducted research about what should be included in the curriculum and classes started in 2006. Provo High has a financial literacy class that is teaching students about credit cards, debt and how to stay out of debt.

"(The class) is not just about preventing bankruptcies," said assistant principal Stacey Briggs. "It's about giving kids the skills to be successful."

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