16 Responses to “Money Management WIN: Treat Savings Withdrawals As A Loan”

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  1. I love this Travis! So many important lessons for your son to learn and it is so great you’re taking the time to make sure he understands each step while also giving him space to take action himself. This will make a huge difference in his life, learning how to be a smart consumer and making good choices with money. And yes – learning to repay back his loan. 🙂

    • Travis says:

      The really cool part is that he doesn’t look at me with the teenager eye roll….he actually listens to me with a look on his face like he respects what I’m saying and is taking it to heart. Crossing my fingers!

  2. I love it that you held back on nagging your son to pay himself back. (I would have been tempted to do that.) SO encouraging that he consulted you, accepted your advice, and followed through. My 16-year-old daughter recently started working, and by the time I asked her about her first paycheque, she had already put half of it into her savings account. (Angel choir sings.)

    • Travis says:

      I’m so glad that he eventually did something to repay it on his own……made a dad proud! As I’m sure your daughter did by saving all on her own! KUDOS!

  3. Mike says:

    *sigh, i wish my parents would have done things like this to me while i was growing up! Maybe i wouldn’t be digging myself out of debt like i am right now.

    • Travis says:

      Sometimes all the lessons in the world don’t prevent someone from making their own mistakes….my parents taught me all the right things, but I found myself deep in credit card debt. You just never know….

  4. Really interesting concept! I love this idea for kids. We do not have any at this time, but I would definitely consider doing this. It teaches a great lesson about financial responsibility and keeps them accountable.

  5. I have definitely borrowed from my savings before. Nothing wrong with that! I don’t like to let my savings fall below a certain level anyway.

    • Travis says:

      Exactly, that’s what it’s there for (although one has to be careful not to use it for any old expenditure….)…..as long as you keep it at a certain level as you mentioned. Thanks for sharing your thoughts!

  6. You are so patient with your kids in these money lessons Travis. I don’t think my parents would have take the time to go through all of that with me.

    • Travis says:

      After what Vonnie and I went through, I really want to make sure I take the time to do my very best in giving him all the tools he needs to be successful. As his parent, I owe him that much…..

  7. Nice job teaching your son a lesson, and kudos to you for not saying anything earlier about him paying back the loan. I’m pretty sure I would have said something every single week until that loan was repaid, but obviously that would be a bad idea because your son would have thought “he doesn’t think I will do it without him nagging me.”

    • Travis says:

      You have NO idea how hard it was to keep my mouth shut….every time I walked in his room and saw the old card sitting on the floor I wanted to ask him, “HEY, WHAT IS YOUR PLAN!?!?” LOL.

  8. Whenever I have to take money from my savings account, I always tax myself 10%. If I take out $500, have to put $550 back. I’d much rather pay myself interest and build my account balance vs. giving it to the bank and making them richer.

    • Travis says:

      That’s a good system, Generations Thrift Store. Not only does that give some incentive to NOT use your savings (it’ll cost you…..) but it’s a good way to grow your savings too!

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