Preamble

The financial industry and especially the banks played a major role to improve the knowledge level of previously excluded sectors of the economy. This is evident in the limited effect of the financial crisis on the target group of LSM 1-5.

Definition:

Consumer Education is the process of transferring knowledge and skills to consumers, future consumers and potential consumers for individual well-being and the public good.

Target market

The target market for consumer education will be individuals in the LSM 1-8 group with the major emphasis on the LSM 1 - 5 category. The LSM 6 - 8 group is included as they were the most affected by the financial crisis and proved to be the most vulnerable.

Products

Products and services will be closely aligned with the standards, products and services developed and maintained by the FSB as designated owners of consumer education by the National Treasury. Until that alignment has been fully achieved, the current products and services will prevail with the standards as set out under measurements below being in force.

Measurement

The Consumer Education standards as set out in the Guidance Notes to the Financial Sector Code will be reviewed such that it is widened to include primary education and basic education initiatives. In addition the following shall be adhered to:

Targets:

As reflected in the appended scorecard, measurement will be against an annual target of 0.25% for 2012, 0.3% for 2013 and 0.4% from 2014 of retail net profit after tax (NPAT).