This describes the essential skills and knowledge and their level required for this unit

Essential knowledge

The candidate must be able to demonstrate essential knowledge required to effectively do the task outlined in elements and performance criteria of this unit manage the task and manage contingencies in the context of the identified work role

These include knowledge of

Advantages and disadvantages of debtor options consolidation

Mobile phone and pay TV contracts insurance rental agreements for household goods

Structural issues of debt

Options for complaints

Understanding of regulatory bodies credit reference agencies and consumer advisory bodies

Referrals

Limits and boundaries

Understanding credit

Lodoc and nodoc loans

Consumer rights and responsibilities

Superannuation

Hardship options

Cost of credit simple and compound interest interest charges and fees default fees overdrawn fees early termination fees establishment fees

Points plans and the true cost of credit

Assumption of indebtedness and that use of credit

Financial services perspective

Targeting different client groups

Structuralsystemic causes of financial hardship

Relationship debt

Essential skills

It is critical that the candidate demonstrate the ability to

Use communication skills effectively including active listening

Know when to seek expert advice

Use numerical and mathematical skills relevant to calculations of interest and loan repayments

Work with others to develop own knowledge and expertise in personal credit management

Explain basic concepts of credit and consumer documentation

In addition the candidate must be able to effectively do the task outlined in elements and performance criteria of this unit manage the task and manage contingencies in the context of the identified work role

These include the ability to

Demonstrate application of skills in

liaison and networking

research

time management

evaluation

presentation

The evidence guide provides advice on assessment and must be read in conjunction with the Performance Criteria Required Skills and Knowledge the Range Statement and the Assessment Guidelines for this Training Package

Critical aspects for assessment and evidence required to demonstrate this unit of competency

The individual being assessed must provide evidence of specified essential knowledge as well as skills

This unit is best assessed in the workplace or in a simulated workplace under the normal of range conditions

Assessment should be gathered on one or more occasions but must reflect the normal range of client situations encountered in the workplace

Access and equity considerations

All workers in community services should be aware of access equity and human rights issues in relation to their own area of work

All workers should develop their ability to work in a culturally diverse environment

In recognition of particular issues facing Aboriginal and Torres Strait Islander communities workers should be aware of cultural historical and current issues impacting on Aboriginal and Torres Strait Islander people

Assessors and trainers must take into account relevant access and equity issues in particular relating to factors impacting on Aboriginal andor Torres Strait Islander clients and communities

Context of and specific resources for assessment

This unit can be assessed independently however holistic assessment practice is encouraged with other community services units of competency such as

CHCFLEA Work with clients needing financial literacy education

CHCFLE301A Work with clients needing financial literacy education

CHCFLEA Educate clients in fundamental financial literacy skills

CHCFLE302A Educate clients in fundamental financial literacy skills

Resources required for assessment of this unit include access to

an appropriate workplace where assessment can take place or simulation of realistic workplace setting for assessment

Method of assessment

In cases where the learner does not have the opportunity to cover all relevant aspects in the work environment the remainder should be assessed through realistic simulations projects previous relevant experience or oral questioning on What if scenarios

Assessment of this unit of competence will usually include observation of processes and procedures oral andor written questioning on Essential knowledge and skills and consideration of required attitudes

Where performance is not directly observed andor is required to be demonstrated over a period of time andor in a number of locations any evidence should be authenticated by colleagues supervisors clients or other appropriate persons

Client groups may include but are not limited to:

Causes of financial exclusionmay relate to, for example:

Delivery of financial literacy education may include:

Paperwork may include: