REAL Solutions for Low-Wealth Households

1
REAL Solutions for Low-Wealth Households

• Federal Reserve Bank of St. Louis
• Exploring Innovation Conference
• Innovative Consumer Credit Access
• Nancy Pierce, National CU Foundation

2
REAL Solutions

• Relevant
• Effective
• Asset Accumulating
• Loyalty Producing

3
Defining Low Wealth
4
R.E.A.L. Actions For R.E.A.L. People
5
Credit Unions First Focus

• Missouri
• Payday Lending Products
• Serving Hispanics
• Young Adults

• Wisconsin
• Payday Lending Products
• Serving Hispanics and the Hmong

• Ohio
• Payday Lending Products
• First Time Mortgages
• Serving Hispanics

• Kansas
• PDL users (members non-members)
• Non-member check cashing
• Hispanic Immigrants

6
Wisconsin

• 22 Credit Unions offering Voluntary Income Tax
  Assistance Programs
• 15 Credit Unions offering payday lending products
• 70 Credit Unions licensed to cash checks for non
  members
• REAL Solutions state-wide marketing campaign for
  all credit unions

7
The R.E.A.L. Solutions Story

• 15 states implementing REAL Solutions 7 more
  planning to implement
• 113 CUs offer payday alternative loan
• 36,000 payday loans to thousands of members at a
  savings over .5 million
• 30 Credit unions offering VITA Sites
• Credit unions adding check cashing and
  remittances to better serve immigrants and young
  adults

8
R.E.A.L. Credit Union Opportunity

• Serving low-wealth households is an opportunity
  that credit unions should not miss!
• Good Business Decision
• Grow loyal membership
• Fits Credit Union Philosophy
• Improve the quality of life for members and other
  users