Money School: Financial Stability Initiative Creating a Straight “A” Future for those we serve

Who is Catholic Charities Fort Worth? Our mission: To provide service to those in need, to advocate compassion and justice in the structures of society, and to call people of goodwill to do the same. Founded in 1910, Catholic Charities Fort Worth is a 501(c)(3) non-profit organization with a zealous goal to end poverty in our 28 county diocese. More than 90 cents out of every dollar donated goes directly to provide services through CCFW’s over 40 innovative programs, empowering clients to be self- sufficient

History The program started in May 2008 and it started from the Financial Assistance Program; which consist of utility and rental assistance for those in need. The agency started reviewing and comparing old data with new data and started noticing a trend of the same clients returning every year at the same time as if they included Catholic Charities as part of their yearly budget. The team was able to attend a training in St. Louis Missouri and was able to purchase the Financial Education curriculum that Catholic Charities St. Louis used at the time. It was a 12 hour curriculum and clients were required to complete class within a year of receiving assistance in order to qualify to receive assistance again in the future. From May 2008 through August 2009 it was a two person program. They would call all those who received assistance to invite them to take Financial Education. The program had one funder at the time; Citibank. In October 2009, one financial educator and one credit counselor were added to the department. In June 2010, the program gained an additional funder, United Way. Asset Development began for CCFW in June 2010 with Financial Education, Financial Coaching, Housing Coaching, Credit Counseling, and VITA Tax Services

Now With the added funder, United Way, the program has expanded exponentially due to United Way’s Bold Goal under the Income Initiative. So the program went to one coach and one program manager to six coaches (one of which is also a credit counselor & housing counselor, added an additional credit counselor the Fall of 2012), one program manager, and one program assistant. The program is focusing on changed behaviors due to research showing improved financial behaviors that remain stable occur at higher rates with one-on-one coaching. All Financial Assistance clients are scheduled in weekly Money School sessions with encouragement of one-on-one coaching. –Of the 250 participants served monthly in the Financial Education program, an estimated 100 participants originate from Financial Assistance program.

Certification Process Institute for Financial Literacy under Center Financial Certification Costs: $399 for exam & study materials with $65 renewal fee if CEU maintained ($399 renewal fee if by examination) Self paced study Exam (time limited)

Coaching Model Review Coaching file example –Current Financial Counselor/Credit Counselor will answer questions Average 3-5 sessions Initial session last two hours Follow up sessions last average of one and half hours Serve coaching participants on site and off site in the community with ability to offer privacy and confidentiality

Credit & Housing Counseling in Coaching Assessment of credit for purchasing of assets. Assessments of loans and contracts to ensure they are not predatory in nature. Assessment of rental and mortgage capacity according to their income and ability to save. Minimal loss mitigation and loan modifications. Referrals to local housing partnership for foreclosure assistance and potential homeownership. Housing counseling also ensures that a focus on savings is in place throughout the financial coaching relationship.

Does it work? In its first year, Money School helped more than 1,100 Tarrant County residents. In its second year, Money School served 1,965 Tarrant County residents. -60% of those residents improved their financial behaviors -30% increased their emergency savings

Reasons for Current Success Money School participants receive the following incentives: Matching fund rewards for saving when working in financial coaching Access to VITA free Tax Preparation services Gift cards for gas and groceries Household items

Outreach and Marketing Community Partners –Women’s Center (Employment) –Tarrant County College (Basic Education/ESL/GED) –Community Enrichment Center (host agency) –Other Non profit organizations VITA sites (one supersite and 10 additional community sites) Local Housing Authorities –Fort Worth Housing Authority –Arlington Housing Authority –Tax Credit Properties Local churches Neighborhood Parishes Employers Court Systems Financial Institutions

Maintaining Program Certified Financial Counselors for coaching In the community, Volunteers will be known as Educators for classes Design classes and coaching around partners’ needs Present and mentor to other Asset Development programs in Catholic Charities network

Future Plans To expand the coaching to volunteers To expand matched savings To further review research on Individual Development Accounts (IDAs)

Money School Matters We can create a Straight “A” future for our communities with empowerment of Financial Stability.