Self-Help Community Development E-Newsletter (California) - Issue 1
Inaugural issue of Self-Help's California focused Community Development E-Newsletter, sent March 18, 2010.
Welcome to the first edition of Self-Help's California Newsletter. For those of you who don't know us, Self-Help is a leading community development organization that has been successfully supporting under-served communities since 1980. I had the good fortune to re-join Self-Help -- more than 20 years after my first tour as employee number 5 -- this time to launch our activities in California. It's been a very rewarding opportunity for "intrapreneurship" -- we've sought the most compelling problems in CA that we might be uniquely suited to help address by leveraging the considerable track record and resources built by Self-Help over 30 years.
We've been fortunate to strategize and collaborate with many fantastic community development organizations here in California, and have now focused our energy on several efforts where we can work with others to make a significant impact. Please read on for highlights of our work.
We hope you enjoy our first newsletter focusing on Self-Help's work here in California, and please do let me know if you have any ideas or suggestions that can make our work more effective in serving California communities.
All the best,
Steve Zuckerman
Self-Help Federal Credit Union
Recognizing the growing role of non-depository financial institutions (like check cashers and payday lenders) in low and moderate income neighborhoods, we decided to focus our energy on building a statewide network of retail credit union branches to responsibly serve these communities. As the financial crisis accelerated, this need grew even more urgent, with many credit unions facing significant financial challenges. In June 2008, Self-Help successfully chartered Self-Help Federal Credit Union to pursue this goal. We've grown rapidly through several mergers (see below) and now have 9 branches in the Central Valley and SF Bay Area -- Modesto, Riverbank, East Palo Alto, Porterville and Bakersfield (Community Trust division); East San Jose (Micro Branch) and West Oakland (People's division).
Please visit our website for more information. You can support our work by opening a deposit account (federally insured up to $250,000).
Credit Union Mergers
We've been busy since launching SH Federal, completing four mergers through January 2010. Our first was with People's Community Partnership FCU in West Oakland (September 2008). We then entered the Central Valley by merging with Community Trust Credit Union (June, 2009). And with a flurry of activity during the first week of this year we added to our Central Valley presence merging with El Futuro CU in Porterville and Kern Central CU in Bakersfield. Both El Futuro and Kern Central are now operating as part of our Community Trust division.
Self-Help has a 30-year track record of supporting other independent credit unions that effectively serve their communities, and we continue to do so in California. But credit unions periodically seek to merge for a variety of reasons -- gaining new products to better serve their members; accessing capital in order to grow; or sometimes financial necessity. All of these reasons have been present in one or more of our mergers -- but most importantly, the management and boards of our new partners shared our commitment to building a statewide credit union dedicated to responsibly serving hard-working families throughout California. Learn more about our merger activities and our branches:
Innovation: Pilot Micro Branch Launched in East San Jose
"Empowering our community through safe, affordable and convenient financial services."
On January 11, 2010 our first Micro Branch opened its doors in East San Jose. The Micro Branch is an exciting new form of credit union branch that was created specifically around the needs of currently un-banked families, emphasizing 1) accessibility - open 7 days a week and located in a high-traffic thoroughfare; 2) affordable transaction services - check-cashing, money transfers, bill pay & phone cards; and 3) deposit-based checking and saving accounts tailored to the needs of working families. The financial services offered at the Micro Branch offer a gateway to financial stability, the first critical step toward upward economic mobility.
Free Tax Prep -- VITA site in West Oakland
The People's branch in West Oakland has managed a Volunteer Income Tax Assistance (VITA) site for eight years. In 2009 we prepared 315 tax returns, opened 22 new accounts, secured over $405,000 in refunds, and saved families an estimated $63,000 in tax preparation fees. As in the past, we encourage account opening and direct deposit services, particularly for the those who have no bank or credit union account. New at our VITA site this year, members can receive one-on-one credit report reviews, learning to read the reports, dispute erroneous claims, and create personal credit action plans to improve their scores. With the assistance of 30 IRS-certified volunteers, we are on track to prepare 475 returns and open 50 new accounts by April 15th.
For more information click here
Fighting the Foreclosure Crisis
Everyone knows how deep our nation's mortgage crisis has gotten! Self-Help is addressing the crisis in California through several related efforts. We have developed a Lease-Purchase mortgage product available to nonprofit developers in California and nationwide to support their neighborhood stabilization efforts, specifically the purchase and renovation of foreclosed properties. We are also participating in a very exciting local neighborhood stabilization demonstration project in the East Bay as a partner in the East Bay Community Foundation's Foreclosure Recovery & Asset Building Pilot.
Please click here for more information about these programs.
Center For Responsible Lending
The Center for Responsible Lending (CRL) is Self-Help's non-profit research and policy affiliate dedicated to protecting homeownership and family wealth. CRL's California office focuses primarily on the issues of mortgage lending and payday lending. In 2010, major efforts will be directed toward implementing policies that help prevent avoidable foreclosures and, as a result, also help strengthen the housing market and economy. Keep track of our California work by joining us on Facebook, following us on Twitter or signing up for our e-mail newsletter.
Microfinance USA 2010 | May 20-21 2010 | San Francisco, CA
Conference presented by: Opportunity Fund, Kiva, Accion and Silicon Valley Microfinance Network
Expanding on the energy and momentum generated by the 2009 "Microfinance, CA" conference, Microfinance USA will bring together 800 - 1,000 investors, policymakers, social entrepreneurs, practitioners, small business owners, and curious individuals to engage with microfinance strategies and practices unique to the United States. We'll be there, and hope you will consider attending as well.
Keynote speakers include:
Maria Shriver, First Lady of California
Martin Eakes, Founder and CEO, Self-Help
Self-Help is a community development financial institution headquartered in Durham, North Carolina, with locations throughout North Carolina, California, and in Washington, DC. Visit our Locations page for contact information or email us with your comments.
