Bank On Hampton Roads and Matched Savings Program.

Bank On Hampton Roadsand Matched Savings

Program

Testimonialhttp://www.bankonhamptonroads.com/p/testimonials.html

Coming Up Short

INCOME: Volatile income is an issue that affects 1/3 OF AMERICANS

EXPENSES: Unpredictable expenses make it harder for households to achieve a balanced budget.

Income Expenses

Over 100 Million Americans have difficulty managing monthly cash flow

Source: CFSI

Savings Crisis

• 45% Households had saved no portion of income in 2012

• 61% Households do not have a rainy day fund sufficient to sustain themselves at poverty for three months

45%

61%

Source: www.assetsandopportunity.org

Limited Credit Alternatives

• Lack of savings makes families dependent on unaffordable credit options

• >10 million Americans rely on high cost alternative lending options

Source: CFSI

Psychological Impact

• Paying with our health• Money stress leading

cause of stress for families

• Loss of stability• Loss of productivity and

even IQ!

Source: CFSI

Local Challenges

MEASURE Virginia Beach Portsmouth Norfolk

Population 439,528 95,786 245,428

Median Income $65,980 $46,166 $44,747

Poverty 7.0% 30,766 14.4% 13,793 19.2% 47,122

SNAP Eligible (food) 6.9% 30,327 16.3% 15,613 15.9% 39,023

EITC Return (tax) 18.35% 36,743 30.19% 12,736 29.78% 28,206

Liquid Asset Poverty 33.4% 146,802 43.9% 42,050 50.9% 124,923

EITC= Earned Income Tax Credit SNAP = Supplemental Nutrition Assistance Program

Measure of Financial Stress

Poverty SNAP Eligible EITC Recipients Liquid Asset Poverty

0.00%

10.00%

20.00%

30.00%

40.00%

50.00%

60.00%

Virginia Beach Portsmouth Norfolk

0

20,000

40,000

60,000

80,000

100,000

120,000

140,000

160,000

Virginia Beach Portsmouth Norfolk

Percentages Citizens

EITC= Earned Income Tax Credit SNAP = Supplemental Nutrition Assistance Program

Bank On Hampton Roads• 10 Month Financial

Empowerment Program offers:– Financial Education

Classes– Personalized Financial

Coaching– Low Cost Banking Services

(partner providers)

• Classes begin 3 semesters each year:– January/April/September

Who is a Bank On Student?• Open Classes

– Anyone interested may attend

• Ideal for:– Young Adults– Single Parents– Military and Veterans– Sandwich Generation– Persons in Transition– Financially Stressed

Participant Achievements• Financial Assessment• Credit Report Review• Goal Establishment• Increase Income

Opportunity• Grow Savings• Debt Reduction

• Improve Credit Score• Build Assets• Consumer Protection

Results

ST Goal

Budget

Savings Firs

t

Emergency Fund

Debt Plan

Checking/Savings

Credit Rpt

Pay Bills O

n Time

Pay > Min

0.0%

10.0%

20.0%

30.0%

40.0%

50.0%

60.0%

70.0%

80.0%

90.0%

100.0%

PreMidPost

Faith Community• Extension of benevolence programs – offers a hand up

instead of a hand out• Churches host classes as local empowerment mission

outreach to their neighborhoods• Churches offer financial coaching• Welcomes people into the church without making them

feel uncomfortable

Matched Savings• Matched Savings Program:

– Established as anti-predatory lending outreach– Encourages participation through program– Matches $150 of savings if participant:

• Saves $150• Perfect Attendance (Attend 10 Classes)• Uses Coaching• Completes Financial Challenge• Match establishes emergency fund of $300

Volunteerism• Provide classroom instruction and/or coaching• Financial Professionals:

– Bankers– Accredited Financial Counselors– Credit Counselors– Financial Planners– Housing Counselors

• Interested Citizens and Bank On Graduates:– Master Financial Educator Volunteer Program 10 – weeks of training

• All volunteers participate in 2 Hour orientation to the Bank On Program

Program Needs• Volunteers – Financial Professionals and those

with a passion to help others • Matched Savings – Adopt families as they build

their financial security. Cost $150 per family. Sponsor forms available– Participation in Financial Empowerment Team that

oversees the matched savings

• Promotion – Congregation members and citizens in your neighborhood that can benefit. Marketing materials and talking points available.

Testimonial

www.bankonhamptonroads.com

QUESTIONS

Contact:LORI IRWIN

Financial Empowerment Coordinator

Phone: 757-943-9652

Email: bankonhr@gmail.com