Funder Group Support Development of Financial Counseling as Free Public Service for Low-Income Residents

Thursday, October 18, 2018

Funder Group Support Development of Financial Counseling as Free Public Service for Low-Income Residents

The Cities for Financial Empowerment Fund (CFE Fund) with support from Bloomberg Philanthropies, Wells Fargo, The JPB Foundation, JPMorgan Chase, and Capital One, is working to expand the the proven Financial Empowerment Center (FEC) model to as many as 50 local governments across the map. The CFE Fund provides grant support, intensive technical assistance, and a vibrant national learning community to help local government partners plan, launch, and sustain Financial Empowerment Centers for their residents.

Nine new local governments (Atlanta, GA; Aurora, IL; Baltimore, MD; the County of Hawai'i, HI; Erie, PA; Polk County, IA; Roanoke, VA; Rochester, NY; and Washington, DC) were selected for this newest local government cohort after a competitive application process. They join 18 other local governments already working to offer FEC services.

Financial Empowerment Centers (FECs) offer professional, one-on-one financial counseling as a free public service; the national FEC Public platform looks to grow this movement across the country. Multiple avenues of grant support, intensive technical assistance, and a vibrant national learning community will help as many as 50 local government partners plan, launch, and sustain Financial Empowerment Centers for their residents. First piloted in New York City under Mayor Michael R. Bloomberg in 2008, existing FECs have worked with over 82,000 clients, helping them reduce individual debt by over $100 million, and increasing their families' savings by more than $10 million. A recent CFE Fund evaluation showed that this program works even for residents with very low incomes and other complex financial challenges....