2013 Annual Gathering: Workshop#10A: Reaching Back to Offer a Hand Up

7/27/2019 2013 Annual Gathering: Workshop#10A: Reaching Back to Offer a Hand Up

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A Division of Catholic Charities ofNorthern Kansas


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COSBY SHOW VIDEO

REGULAR PEOPLE NOT AS EASYAS WED LIKE TO BELIEVE OR ASPOSH AS PEOPLE BELIEVE IT IS TOLIVE ON ASSISTANCE


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THIS WAS MY LIFE:

1. SINGLE, NO DEPENDENTS 2. SINGLE PARENT OF NEWBORN 3. MARRIED, NO CHILDREN 4. MARRIED, NEWBORN CHILD


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THE EVER-PRESENT

ISSUE OF FUNDINGMIXED WITH NEW ISSUEOF ADHERING TO

BANK REGULATIONS


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THAT ALMOST WASNT


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Daughter of Director in Payday Loan Debt

This cant be the only way

Is this a widespread problem?

Something has to be done about this

Chance meeting at a training


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KAREN HAUSER OF CC-SALINA AND KIM

MOORE OF UNITED METHODIST HEALTHMINISTRY FUND.

WHAT IF THERE WAS A WAY TO LEND

PEOPLE MONEY TO PAY OFF THESE LOANSTHROUGH A LOW-INTEREST BANK LOANTHAT WOULD BE GUARANTEED BY FUNDSGRANTED THROUGH AN OUTSIDESOURCE?

BRILLIANT IDEA AND TYPE OF PROJECTTHAT COULD GARNER SUPPORT FROM THEFOUNDATIONS BOARD


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CATHOLIC CAMPAIGNFORHUMAN DEVELOPMENTAPPLIED FOR AND RECEIVED FUNDING TO HIRE A

COORDINATOR AND A PART-TIME FINANCIALADVOCATE IN SUMMER OF 2012

LYDIA STARTED IN EARLY SEPTEMBERCLAUDETTE BEGAN LATE SEPTEMBER


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SADLY, FROM HERETHINGS RAPIDLY BEGAN

TO FALL APART ON USAT EVERY LEVEL

WHAT WAS

LOCAL BANK IN 5COMMUNITIES(Concordia, Manhattan,

Junction City, Hays,Goodland)

CC SCREENERS & CASEMANAGERS

UMHMF - $100,00.00 INGUARANTEE FUNDS

WHAT WAS

DEFAULT TRIGGERONLINE NOTICE TOUMHMF FOR PAYMENT

OF REMAINING PRINCIPLE

10% LOSS ($10,000.00)IMMEDIATE SUSPENSIONOF PROGRAMS SUPPORTBY UMHMF


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DOESNT MEET REGULATIONS FOR BANKSDIDNTMAKE SENSE TO BANKS.IF GOING TO LEND WITHOUT

REAL COLLATERAL WHY DO WE NEED CATHOLIC

CHARITIES

BANK AFTER BANK AFER BANK AFTER BANK


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QUICK THINKING

CHANGE GAME PLAN

FIND ALTERNATE ROUTE TO GET PROGRAM GOING

WHAT TO DOWHERE TO GO


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QUITTING IS NOT AN OPTIONREFUSE TOFAIL

NEW VIEWPOINTSTARTING A NEW BUSINESS

IN NEED OF INVESTORS

SELL THE PROGRAM AS DIFFERENT THANNORMAL SOCIAL SERVICE PROGRAMS

HAND UPNOT A HANDOUTCONSUMER REQUIREMENTS & INVESTMENT


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MORE BANK FRIENDLYOPTION

MUCH MORE STRINGENTDUE TO 50% DECREASE

WHAT IS

SUNFLOWER BANK (Manhattan,Junction City, Hays, Salina)

CITIZENS NATIONAL BANK(Concordia)

CC SCREENERS & CASEMANAGERS: Certified CreditCounselors

UMHMF - $25,000.00 GRANTAPPROVED IN JANUARY

WHAT IS CC MATCHING FUNDS -

$25,000.00 APPROVED BYBISHOP & FINANCE CMTE

ACTUAL DEPOSIT ACCOUNT AT

BANKS SO LOANS COULD BESECURED BY THE DEPOSIT

DEFAULT TRIGGERS APPROVALOF WITHDRAWAL FROM DEPOSITACCT PRINCIPLE ONLY

2 SIGNERS BEFORE WITHDRAWALOF FUNDS


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NEED FORFINANCIALLITERACY AND

INTENSIVE CASEMANAGEMENT


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OUR GOAL IS TO EMPOWERPARTICIPANTS AND COMMUNITIES TOFIND JUST SOLUTIONS TO ISSUES OF

POVERTY.

EMPOWERING COMMUNITY MEMBERSGIVES THEM A VOICE AND NARROWS

THE SOCIAL AND ECONOMIC DISTANCEBETWEEN DIVERSE GROUPS.


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INDIVIDUALS DO BETTER AND LEARNMORE WHEN THERE IS A SENSE OF BUY-IN TO PROGRAMS SO WE HAVE SPECIFIC

REQUIREMENTS FOR EVERY CLIENT WHOIS APPROVED FOR EACH ASSET

DEVELOPMENT PROGRAM.

WE CALL IT THETRIANGLE OF SUCCESS!


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1. MONEY SCHOOL2. LEADERSHIP CIRCLE/SUPPORT GROUP (MONTHLY)3. FINANCIAL COACHING (MONTHLY)

TEACHA MANTOFISH


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Financial Literacy Curriculum 4-Hour Class

Developed by Catholic Charities of

Fort Worth Covers all the basic information

Interactive Classes to engage

participants


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Support group for financial health Allots group time for community members

to bring specific areas of expertise to

group Diminishes shame and embarrassment

associated with debt

Gives members the lead in the groups so

issues discussed are member-driven Promotes understanding of debt being a

community issue


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Individualized budgeting Coach provides education and insights,

but consumer does the heavy lifting

and is responsible for the resultsproduced.

The coach is the educator and

protagonist, but the consumer is alwaysthe decision-maker and action-taker.

Final push of financial empowerment


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IN THE WORDS OFNELSON MANDELA:

OVERCOMING POVERTY IS NOTA GESTURE OF CHARITY. IT ISAN ACT OF JUSTICE. IT IS THEPROTECTION OF AFUNDAMENTAL HUMAN RIGHT,THE RIGHT TO DIGNITY AND ADECENT LIFE


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IT STARTS WITH FINANCIAL LITERACYAND

ENDS WITH FINANCIAL EMPOWERMENT!!!

THE TOOLS AND THE OPPORTUNITIES

PROVEN WAYS TO LIVE WITHOUT FINANCIALSTRESS


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The only man whosticks closer to you in

adversity than a friendis a creditor.

-Unknown


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CAN CATHOLIC CHARITIESMAKE A DIFFERENCE IN THELIVES OF THE WORKINGPOOR?

YES, WE CANWE MUST!!!Speak up for those who cannot speak forthemselves, for the rights of all who aredestitute. Speak up and judge fairly; defend

the rights of the poor and needy.Proverbs 31:8-9


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THEIR MOTTOYOU PAY USFOREVER TOPAY YOUTODAY


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Not a bank loan Borrow enough to get to next payday

Operate under variety of titles

Take postdated checks, debit cardinformation as collateral.

Large fee for the loan, which puts theinterest rate very high, some rates are

as high as four hundred percent.


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Interest rate can be chargedover each fourteen-dayperiod.Law states only have twopayday loans taken out at atime.


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Since payday loans in Kansasare capped at $500 themaximum fee that can becharged is $75. These fees areincluded in the interest rate

FREE STANDING SITES


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SO, WHAT WILL THE KLPP

DO FOR CONSUMERS?


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MICROLOANS UP TO $1000.00

LEGITIMATE LENDING SOURCE PAY OFF PREDATORY LOANS HELP ESTABLISH POSITIVE BANKING

RELATIONSHIP STRONG FOUNDATION OF

FINANCIAL LITERACY PROMOTE BEHAVIOR CHANGE

THROUGH INTENSIVE CASEMANAGEMENT


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ESTABLISH A RELATIONSHIP WITH AREAL BANKING INSTITUTION HELP TO BUILD OR RE-BUILDCONSUMERS CREDIT ACCESS FINANCIAL LITERACYCOMPONENTS AND LEARN VALUABLETOOLS REGARDING FINANCIALEMPOWERMENT


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IF THE GOAL OF CATHOLIC CHARITIES ISTO REDUCE POVERTY WE MUST STARTEMPOWERING OUR CLIENTS IN THE AREAOF FINANCE


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The borrower is servant to thelender.-The Bible

HOW CAN WE EXPECT OUR CLIENTS TO HAVETHEIR FOCUS ON GOD AND FAMILY WHENTHEY ARE LIVING IN FEAR OF DEBT?


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DEBT = STRESSSTRESS = INCREASEDSUSCEPTIBILITY TO: Heart Disease

Diabetes Common Infections

Obesity


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COMMON COPING MECHANISMS

FOR DEALING WITH STRESS: Excessive Alcohol Consumption

Illegal Drugs

Overeating


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DEBT = STRESS

Financial Stress is leading cause of divorce

Correlation: Personal debt and increasedlevels of anxiety

Correlation: Personal debt and increasedreports of depression

Correlation: Personal debt and cardiovascularproblems and other mortality rates


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Stress takes away ability to focus onimportant stuff:1. GOD

2. CHILDREN

3. WORK4. RELATIONSHIPS

When a parent is financially stressed:1. CHILDREN SUFFER

2. FAMILY UNIT SUFFERS3. COMMUNITY SUFFERS


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A 2009 STUDY FOUND

EVIDENCE OF ARELATIONSHIP BETWEEN

ECONOMIC INSTABILITY ANDAN INCREASE IN SUICIDE


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CONSUMERS IN DEBT TOPAYDAY LOAN COMPANY CONSUMERS IN NEED OFFINANCIAL LITERACY COMMUNITIES AS A WHOLE.


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OUR CLIENTS STORIES OF THEDESTRUCTIVE JOURNEYTHROUGH PREDATORYLENDING


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CURRENTLY HAS TWO PAYDAY LOANS HAVING TO MAX OUT 2ND LOAN TO PAY OFFFIRST LOAN WIFE HAD LOAN BUT PAID OFF WIFE HAVING TO GET NEW LOAN TO PAYBILLS BOTH ARE SIGNERS ON ADDITIONAL TITLELOAN ON VEHICLE

APPLICATION DENIED DUE TO AMOUNT OFDEBT AND LACK OF INCOME SUFFICIENT TOPAY KLPP MONTHLY PAYMENT


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ELDERLY CHURCH MEMBER TOOK OUT PAYDAY LOAN TO AFFORDMEDICATIONS COMING TO CHURCH TO ASK FOR HELP UNABLE TO AFFORD MEDS & BILLS 6-12 MEMBERS IN DEBT TO PDL/TITLE LOANS


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OBVIOUS DISTRESS WHEN CAME TO CC STARTED WITH COUNSELING DIFFERENT PROGRAMMING HELP DOING WELL AND WILL GRADUATE FROMCOLLEGE IN DECEMBER NEW MEMBER OF KLPP-SPECIFIC BOARD TIME TO GIVE BACK AND SHOW OTHERS ITDOES GET BETTER


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CATHOLIC CHARITIES OF NORTHERN KANSAS MAIN OFFICE 425 WEST IRON AVE.

SALINA, KS 67401CLAUDETTE ALMARAZ KLPP COORDINATOR

LYDIA LOWE EXECUTIVE ASSISTANT/FINANCIAL ADVOCATE

[email protected] [email protected]

OFFICE PHONE: 785-825-0208CLAUDETTES CELL: 785-643-3928

www.ccnks.org
mailto:[email protected]:[email protected]:[email protected]:[email protected]:[email protected]

2013 Annual Gathering: Workshop#10A: Reaching Back to Offer a Hand Up

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