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How to Provide Tax Preparation Assistance through VITA Programs - 3 Free Webinars

2010-03-16T04:00:00Z

With Nancy Pierce, Field Coach – REAL Solutions®

VITA, or Voluntary Tax Assistance Programs, is an IRS program that offers free tax help to those who qualify and help them take advantage of special tax credits such as the Earned Income Tax Credit. In a series of three webinars, Real Solutions will demonstrate how credit unions can provide this service to their community and gain meaningful new relationships with members.

Research by the Government Accountability Office and Internal Revenue Service indicates that between 15% and 25% of households who are entitled to the Earned Income Tax Credit do not claim their credit, or between 3.5 million and 7 million households. The average EITC amount received per family in 2002 was $1,766. Using this figure and a 15% unclaimed rate would mean that low-wage workers and their families lost out on more than $6.5 billion, or more than $12 billion if the unclaimed rate is 25%.

VITA programs save low-wage working families millions of dollars per year in tax preparation fees.
According to the National Consumer Law Center, more than $800M dollars in loan and other fees were drained from low income taxpayers in 2008.¹

Credit unions can provide the right tax assistance through their own VITA programs or by partnering with other community organizations – and credit unions can provide these consumers/members with the right savings programs steer members away from expensive refund anticipation loans and provide information to help them obtain a better economic future.

Program Schedule

Dial 866-274-9016 and use the password 766281 followed by the # sign at 3:00 PM Eastern

June 22, 2010: Can State Leagues and Foundations Play a Role in Assisting CUs with VITA Outreach?

Join us to learn how state leagues and foundations can play a vital role in building a state-wide VITA program.

July 27, 2010: So Your Credit Union Wants to Participate in VITA Outreach: What Does that Mean?

There are many different ways a credit union can participate in VITA sites. This webinar explores how to make it happen including a time line and action plan to assist with planning and managing the process.

August 17, 2010: Complementary Products to a VITA Operation

How can credit unions build a business model that benefits the credit union and attracts loyal and profitable members?

For more information on the webinars, please contact Nancy Pierce. You may also download the flyer for the VITA webinar series here.

June 22, 2010: Can State Leagues and Foundations Play a Role in Assisting CUs with VITA Outreach?

2010-03-16T04:00:00Z

With Nancy Pierce, Field Coach – REAL Solutions®

In the first webinar in our three-part series on VITA, Nancy Pierce will show how state leagues and foundations can play a vital role in building a state-wide VITA program.

Instructions on how to join the webinar

June 22, 2010 at 3:00PM Eastern

Click this link to visit the webinar website.
Dial 866-274-9016 and use the password 766281 followed by the # sign

Research by the Government Accountability Office and Internal Revenue Service indicates that between 15% and 25% of households who are entitled to the Earned Income Tax Credit do not claim their credit, or between 3.5 million and 7 million households. The average EITC amount received per family in 2002 was $1,766. Using this figure and a 15% unclaimed rate would mean that low-wage workers and their families lost out on more than $6.5 billion, or more than $12 billion if the unclaimed rate is 25%.

VITA programs save low-wage working families millions of dollars per year in tax preparation fees.
According to the National Consumer Law Center, more than $800M dollars in loan and other fees were drained from low income taxpayers in 2008.¹

Credit unions, in partnership with their leagues or foundations, can provide the right tax assistance through their own VITA programs or by partnering with other community organizations. Credit unions can provide these consumers/members with the right savings programs steer members away from expensive refund anticipation loans and provide information to help them obtain a better economic future.

For more information on the webinars, please contact Nancy Pierce. You may also download the flyer for the VITA webinar series here.

July 27, 2010: So Your Credit Union Wants to Participate in VITA Outreach: What Does that Mean?

2010-03-16T04:00:00Z

With Nancy Pierce, Field Coach – REAL Solutions®

In the second episode of three-part series on VITA, Nancy Pierce will show how your credit union can get involved with VITA and how to go about offering it to your members.

Instructions on how to join the webinar

July 27, 2010 at 3:00PM Eastern

Click this link to visit the webinar website.
Dial 866-274-9016 and use the password 766281 followed by the # sign

Research by the Government Accountability Office and Internal Revenue Service indicates that between 15% and 25% of households who are entitled to the Earned Income Tax Credit do not claim their credit, or between 3.5 million and 7 million households. The average EITC amount received per family in 2002 was $1,766. Using this figure and a 15% unclaimed rate would mean that low-wage workers and their families lost out on more than $6.5 billion, or more than $12 billion if the unclaimed rate is 25%.

VITA programs save low-wage working families millions of dollars per year in tax preparation fees.
According to the National Consumer Law Center, more than $800M dollars in loan and other fees were drained from low income taxpayers in 2008.¹

Credit unions can provide the right tax assistance through their own VITA programs or by partnering with other community organizations. Credit unions can provide these consumers/members with the right savings programs steer members away from expensive refund anticipation loans and provide information to help them obtain a better economic future.

For more information on the webinars, please contact Nancy Pierce. You may also download the flyer for the VITA webinar series here.

August 17, 2010: Complementary Products to a VITA Operation

2010-03-16T04:00:00Z

With Nancy Pierce, Field Coach – REAL Solutions®

In the final webinar of our three-part series on VITA, Nancy Pierce will show how credit unions can build a business model that benefits the credit union and attracts loyal and profitable members.

Instructions on how to join the webinar

August 17, 2010 at 3:00PM Eastern

Click this link to visit the webinar website.
Dial 866-274-9016 and use the password 766281 followed by the # sign

Research by the Government Accountability Office and Internal Revenue Service indicates that between 15% and 25% of households who are entitled to the Earned Income Tax Credit do not claim their credit, or between 3.5 million and 7 million households. The average EITC amount received per family in 2002 was $1,766. Using this figure and a 15% unclaimed rate would mean that low-wage workers and their families lost out on more than $6.5 billion, or more than $12 billion if the unclaimed rate is 25%.

VITA programs save low-wage working families millions of dollars per year in tax preparation fees.
According to the National Consumer Law Center, more than $800M dollars in loan and other fees were drained from low income taxpayers in 2008.¹

For more information on the webinars, please contact Nancy Pierce. You may also download the flyer for the VITA webinar series here.

From Good to Growth - What Are You Waiting For?

2010-03-15T04:00:00Z

REAL Solutions will soon be celebrating our sixth birthday. Wow – how can that be? So much has changed in these past six years.

Research shows that credit unions that offer the right products to low wealth families grow and prosper. This, along with what we believe is the fundamental mission of the credit union movement, has kept one thing constant over the last six years – our strategy to grow credit unions by offering viable products for consumers who are often overlooked (or even intentionally ignored) by financial services.

25% of Americans today are outside the financial mainstream. That’s a whole lot of people who credit unions can serve.

We spend a lot of researching, testing, and refining ways to serve these members well. The credit unions we work with, those that look beyond these new products as “charity” and pursue them as a growth strategy, see that this is a way to change lives and strengthen their organization.

To this end, we’ve begun a monthly video series on outreach-based growth titled “From Good to Growth.” Each month one of our field coaches will explain a new growth strategy credit unions are using to reach new markets and strengthen their bottom line.

Over the next few months, we’ll talk about growth strategies for reaching immigrants, people living in poverty, youth, and other people on the fringe of the financial mainstream.

Have you seen a credit union with a great outreach and growth strategy? Let us know in the comments or by emailing brent@realsolutions.coop, we’d love to give it the attention it deserves.

Four Free Webinars: Social Media - Landscape, Strategy, Tools, and Production

2010-03-09T05:00:00Z

“Every day that credit unions delay a well-thought out strategy is another day their competitors gain in cementing a relationship with this demographic.” Jinkook Lee, Professor – Consumer Science, Ohio State University

It’s time to be real about social media. Throwing up a Facebook page, jumping into a blog, or blasting updates via Twitter because you heard you’re supposed to will exhaust you and annoy your members. To do it well (or decide if you should do it at all), you need understanding, strategy, and the right tools to implement.

Over the next four months, we’re going to take an in-depth walk through what social media really means to credit unions. We’ll look at how and why it’s changes behavior, how to create a strategy and implementation plan, how to choose the right tools for the job, and the production methods to execute well.

Here are some more bits for your reading pleasure, gracefully lifted from our Click here to Download the 2010 CU Tomorrow Webinar Series Flyer

March 25th 2010 - CU Tomorrow Webinar: Understand the Social Media Landscape

2010-03-06T05:00:00Z

In collaboration with the National Credit Union Foundation and the Filene Research Institute with Brent Dixon, REAL Solutions is pleased to host the first in a 4-part CU Tomorrow webinar series entitled, "Attracting Youth and Young Adults."

In this webinar, will we discuss why and how are people using social media, what caused this massive shift in human behavior, and what these changes mean for your credit union.

Did you know…The average age of American credit union members is 47 years of age?

Did you know…As recent as 2007, only 19% of young adults (18 to 34 years of age) report using a credit union most frequently for financial services? This compares to 57% who more frequently use a bank.

Further More…Convenience is the primary deciding factor for young members. They want convenient locations and hours, drive through services, ebanking and epayment. Secondly, they choose a financial institution for access to the right products and services.

How to join…Please join us by calling 866-274-9016 on March 25th, 2010 at 3PM Eastern Time for the webinar and enter the password 766281 followed by the # sign.

“Every day that credit unions delay a well-thought out strategy is another day their competitors gain in cementing a relationship with this demographic.”

Jinkook Lee, Professor, Consumer Science, Ohio State University

April 22nd 2010 - CU Tomorrow Webinar: Develop Your Social Media Strategy

2010-03-06T05:00:00Z

In collaboration with the National Credit Union Foundation and the Filene Research Institute with Brent Dixon, REAL Solutions is pleased to host the second episode in a 4-part CU Tomorrow webinar series entitled, "Attracting Youth and Young Adults."

In this webinar, we will discuss why social media is about people and the technology is secondary. We’ll gain insight by monitoring what your audience is saying online, and how to create a social media plan of action.

Did you know…The average age of American credit union members is 47 years of age?

How to join…Please join us by calling 866-274-9016 on April 22nd, 2010 at 3PM Eastern Time for the webinar and enter the password 766281 followed by the # sign.

“Every day that credit unions delay a well-thought out strategy is another day their competitors gain in cementing a relationship with this demographic.”

Jinkook Lee, Professor, Consumer Science, Ohio State University

May 20th 2010 - CU Tomorrow Webinar: Build Your Social Media Toolkit

2010-03-06T05:00:00Z

In collaboration with the National Credit Union Foundation and the Filene Research Institute with Brent Dixon, REAL Solutions is pleased to host the third episode in a 4-part CU Tomorrow webinar series entitled, "Attracting Youth and Young Adults."

If a social tool is a means to facilitate conversation, which is the best tools to facilitate yours? From social networks to Twitter to blogs to wikis, we’ll look at the opportunities and challenges with these platforms so you can determine which online media mix will accomplish your goals.

Did you know…The average age of American credit union members is 47 years of age?

How to join…Please join us by calling 866-274-9016 on May 20th, 2010 at 3PM Eastern Time for the webinar and enter the password 766281 followed by the # sign.

“Every day that credit unions delay a well-thought out strategy is another day their competitors gain in cementing a relationship with this demographic.”

Jinkook Lee, Professor, Consumer Science, Ohio State University

June 17th 2010 - CU Tomorrow Webinar: Produce Your Social Media Initiative

2010-03-06T05:00:00Z

In collaboration with the National Credit Union Foundation and the Filene Research Institute with Brent Dixon, REAL Solutions is pleased to host the fourth episode in a 4-part CU Tomorrow webinar series entitled, "Attracting Youth and Young Adults."

How do you bring your social media plan to life? In this final session we’ll get our hands dirty with design, media production, and learn how to test, measure and optimize your plan for continual improvement.

Did you know…The average age of American credit union members is 47 years of age?

How to join…Please join us by calling 866-274-9016 on June 17th, 2010 at 3PM Eastern Time for the webinar and enter the password 766281 followed by the # sign.

“Every day that credit unions delay a well-thought out strategy is another day their competitors gain in cementing a relationship with this demographic.”

Jinkook Lee, Professor, Consumer Science, Ohio State University

Declare Your Low-Income Designation or CDFI Certification

2010-03-02T05:00:00Z

Do you know any REAL Solutions credit unions that have delayed confirming their eligibility for NCUA low-income designation or CFDI certification?

Secretary of the Treasury Timothy Geithner announced the Community Development Capital Initiative (CDCI), and our expectation is that it will make hundreds of millions of dollars available to qualifying credit unions.

This is a rare and valuable opportunity for credit unions serving low-income communities, of which there are more than 1,000 in the United States. Only about 150 are now certified as CDFIs, and hundreds more would qualify . But it will take some quick action.

Background & Key Features

Since mid-2009, the Federation has been working with the Treasury Department and NCUA to develop a special, one-time program to invest in credit unions serving America’s hardest-hit communities.

The key features of the program are as follows:

The CDCI will invest up to 3.5% of a credit union’s assets.
The investment will be in the form of secondary capital loans, which count as net worth for regulatory purposes.
The overall term is 13 years.
The rate is 2% for the first 8 years, and 9% thereafter, in order to encourage participants to repay the loan early.
To participate, a credit union must be:
- Low-income designated by NCUA or its state regulator
- Certified by the Community Development Financial Institutions (CDFI) fund as a CDFI
NCUA will have to certify that a credit union is viable, in order for it to accept funds.
The application deadlines are as follows:
- April 2 to apply for the program
- April 16 to secure CDFI Fund designation, if you don’t already have it.

Making these programs work for credit unions will be the Federation’s top priority in the weeks and months to come. We have worked, and continue to work, with Treasury and NCUA every step of the way in order to develop a CDCI program that helps our industry.

We’ve committed much of our staff to working on the CDCI in the weeks and months ahead. We will be offering intensive technical assistance to Federation members and consulting services to other credit unions, on CDFI certification, eligibility, NCUA and Treasury requirements, and more.

How do I act on this?

To act on this or ask questions please leave a comment, visit the Federation’s web site (www.cdcu.coop), or contact Pablo DeFilippi, Director of Member Services, (Pablo@cdcu.coop , 800-437-8711, ext. 304).

OR view, download, fill out, and submit the appropriate forms below:

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Empathy, Viability, and Sustainability

2010-02-18T05:00:00Z

I find it interesting – and sometimes a little frustrating – to hear credit unions say that now is not the time to offer financial products to low wage working families.

Almost every day I’ve seen a new press release, TV spot or blog post on why consumers should (and are) making the switch to credit unions.

It’s both a huge opportunity and responsibility for credit unions, but one thing it’s not: warm fuzzy altruism. It’s important to understand that implementing new products that help low-wealth members is a growth strategy. To succeed in this area, product and service development has to focus on empathy and service coupled with viability and sustainability.

In other words, you should be asking yourself:

Empathy: Does this solve a member problem?

Credit unions are known for the member service they provide. True service, however, is more than a pretty smile and friendly hello. Service is providing the right product at an affordable price with terms and conditions that are user friendly.

And, perhaps most importantly, providing an answer to a direct member problem. This requires a deep understanding of your members: Where are they hurting? What do they need? What do they want? What are their good and bad habits?

Filene’s Denise Gable wrote a great post earlier week titled Design Inspired Innovation explaining that the best innovation efforts start with a deep understanding of the consumer.

Viability: Can we do this today?

Viability means a pricing a product to cover the costs and generate a return for the institution. Not all credit union product have to make money to be viable. For example, a short term loan product may not make money but attracts new members to join who will use other products and services that do make money.

Sustainability: Even if we can do it today, what will it look like a year from now?

Sustainability means offering programs with a business model that insures long term success. Will your new initiative go beyond today and continue helping your members in need tomorrow?

And to take it a step further, will your environment, community, society, or economy ultimately be better as a result of your initiative?

What do you consider before launching a new product into the marketplace? I’d love to hear your thoughts in the comments.

41% of American Children Live in Poverty

2010-02-11T05:00:00Z

Credit unions care about kids. We support all kinds of children’s charities, provide financial educational opportunities, support little league, athletic and after school programs. According to the National Center for Children in Poverty fourteen million American children live in families with incomes below the federal poverty level, which is $22,050 a year for a family of four.

The number of children living in poverty increased by 21 percent between 2000 and 2008 – and I suspect with the economic climate these numbers are even higher in 2010. However, this tells only part of the story. An additional 15 million children (totaling 29 million) live in low-income families.

This totals 41% of American children.

The rates of official child poverty vary tremendously from one state to the next as does those children coming from different ethnic backgrounds. Children that come from Hispanic or African Homes are disproportionately poor. The fact and figures show that:

11% of white children live in poverty
35% of black children live in poverty and
31% of Hispanic children live in poverty.

Credit unions can make the difference for these children and their families. Access to affordable financial products can dramatically increase the earning potential of parents to raise the financial conditions within the home. A perfect example of how credit unions can help is providing nonprime used auto loans. Priced correctly these loans can provide a good return for the credit union and more affordable loans and quality cars for members. Other options to help these families include affordable check cashing services, reloadable prepaid cards and debit only checking accounts.

To learn more about childhood poverty check out the research paper – Who Are America’s Poor Children – the Official Story. It is an excellent report with great information.

Together we can a difference – a big difference.

What your credit union is doing to assist low wage working families?

Who Are America’s Poor Children – the Official Story

60 million Americans are Underbanked

2010-02-04T05:00:00Z

Yesterday I had the pleasure of talking to a representative from the FDIC who sought our advice on how financial instutions can provide access to affordable transaction products. I was able to give her a host of credit union examples as well as share our product toolkits with her. In talking with her I found that FDIC has just completed a ‘National Survey of Unbanked and Underbanked Households.’

The data gathered in this survey will be used inform the financial services industry and policymakers about economic inclusion issues, and promote the goal of ensuring that all Americans have asess to basic, safe and affordable banking services. The report provides national and state data on unbanked and underbanked households. I was not surprised (sadly) to find that 25.6% of American households are unbanked our underbanked – this represents almost 60 million adults.

How many people in your state are underbanked?

http://www.economicinclusion.gov/about_survey.html

Live Streaming of Winter REAL Solutions League Liaison & Field Coach Meeting

2010-01-20T05:00:00Z

This week is our Winter Bi-Annual League Liaison & Field Coach Meeting, at the Rosen Centre in Orlando, Florida. The program is two days packed with insight and ideas to help our leagues reach and serve their members in new ways.

The program includes information about leveraging community relations to gain REAL Strategic Impact, a panel discussion of League’s Best Practices for implementing member solutions, new strategies in Member Savings, as well as a discussion on Social Media and Members. We will also be covering, in detail, REAL Solutions in 2010.

For those of you who can’t make it this year, the good news is we’ll be live streaming video from most of the event over the web. You can tune in at your leisure to watch live video and comment on sessions. We’ll even have a chat window open to take your questions during the Q & A.

You can watch the meeting by clicking the button below, which takes you to realsolutions.coop/live. Scroll down a bit to browse our schedule.

Schedule of Events

We’ll be covering as many sessions as possible. In some cases, we may not be able to capture the entire session. But we’ll do our best. All times are in Eastern Standard Time.

January 20th, 2010 – Day One

9:00 to 12:00am – Arrivals and Registrations

12:00 to 12:30pm – Lunch & Greet

12:30 to 12:45pm – Welcome Introductions

Lois Kitsch – REAL Solutions Program Director
Tom Candell – NCUF Interim Executive Director

12:45 to 2:15pm – League Best Practices: Panel Discussion

John Cote – Vermont CUL
Barb Bass – Connecticut CUL
Jim Drogue – Wisconsin CUL
Melia Heimbuck – CUA of Colorado/Wyoming
Open Dialogue

2:15 to 2:45pm – REAL Solutions in 2010

Lois Kitsch – REAL Solutions Program Director

Click here for the handout on the Business Plan

2:45 to 3:00pm – Break

3:00 to 4:00pm – REAL Solutions Field Coach Panel

Vicki Joyal
Mark Lynch
Bill Myers
Nancy Pierce
Open Dialogue

4:00 to 5:30pm – Project Proposal Planning

6:30pm – Depart for Universal/Dinner on your own

8:00pm – Blue Men Concert – Universal Studios

January 21, 2010 – Day Two – REAL Solutions Members are joined by the NCUF Board of Directors

8:30 to 8:45am – Open & Welcome

Allan McMorris – NCUF Board Chairman

8:45 to 9:00am – Introductions

9:00 to 10:15am – Leveraging Community Relations, Philanthropy and Outreach Efforts for REAL Strategic Impact

Steve Delfin, President/CEO – America’s Charities

Click here for this handout
Rui Domingos, President/CEO – Cambridge Portuguese CU

Click here for this handout

10:15 to 10:30am – Break –

10:30 To 11:15am – Innovation Brought to Scale

Matt Davis – Filene Research Institute

11:15 to 12:00pm – Delivering Financial Education to Graduating Seniors

Bob Hoel, Fellow – Filene Research Institute
Ron Smith, Professor – University of Wisconsin

12:00 to 1:00pm – Networking Lunch

1:00 to 2:00pm – New Strategies in Member Savings

Dean Karlan, Professor – Yale University

2:00 to 3:30pm – The Art of Conversation Social Media & Members

Brent Dixon, Applied Researcher – Filene Research Institute
Tim McAlpine, Currency Marketing
DeAndre Upshaw, Spokesperson – Young and Free

3:30 to 3:45pm – Break

3:45 to 5:00pm – A Progressive Look at Young Adults: CauseWired

Tom Watson, Author and Entrepreneur

5:00 to 5:15pm – Program Close

5:30 to 7:00pm – Networking Reception

I’ll add handouts to this post soon. Stay tuned!