Wednesday August 15, 2012
Debbie Belt, 574-6587/303-6167
Phil Miller, 574-1901 / 439-4726
Bank On Louisville Celebrates Its Second Anniversary
Program helps citizens achieve financial stability
Mayor Greg Fischer today celebrated the successful second year of Bank On Louisville (BOL) with program sponsors and participants, touting its impact on Louisville's financial well-being.
Bank On Louisville, a partnership between the Louisville Metro Departments of Economic Growth & Innovation and Community Services and Revitalization, launched in July 2010, and is one of more than 70 “Bank On” institutions in the nation committed to connecting low- and moderate-income residents to mainstream financial services in order to avoid costly fringe financial services.
It’s estimated that there are approximately 76,000 unbanked or under-banked households in Louisville, and that fees from high-cost check-cashers, predatory lenders and other alternative financial services can add up to more than $40,000 over the working lifetime of one individual.
“The innovative partnerships created by Bank On Louisville are working to improve the financial well-being of individuals and the entire community,” Fischer said. ‘Financially stable families help to create stronger neighborhoods which in turn lead to stronger communities and new economic opportunities.”
Bank On Louisville’s success at establishing partnerships has been the key to reaching the unbanked residents and connecting them with low-cost financial services. Sixteen banks and credit unions, and more than 100 community organizations, faith-based and government agencies, including Louisville Metro, FDIC and the Federal Reserve, work together on this initiative. BOL also helps to connect individuals with numerous financial education opportunities including the Start Fresh! program that guides participants through the banking process and helps them avoid the pitfalls of overdrafts and mismanagement.
Bank On Louisville’s accomplishments for FY11-12 include:
- 4,192 new bank accounts opened last fiscal year/10,144 overall for first two years
- 85% accounts have remained open with an average balance of $818
- 1,693 financial education participants engaged in topics that included budgeting, savings, and financial goal-setting
Charla Young -- long-time reporter/journalist in the Louisville area and president and CEO of Power to Change Communications -- served as emcee for the event carrying the message that “everyone has the power to change their circumstances”. Walt Henderson, Director of the EFT Strategy Division of the U.S. Department of the Treasury’s Financial Management Service and head of the Go Direct
campaign, a national campaign to encourage use of direct deposit or a designated debit card for federal benefit payments – praised Bank On Louisville’s efforts to raise awareness to help convert more than 93 percent of federal benefit recipients in the area from paper checks to direct deposit.
The need for banking and financial literacy continues and Bank On Louisville is answering this challenge by establishing strategic goals for 2012-2013 including a 35% increase in account openings, a 100% increase in financial education participation and a 30% increase in partners. To learn more about Bank On Louisville and for a list of financial education opportunities, visit www.bankonlouisville.com
or call Metro Call 311.