Financial Partners

Common Wealth Charlotte Client StoryCommon Wealth Charlotte  partners with banks and credit unions who share our commitment to help low-income individuals to become banked and build financial capacity.  Individuals participating in the CWC program can benefit from our financial partners' existing products, such as full-service checking products, online banking, and free bill pay, automatic transfer to savings accounts (programs designed to help build savings), and Share-secured loans (loans secured by savings to establish and/or build credit), in addition to the newly created CWC Opportunity Loan product. The unique CWC Opportunity Loan offers high-risk clients  up to $750 with direct paycheck drafts and a maximum six-month term at 3.15% APR, which is substantially below the market rate due to the donor-funded collateral pool. Proceeds can be used for financial emergencies, paying off predatory loans, or addressing items (e.g. evictions) that are bringing down credit scores. The successful repayment of this loan can materially increase the client's credit score, which ultimately allows the client to qualify for larger, market rate loans with financial institutions.


A payday loan of just $350 can cost a borrower as much as $800 in interest.
    Lend Justly

76% of payday borrowers get a new loan within a two week pay period, thus churning through 9 different payday loans a year.
    Center for Responsible Lending

 

Common Wealth Charlotte's holistic financial capability program enables the new banking relationship along with the usage of appropriate and innovative financial products to initiate a change in financial behavior via participation in multi-tiered workshops and one-to-one counseling.   With loan losses expected to remain well below 10%, charitable contributions will be recycled multiple times and over many years, resulting in a highly sustainable model that maximizes donor benefits.  

CWC Testimonial "The CWC and CMCU partnership is a great asset to our community. CMCU is proud to be a part of this financial empowerment model, and we look forward to helping strengthen families' financial knowledge and stability through this program."

Nichol Matthews
Charlotte Metro Credit Union