Community Affairs:

Southwest Regional Conference on Reaching Unbanked People:
Unbanked at the Border and Serving Immigrant Unbanked
Monday, December 4, 2006
University of Texas - Pan-American
Edinburg, Texas

On December 4, 2006 in Edinburg, Texas, the Department of the Treasury, the Federal Deposit Insurance Corporation (FDIC), National Credit Union Administration, Office of the Comptroller of the Currency with the assistance of the Federal Reserve Bank of Dallas, the Office of Thrift Supervision and the Department of Housing and Urban Development, held the Southwest Regional Conference on Reaching Unbanked People at the University of Texas - Pan-American.

The conference included discussion on unbanked people in border and immigrant communities, the role of financial institutions in financial literacy, the impact of being unbanked for individuals and communities, and a survey of Latino Earned Income Tax Credit filers in border communities. Following the conference, Federal agency representatives participated in a community financial education event sponsored by the Office of Congressman Ruben Hinojosa.

Agenda
Brochure
News Release: Chairman Johnson Highlights Role of Financial Literacy at Treasury Unbanked Conference in Texa

Welcome Event and Overview (George Bennack, Dan Iannicola, Jr., Anna Escobedo Cabral, JoAnn Johnson, Greg Davis)
Community Perspective (Michael Goeken)
Financial Needs and Financial Status of Border Families (Barbara Robles)
Financial Institution Panel (David Lewis, Douglas Bready, David Guerra, Maria Martinez, Harriet May)
Resource Panel (Eloy Villafranca, Mathew Davies, Nancy Granovsky, David Hirschman)
Roundtable Discussions

Welcome and Event Overview

George Bennack
Associate Director for Business Development
University of Texas-Pan American

Mr. Bennack described the Edinburg-area community and the role of the University in the community.

Dan Iannicola, Jr.
Deputy Assistant Secretary for Financial Education
US Department of the Treasury

Mr. Iannicola Jr. described the challenges of unbanked people.

Anna Escobedo Cabral
Treasurer of the United States

Ms. Cabral discussed the importance of partnerships between the public and private sectors in order to deliver financial education and reach unbanked people. She also discussed the importance of individuals saving for their future and described the work of the Financial Literacy and Education Commission. Read her remarks here.

JoAnn Johnson
Chairman
National Credit Union Administration

Ms. Johnson discussed the importance of financial literacy and education for people of all ages and income levels, and discussed the common ground that banks and credit unions can find on this issue. She also described a number of federal programs and resources that can be used by financial institutions to reach unbanked customers.

To view the Credit Union Times Review - "Johnson Shares Stage with Government Officials at Unbanked Conference" click here.

Greg Davis
Congressman Ruben Hinojosa's Washington office

Mr. Davis discussed Congressional support for financial literacy efforts.

Community Perspective

Michael Goeken
Department of Community Initiatives
City of San Antonio, Texas

Mr. Goeken described San Antonio's interest in helping families to access resources and services which will help them get ahead, and described a number of specific projects, including financial education, income tax assistance and car re-finance loans. To see his presentation, click here.

Financial Needs and Financial Status of Border Families

Bárbara Robles
Associate Professor
Arizona State University

Dr. Robles discussed her research on low-income Latino families in border communities who used a tax assistance site, including findings about their microbusiness ownership, and use of tax refunds. To see her presentation, click here.

For updated information about the study, click here.

Financial Institution Panel

Moderator: David Lewis
District Community Affairs Officer
Office of the Comptroller of the Currency

Mr. Lewis described resources available from the OCC to assist in reaching new markets.

Douglas Bready
McAllen Region President
Texas State Bank

Mr. Bready described how his bank is reaching unbanked customers, including trough Pay Cards, free checking and internet banking. To see his presentation, click here.

David Guerra
President and Chief Executive Officer
International Bank of Commerce

Mr. Guerra focused on making credit available, including to small businesses, and location of branches in major retailers and seven-day offices.

Maria Martinez
President and Chief Executive Officer
Border Federal Credit Union

Ms. Martinez described her credit union's approach and services to low-income markets, including a Home Ownership Counseling Program, Volunteer Income Tax Assistance, a youth fair and camp, savings secured loan, and community outreach through a costumed mascot, "Border Buck." To see her presentation, click here.

Harriet May
President and Chief Executive Officer
GECU

Ms. May discussed interviews that the credit union conducted with members about their use of financial services, and the Savings Challenge that developed out of those interviews in which participants will be interviewed on television regarding their progress toward savings goals. May also described low-minimum CDs packaged as "No Excuse Savings" and other innovative approaches to promote savings. To see her presentation, click here.

Resource Panel

Moderator: Eloy Villafranca
Community Affairs Officer
Federal Deposit Insurance Corporation

Mr. Villafranca described the FDIC's Alliance for Economic Inclusion in Texas and discussed strategies for disseminating financial education.

Mathew Davies
FedACH Sales Specialist
Federal Reserve Bank of Dallas

Mr. Davies described Directo a Mexico, an account-to-account transfer product which uses the existing domestic automated clearing house structure, which can be used by banks to send money to banks in Mexico for a low cost. To see his presentation, click here.

Nancy Granovsky
Professor and Extension Family Economics Specialist
Texas Cooperative Extension

Ms. Granovsky described financial education resources available from Cooperative Extension, including WISE UP geared at young women.

David Hirschman
Stakeholder Partnerships Education and Communication Austin Territory Manager
Internal Revenue Service

Mr. Hirschman discussed the Volunteer Income Tax Assistance program and outreach about the Earned Income Tax Credit and other credits which may benefit working families.

Roundtable Discussions were held on

Remittances and Reaching the Unbanked
Innovative Products and Strategies for Reaching the Unbanked
Asset Building and Reaching the Unbanked
Financial Education and Reaching the Unbanked

The Office of the Comptroller of the Currency was created by Congress to charter national banks, to oversee a nationwide system of banking institutions, and to assure that national banks are safe and sound, competitive and profitable, and capable of serving in the best possible manner the banking needs of their customers.