CredAbility Announces the Launch of Online Financial Capability ToolsWednesday, December 21, 2011

Grant from the Citi Foundation will support the development of eight financial education program tracks to expand reach to new clients and deliver high quality, cost-effective financial education

The Citi Foundation has awarded a $275,000 grant to CredAbility to develop and offer new online financial education programs to nonprofit community organizations seeking to improve the financial capability of the low- to moderate-income individuals and households that they serve.

CredAbility is a 47-year-old national nonprofit organization based in Atlanta that, in 2010, provided credit, housing and bankruptcy counseling and education services to more than 630,000 people in all 50 states. The organization has had proven success in effectively reaching more people in need of support to improve their financial situation by working through partnerships with social service agencies, faith-based groups, and nonprofit organizations.

With Citi Foundation support, CredAbility will build an external Learning Management System (LMS) to expand their reach to a greater range of clients and deliver high-quality, cost-effective financial education at scale. The LMS will allow CredAbility to create new program content tailored to the particular financial management needs of diverse clients and more effectively track client outcomes. The grant will also support the development of eight financial education program tracks with courses on specific money management topics including post-purchase homeownership, surviving on a limited income, credit, debt management and saving for college.

“We are very pleased that the Citi Foundation has made this investment in CredAbility’s infrastructure, giving us the chance to reach many more people through our online financial education programs,” said Phil Baldwin, chief executive officer and president of CredAbility.

“Community based organizations recognize that financial challenges can often be a barrier to their clients’ success. Our investment in this innovative delivery model will enable CredAbility to partner with nonprofit organizations that want to provide their clients with the tools to gain control over their finances, build assets and achieve financial stability,” said Daria Sheehan, Senior Program Officer, Citi Foundation.

To launch the program, CredAbility will collaborate with eight nonprofit organizations, recommended by the Citi Foundation and Citi Community Development, to create an online financial education portal with customized, co-branded websites for each partner. CredAbility will advise partners on selecting appropriate courses and marketing the program to clients and will provide partners with data on client outcomes. Clients will also be able to access CredAbility’s financial counselors and educational tools for additional help in achieving their financial goals.

Clients participating in the program will be encouraged to put their financial knowledge into action by taking steps toward specific aspirations. For example, for the Preparing for College curriculum, recommended action steps include opening and contributing monthly to a college savings account and gathering information about potential scholarships and grants.

Additional resources, including access to live webinars, online financial tools and calculators, downloadable workbooks and text or e-mail reminders, will also be available to support clients in achieving their financial goals. To measure the program’s impact, CredAbility will conduct quarterly surveys to track participants’ success in meeting those goals. The two organizations plan to launch this initiative in spring 2012.