SCE Federal Credit Union providing banking to the "unbanked"

Boyle Heights, Calif. - On June 12 SCE Federal Credit Union became the first and only major mainstream credit union dedicated to serving the financial needs of East Los Angeles/Boyle Heights residents. "We made a commitment to work in this community for both philosophical and financial reasons," said SCE FCU Chief Financial Officer George Poitou. "The Hispanic population is growing exponentially so there is an obvious need that we can fulfill." In an area where the average household income range is between $21,000 and $23,000 and where within one block at least five check cashing stores and pay day lenders exist, the SCE FCU full service branch is well situated to provide residents a fairly priced choice for the approximately $6-$7 billion wired to Mexico every year. Through an affiliation with the Los Angeles Community Service Organization, which is dedicated to coordinating a variety of efforts for the common good of the Boyle Heights community, membership is open to the general public. The fully bilingual staff will encourage members to establish a savings by providing options such as postponing the standard saving account fee or in some cases waiving it entirely. SCEFCU will also determine credit worthiness in non traditional ways such as considering a member's payment history with a relative or reviewing a member's cash income in addition to W-2 wages. "Many of the residents in this area are paid in cash and have a fear of financial institutions based on past experiences in their country, so we have to really return to a grassroots marketing approach to let them know we are different," said Poitou. This means not only working with LACSO but going door to door and working with various community groups and churches. Poitou emphasizes that SCE FCU is in the community to provide members with self help- not welfare so services will always be fair but not necessarily free. A formal grand opening celebration is scheduled on July 14. SCE FCU has $225 million in assets and serves 37,000 members. -mbourjolly@cutimes.com