Cause and effect. It's the relationship between events or things, where one is the result of the other or others. Examples? I need milk so I'll go to the grocery store on my way home. A baby is crying so her dad picks her up. A massive twister hit Auntie Em's house so Dorothy and Toto wind up in the wonderful Land of Oz. You get the idea.
The theme for the 2016 CUNA Governmental Affairs Conference is "Powerful Cause, Positive Effect." Hmmm. Credit unions are a powerful cause. Check. Their work to serve members and improve members' financial well-being has a positive effect. Check. The GAC theme epitomizes the credit union movement as well as the possibilities to truly link your credit union's mission with your philanthropic efforts.
Philanthropy is embedded in the DNA of credit unions. Credit unions contribute – a lot – to a variety of national and local causes, cementing their place as institutions that care about member and community well-being. "Not for profit, not for charity but for service" – that's the system motto. When credit unions link their mission to their philanthropy, that's both a powerful cause and powerful effect.
What do I mean? Think long and hard about what your credit union hopes and strives to achieve with its philanthropy. What change do you want to make in your community? What change do you want to see in the lives of your members? It is important to not only be philanthropic, but strategically philanthropic. Link your philanthropy to your mission of serving members.
A powerful cause is credit unions' auto lending. A positive effect is getting people into cars so they can have better employment and life opportunities. The strategic philanthropy is non-prime auto lending. A pilot program was spearheaded by the Filene Research Institute and funded by the Ford Foundation, in which the National Credit Union Foundation led the work on the non-prime auto lending product. The results? Working with Filene over 18 months, the Foundation helped 10 credit unions close 7,605 loans for more than $102 million. That's more than 7,000 underserved people that now have reliable, affordable transportation.
Another powerful cause: Training teachers to teach financial education to kids. The positive effect is kids who understand and can manage their finances, and the strategic philanthropy is Biz Kid$. The $551 million, Salem, Ore.-based Maps Credit Union has partnered with Western Oregon University to incorporate Biz Kid$ into the College of Education's curriculum. The results? Approximately 84% of Oregon's schools employ the university's alumni as educators, providing a large audience to be reached through this initiative. To date, 17 lesson plans have been written by teachers and students at the college for use by teachers. These lessons include five dual-language lesson plans that can greatly diversify the reach and impact of the Biz Kid$ curriculum.
One final powerful cause: To help members understand financial matters. In this case, the positive effect is loyal members who use the credit union's services, and the strategic philanthropy is the Enhanced FiCEP program. The program is a unique partnership between the Foundation, CUNA's Center for Professional Development, credit union leagues and credit unions. The program trains staff who are then able to give professional financial counseling and education to help members better prepare for their future and to assist when they are faced with financial difficulties. The results? Since starting the program five years ago, the Foundation has already worked with 448 credit unions in 25 states and graduated 1,655 students. Check out the video below and find more information at ncuf.coop/ficep.
Think about your philanthropy. Think about your credit union's mission. Link the two and the powerful cause will result in a truly positive effect – for your members, your community and your credit union.
Gigi Hyland is executive director for the National Credit Union Foundation. She can be reached at 202-824-6282 or [email protected].
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