Guadalupe Credit Union’s Chief of Financial Empowerment, Diane Sandoval-Griego, saw this problem up close. Years ago, she was Guadalupe’s first Financial Coach, tracking client outcomes as best she could in excel spreadsheets. When she needed to prove the value of her work, she sought out Pathways, which allowed her to streamline the data, identify trends, and develop solutions.
Best of all, she held up a mirror to the members she was serving, reassuring them of their progress with real data.
A few years ago, the Financial Coaches on her growing team noticed that their credit-challenged members were losing thousands of dollars to exorbitant interest from predatory lending products.
In response, they developed a Predatory Debt Relief Loan, and later a Predatory Title Relief Loan, which covered the cost of the predatory loans with far better terms. In exchange, the member had to meet at least twice with a Pathways Financial Coach and demonstrate $0 or positive cash flow, among other requirements.