CFSI Launches New Grant Fund to Promote Financial Capabilities among Underserved Consumers

CFSI to support ground-breaking projects designed to move the financial education field forward.

CHICAGO--(BUSINESS WIRE)-- The Center for Financial Services Innovation (CFSI) launched the Financial Capability Innovation Fund to provide grants and technical assistance to promising nonprofit-led projects designed to help consumers better manage their finances and achieve financial prosperity. CFSI will award a total of $1.25-$1.5 million to four to six nonprofit-led projects through a competitive request for proposals process. The RFP process begins September 1, 2010.

As our nation begins its recovery from the financial crisis, millions of Americans are still struggling with their finances. Recent research suggests the need for new and improved educational tools and resources that not only improve consumers’ financial knowledge but that actually change their behavior. The Financial Capability Innovation Fund is seeking innovative projects that are relevant, timely, actionable, and ongoing, and that are scalable.

“We hope the RFP will inspire nonprofits and other financial service providers to think creatively about how they leverage technology, incorporate behavioral economics, or more closely link education to financial products.” said CFSI Senior Relationship Manager Sarah Gordon. “The projects we ultimately select will help to improve our understanding of what really works for promoting the financial capability of lower-income consumers.”

The Financial Capability Innovation Fund is supported by a collaborative of funders -- led by the Citi Foundation -- and includes Bank of America, Capital One Financial Corporation, Morgan Stanley, Experian, and Visa Inc. The Fund will be advised by a leadership council comprised of the funders as well as a number of additional thought-leaders and financial capability experts including the National Endowment for Financial Education (NEFE).

“Through our support of CFSI’s Financial Capability Innovation Fund we plan to seed, nurture and promote new strategies that help low-income consumers achieve greater financial stability and build assets,” said Pamela Flaherty, Citi Foundation President and CEO. “We hope our investment will catalyze change across the financial education field and drive widespread adoption of financial capability strategies that will result in improved outcomes for low-income consumers.”

CFSI is accepting proposals through October 13, 2010. For more information on the Fund or to download the request for proposals, visit the CFSI website at http://www.cfsinnovation.com/financialcapability

About CFSI

The Center for Financial Services Innovation is the nation’s leading authority on financial services for underbanked consumers. Since 2004, its programs have focused on informing, connecting, and investing – gathering enhanced intelligence, brokering and supporting productive industry relationships, and fostering best-in-class products and strategies. CFSI works with leaders and innovators in the business, government and nonprofit sectors to transform the financial services landscape. For more on CFSI, go to www.cfsinnovation.com

CONTACT:

Media Contact:
The Center for Financial Services Innovation
Lorie Bonham
Director of Marketing and Communication
312-860-1022
lbonham@cfsinnovation.com

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