First National Bank of Howell Helps Foster Care Youth Establish Financial Security and Build for the Future
By BILL PERRY
LANSING — Michigan relies on businesses, along with the public and educational
sectors to build an educated workforce for the future. Education is critical to
a strong economic foundation for the state. One community bank in Southeastern Michigan has accepted its role in this
effort and for the past five years has been a leader focusing on a population
of students that often are forgotten: foster care youth.
According to Terese Gainer, services supervisor at Livingston County Department
of Human Services, First National Bank of Howell (FNBH) with assets over $300
million, works closely with her agency providing help in financial literacy
training and ongoing financial education support to area foster care kids. The
effort includes handling over 60 accounts for these youngsters.
“The relationship between our foster youth and First National Bank of Howell
began in 2004 when we first received a grant form the Jim Casey Youth
Opportunities Initiative,” Gainer explained. “The grant allowed us to seek out
a bank that had a reputation for good customer service and a commitment to the
local community.”
The State of
Getting Banks Involved
Gainer believes that community banks are a very important part of the
transition into adulthood for all young people but critical for foster youth.
“Without an understanding of the banking system they are vulnerable to many
financial practices that are not in their best interests,” Gainer emphasized.
“I feel certain that other banks would be able to enjoy a productive
relationship with foster youth in their communities. It takes some additional
effort because these young people often have unstable home situations.”
She noted that as a group foster care youth may also need additional support in
understanding bank statements and practices. “But the benefits outweigh the
challenges. In the end they could have a chance to enjoy a consistent
relationship with a financial institution and often maintain their accounts for
a long period of time. They tend to be very loyal customers.”
Gainer admitted she was a little worried, at first, about how the bank would respond
to the needs required for foster care youth since it meant a bit more work for
the bank. “We need monthly statements with no fees, very low minimum balances,
and safeguards against overdrafts in addition to a letter from me before the
youth can access the funds in the IDA account,” Gainer said. “The bank manager
was very helpful. They allowed us to have the same privileges as those given
their ‘kids accounts’.”
Meeting Foster Youth Educational Needs
Going to College is not out of reach for foster care youth, but there are
challenges.
“The Michigan College Access Network knows that in order to build and sustain a
vibrant economy and strong communities, we must work together to ensure that
everyone in Michigan has the opportunity to access and succeed in postsecondary
education, including our foster youth exiting the system,” emphasized Brandy
Johnson-Faith, Michigan College Access Network, Governor’s Office. “We
appreciate the community partners who work to serve this unique population
through innovative programs.”
Foster youth are lacking basic financial literacy skills and guidance to
transition from high school to college. But
Gainer said
Data reported about three years ago among 18-23 former foster youth living in
Wayne, Macomb and 10 Northern Michigan counties found: 52 percent had no high
school diploma or GED; only 34 percent were enrolled in post-secondary education;
only 12 percent were employed full-time and only 36 percent had even part-time
employment; 55 percent were on public assistance; 44 percent reported that they
had no one to turn to in a crisis; 40 percent said that they were either
homeless or had not stable housing; 61 percent had no driver’s license; 32
percent said that they had no health insurance although almost all were
eligible for Medicaid.
“The bank has provided personnel to come at the end of our financial literacy
training to complete their paperwork and welcome our youth to the bank,” Gainer
said noting the efforts of Amanda Newton, a former bank employee who not only
provided services, but got actively involved in the foster care program on her
own time volunteering to help in any way she could.
“Amanda would show our youth how to fill out the withdrawal and deposit slips;
how to balance their statements and provided information regarding services.
She has been a great mentor helping the kids identify a savings goal would
personally follow up their efforts and congratulated them on their successes.”
Gainer noted that many of foster youth have no relationship with mainstream
banking and are pretty scared of the institution. “Amanda stood out to the kids
because they felt comfortable with her. I thought that was interesting because
they may not have used a bank had we not connected them with Amanda,” she
explained.
Gainer also pointed to her favorite success story. “Her name is Becky Gremore a
young lady who was raised in the foster care system and at age 17 was placed
with a wonderful foster family who encouraged her to succeed in school and
attend college. Becky’s foster father helped her complete her college
application and took Becky to speak to a college counselor. She remains very close
to her foster parents even now with a family of her own.”
Gremore started college and is now married with two young children. She hopes
to return to complete her degree after her kids start school. “I am also
mentoring and served as president of the local JCYOI group,” Gremore added. She
continues to maintain her accounts with FNB of Howell.
“First National Bank and it’s staff are always happy to serve the needs of our
community and knowing that we can provide this type of service brings us a
great deal of happiness,” added Ron Long, president/CEO of First National Bank
of Howell.
From left: Amanda Newton, Rebecca Gremore and Terese Gainer
Tags: community banks "warm fuzzies"
