CFS Annual Report 2011 - Clearpoint Credit Counseling · 2017. 1. 3. · CLEARPOINT CREDIT COUNSELING SOLUTIONS 2011 Annual Report 3 Northeast 2011 Bank of Greene County Broome Community

C R E D I T C O U N S E L I N G S O L U T I O N S®

ClearPoint 2011 ANNUAL REPORT

A CLEARMISSION-DRIVEN

FOCUS

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Letter from the CEO

Increasing Our Community Involvement

Growing Our Organization

Increasing Our Visibility

Our Clients at a Glance

Sheltering Our Clients

Recognizing Financial Support

Focus on Our Employees

Words of Appreciation

Board of Directors

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Table of Contents

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CLEARPOINT CREDIT COUNSELING SOLUTIONS 2011 Annual Report 1

Letter from the CEO

A Clear Mission-Driven FocusClearPoint’s 2011 annual report documents a 12-month cavalcade of clear mission-driven accomplishments. While this report describes many of them, a few are particularly noteworthy. This past year, ClearPoint:

• Established a vibrant new region through a successful merger with Consumer Credit Counseling Service (CCCS) of Central New York;

• Dramatically increased our HECM counseling capacity and delivery;

• Initiated a strategy for pre-purchase housing counseling and education;

• Strengthened our management team with the addition of key management personnel throughout the country;

• Increased our educational outreach by placing media relations staff in Chicago, IL, Charlotte, NC, and Syracuse, NY; and

• Signed cooperation agreements with the Mexican Consulates in Los Angeles, Sacramento, and Fresno, CA.

All of these endeavors complemented our robust and consistent counseling and education services, which ClearPoint was able to provide to thousands of consumers while outperforming its 2011 operating budget. In fact, successful fundraising and careful stewardship of our company’s assets has allowed ClearPoint to plan an aggressive market expansion in 2012, the largest de novo growth of our company in its history.

While service offerings grew in many areas, our successful partnerships with the Mexican Consulates in Los Angeles, Sacramento, and Fresno, CA have ensured that critical fi nancial advice and skills training will be widely available to an important demographic. Generous support from national and regional partners have allowed us to provide high quality fi rst-time homebuyers seminars in some of the most troubled housing markets in the country, reopening the possibility of home ownership to consumers, helping to reduce excess housing stock, and easing the downward pressure on housing prices. These are truly win-win situations that help both individuals and community.

ClearPoint continues to steadfastly advance its mission of providing Consumer Health through Financial Education on a local level through its nearly 50 community offi ces in 12 states. We do this, even though the costs of providing community-based service are steep, because we see our national company as an amalgamation of the 50 unique communities we serve. How do we accomplish this? We are successful because each member of the ClearPoint family shares our clear mission-driven focus. For that commitment, I am profoundly thankful. So, 2012 – here we come!p y

Christopher J. HonenbergerPresident and CEO

CFS Annual Report 2011.indd 1CFS Annual Report 2011.indd 1 4/26/12 3:56 PM4/26/12 3:56 PM

2 2011 Annual Report CLEARPOINT CREDIT COUNSELING SOLUTIONS

Increasing Our Community Involvement In 2011, ClearPoint remained steadfastly focused

on developing and strengthening our partnerships in

communities around the country. Our strategic alliances

include credit unions, colleges, community organizations, and

government agencies. All of these partnerships allow us to

further broaden the scope of our services and to give help to

the people who need it most. We would like to thank all of

our strategic alliances and we look forward to continuing to

work together to promote consumer health through fi nancial

education.

REGIONAL STRATEGIC ALLIANCES Atlantic 2011AON/HewittArgent Federal Credit UnionBaylands Federal Credit UnionBurke & Herbert Bank & TrustCall Federal Credit UnionColumbia Gas of Virginia,

a NiSource CompanyEVB (Eastern Virginia Bankshares)Fort Lee Federal Credit UnionHenrico Employment Transition

Center

Langley Federal Credit UnionMetroCASHPeoples Advantage Federal Credit

UnionRichmond Postal Credit UnionSperry Marine Federal Credit UnionUnion First Market BankLegal Information Network for

Cancer (LINC)Hanover Habitat for HumanityAssurance Federal Credit Union

Heartland 2011

Arsenal Credit UnionC-Plant Credit UnionRiver Regions Credit UnionSangamon County Community

ResourcesUniversity of Missouri Extension

Offi ceFirst Citizens BankAdams County United WayVatterott College, QuincyUniversity of Memphis Student LifeRise FoundationUnited Way of Greater St. LouisGateway EITC Community Coalition

Commerce BankThe Lighthouse ShelterBeyond HousingFirst National BankSt. Clair County Intergovernmental

Grants DepartmentUnited Housing, Inc.Salvation Army, QuincyUrban League of St. LouisMemphis Light, Gas, and WaterFifth Third BankOld National BankRural Development – U.S.

Department of Agriculture



Northeast 2011Bank of Greene CountyBroome Community College –

Entrepreneurial Assistance Program

Civil Service Employees Association (CSEA)

Cornell Cooperative Extentions: Sullivan, Madison, and Chemung Counties

Cornell UniversityDepartment of the Army: Garrison

Humphreys; Garrison YongsanFort Drum – US Dept. of the Army

ACSHabitat for Humanity New York State

Housing Council in the Monroe County Area, Inc (THC)

Ithaca CollegeNew York State Public Employees

Federation (PEF)New York State United Teachers

Union (NYSUT)Nucor Corporation/VulcraftOneida Indian NationOpportunities for OtsegoPenFed FoundationUnited Health Services HospitalsUnited Health Services EAPUnited Way of the Southern Tier

Pacifi c 2011CU MOUFirst Imperial Credit UnionFresno County Federal Credit UnionLos Angeles Federal Credit UnionMedia City Community Credit Union

Sacramento Credit UnionSAFE Credit Union Schools Federal Credit UnionState Center Credit Union

Other MOUsAsian Resources Broadway Career

CenterCatholic Charities, Diocese of

StocktonComprehensive Housing Information

& Resources for People Living with HIV/AIDS – Los Angeles

City of Palmdale Redevelopment Agency

King County WorkSource Career Connections

The Mexican Consulate in FresnoThe Mexican Consulate in Los

AngelesThe Mexican Consulate in

SacramentoUnited Way of Fresno County/

SparkPoint Center

In our ongoing effort to meet the needs of Latino communities, we have signed memoranda of understanding (MOUs) with several Mexican Consulates in the Pacifi c region in 2011. In 2012, we will remain focused on gaining and strengthening these alliances, not only in the Pacifi c region, but throughout the country.



Growing Our Organization This past year, ClearPoint continued to expand both its

footprint and its expertise, including laying the groundwork

for new branch openings in several communities, including

San Diego, California, Beaverton, Oregon, and Williamsburg,

Virginia. Our biggest expansion this past year came with the

merger of Consumer Credit Counseling Service of Central New

York (CCCS of CNY), through which we were able to tap into

the vast experience and resources of a best-in-class agency

to provide more services and outreach to a large number of

clients in the Northeast.

MERGER WITH CCCS OF CENTRAL NY On July 1, ClearPoint joined forces with one of the most reputable CCCS agencies in the country. CCCS of CNY has a deeply rooted community presence across the state and national award-winning counseling staff. They also have a superb reputation among consumers as a credible, reliable, local fi nancial education service provider. ClearPoint embraced many components of CCCS of CNY’s successful branding and communications strategy, including adapting promotional materials for a national television advertising campaign and tapping the expertise of a Syracuse-based market research company.

FINANCE IS FUN FOR THE WHOLE FAMILY Upon merging, ClearPoint took over administration of CCCS of CNY’s proprietary Family Financial Fitness program, funded by Chase Card Services, a division of JPMorgan Chase & Co in the amount of $200,000.

Since parents greatly infl uence their children’s approach to fi nancial decision-making and the development of their money management skills, Family Financial Fitness educates both parents and their kids on the basic foundational principles of fi nancial literacy.

The one-of-a-kind, three-year program incentivizes parents of young children—in kindergarten through middle school—to learn and use personal fi nance skills designed to address the goals of each family. In addition to taking a comprehensive fi nancial literacy class called “Credit When Credit Is Due,” participating parents will meet with ClearPoint’s credit counselors for guidance and support once every six months.

The children’s interactive component of the program called “The Centsables” (offered by our program partners, Norm Hill Entertainment)

includes kid-friendly online lessons and games to teach money management skills.



Merger Between Consumer Credit Counseling Service

of Central New York (CCCS of CNY) and ClearPoint unites two

industry leaders.

On July 1, these two storied National Foundation for Credit Counseling (NFCC) member agencies joined forces behind a shared mission: Community-focused fi nancial education delivery. The union came as the result of many months of conversation about what emerged as a shared vision of the future: Growth and a commitment to locality.

As it approached its 40th birthday in 2012, CCCS of CNY began seriously assessing its options, guided by a strategic plan to “go ten in 40” – to enter into the ranks of the NFCC’s top ten consumer credit counseling services. Led by CEO MaryAnn Stark, whose career is characterized by a passion for education, CCCS of CNY built a stellar reputation for serving over 50,000 consumers annually through fi ve branch offi ces – Syracuse, Albany, Binghamton, Utica, and Watertown – and many satellite and mobile locations throughout the state.

The organization saw more potential on the horizon and was strongly positioned for expansion. It was well managed and enjoyed a healthy regional brand. Even so, Stark saw the potential of joining forces with a national organization, and ClearPoint topped her list. “I came to know members of ClearPoint’s management team at NFCC conferences, and I sensed their mission resonated with ours. Very few big agencies have maintained a strong commitment to local presence the way ClearPoint has,” said Stark.

As for ClearPoint CEO Chris Honenberger, the fi t was a natural one. “Here were two best-in-class fi nancial education and counseling providers with a demonstrated commitment to community. The advantages of joining forces were clear.”

Stark, with a Bachelor of Arts from the State University of New York, College at Oswego and a Masters of Education from St. Lawrence University and many years spent in academic service, became ClearPoint’s President of the Northeast Region.

The future is bright. With plans for expansion on the near horizon, ClearPoint’s newest staff members are up to the challenge and happy to be a part of a bigger family, one with the same heartfelt devotion to nurturing consumer health through fi nancial education.

ALBANY, NYAUBURN, NYBINGHAMTON, NYELMIRA, NYFORT DRUM, NYITHACA, NYONEIDA, NYSYRACUSE, NYUTICA, NYWATERTOWN, NY

MaryAnn StarkPresident,Northeast Region



KTLA Phone Bank

America Now Medical Credit Cards

America Now 4th Bureau Agencies

Increasing Our Visibility In 2011, ClearPoint continued to grow the success of the

Media Relations strategy by focusing on direct-response

programming, syndication of local programming, and radio

fi nancial tips. To accomplish our objectives, ClearPoint

added new members to the media team. Media Relations

Coordinators Thomas Nitzsche, John Brumbaugh, and Gary

Thurber joined Media Relations Director Bruce McClary in

working to increase ClearPoint's visibility across regions. Here

are some of the media highlights from the year:

KTLA PHONE BANK – FEBRUARY 2011This event was broadcast live from ClearPoint’s Commerce, California offi ces on Los Angeles television station KTLA, the number one morning news provider in the second largest media market in the country. Our phone bank was a part of their “Dance Your Debt Off” contest, and aired each morning from February 21 through February 25, 2011. ClearPoint answered 2790 calls from distressed consumers who reached out to us after seeing us on KTLA. This was ClearPoint’s fi rst multi-day phone bank, and demonstrated our unique capacity to handle a high number of calls. It was also the fi rst such event to be broadcast live from our offi ces.

WWBT 12 AND AMERICA NOWFor a number of years, ClearPoint has partnered with our friends at NBC affi liate WWBT TV 12 in Richmond, Virginia. We have participated in consumer alerts, phone banks, and several live interviews. This year, some of consumer segments that we were a part of were shared by WWBT with the nationally syndicated program America Now, co-hosted by Leeza Gibbons and Bill Rancic. Our segments reached thousands of viewers in all 50 states.

PARTNERING WITH HIGH PROFILE AND CREDIBLECONSUMER PROGRAMMINGRadio continues to be an effective resource for news and information, and local broadcasters have the trust of audiences over the years. ClearPoint has partnered with several radio stations, and their consumer experts, to align our message of fi nancial responsibility with their timely consumer news content. In 2011, ClearPoint sponsored tips on several programs featuring our media staff in different regions. It all started in the fi rst quarter with KOMO in Seattle, Washington. By the end of the year, the list included KMOX in St Louis, Missouri, KDKA in Pittsburgh, Pennsylvania and WBZ in Boston, Massachusetts. Those four stations have signal strength that reaches nighttime audiences in two-thirds of the United States and portions of Canada. In early 2012, KNX in Los Angeles, California will carry our tips to thousands more listeners.



TV Radio Print Internet

2011 MEDIA INTERVIEWS 321 145 56 149

JAN-DEC 2011 MEDIA GROWTH

■ TV ■ Radio ■ Internet ■ Print



Our Clients at a Glance

MARITAL STATUS

■ Married 48%

■ Single 37%

■ Divorced or Separated 11%

■ Widowed 4%

CLIENTS ON OUR DEBT MANAGEMENT PROGRAMSAverage Gross Income $54,208Average Unsecured Debt $18,924Average Age 48Average Number of Creditors 9

CAUSES FOR FINANCIAL DISTRESS

■ Reduced Income 43%

■ Poor Money Management/Excessive Spending 24%

■ Unemployment 15%

■ Unexpected Medical Expense/Injury/Illness 8%

■ Payment Delinquency 7%

■ Other 3%

GENDER

TOTAL DEBT REPAIDTO CREDITORS

$155,355,117

TOTAL NUMBER OFCOUNSELING SESSIONS

71,528

WOMEN

60%

MEN

40%

MARITAL STATUS

■ Married 48%

48% 37% 11% 4%



Our Funders Make it Possible Thanks to the generous support of grants, creditors, and our

clients, ClearPoint is able to provide a broad range of services

to the communities that need it the most. We are thankful for

all of the support we received in 2011 and are proud that we

have been able to use these funds to further our commitment

to educating the public about fi nancial health.

GRANTS AND CONTRIBUTIONS - 2011

FINANCIAL FIRSTSClearPoint’s award-winning Financial Firsts™ course, an interactive, skill-building course designed to help students cultivate sound fi nancial habits, got a big boost from JP Morgan Chase in 2011 in the form of a $75,000 grant to support the development of an online high school student/teacher portal. In development

through 2012, this web-based platform will support classroom delivery of the course, create fi nancial education social networks for students, and capture critical data to measure the impact of the program.

IDENTITY SERIES: FINANCIAL RESPONSIBILITY In August 2011, Pearson Higher Education published ClearPoint’s fi nancial education program for young adults, IDentity Series: Financial Responsibility. An online course is currently in development. Created from Financial Firsts™, this text equips students with concrete skills, and also nurtures critical reasoning abilities to help them make good life decisions as they transition from college, to work, to retirement.

2011 GRANTSAND CONTRIBUTIONSOVER $10,000

Bank of America

California Community Foundation

Bank of the West

Wells Fargo

Washington State Housing Finance Commission

Ally Financial

US Bank

Department of Housing and Urban Development (HUD)

National Foreclosure Mitigation Counseling Program (NFMCP)

City of Stockton

GRANTS AND CONTRIBUTIONS 2011

Creditors 39% Clients 40% Grants 21%



Sheltering Our Clients Housing issues continued to cause hardship for many

Americans this past year and our clients were no exception.

ClearPoint worked hard to expand our housing counseling in

2011 with the support of many funders. We offer a diversity

of services, including counseling and presentations on reverse

mortgages, home buying, as well as how to avoid or rebuild

after a foreclosure.

GROWING EXPERTISE IN REVERSE MORTGAGESThe Home Equity Conversion Mortgage (HECM) is the only reverse mortgage insured by the U.S. Federal Government. After ClearPoint received a substantial Housing and Urban Development (HUD) grant in 2010 to deliver services to seniors throughout 2011, we set about training additional staff. By the close of 2011, ClearPoint had become one of the largest deliverers of HECM counseling and education in the country, and we provided expert guidance and resources to over 4,000 seniors, helping them make informed decisions based on their personal financial situation.

HEALING AND MOTIVATING HOMEBUYERSClearPoint partnered with the Federal Reserve Bank of San Francisco to pilot test a series of post-foreclosure resource fairs in Fresno. The fairs, held in locations throughout the community, provided families access to counseling, education and resources. ClearPoint’s new Moving Forward: Rebuilding Your Financial Life After Foreclosure workshop was central to the fairs. Over 20 community-based partners supported the fairs, which reached over 400 families.

ClearPoint received a grant in the amount of $175,000 through Wells Fargo’s Welcome Home Program to deliver 60 homebuyer workshops and one-on-one pre-purchase counseling to low-to-moderate income families in the states of California and Oregon. This grant will enable us to increase consumer interest in home-buying opportunities, improve consumer understanding of the home-buying process, and expand the base of consumers who are ready to purchase their fi rst home. The workshops will be delivered throughout 2012 in English and Spanish.



Partners in the Mission THE COUNCIL OF BETTER BUSINESS BUREAUS (CBBB)

ClearPoint remains the only consumer credit counseling provider that is a system-wide accredited business with the CBBB. Our many fi nancial video tips continue to be a very popular feature on bbb.org, with thousands of views. Last October, ClearPoint and the BBB teamed up to promote ClearPoint’s holiday planning tool, generating dozens

of news stories across the country and thousands of visits to www.clearpointccs.org. These cobranded national promotions are planned quarterly in 2012.

KIPLINGER PERSONAL FINANCE AND THE BETTER BUSINESS BUREAU MILITARY LINE GUIDE

In an effort to arm servicemen and women with critical fi nancial lifeskills, ClearPoint once again stood behind renowned personal fi nance

magazine Kiplinger and the BBB Military Line to update and republish a fi nancial guide for military families. We were proud to be part of a team that included other fi nancial education leaders at the Defense Council of Credit Unions and Investor Protection Trust.

CONSUMER FEDERATION OF AMERICA (CFA)Advocacy and education are passions shared by both ClearPoint and CFA, and we are proud to be the only CCCS agency to enjoy national membership. Through CFA’s research publications

and conferences, ClearPoint keeps its fi nger on the pulse of fi nancial issues facing consumers.

JUMP$TART COALITIONClearPoint is an active national member of this renowned fi nancial literacy advocacy organization.



Focus on Our Employees Every day the employees at ClearPoint live our mission.

Two awards are presented annually to those whose work

demonstrates an extraordinary commitment to Consumer

Health through Financial Education.

EXTRAORDINARY SERVICEIn 2011, ClearPoint honored two outstanding employees for their exceptional service to ClearPoint’s mission.

Sharon Eades, ClearPoint’s Director of Operations, received the Eugene Poelker Award for her long-time dedication to ClearPoint and its mission. Sharon is the consummate team player and consistently takes on responsibilities without regard for whether they fall within the purview of her department, including acting as the lead staff member on the database mapping and usability initiative.

Jonathan Gedeon, a Internet Credit Counselor in Richmond, was awarded the Norman Porch Award. Each year this award goes to the employee who best exemplifi es dedication to fi nancial education of consumers. Jonathan has consistently taken on new challenges, including training Internet team members and contributing content for ClearPoint websites, including creating the template for the car-buying module in the online budget calculator.

A TECHNOLOGY LEAP FORWARDIn April 2011, George Merkle was hired as ClearPoint’s chief information offi cer (CIO). George is responsible for the design, development, implementation and operations of Information Technology (IT) at ClearPoint and will lead our technology strategy in 2012.

Prior to joining ClearPoint, George served as President and CEO of CCCS of Greater San Antonio from July, 2003 to March, 2011. George has also held various IT positions, including CIO/CTO and CEO of StockTips, CIO at First Financial Planners, Business Systems IT Director at BCBS of MO, and Corporate IT Director at Brown Shoe Company.

He received a Bachelor of Science degree in Business from University of Missouri - St. Louis (magna cum laude) in 1974 and a Master of Science degree in Computer Science from Washington University in St. Louis in 1983.

INNOVATION NOMINATION!In 2011, ClearPoint was once again a fi nalist for RichTech’s VACO Technology Innovation: Financial & Professional

Services Award for the development of its highly interactive, online budgeting tool that helps assess a consumer’s fi nancial situation and provides real-time, action-oriented tips and advice.

Sharon EadesDirector of Operations

Jonathan GedeonInternet Credit Counselor



“THANK YOU SO MUCH! You are really wonderful! Thanks for all of your help, not just in this instance, but for the past few years. You have helped me keep to this program and when there have been the odd 'bumps' in the road you've treated me so well, and I really appreciate it.” Portland, OR

“I am grateful every day that you negotiated a way for me to avoid bankruptcy. I recently was able to get my Top Secret clearance for work and know that wouldn’t have happened without you. You spent a number of days focusing on my situation and you changed my entire life.” Florissant, MO

“I really appreciate your insight into our fi nancial situation. Your suggestions have given me hope that we can get the debt situation turned around in my lifetime, which is better than I have felt in a LONG time.” Seattle, WA

“I just wanted to say thank you to all of you for all of your help this past four years getting my debt down to nothing. I was in a bad way and you showed me a way through it. Thanks again for all you do! If I ever know anyone in a similar situation, I will send them your way.” Amsterdam, NY

“I just fi nished with the program this month and the experience was wonderful! I started in the program extremely stressed and it felt as if the end of my debts would never come, but it came! Thank you very much for your kind help every step of the way!” Chicago, IL

“The service this company provides is invaluable. You are doing a wonderful job by helping so many people become fi nancially stable. Thank you for hiring fantastic employees!” Nashville, TN

“I have had a great experience with Clearpoint and I will soon be paying off my balances. I referred a friend of mine and he loves Clearpoint as well. Great job Clearpoint!” Braintree, MA

“I can't tell you how much we appreciate your help. When we fi rst started this, I felt like the weight of the world was on our shoulders. After the fi rst few months, I barely notice the payment being withdrawn. Now, it's nice to see some things of our crazy life are being tended to.” Marion, IL

Words of Appreciation

Our Certifi ed Credit Counselors are committed to offering

superior service to our clients every day. Whether over the

phone, online, or face to face, we give our customers the

peace of mind that only fi nancial stability can provide. How

do we know? Because they tell us:

OVERALL CUSTOMER SATISFACTIONWe consistently ask for client feedback so that we can continue to improve our services and provide unparalleled customer satisfaction. We have our customers rate us on a scale from one to fi ve. In 2011, our average rating increased to 4.31 (out of fi ve) from 4.14 in 2010.


Main Offi ce8000 Franklin Farms DriveRichmond, VA 23229

877-877-1995www.ClearPointFS.org

C R E D I T C O U N S E L I N G S O L U T I O N S®

Board of Directors Roger B. Ball - President & CEOCall Federal Credit UnionRichmond, VA

Charles Bruen - President & CEOFirst Entertainment Credit UnionHollywood, CA

Michael F. Bumpass - President & CEOFirstPoint Resources, Inc.Greensboro, NC

Frank Fabiano, Esq. - PartnerLacy Katzen, L.L.P.Syracuse, NY

Catherine K. Gamble - Financial DirectorFox Sports Net MidwestSt Louis, MO

Paul W. Jacobs, II Esq.Christian & Barton, L.L.P.Richmond, VA

Dwight J. Prevo - V.P. Community DevelopmentWells Fargo & Co.Seattle, WA

Ann Stahl - Adjunct ProfessorCalifornia State University, NorthridgeLos Angeles, CA

Dianne H. Williams - Director, CommunicationsSt. Louis MetroSt Louis, CA

Lorraine WynneAlbany, NY

Albert F. (Duff) Young, Jr.Perspective Advisors, L.L.C.Richmond, VA


Documents

CFS Annual Report 2011 - Clearpoint Credit Counseling · 2017. 1. 3. · CLEARPOINT CREDIT COUNSELING SOLUTIONS 2011 Annual Report 3 Northeast 2011 Bank of Greene County Broome Community