Consumer Action launches a financial health pilot

Consumer Action is partnering with Catholic Charities Dallas, Haven Neighborhood Services, HOPES CAP Inc. and VetsGroup to test financial technology apps and track the outcomes of consumers who use them over a six-month period. The groups will conduct the pilot in their volunteer income tax assistance (VITA), individual development account (IDA), housing counseling, financial counseling, credit counseling, community education or financial coaching programs.

Consumer Action is a member of the FinTech-Nonprofit Partnerships Working Group, managed by the Center for Financial Services Innovation (CFSI) with support from the JPMorgan Chase Financial Solutions Lab. As a working group member, Consumer Action applied for and was awarded a grant to distribute financial technology apps and tools to affiliates as part of a pilot.

“This is a very exciting project for Consumer Action,” said Audrey Perrott, associate director of outreach and training at Consumer Action. “We have introduced financial technologies to network partners at three national conferences. Now, we will be able to learn more about how FinTech tools improve the financial health of the diverse group of consumers that our network partners serve and whether the consumers need additional support from counselors, coaches or community educators to access and use the tools.”

Perrott said she looks forward to learning more about what motivates consumers to continue using the tools and how the tools improve financial health over time.

The groups that Consumer Action selected for the pilot are diverse and representative of the consumers that its network partners serve. The goal of the pilot is to assess the current financial health of 60-100 consumers, have them use a financial health tool developed by one of the JPMorgan Chase Financial Solutions Lab cohorts, use the Consumer Action FinTech fact sheet, and track changes in financial health over a six-month period. Staff of participating agencies will receive technical assistance and support from Consumer Action.