11 Point Financial Maintenance 

Family Stabilization Plan

The 11 Point Financial “Family Stabilization Plan” involves providing a number of educational components coupled with culturally sensitive non-traditional banking products and services into an intense two (2) year participatory and counselor assisted program that assist participants in stabilizing the financial position of their family. The program is directed at family member age 16 and older. 
1.Below Market Mortgage (1st & 2nd Family Stabilization Loan Funds)
2.Consumer Loan Products
3.Giving To Build Program
4.Savings To Save
5.Budget Your Dreams
6.Financial Literacy Education (Four Cornerstones)
7.Investing For The Future (North Star Resource Group)
8.Hardship Fund
9.Healthy Credit Usage Program (4 Cards)
10.Credit Awareness & Debt Reduction Program
11.Homebuyer (Pre & Post) Education BWM has begun producton of a 16 Week/ Financial Literacy Education televi
Below Market Mortgage Products: “Family Stabilization Loan Fund”
BWM will offer, process, manually underwrite, originate and have Community Reinvestment Fund  service and maintain below market rate 1st and 2nd Residential Mortgage products. These products will be non-traditional for underserved families that don’t meet certain credit and/or risk standards of traditional conventional and/or government insured programs.  1st Mortgage will represent 80% of the value of the collateral.  Low rate 2nd mortgage or home equity lines or extension loans to be used as a stabilizer for qualifying homebuyers, to offset declining home values for refinancing families out of non-prime loans and to mitigate risk on the resale value of the portfolio of the 1st mortgage program. These loans will be made to participants in foreclosure or that have found themselves upside down due to market conditions.

Note:(These products will only be offered in conjunction with participants of the holistic 11-point plan.)

Market Stabilizing Consumer Loan Program
BWM will offer, process, manually underwrite, originate market rate Installment Loans to assist families that have found themselves in a high rate Auto or Consumer Installment Loan Contract that exceeds 8% APR.  Collateral must be less than 5 years old, be warrantable, insurable and meet certain valuation criteria. These products will be non-traditional for underserved families that don’t meet certain credit and/or risk standards of traditional conventional bank lending programs.

Note:(These products will only be offered in conjunction with participants of the holistic 11-point plan.)

Giving To Build:
Cheerful giving from the heart in a charitable way has been proven to be quite profitable for families in a number of ways including mentally, spiritually, emotionally and financially. BWM will have directives that influence participants in the program give 10% of their income to charitable organizations of their choice.

Saving To Save:
BWM has established a strong family oriented savings plan. One that provides for three (3) levels of savings short term (catastrophe’s) 30%, mid range (vacation’s and future purchases) 25% and long range (education, retirement inheritance) 45%. All family participants set up a primary savings plan to save 10 cents (a dime) out of every dollar that is earned or obtained by each member of the family. BWM will align its program with existing matching based Individual Development Accounts(IDA) savings programs that promote community based asset building services to underserved populations that have traditionally been considered un-banked.

Budget Your Dreams:
BWM acquired a license agreement to use a real time virtual budgeting program “Budget your Dreams. This is a web based program that allows for participating families and counselors to create, analyze, maintain and adjust a working budget from different locations at one time in a virtual manner. BWM will utilize a staff of counselors to work with participants to create workable budgets over a 12 – 18 month period by allowing them to maintain their own budget and provide limited assistance over time. Counselors will provide instruction in using the system and help participants maintain suggested patterns of budgeting and savings and other services provided through this program.

Four Cornerstones of Financial Literacy:
BWM will administer the “Four Cornerstones of Financial Literacy”  curriculum that provides an intense thorough foundational training program to all its participants. The program is for 16 hours and cover: 1) Budgeting to Create Savings 2) Debt Reduction & Asset Building 3) Building a Good Credit Rating and 4) Consumer Protection & Financial Institutions.

Investing For The Future:
BWM has partnered with a major financial planning resource organization to provide participants with free financial planning programs for money that is being saved in the “Savings To Save” program.  The user-friendly program provides a Financial Planner/Coach for the duration of the two-year plan. The program was designed to maximize earning potential while managing risk. Investing properly in vehicles that can provide wealth and stability for generations to come has always been an area that is minimized in the targeted group.

Hardship Fund:
BWM will initiate a Hardship Fund to minimize financial catastrophic deterioration of the family financial position. The Hardship Fund is a gratitude loan/grant fund that allows a family to use one time per year in the event of a major hardship. The fund has no repayment plan or term with the exception of a six (6) month maturity date. BWM expects that this fund will be a form of gratitude repayment program. It allows participants of the entire program to partake of the fund only in remote situations and when they have established savings and stability they would sow into the fund. A major focus will be to market and discourage the new wave of pay-day and other predatory lending products that have been on the rise in recent months.

Healthy Credit Usage (Soar): (4/6/8 Program) “Spending Our Assets Responsibly”
This is a 2 – Tier program that involves sending participants through: 1) 8 hour credit enrichment program “Credit Smart” (created by Freddie Mac and administered by the Minneapolis Urban League). 2) 8 Hours with Coach in the 4/6/8 Program enrollment.  It provides a strong basis for monitoring spending habits and placing limits on specific types of spending that can keep a family on track while strengthening their credibility. 4 Cards: 1) Transportation 2) Food and Incidentals 3) Utilities and 4) Discretionary Spending.

Credit Awareness & Debt Reduction Program:
8 Hours Credit Awareness & Mending with an established credit repair advocate organization. This program is specifically to be used to correct past credit problem through training and series of letters and learned negotiation techniques to reduce existing consumer debt

Homebuyer Education (Pre & Post):
Participants are required to go through an established 8 Hour “Home Stretch” home-ownership workshop in addition to taking and additional 16 Hours of Post Homebuyer education after the purchase and closing of their property. The objective is to have four (4) half day (4 hour) sessions quarterly after a family has acquired a home to cover many topics that face homeowners long after the closing. 


Equal Opportunity LenderEqual Housing Opportunity