(540) 389-0244
www.freedomf irst.com
At Freedom First, we believe that the complex fi nancial challenges faced by families, businesses, and communities are not insurmountable. A sustainable approach to Community Development is the key to helping Virginians reach their fi nancial goals.
Freedom First is Virginia’s largest Community Development Financial Institution. We have
proudly served the Commonwealth’s Roanoke and New River Valleys since 1956, and we
were named the national Community Credit Union of the Year in 2013 by the Credit Union
National Association.
As a designated Low-Income Credit Union (more than 60 percent of our members are
low-income), Freedom First is committed to ensuring a prosperous future for all of Virginia’s
families and communities—one member, one family, one business at a time.
Freedom First Credit Union
2013 National Co mm
unit y Cr edit Union of the Year
*2013 Year-End Impact Report
The Garrido Family’s Path to Homeownership
Step 1: Financial Education Step 2: Visa Credit Card Step 3: Custom Financial Counseling
Step 4: Personal Auto Loan Step 5: Small Business Auto Loan Step 6: Qualify for a Freedom First
Aff ordable Housing Portfolio Home Loan
The Garrido family, fi rst-generation immigrants who settled in Roanoke, receive one-on-one instruction as Freedom First prepares them for the closing on their fi rst home.
Freedom First Credit Union
Impact Banking Prod ucts and Servi ce s
Our unique suite of aff ordable fi nancial products puts meaningful borrowing and saving opportunities
within reach for those who have been underserved by traditional banking institutions.
Responsible Rides
This award-winning partnership between Freedom First and area businesses and nonprofi ts incorporates fi nancial education and vehicle maintenance classes.
Micro Loans
Unsecured loans of up to $3,000 don’t generate the kinds of profi ts that most banks fi nd worthwhile, but a Micro Loan can be all that’s needed to help borrowers regain their fi nancial footing. From vehicle repairs to home maintenance to education costs and debt consolidation.
Credit Builder Loans
Low/no credit is a catch-22: more risk to lenders means less access to credit and higher interest rates, which makes repayment more diffi cult. Credit Builder helps borrowers develop a habit of making regular payments on time while establishing positive credit.
Payday Alternative Loans
Payday lenders do not have to be the lenders of last resort for hard-working Virginians who have cash-fl ow emer-gencies in between paychecks. Extraordinarily high interest rates make the cycle of debt even harder to escape.
Borrow & Save
When traditional loans and savings opportunities are out of reach, Borrow & Save off ers loans up to $5,000. Half of the funds are held in a savings account until the borrower pays down the other half. Borrow & Save builds credit while teaching the benefi ts of saving.
Total Loans Issued* 193
Total Amount Loaned $2,032,584 Average Vehicle Cost $10,531 Average Borrower Income $18,415 Average Borrower Credit Score 556
* Numbers are since program began in 2010.
New Freedom First members with zero credit had an average credit score in 2013 of 630 after only 6 months of Credit Builder participation.
0-630
Freedom First issued
368 PAL loans
in
2013, saving borrowers
$47,858
in interest and fees!
(540) 389-0244
www.freedomf irst.com
Freedom First loaned
$927,525
to
603 Micro Loan
borrowers
in 2013—an average of
$1,538
per loan.
Borrow & Save
participants increased
their credit score—63 borrowers
began with a score of zero—
and saved
$172,250
in 2013.
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Impact Banking isn’t limited to loans. Our comprehensive approach to Community Development includes
an award-winning fi nancial education program, academic scholarships, and programs that support
responsible home and auto ownership.
Financial Education
Many for-profi t fi nancial “education” providers use their seminars to market their products to their audience. At Freedom First, we customize our free fi nancial education curriculum to meet the specifi c needs of the people, agencies, schools, and small businesses we serve. Our goal isn’t the hard sell—it’s educating our members.
Academic Scholarships
Freedom First awarded $9,500 in academic scholarships in 2013 to college-bound seniors and undergraduates whose academic achievement, work ethic, and civic involvement make them stand out from the crowd.
Home Ownership Solutions
In partnership with the Federal Home Loan Bank, Roanoke City, and local nonprofi t agencies, Freedom First has developed options for Virginians with less than perfect credit to make the dream of home ownership a reality.
“Track-2” Loans, a second-chance loan review for borrowers who do not qualify when using traditional underwriting standards but whose unique circumstances warrant customized underwriting
Down Payment Assistance with matches up to 5:1 — $113,996 awarded in 2013
VA, VHDA, USDA, FHA, ,and portfolio programs Federal Home Loan Bank set-aside products
Aff ordable housing: more than $3 million in home loans to 34 lower income borrowers in 2013 Accessibility rehabilitation
Energy weatherization and energy-effi ciency Home buyers’ fi nancial education
Veterans purchase and rehabilitation
Freedom First Credit Union
Impact Banking Prod ucts and Servi ce s
(540) 389-0244
www.freedomf irst.com
individuals benefi ted from free
fi nancial education in 2013
1,881
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Freedom First Credit Union
Vol unte eris m and Co mm
unit y Supp or t
CDFI
As a certifi ed Community Development Financial Institution, we are dedicated to serving those who lack access to
fi nancial services from mainstream banking institutions. Our goal as a CDFI is to equip our members with the tools they need to reach their fi nancial goals, and our nonprofi t community partners with the capital they need to implement their projects and fulfi ll their missions.
Service Projects
Community Work Day
11 projects, 160 volunteers, 1 “bank holiday”
This annual Freedom First-sponsored volunteer event brings together the collective energy of the Credit Union’s full roster of staff , management, and board to accomplish large projects at under-resourced local nonprofi t agencies.
Community Work Day is only one of many initiatives our staff lead and participate in throughout the year—every year.
Rebuilding Together Roanoke
an extreme home makeover by an all-volunteer crew
Relay for Life and AHA HeartWalk
fundraisers for cancer and cardiovascular research
Nonprofi t Board Service
632 volunteer hours in 2013 by our management team
...and many more!
Scoop
Free Ice Cream
Our outreach team brings free ice cream to elementary schools, retirement centers, nonprofi t events, public housing block parties, and other community events. No pressure, no sales, just ice cream and smiles.
in donations of time, money,
and scholarships in 2013
$106,878
2013 Community Work Day Agencies
Advancement Foundation Big Brothers/Big Sisters of SWVA
Botetourt Food Bank Boys & Girls Clubs of SWVA
Children’s Trust
Feeding America Southwest Virginia Habitat for Humanity New River Family Shelter
Rescue Mission Salvation Army Warm Hearth Village
hours of community service
in 2013
3,078
(540) 389-0244
www.freedomf irst.com
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Freedom First sponsored the fi rst annual Superhero Race to benefi t Family Promise of Greater Roanoke.
The Advancement Foundation
$5,000 to fund a business enterprise development program under its Lift, Educate, Advocate, Proclaim program umbrella.
City of Salem Farmers’ Market
$5,000 in matching funds for EBT users, making locally
grown, healthy produce and food items available to more low-income consumers.
Commonwealth Catholic Charities
$5,000 to establish and equip a computer lab to facilitate English and computer literacy instruction to adult refugee clients.
Historical Society of Western Virginia/O. Winston Link Museum
$2,000 to fund Adventures in Photography, an educational program at Roanoke’s Lucy Addison Middle School.
The Hope Center
$3,000 to support establishing and operating an adult daycare facility for 20 seniors in rural Catawba.
New Horizons Healthcare
$5,000 to expand its Happy Healthy Cooks program into additional local elementary schools.
Salem Area Ecumenical Ministries
$2,000 to fund ACT Packs for Children, a summer “feed and read” program for low-income students.
Unbridled Change
$5,000 to support Take Back the Reins, a therapeutic horseback riding program for low-income survivors of domestic abuse.
Warm Hearth Village
$3,000 to furnish handheld adaptive computers and specialized software to provide enrichment and engagement to assisted living residents with cognitive impairments.
Freedom First Credit Union
2013 Co mm
unit y Invest ment Grants
in community investment grants
in 2013
$35,000
(540) 389-0244
www.freedomf irst.com
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“We are so grateful to be affi liated with an organization that supports and believes in the health and well-being of the people in our community.”
Freedom First Credit Union
Awards and Re cogn it ion
Credit Union Awards
National Community Credit Union of the Year
This prestigious award from Credit Union National Association recognizes and honors community credit unions that consistently excel in the advancement of the ideals of the credit union movement, are proactive in their community, and provide a wide array of services that meet the needs of their diverse communities.
“Freedom First has been called ‘a community development company that’s also in the banking business’ and it’s an apt description,” says Paul Phillips, President/CEO. “Winning the national Community Credit Union of the Year award validates our eff orts and strengthens our commitment to our members and the communities we share.”
Desjardins Adult Financial Education Award
Chosen by the Virginia Credit Union League as the best adult fi nancial education program in the Commonwealth.
Dora Maxwell Award for Social Responsibility
The set-aside programs we developed with FHLB-Atlanta were chosen by the Virginia Credit Union League as the most eff ective community-focused programs in the Commonwealth. Freedom First also won this award in 2011 for our Responsible Rides auto loan program.
Create Jobs for USA
Awarded $20,025 from the Opportunity Finance Network and Starbucks to provide small business and microenterprise loans.
Credit Unions Care Foundation of Virginia
Awarded $5,000 to expand Freedom First’s Responsible Rides auto loan program.
Wells Fargo NEXT Seed Capital Award
Awarded $100,000 from Opportunity Finance Network, the Kresge Foundation, and the John D. and Catherine T. MacArthur Foundation to develop the American Dreamer Loan, which will support the path to citizenship for refugees and immigrants.
(540) 389-0244
www.freedomf irst.com
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Freedom First Credit Union
Awards and Re cogn it ion
(540) 389-0244
www.freedomf irst.com
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Individual Awards
Eugene H. Farley, Jr. Award of Excellence
Freedom First President/CEO Paul Phillips was honored by the Virginia Credit Union League in 2013 in recognition of his outstanding contributions to the credit union movement, in particular in support of the credit union philosophy of “people helping people.”
Credit Union Rock Star
Credit Union Magazine honored Paul Phillips as a “rock star”—defi ned as an ordinary person who manages to pull off the extraordinary”—for his leadership in transforming Freedom First into the largest CDFI in Virginia.
Citi Leadership Program for Opportunity Finance
Freedom First’s Community Development Analyst Nicole Pendleton was chosen to participate in this inaugural professional development program that supports CDFI eff orts to eff ect structural and systemic change.
Sharing What We’ve Learned: 2013 Speaking Engagements
The Case for Ending Homelessness: Taking a Comprehensive Community Approach
Building Capacity: The Structure and Growth of Community Development Banks
Federal Reserve Bank of RichmondFrom Purchase to Rehab: Show Me the Money
Roanoke Regional Housing Network SymposiumSmall-Dollar Loans: Impactful and Sustainable Solutions
Borrow & Save: Breaking the Cycle of High-Cost Borrowing through Savings Mobilization
Tools and Strategies for Writing Successful Grant Applications
National Federation of Community Development Credit Unions
Credit Union Alternatives to High-Cost Payday Loans
CDFI Partnerships With Municipalities and the Private Sector
Opportunity Finance Network*Federal Reserve, “October 2011 Senior Loan Offi cer Opinion Survey on Bank Lending Practices.”
Continued uncertainties in the economic climate mean that credit and capital remain out
of reach for many small businesses. While some banks have eased standards and terms on
commercial and industrial (C&I) loans in recent months, many commercial lenders report
continued tightening of lending standards on C&I loans.*
As a small business itself, Freedom First understands the signifi cant impact small businesses have in communities. Our business lending initiatives are designed to support the Commonwealth’s continued steady return to eco-nomic growth by providing much-needed capital to small businesses.
Types of Business Loans
Owner-occupied real estate Investment properties
Equipment loans for purchase and refi nance Working capital
Financing for grants and inventory
Construction/Permanent Loans
Multi-family
1-4 family for sale or rental Retail structures
C&I (offi ce, warehouse, and industrial buildings)
Freedom First Credit Union
Smal l Busine ss Lending
(540) 389-0244
www.freedomf irst.com
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Freedom First Credit Union
Wh
at real ly sets us apart?
(540) 389-0244
www.freedomf irst.com
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Nowhere is that collaboration more apparent than in Roanoke’s urban West End neighborhood, a food desert where a boarded-up building is being replaced by a full-service credit union that will house a permanent home for a local farmers’ market and a shell for a future community kitchen.
West End Village Station, a partnership between Freedom First, the City of Roanoke, the West End Center for Youth, and the U.S. Department of the Treasury, is designed to revitalize the historic, struggling neighborhood at the edge of Roanoke’s
downtown.
The project is made possible by an $850,000 CDFI Fund grant and a $343,176 block grant from the City of Roanoke. Local businesses Building Specialists and Interactive Design Group off ered their services pro bono or at reduced rates. Community leaders and residents have off ered invaluable input and support for the project throughout the planning process.
Partnerships such as West End are vital for sustainable growth, especially in an economic climate where resources are limited. Partnerships ensure that many stakeholders are committed to the effi ciency and eff ectiveness of every initiative.
Collaboration and Partnership
When developing new programs and advancing new initiatives, we fi rst make two determinations: whether supporting a similar nonprofi t-run program would be a better use of our resources, and whether we can bring community, business, and political leaders together to ensure the program helps as many people as possible. Freedom First is a recognized leader in facilitating collaboration among diverse stakeholders who share the same goals: community and economic development in Virginia’s Valley Region.
Some of Our 2013 Project Partners
Enterprise Car Sales | Total Action for Progress | New River Community Action | Goodwill of the Valleys Bank-On Roanoke | Virginia Cooperative Extension | Federal, State, and Local Governments
Roanoke Valley Financial Fitness Coalition | Opportunity Finance Network Family Promise of Greater Roanoke | Blue Ridge Independent Living Center
With more than 46,000 members, assets of $317 million, and
10 branch locations, Freedom First Credit Union is the largest
CDFI in Virginia.
Founded in 1956, Freedom First Credit Union is owned and
controlled by its members and operates for the purpose of
providing access to aff ordable, equitable fi nancial and
development services to its members and the Roanoke
and New River Valley communities.
Membership is open to the entire community. Anyone
who lives, works, worships, goes to school, or owns a
business in Botetourt, Craig, Franklin, Montgomery, and
Roanoke Counties, including Roanoke, Radford, and Salem,
can join Freedom First Credit Union.
Paul Phillips
President/CEO
Freedom First Credit Union
5240 Valleypark Drive
Roanoke, VA 24019
pphillips@freedomfi rst.com
(540) 389-0244
Federally insured by NCUA.Branch Locations
Blacksburg 1204 South Main Street
Christiansburg 417 North Franklin Street
Daleville 1171 Roanoke Road Roanoke 2125 Colonial Avenue 1210 Patterson Avenue (Coming Soon!) 5240 Valleypark Drive (Operations Center) 5102 Williamson Road Salem 1235 Electric Road LewisGale Hospital Steel Dynamics, Inc.
Vinton 203 Virginia Avenue
Virginia Tech Squires Student Center
