Lower Valley Credit Union, based in Sunnyside, Wash., on Wednesday announced it was given a $100,000 Wells Fargo NEXT Seed Capital Award to implement its strategy to launch an innovative consumer finance community outreach program in Prescott, Wash.
The $99 million LVCU said it will use the seed funds, along with strategic partnerships, to place Virtual Interactive Teller Machines in rural immigrant communities in Washington where residents have limited access to traditional banking branches. The credit union said the 2,100 agricultural laborers who are employed at Broetje Orchards during peak fall harvest season will have "easy, local access to credit union services," such as ITIN mortgage and consumer loans, and LVCU's nationally acclaimed Citizenship Program.
Lower Valley CU is a Low-Income Designated, CDFI-certified credit union that describes itself as "deeply rooted" in Washington state's Lower Yakima Valley. Founded in 1958, the credit union also operates branches in Prosser and Grandview. LVCU has a growing membership of nearly 13,500.
"LVCU is honored to have been selected as the awardee for the Wells Fargo NEXT Seed Capital Award," Josh Beck, executive VP and CFO, said in a statement. "The $100,000 award will go a long ways in allowing for the credit union to build a more robust Interactive Teller Machine Network, which will reach and provide much-needed financial services to members of very rural communities. Members of these communities now will be able to open membership, savings, checking and loan accounts where they live and work, and speaking to a LVCU staff member in their language of choice. This award will help change the lives of thousands of community members by providing access to vital financial services that would otherwise be unavailable to these individuals."
Fran Lutz, interim CEO of Opportunity Finance Network, one of the nation's largest CDFI networks, said, "Never before has it been more necessary for CDFIs to embrace fintech, explore new distribution models, and develop leading-edge, responsible financial products. LVCU's innovative consumer finance strategy proves that community lenders are the next frontier for innovation in responsible consumer finance."
This year marks the 10th anniversary of the NEXT Awards, which celebrate the creativity, accomplishments and importance of CDFIs. The awards are offered in partnership with Wels Fargo and Prudential, as well as support from the John D. and Catherine T. MacArthur Foundation and the Kresge Foundation. The program celebrates innovation by the nation's most promising CDFIs by awarding more than $76 million through a competitive awards process.
