First Charter Corp. in Charlotte has always had ties to churches, providing them with building loans and other types of financing.
But in recent months its relationships with these houses of worship have become closer. Now, on any given Sunday after church services, two of the bank's managers might appear at one of 27 African-American churches in the Charlotte area offering financial advice to churchgoers.
Since the spring the two managers have presented a "Start Late: Finish Rich" seminar to thousands of congregants, said Kevin Toomb, the director of marketing at the $4.6 billion-asset First Charter.
Hundreds of seminar attendees have opened checking accounts with First Charter and some have taken out loans, Mr. Toomb said.
"We have really gotten a good response," he said. "I think people are particularly drawn in by the 'finish rich' idea."
More banks are realizing it is in their interest to give consumers information about saving, credit, and other financial matters. Indeed, with millions of consumers filing for bankruptcy every year, banks and their trade groups and regulators have made financial literacy a high priority in recent years.
By taking its message to churches, First Charter has found a captive audience.
The seminars evolved out of First Charter's 2-year-old relationship with a group of African-American churches.
Bishop Phillip M. Davis of Nationsford Community Church in Charlotte said that many of the churches' members had complained repeatedly about troubles with loans from mainstream banks. So he and other church leaders began looking for banks that would offer churches' members reduced fees on loans and accounts in exchange for the churches' deposits.
"When you look at history, African-Americans have typically paid more in terms of interest rates and have a very difficult time getting business and consumer loans," Bishop Davis said. "And we thought it would benefit them if we banded together as a collective body to give banks access to a tremendous amount of deposits in exchange for products specifically for our members."
After an extensive review, the 27-church group made deals with First Charter and Bank of America Corp., also of Charlotte.
First Charter's community outreach banking manager, Emma Allen, and Frank Johnson, one of its consumer lenders, present the seminars. They are usually held in the church sanctuary after services, and offer tips on, among other things, buying a car and developing a "spending plan" as opposed to a budget plan.
Bishop Davis said the seminars are especially useful for people with little banking knowledge and no investments or savings plans.
Rev. Rodney Freeman, with Greater Mount Zion Baptist Church in Gastonia, N.C., estimates that 15% of the 550-member congregation has seen First Charter's presentation."It's making a major impact in the community," he said. "This has helped a few of our church members who have never owned a home to save and buy one."
