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Partnership Drives Revitalization of East Palo Alto
Partnership Drives Revitalization of East Palo Alto
Published 03-14-08
Submitted by Stanford Federal Credit Union
EAST PALO ALTO, Calif., March 14 /PRNewswire/ -- The dream of innovative business partners from Silicon Valley and the Bay Area has finally materialized. The East Palo Alto Branch of Community Trust Federal Credit Union is celebrating its opening with an official public ceremony this weekend.
The East Palo Alto branch serves local residents, many who lack access to traditional banking services. The project is modeled after successes in California, Mississippi and North Carolina. It was spearheaded by the Northern California Urban Development Corporation, which works to transform families in poverty through community development. Stanford Federal Credit Union played a key role in the project, following the lead of Stanford University in its commitment to social responsibility.
"We look at systemic issues that affect generational poverty and we saw an opportunity to build an institution that would potentially change the system," said John Liotti, CEO of the Northern California Urban Development Corporation. "A credit union, which is owned and operated by the people who bank there, inherently generates trust. This is about providing financial resources as well as a platform to talk to people about becoming financially independent rather than being victims to predatory lending institutions."
The East Palo Alto Branch of Community Trust Federal Credit Union opened to new members in December 2007. The opening ceremony is Saturday, March 15.
John R. Davis, CEO of the Stanford Federal Credit Union, explained, "We know that many people are 'unbanked' and lack access to money for purchasing a home or car. People who live in a cash society cannot get credit and they often pay outrageous fees just to cash paychecks. This community needed a credit union that understands its needs, and that's what they got."
About Stanford Federal Credit Union
Stanford Federal Credit Union, which serves 47,000 members of the Stanford community with assets of some $875 million, assisted in creating a framework for proper policies, procedures and financial goals. Stanford Federal, Addison Avenue, and Patelco credit unions have coordinated efforts to collect $1.5 million toward a $10 million asset base for the project.
About The East Palo Alto Credit Union
The East Palo Alto Credit Union will be a branch of Community Trust Credit Union in Modesto. Joe Duran, CEO of Community Trust, is considered an expert in revitalization and Latino outreach.
