January 26 - Hundreds of members of Iowa Citizens for Community Improvement (CCI) rallied at the Statehouse demanding elected officials stop balancing the state budget on the backs of everyday Iowans.
CCI members then marched over to Wells Fargo and Bank of America where they called on both institutions to realize the damage they have inflicted upon our communities and to give back their bonuses to fill gaping state budget shortfalls hurting everyday people.
Iowa's message to Big Banks: Give Bonuses to State Budgets
Iowa, like almost every other state, is facing a devastating budget crisis. Iowa is looking at a $1 billion budget shortfall, and budget cuts have already been made on the backs of everyday people through furloughs and cuts to vital services.
State budget crises are a direct result of Big Banks – like Wells Fargo – and their Wall Street cronies crashing our national economy. And, while Big Banks are back to record profits, lavish bonuses and business as usual – everyday people continue to suffer.
These state budget deficits could be wiped out if the Big Banks “donated” their total bonus packages (estimated to be about $140 billion) back to the states. For all intents and purposes, their bonuses are our bonuses because we bailed them out. Now we want our bonuses back!
Wells Fargo and the other Big Banks are lobbying against meaningful financial reform, not modifying enough loans to keep people in their homes, and reaping havoc on our communities by financing payday lenders that charge 400% interest.
Enough is Enough! It's time to Hold Bank Accountable and Put People First!
WE NEED A NEW SHERIFF IN TOWN!
Call your Senator today and tell them to pass CFPA
The Consumer Financial Protection Agency (CFPA) will make protecting consumers a priority over protecting the interests of big banks. The bill is currently in the Senate and they need to hear from the American people directly.
Call your Senator today and tell them we need to regulate banks using the CFPA!
Letters to the Editor and Op-ed pieces are also a great way to get your Senator to act in favor of the American people.
January 21 - Protestors disrupted the 173rd annual Regional Chamber and Growth Association dinner Thursday night at the Chase Park Plaza.
Grass Roots Organizing (GRO), an Affiliate of National People's Action, organized a group of unemployed or underemployed Americans, and walking into the event chanting, "No joke, we want jobs!"
Jonathan McFarland of GRO says he is underemployed and works at Home Depot, stocking shelves at night. McFarland told NewsChannel 5 the protest was staged to demand local business leaders do more to create jobs. He says the protestors want an economy that works, and want companies to put people before profits.
"Obviously, it's a sign that people are hurting and part of the reason we're in business as an organization is to build the economy and to grow jobs," says RCGA president and CEO Richard Fleming. "And while it was a little unconventional, I simply went up and introduced myself to the gentleman who was leading the group and we're going to meet tomorrow."
In his speech to about 950 people at the meeting and dinner, Fleming told the group St. Louis is positioned, as the national economy begins to come back to life, to step up to our share of job creation and new economic activity. He says even in this down economy, St. Louis has 50 companies that represent 13 thousand prospective jobs and $1.2 billion in capital investment.
The RCGA says it has 4,000 local members.
McFarland says Thursday night's protest was organized in part by a group called GRO, which stands for Grass Roots Organizing. The rest of the evening went on as planned.
Ohio Attorney General Richard Cordray and Congressman Steve Driehaus meet with Community Leaders in Cincinnati
December 5, 2009 - Community Leaders from Cincinnati gathered on Saturday to urge Congress and the Administration to take bold steps on behalf of Main Street. Over 100 community leaders were in attendance, and were joined by Ohio Attorney General Richard Cordray and Congressman Steve Driehaus.
It is clear to Communities United For Action (CUFA) and National People’s Action (NPA) that we need common sense financial reforms and immediate relief for those of us dealing with the fallout of this economic crisis. It is also clear that the banks that caused this crisis have received much more relief than the Americans who find themselves in the aftermath. For example, the US Treasury's Home Affordable Modification Program (HAMP), intended to help families stay in their homes, is not getting the job done. Trial modifications stand at only 20% of those families Treasury has estimated are eligible. And what's truly frightening is that less than one-half of one percent of those who have received trial modifications has been transitioned to permanent modifications. Mary Bridges found CUFA because she was facing foreclosure. She was able to get a modification through working with CUFA and now spends much of her time helping other members who are going through foreclosure by attending their court dates or assisting with paperwork. Mary asked Attn General Cordray to take a stand for unemployed homeowners. He agreed to send a letter to Treasury Secretary Geithner and the entire Ohio Congressional Delegation a letter encouraging the use of TARP funds to aid unemployed homeowners and would like to see additional provisions for unemployment.
Roger Davis, CUFA’s President, is a retired Cincinnati Police Officer who came to CUFA because of how the foreclosure crisis had begun to gut his neighborhood. He asked Representative Driehaus if he, “Supported the creation of a strong Consumer Financial Protection Agency.” Representative Driehaus confirmed his support for a Consumer Financial Protection Agency. He did not, however, express support for using TARP funds for unemployed homeowners but rather favors using TARP for small business loans.
On December 11th, the US House of Representatives passed the Wall Street Reform and Consumer Protection Act. The Act must next go through the Senate. The bill could do more on behalf of Main Street. It does currently contain a Consumer Financial Protection Agency that would have the ability to make and enforce rules over some banks and lenders. Driehaus voted against an amendment that would have removed this agency from the bill.
Direct Action on Advance America (#1 Payday Lender)
December 12, 2009 - Member of Central Illinois Organizing Project (CIOP) and Homeless United for Change (HUC) demonstrated at payday lender tied to 400% interest rates and funded by big bank receiving $45 billion taxpayer bail-out on Saturday.
Advance America charges it's "customers" loan shark interest rates of 400%. In turn, Advance America enjoys a line of credit from Bank of America for $270 million at 3% interest. Bank of America received a tax payer bank bail-out of $45 billion. Other big banks like Wells Fargo provide capital to payday lending companies as well. Bottom line: taxpayers help fund payday lenders. Payday lenders and the big banks that fund them with our money symbolize the old-order economy and everything wrong with the banking industry.
For the holidays, CIOP demanded: • Advance America and other payday lenders should lower their interest rates to 10%. • Bank of America, Wells Fargo and other big banks should stop all home foreclosures during the holidays.
CIOP is a regional inter-faith community organization working for social justice. It is composed of 38 member churches and organizations representing over 30,000 families in Central Illinois. CIOP has member groups in Decatur, Bloomington-Normal, Champaign, Danville, Peoria, Springfield, East St. Louis, and a rural family-farm organization and homeless rights organization, Homeless United for Change (HUC). CIOP is a member of National People's Action.
Iowans Converge on Predatory Payday Lender
December 5, 2009 - Sixty members of Iowa Citizens for Community Improvement (Iowa CCI) converged on ACE Cash Express in Des Moines to demand good, affordable credit for all Iowans and an end to predatory loan policies, such as 400 percent interest rates and two week payback periods.
“Payday lending… is not good credit,” reads a letter the group delivered to ACE Check Express. “Crushing interest rates [400%] and unrealistic payback periods make it impossible for most Iowans to escape the payday lending debt cycle after just one loan.”
Iowa CCI members demanded that Ace Cash Express set an example for the rest of the industry by capping interest rates during the holiday season at 10 percent, and extending repayment periods from two weeks to two months.
CCI also called on the Iowa state legislature to pass interest rate caps and extended repayment periods during the 2010 legislative session. House File 288 and Senate File 463 both include provisions aimed at cracking down on payday lending.
“These payday lenders are taking advantage of the most vulnerable people in our community,” said CCI member Mike McCarthy of Des Moines, “Enough is enough. This sort of usury is intolerable. It’s time to crack down on predatory lending!”
ACE Cash Express, based in Texas, is one of several payday lenders operating in the Des Moines area that is directly financed by Wells Fargo. Documents filed with the SEC have shown that ACE Cash Express receives a $265 million line of credit from Wells Fargo. CCI members continue to demand that Wells Fargo stop financing payday lenders.
Illinois Community Shuts Down Payday Lender
November 30, 2009 - Members of the Central Illinois Organizing Project (CIOP) shut down the offices of Advance America on Black Friday to demand an end to usury and foreclosures during the holidays.
Fifty members of the Central Illinois Organizing Project, fired up from the Showdown in Chicago and recent actions on the Treasury and Goldman Sachs in Washington DC, marched to Advance America’s Bloomington office. They delivered the demand that the predatory lender limit interest rates to 10% during the month of December. Advance America is the biggest payday lender and is known to charge as much as 400% interest. Research by National People’s Action shows that they and other payday lenders target low-income communities and minorities. Advance America locked down the building to keep the protesters out, but CIOP was able to get their demand letter delivered by the police.
Advance America is financed by Bank of America. BofA gives them a $270 Million line of credit, even while foreclosing on families and after receiving $47 Billion in bailout dollars from those families. This is one of the most perverse examples of communities being forced to finance their own destruction. As CIOP Director Don Carlson put it, “Taxpayers are funding big banks to fund payday lenders to charge us 400% interest.” CIOP also demanded that Bank of America cease all foreclosures during the month of December.
The action was covered by local TV and radio, and was part of an ongoing series of actions across the country to hold banks accountable for breaking our economy. Enough is enough – CIOP and NPA don’t intend to stop until we have a financial system that works for the people instead of against them.
Showdown in DC - November 16
One hundred delegates from the Showdown in Chicago converged in DC to deliver a letter to Congress and the Administration. The event was organized by National People’s Action and Service Employees International Union (SEIU).
Federal Reserve Field Meeting in Brockton, MA - November 1
Six hundred community members from Brockton Interfaith Community (BIC), an affiliate of the Massachusetts Communities Action Network and PICO National Network, met with Chairman Barney Frank, Congressman Stephen Lynch, and representatives from the Federal Reserve Board and Federal Reserve Bank of Boston at a town hall meeting on the foreclosure crisis at St. Patrick's Catholic Church in Brockton, MA.
