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Tackling the Impact of Predatory Lending from Multiple Angles. ReliefProvide some subsidy to help with certain billsIndividual/Household DevelopmentPut the person/household through a financial literacy programCommunity DevelopmentDevelop and pass out info flyers on dangers of pay day loansWork
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1. Relief, Rehabilitation and DevelopmentSome Issues/Ideas Webinar 2
October 7, 2009
2. Tackling the Impact of Predatory Lending from Multiple Angles Relief
Provide some subsidy to help with certain bills
Individual/Household Development
Put the person/household through a financial literacy program
Community Development
Develop and pass out info flyers on dangers of pay day loans
Work with local lending institutions, esp. community development credit unions to offer alternative loan products
Advocacy
State: Reform usury laws
National: 36% interest cap on pay day loans
http://ga3.org/campaign/36_percent_cap
3. Key Issues in Relief-Rehabilitation-Development
Question: What about doing relief to build relationships as a bridge to sharing the gospel?
-Doing relief in a “non-crisis” is harmful
What is a crisis?
Example from Philippines' church savings group
(WHH pgs 107-08)
-Can be difficult to move from relief to development with the same individual/community
4. Key Issues in Relief-Rehabilitation-Development Question: How can we help our church move beyond relief to get involved in development?
-Teach the harm of inappropriate relief
-Find out what programs/resources already exist in your community/area.
Asset Mapping
-Need to focus. It might be ok to not be involved in relief
5. Key Issues in Relief-Rehabilitation-Development Question: I want to work more relationally and developmentally with people but how do I get started?
-Work with Needy and Receptive people/communities
6. Working with Receptive Individuals and Communities
7. Receptivity to Change Continuum There is no problem
Satisfied with things as they are, sees no problem, no reason to change
There may be a problem but it is not my responsibility
Person believes cause of problem and its solution lie with others
Much time and energy will be needed to try and help people change these attitudes and there is little guarantee that change will occur
8. Yes, there is a problem, but I have my doubts
Person skeptical about proposed solutions
There is a problem, but I’m afraid of changing for fear of loss
Person has fears, often well founded, about social or economic loss
These attitudes reveal the need for more understanding by outsiders of how people are evaluating risks and rewards and/or better methods of communicating
9. I see the problem, and I’m interested in learning more about it
I’m ready to try some action
I’m willing to demonstrate the solution to others and advocate change
These 3 attitudes are increasingly open and confident and come from people who are receptive to engaging in the change process
10. Key Issues in Relief-Rehabilitation-Development Question: How to move beyond doing relief when working with illegal immigrants?
-Avoid Paternalism
“Habitually providing resources that a person can provide for themselves. Habitually doing for someone what they can do for themselves.”
Note some varieties of paternalism (resource, labor, knowledge ,spiritual, managerial)
11. Creating Your Benevolence PolicySome Questions to Ask Whom to you want to help?
Church members/regular attendees
Friends/family of church members
Neighbors of the church
Target group of church outreach
Referrals from agencies
“Cold calls”
Geographic boundaries?
% of benevolence budget that will be used for relief…for development?
How often will you consider helping someone?
12. Creating Your Benevolence PolicySome Questions to Ask Different limits of assistance for members... Non-attendees?
Always help with___
Never help with ___
When will you require a Plan of Action?
See Guidelines for Benevolence http://www.diaconalministries.com/resources/documents/guidelinesforbenevolence.pdf
Policies are publicized to the church body by ___ and to the public by ___
13. Questions?