Coaching members to better financial health

Over the last decade, credit unions have realized that many of their members face financial challenges. They have found that some members face challenges brought on by poor financial decisions. Some face challenges because of insufficient income to meet their basic expenses. However, credit unions have also found that many members face challenges because of factors beyond the members’ control such as medical debt, job loss and natural disasters.

Credit unions have discovered the best way to help these members is to equip their staff with the specific skills to coach and counsel members back to good financial health. Credit unions have used America’s Credit Unions’ FiCEP program to train tens of thousands of staff to be able to provide this coaching and counseling. Over the last 15 years, I’ve worked with America’s Credit Unions, state leagues and credit unions to train staff to become Certified Credit Union Financial Counselors.

Credit unions have adopted a wide variety of coaching program models. Some have full time coaches and educators. Some have part-time coaches. However, the most popular model that credit unions have adopted is to train multiple staff and have these staff help members as part of their current role. A small number of credit unions have trained their entire workforce.

Over the last two years, I’ve worked with ACCOSCA, the African continental credit union trade association to develop a financial coaching program for credit unions in Africa. Credit unions in Africa have found that their members also face financial challenges. Many of the challenges are similar to those faced by Americans. However, some challenges are unique to credit union members in Africa.

There are now 44 Certified Financial Coaches in Africa. They come from Kenya, Tanzania, Uganda, Botswana, Eswatini and Malawi. Participants have enthusiastically embraced the coaching concepts and have been eager to return to their credit unions to begin coaching members. While US credit union staff need to pass an exam to achieve their FiCEP certification, participants in the African program are required to undergo a coaching simulation and must demonstrate that they have the skills and knowledge to achieve their certification.

ACCOSCA Executive Director George Ombado said this about this about the program:

“It provides graduates with the practical knowledge and experience to meet members’ individual needs by helping them build and maintain a strong financial foundation, realize their goals, and achieve lasting financial well-being.”