Accion USA: Heeding the Call to Educate

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In the most recent #Mifimon discussion, we discussed microfinance and the impact here in the United States. Within this conversation emerged a theme: the importance of education within microfinance programs. In fact, it went beyond “important” to crucial. I found this to be what Julie Soforenko, at ACCION USA calls “non-coincidental serendipity”, as I was planning writing on this very topic, explaining how Accion USA has implemented education within their programming, with specific programming for women. And since women make up over 85% of the world’s microfinance clients, this is no mistake.

A Brief History

Since its inception, ACCION USA, with main locations in New York, NY; Boston, MA; Miami, FL; Atlanta and Savannah, GA; and U.S. Accion Network affiliates in Texas, Chicago, San Diego, New Mexico, Colorado, and Arizona, has provided over $250 million dollars in microloans. In addition, ACCION USA operates an online loan application program, distributing over $3 million since it began in 2006.

The most recent development was the launch of the partnership with Kiva in June of this year. Since then, several United States entrepreneurs have gained access to financial product with the support of Kiva’s strong peer-to-peer lending platform.

Committed to Women. Committed to Training.

Let’s return to the #Mifimon conversation for a moment. While we were discussing this, one of the participants pointed out that the #1 product that women desire from microfinance services, beyond the capital, is the education. U.S. microfinance, much like global, offers clients with little or no collateral the ability to take out small business loans to grow their business. They were turned down by a bank as too risky, and now have the opportunity to access resources through programs like ACCION USA .

However, there is an obligation and a responsibility that comes with offering these services. As an microfinance institution, you do not want to perpetuate debt, or bad financial behavior, correct? The point is to break poverty cycles, not increase their size. So, Accion USA addresses this need through their women’s education program.

ACCION USA offers a comprehensive financial education program entitled, Your Money and You. This bilingual program is divided in to three components: online resources, live seminars, and strong partnerships with organizations that provide a network of support for their clients.

The online resource center serves as a place for continual education. It features an online portal that contains hundreds of articles that provide helpful financial advice and information, summary “tip sheets” that make the information easily accessible, and worksheets that are available to anyone seeking to know more.

Secondly, the live seminars are offered at the four ACCION USA main offices in New York, Boston, Atlanta, and Miami. The classes, taught by trained educators, cover topics ranging from accounting, budgeting, credit and business tips. This also serves as a positive way for clients to interact with each other and learn through conversations and others’ experiences. In addition, ACCION USA offers bimonthly webinars, which brings the same content to an online platform.

Finally, ACCION USA not only trains their clients, but also offers them an incredibly valuable asset: access to the experts. Through parternships with over 180 businesses and organizations, their clients have access to further business education, advice and even mentorship.

The Power of Knowledge

Anton Chekov, a Russian playwright in the late 1800s, early 1900s said, “Knowledge is of no value unless you put it to practice.” And to that I would say, “Indeed, and every good soldier knows her battlefield.” It is our opportunity, as those behind the organizations offering microfinance services to people around the world, to lead our clients well and equip them with the tools to put into practice-that they would live fuller lives.

One of my favorite proverbs says, “By wisdom a house is built, and by understanding it is established; by knowledge the rooms are filled with all precious and pleasant riches.”

Education must be in your framework. If it is not currently, then, we, as the microfinance community, call you to a new commitment and welcome you to join us as we seek to effectively bring dignity and hope to those who, until now, have been without a voice.