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2004 Press Releases

FOR IMMEDIATE RELEASE

Contact: Neil Cotiaux, FHLBank of Pittsburgh, 330-703-0753 or
             412/288-2851, neil.cotiaux@fhlb-pgh.com

             Ali Detar, Office of the Chief Executive, Allegheny County:
             412-350-3171

             LouAnn Ross, Neighborhood Housing Services: 412-281-1100

'MY MONEY, MY LIFE' TO GIVE ALLEGHENY COUNTY YOUTH A FRESH START; BANKS, COUNTY, NONPROFIT ROLL OUT FIVE-YEAR FINANCIAL LITERACY PLAN; REACHING 1,000 LOW- TO MODERATE-INCOME TEENS, HUNDREDS OF ADULTS ARE GOALS

PITTSBURGH, PA, November 15, 2004 — The Federal Home Loan Bank of Pittsburgh, eight participating Allegheny County banks, the Office of the Chief Executive of Allegheny County and Neighborhood Housing Services, Inc. have kicked off My Money, My Life: Financial Fitness for Young Adults in Allegheny County, a free, five-year program aimed at educating young adults in low-income populations about financial issues important to them throughout their lives. Part of a broader initiative to increase minority homeownership across the region, My Money, My Life aims to counsel at least one thousand low-income young adults 16-19 years of age by 2009.

To be administered by Neighborhood Housing Services (NHS), My Money, My Life is the brainchild of the Federal Home Loan Bank of Pittsburgh (FHLBank), which set aside $100,000 in startup funds for the initiative and recruited NHS, Allegheny County and eight area banks as partners. Allegheny County has pledged $100,000 in Community Development Block Grant (CDBG) funds to help defer NHS operating costs associated with the program, while the eight banks — ESB Bank, Iron & Glass Bank, Laurel Savings Bank, National City Bank, Northwest Savings Bank, PNC Bank, Sewickley Savings Bank and Sky Bank — have also committed a combined $130,000.

"Allegheny County is proud to participate in this worthwhile initiative. It is my hope that our contribution will help to propel this program and address a serious need among our youth," said Allegheny County Chief Executive Dan Onorato. "I look forward to continuing this working relationship with the Federal Home Loan Bank of Pittsburgh and its program partners throughout the next five years."

NHS will establish financial literacy clubs in ten neighborhoods, with approximately 20 young adults attending each club. NHS counselors, bankers and others will serve as instructors.

Topics will include setting financial goals, budgeting, understanding credit, appreciating risk, saving, investing, consumer spending, managing debt and selecting insurance. Classes will incorporate lectures, videos, games, audience participation, handouts and worksheets and will be held at neighborhood locations that are handicapped-accessible, near public transportation and close to participating bank branches. Since many participants will attend the clubs after school, free meals will be provided. Specific club sites will be announced later this year.

All participants in My Money, My Life will complete an evaluation to measure their financial knowledge and degree of financial self-direction. At graduation, any participant with an attendance record of 80 percent or better will be eligible for a fee-free savings account and initial $100 deposit. In addition, parents, guardians or caregivers attending the graduation ceremony will receive a certificate to enroll in NHS' financial literacy/homebuyers clubs or receive credit restoration counseling at no cost. The goal is to enroll several hundred adults.

"All of us believe My Money, My Life is a program that is sorely needed," said LouAnn Ross, executive director of NHS. "We want to thank the FHLBank, our eight participating banks, County Executive Onorato and his staff, and our supporting community organizations for helping to make this initiative a reality."

"As a government-sponsored enterprise that uses no tax dollars, the FHLBank provides low-cost funds for housing, community development and other general community banking needs," said Jay Roy, president and chief executive officer of the FHLBank of Pittsburgh. "My Money, My Life is in keeping with this mission. We trust that this initiative will have positive results that perpetuate themselves in individual households and neighborhoods across Allegheny County," Roy said.

A second initiative under the umbrella of the FHLBank's minority homeownership program is currently in the works in Philadelphia, and the FHLBank plans to launch similar initiatives in other parts of its three-state service area of Pennsylvania, West Virginia and Delaware.

To participate in My Money, My Life, contact Neighborhood Housing Services, Inc. at 412-281-1100.