April is Financial Capability Month, and LISC is lifting up the stories of people who are forging greater economic stability with support from LISC and our partners. Regina Ward is one of those people. Working with a financial coach from ProsperUS Detroit, Ward is on a journey to raise her credit score and stabilize her finances so she can realize a long-term goal: growing her business.
Regina Ward, co-owner of a moving and storage company in Detroit called Hired Muscle Moving, has long wanted to expand her business. Her biggest obstacles? A low credit score, plus too much reliance on her business partner to handle the finances.
“I grew up in an environment where it was drilled into us that credit is important and that making sure to pay bills on time and saving money is a must,” says Ward. “Unfortunately for me, it wasn’t sticking as well as it should and every time I was in a groove, I fell off of it.”
Slowly, Ward’s credit declined and she began to feel there was no way to fix it. Then she heard about ProsperUS Detroit, a local nonprofit that supports entrepreneurs and helps stabilize neighborhood economies. In addition to training, business support services, and micro-lending, ProsperUS, with support from LISC and Ally, also offers financial coaching to give business owners the knowledge, tools, and – most of all – encouragement to take steps to stabilize their financial situation.
When Ward entered the ProsperUS program last April, she was nervous about the first meeting with her financial coach, Crystal King, which had to be done virtually due to the pandemic. But that nervousness quickly gave way to a feeling of hope.
Developing a budget for her personal finances was Ward’s first task, and King knew she felt uneasy about it.
"Lots of folks have worked hard for their money and do not want to feel restricted or controlled by a budget, and that they cannot have the things they enjoy spending money on,” says King, the financial coach. “However, most people do not realize that these things can be included in the budget, while still establishing plans for saving and other goals.”
Working with her financial coach on the budgeting exercise taught Ward a lot about herself.
“I realized that I was trying to change myself as a person instead of making my budget a picture of who I really am,” says Ward. “I was able to see what I was spending, what I didn’t need to spend and how to make everything fit. Of course, it’s not perfect and I’m still working at it, but I now feel more comfortable with it all.”
With a budget in place and a commitment to stick to it, Ward turned her focus to improving her credit. Her financial coach connected Ward to LISC Twin Accounts™, a specialized loan product that helps people save money and build a positive credit score at the same time.
“Crystal and the financial coaching helped me to regain my power and to not feel embarrassed by my finances,” says Ward. “She helped me know that it’s all ok, nobody’s perfect and that the journey is the best part. And my credit score has actually gone up!”
For King, the beauty of financial coaching is that it meets clients where they are and helps them see the bigger picture.
“Regina really took advantage of our program and was able to use the concepts in ways that felt right for her lifestyle,” says King. “She created her plan, I just supported her along the way."