Media Advisory
September 23, 2005
Contact: Susan Miller
317-816-9760
smiller@hickmanassociates.com
Networks Financial Institute Commends Congress and the Financial Literacy and Economic Commission for Active Response to Hurricane Katrina Challenges Washington , DC – Networks Financial Institute (NFI) applauds Congressional leaders and the US Department of Treasury for their unprecedented response to the urgent financial needs of the victims of Hurricane Katrina. After calling an emergency meeting of the Financial Literacy and Education Commission (FLEC) earlier this week to discuss ways in which the federal response addresses financial literacy, victims will begin to have access to the critical tools they need to rebuild their lives.
The victims of Hurricane Katrina face an overwhelming array of difficult decisions as they struggle to find ways to rebuild their personal and financial well being. Complicating matters is an overwhelming amount of private and public resources never before at their disposal, which can be confusing without a clear understanding of what is needed to ensure both immediate and long term financial stability. In addition, large segments of those displaced have low literacy skills, many are unbanked, and many are non-native English speakers.
"We commend FLEC for providing access to resources that will position the long-term recovery efforts for the victims of Katrina. The process of deciding which immediate resources would best meet their needs is daunting as many victims did not have mainstream banking tools like checking accounts, credit cards, and online banking services before Katrina. Many of the victims who were banked did not have the savings required to recover from such devastation. Now, they potentially face greater reliance on federal and state subsidies with little or no information about which type of assistance is in their best interest. The swift federal response will have an enormous impact on the first step of rebuilding lives," said NFI's Executive Director, Liz Coit.
The victims of Katrina desperately needed this first influx of assistance to conduct the basic transactions of life, like paying for housing, and obtaining the essentials such as food and clothing. NFI continues to encourage financial leaders, both in the public and private sectors, to marshal and coordinate these vast resources as the victims of Katrina begin to reconstruct their lives.
As a catalyst for collaborative thinking, dialogue and progress in financial services, NFI will continue to look at the implications of Katrina and individual financial abilities, how victims can make decisions to rehabilitate their financial security, and provide meaningful strategies as they face the challenges ahead.
Networks Financial Institute at Indiana State University was founded in 2003 with a grant from the Lilly Endowment. NFI is headquartered in Indianapolis with offices in Washington , D.C. and on the campus of Indiana State University , and outreach internationally.