This bill would direct the Secretary of the Treasury, through the Office of Consumer Policy, to set up a grant program that funds organizations to provide financial coaching services. Eligible organizations include nonprofit community groups, community development financial institutions (CDFIs), and minority depository institutions (MDIs). Eligible applicants must have operated at least one year and serve specified low- or moderate-income, majority-minority, or rural areas, or people making at or below 120% of area median income. Applications must describe the organization, staff qualifications, a work plan, budgets, and languages served. Grants may be used for the recipient's general purposes or to make subgrants and offer technical assistance. The Director must also work to identify and promote best practices and standardized credentialing for financial coaches and agencies. The program must be established within one year of enactment. The bill authorizes $100,000,000 for fiscal years 2026–2028, with 55% for direct uses by grantees and 45% for subgrants and technical assistance, and allows the Director to adjust those proportions.
Proponents say financial coaching can help people manage money, reduce debt, build savings, and become more resilient to economic shocks. They argue community-based organizations are well placed to deliver culturally competent, individualized coaching, and that Federal support can expand capacity and encourage consistent credentialing and best practices for the field.
No publicly available information.