Capital Good Fund

Capital Good Fund’s (CGF) mission is to provide equitable financial services that create pathways out of poverty. Founded in 2009, we are driven to address growing inequality America. Our approach is founded on the proverbial ‘Teach a man [or woman] to fish’ philosophy, which sets our clients on a path to true self-sufficiency. Specifically, we help lower-income Americans avoid the need for payday loans and other usurious financial services, as well as empower our clients to take charge of their own lives. Every day we see people who—because of a financial hardship, health issue or family emergency—are forced to turn to for-profit companies charging interest rates in excess of 200% to meet their needs; these unscrupulous companies reap huge profits off the backs of the poor ($70 billion in 2011 alone). As a non-profit, certified Community Development Financial Institution (CDFI), CGF serves its clients by providing:

  • Loans with affordable interest rates for consumers and small business owners
  • Intensive, one-on-one financial coaching, through which clients gain the tools to meet their needs, plan for the future and move towards their goals
  • Free tax preparation

At a time when Rhode Island’s poverty rate is approaching 15% and payday lenders disbursed 180,000 loans in 2011 alone, CGF is the only viable, affordable alternative for those in need. We offer consumer loans for a range of purposes—paying off a payday loan, purchasing a computer, applying for US Citizenship, etc—of up to $2,000. Additionally, we provide loans for any income-generating activity. We have seen some of our successful microentrepreneurs go on to start catering, cleaning, landscaping, soap making and carpentry businesses.

Thanks to the products and services we provide, as well as the relationships we build with our clients, we are able to truly change lives. Some examples include:

  • Gretchen, who went from the verge of homelessness to running a successful business with over $2,000/month in profit
  • Magda, who saved $9,600 in one year of financial coaching and was able to cover three emergencies with her savings—and not with a payday loan
  • Princess, who completed CGF’s financial coaching and used a loan to purchase a vehicle so as to drive to a new job and pick up her daughter from school

These are just a few of the dozens of lives we have changed. In fact, through our free tax preparation, we have 230 returns that put $275,000 into the pockets of Rhode Islanders. Through our lending, we have disbursed over $270,000 hard-working individuals and families. Finally, we have graduated 180 people through financial coaching, with tremendous social impact.

We are here to help Rhode Islanders better their lives. Whether it is teaching someone how to manage their debt, providing an alternative to a payday loan, or issuing the capital to get someone’s dream business off the ground—we take great pride in what we do and firmly believe that this is the path to a stronger Rhode Island.

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