Tulsa Financial Empowerment Center helps court users navigate financial obligations

Background

In 2018, the City of Tulsa was one of six municipal governments chosen to participate in the Cities for Financial Empowerments Fund's Financial Empowerment City Initiative. Two years later, the city created the Office of Financial Empowerment and Community Wealth (OFE), which oversees the Tulsa Financial Empowerment Center program. The City of Tulsa, in partnership with Goodwill Industries of Tulsa and Tulsa Responds, operates the Tulsa Financial Empowerment Centers to offer free one-on-one financial counseling to all residents regardless of income. Participants can meet with certified financial counselors who provide personalized guidance related to banking, savings, debt reduction, and improving credit scores.

The power of partnerships

In February 2023, the Tulsa Municipal Court and Tulsa Financial Empowerment Center (FEC) launched a partnership to help court users reduce their legal financial obligations. With a judicial referral to the Tulsa FEC, court users who complete three counseling sessions with Tulsa FEC are eligible for up to a $250 reduction of fines and fees. Court users can receive an additional $100 reduction for each completed session until their full balance is waived. 

Financial counselors are available at the municipal court three days a week to speak to court users or coordinate a later appointment. Counseling sessions are available in person at one of seven locations, or remotely via Zoom or phone.

Counseling & education  

Counseling sessions are tailored to each participant's needs, but follow a general schedule:

• Session 1: The first financial counseling session is standard for all participants and includes a financial health assessment that reviews participants' finances, income, expenses, and credit score. Clients and counselors then work together to create a budget. While there are no specific requirements to participate. clients do need a source of income, whether from employment or benefits.
• Sessions 2 & 3: The following two sessions are determined by participant priorities. Typically, these sessions focus on debt reduction, increasing savings, credit building, and access to safe and affordable bank accounts.

Through the Bank on Coalition, coordinated by OFE, Tulsans can access trusted, affordable bank accounts, with support from counselors. Currently, 13 accredited banks in the area offer these accounts. The coalition also provides financial literacy workshops to educate clients on topics like budgeting, credit, handling debt, student loans, and home ownership.

Impact

Since the launch of the partnership between the Tulsa Municipal Court and the Financial Empowerment Center (FEC), over 500 court users have been referred for financial counseling, with more than 300 completing their first session. Currently, over 280 participants continue to engage with their counselors.

This partnership helps mitigate the financial burden of legal obligations on Tulsa residents, contributing to improved financial stability. Unpaid fines and fees can result in consequences such as suspended driver's licenses, which may further limit mobility and financial security. Additionally, high court costs can create challenges in meeting other essential expenses like rent or utilities.