Occupy SF Protesters to Open People's Reserve Credit Union

Categories: Occupy
99percent.jpg
Occupy is doing something besides squatting
A few weeks ago, we got a real kick out of the fact that Occupy Oakland deposited a $20,000 donation it received into Wells Fargo -- one of the many big banks the movement has been actively protesting since September. Say what you want about Occupy  SF camp (it's dirty and filled with homeless people) -- at least protesters there are practicing what they preach.

Members of Occupy SF announced their ambitious plans to turn protesters into bankers by creating the People's Reserve Credit Union. According to Occupy SF's Facebook page:

The goal of this project is to encourage San Francisco residents, businesses, as well as nonprofit and city agencies to keep their money out of the big banks and to redistribute that money locally. Initial services will include micro-loans for the working poor and homeless, and subsidized student loans at low interest rates.

The credit union is being created with the help of Supervisors John Avalos and Eric Mar. The group filed its paperwork and has already crafted a thoughtful mission statement: The credit union will serve as a replicable model for other financial institutions to reinvest wealth in their local communities. They will support microenterprise, provide educational loans, and foster community improvement projects.

Jason Macarthur, a protester with Occupy SF, listed the goals that the organization plans to achieve within the first year. That includes starting with 500 members with plans to grow to 2,000 members before the end of next year.

Other plans include:

  • Accumulate capital assets of $7 million or more, through investments by different organizations, members, et al.
  • Open two credit union branches within the city of San Francisco. The first branch location in the mid-Market Street corridor , in the former Social Security Administration storefront (MOCD) , with the assistance of other local nonprofits. Each branch will have a cafe within it and a commercial kitchen available to rent.
  • The credit union will employ students and homeless, creating 60 part-time jobs.
  • Issue 300 to 500 micro-enterprise loans (max. $5,000).
  • Add 1,000 people overall to the city employment payroll.
  • Finance and start a food co-op large enough to support a neighborhood.

"Out in the Excelsior, we're underserved by traditional banks .... We have a lot of the same kinds of businesses. Whenever we have a storefront open up, I always expect it's going to be filled by a 99-cent store -- and it too often is," Supervisor Avalos said. "There's a real need to have more diverse neighborhood-serving businesses."

According to Occupy SF volunteers, investors are already lining up to help with the program. "We believe the credit union serves as a model for other financial institutions to reinvest wealth in their communities," said Brian Mckune, an Occupy SF organizer. "We want to show them that there is a way to reduce the impact of large banks on the community at large, and the leakage of local funds internationally caused by the large banks, keeping the money where it belongs."

Who's going to be the first to sign up?

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Payton_vege
Payton_vege

Amazing write-up! This could aid plenty of people find out more about this particular issue. Are you keen to integrate video clips coupled with these? It would absolutely help out. Your conclusion was spot on and thanks to you; I probably won’t have to describe everything to my pals. I can simply direct them here!

mhc
mhc

I cannot imagine a group I would trust LESS with my money!!!  They can't even keep their camp clean, and they think they can keep track of other people's money?  NEVER!

nhr 215
nhr 215

Sorry but this would be the last place I'd sign up. The model here sounds extremely risky. I wouldn't trust amateurs to operate a savings and loan bank. With the progressive agenda (which is great) and no banking experience they are likely to experience high losses and therefore savings at risk. *If* this gets off the ground, which I doubt, I could imagine it completely collapsing inside of 2 years.Personally I go with Golden1. Its a credit-union. Its local. Already quite a few non-profits and state institutions bank there. An

Ellerock13
Ellerock13

I don't like the whole playing one against the other thing that I see here.  We are on the same team, people!! We're going to go about it differently, and yes the wells fargo thing was not the best move- but this is a process! Last thing we need is division amongst the ranks.

If we need to address issues along the way, that's fine.  But we shouldn't use tones of accusation or condescension when addressing the issues we see.  Resisting oppressive structure is no simple feat.  It takes support, understanding, and community, as well as a willingness to change. 

Let's not turn this into "my occupy is better than your occupy."  There is no "bad" occupy.  We're all just at different levels experiencing different difficulties.  SOLIDARITY!

Ally
Ally

I wish we had one of these local banks run by our citizens here in Oshawa, Ontario, Canada....

Bluesyinohio
Bluesyinohio

This is a great idea.  All Occupy movements in the country and around the world should look into this.  What do you think?

gooms
gooms

Please Please Please open up this "Credit Union".

Please provide "micro-loans" even though they have the highest default rate in the loan industry.

At some point, you might also want to offer a credit card since most credit unions do and you can consult with Elizabeth Warren on that.

Of course, you will have to deal with a ton of banking regulations since even credit unions are not exempt from such. Oh, and of course you will not pay what most banks pay their tellers and low level employees since you belive in a living wage of what...$20 or so an hour?

And of course you'll provide health care coverage for all your employees, even part time ones.

Good Luck with your "only lasted six months" business experience!

Meh
Meh

You plan to give loans to homeless people? Now there's a good business plan. I'm sure you'll do very well.

Ralf T. Dog
Ralf T. Dog

No, they may give jobs to homeless people, however, most members of Occupy have jobs. I would bet that the average income of Occupy is greater than the average income of the Tea Party.

Guest
Guest

Dog....you should READ the article.

It says "Initial services will include micro-loans for the working poor and homeless".  So, yes, it will provide loans to those who are least likely to be in a position to pay the loan back.

By the way....I'd like to see your research on the average income level of OWSers vs TEA Partiers.  Seems to me that the opposite is more likely.  OWSers are angry at those who have been more successful than they have been.  TP supporters are upset about subsidizing failures (businesses, policies, etc) and the government pre-selecting who wins and who loses.

Marc Armstrong
Marc Armstrong

Just as the First Amendment to the U.S. Constitution enshrined the concept of separation of church and state, the next Constitutional Amendment will enshrine the concept of separation of corporations and state.  Watch it happen in 2012.

Guest
Guest

Sounds like a TEA Party supporter is speaking.....

Helloariel
Helloariel

The snarky comment about Occupy Oakland's money issue is really inappropriate.  Get all the facts before making such judgements, folks.

Patt Reid
Patt Reid

I can see by the comments below that we have a lot of Fox News folks on board: the least-informed and most disinformed among our population. The students that started OWS, and the rest of us who are on board with them, are incredibly bright, well educate in many walks of life, and now unable to find work because.... wait for this..... there's a recession going on. While Fox lambasts all for not going out and getting a job, these folks not only are creating their own jobs, but starting a business with a conscience as well. No wonder you don't "get" it.

Ralf T. Dog
Ralf T. Dog

Many of us who support Occupy have jobs. Many of those jobs are very good ones. Quite a few of us own the companies we work for.

demos
demos

it would be great if they could officially issue credit cards w/ 1:10 lending policy that is set by the bankers themselves. imagine every 10,000$ can turn into $100,000 of credit! that is some power!

fuzzlenutter
fuzzlenutter

This is going to be a hilarious disaster to watch.  Staffed with "students and homeless"?

Too friggin' funny...

Ralf T. Dog
Ralf T. Dog

Don't forget, many of the tellers at your bank are students. Please also remember, 99 out of 100 people living on the street are smarter and more capable than those in the Tea Party.

Guest
Guest

Again, please provide data from your research on the IQ levels of homeless vs TPartiers...

Ethan I. Solomon
Ethan I. Solomon

This sounds great, but twenty years down the line we will face the same systemic and endemic failure we have seen. This is about changing the terrible laws that have been put in place, not making a new bank. Although I applaud the effort and initiative shown, that energy could best be spent elsewhere.

Ethan I. Solomon
Ethan I. Solomon

Not only the energy but the money being spent could best be used in many other ways, rather than create more EXPLETIVE banking jobs how about jobs like growing gardens or something socially positive. The jobs that can be created should be more than jobs, they should be part of the new world the occupy movement envisions. A little thought and a little less worrying about making money I think.

Ooie Spagooie
Ooie Spagooie

Wait? We are "officially" creating jobs now?

Gigerriffic
Gigerriffic

60 *part-time* jobs? Nice way to get out of paying benefits.

Tim Trepanier
Tim Trepanier

how does this achieve the objectives of the movement?

Guest
Guest

"American Epitaph" by Damien Darby. Truly making a difference and reaching people. Cheers and Solidarity.

Desnee Flakes
Desnee Flakes

How soon will they have a web presence? Does one have to live in SF to join? And I sooo love Glide Memorial for still being a beacon and a Socialist Christian church. Power to the people.

Susan J. Barretta
Susan J. Barretta

 How are they managing risk?  Is the bank going to forgive defaulted loans?

tompro97
tompro97

As a retired banker, I can assure you that these idiots have no idea of what they are doing.  They will be in for a rude surprise when they start dealing with the regulators.  It is five times as difficult to start any type of financial institution now than it was five years ago.  This is another one of those stupid left-wing liberal "feel good" things.  They will never add 1,000 people to the city payroll  - what would they do??  They are going to have a hard time keeping 60 part time people busy. which is another fallacy.  They will have to have full-time staff to keep the operation going.  Unless California allows state chartered uninsured credit unions, this will never fly with the NCUA, which is the regulatory body for credit unions.

I Want To Believe!
I Want To Believe!

Oh, you're just so NEGATIVE!  I happen to know that Occupy SF intends to have a couple of financial experts from New York run this credit union -- their names are Max Bialystock and Leo Bloom.

NYCitizen
NYCitizen

I'm a NYer, but I'll join ... show me how.

Aaron
Aaron

You were kind of a jerk to waste your time making fun of the Oakland people who deposited their money in a Wells Fargo, since it came out that they did so in a pinch because they needed somewhere to stash money quick that wasn't under a mattress so they could spring a bunch of jailed peaceful civil disobedience protesters out of jail.  I have no interest in being an apologist for their behavior.  They maintained they were in a pinch and had no other short term option.  I also have no interest in supporting your silly little blog if it would rather focus on that story than the fact that 4,000 people have been arrested in Oakland for inspiring the nation and the world with their determined civil disobedience.  4,000 is 1 in every 10 people in Oakland, by my estimates.  Jailed.  In a police state crack down.  Meanwhile, with solidarity support from the longshore workers, they made a worldwide political and economic statement and shut down the Port of Oakland.  That has inspired the December 12th West-Coast wide (from SD to Vancounter, BC) plan to send a stronger message.  Thank you for applauding the establishment of the SF groups people's bank intentions.  Next, why don't you focus more on the Wall Street crooks who've faced no charges while 4,000 Oaklanders and many hundred more Bay area residents have been jailed?  Why don't you find something less smug to start a blog with about your neighbors across the Bay.  Why don't you show a little gosh darn appreciation for the sacrifices people of Occupy Oakland AND San Francisco that support you without trying to act editorially superior to you.  I'm glad you ignored all that and so much more and decided to get a "real kick" out of your view of what "practicing what" you "preach" is.  You must feel real smirkish and self-congratulatory.  The far right-wing snatched onto that Oakland story and had a real hardy-har moment with it and for a moment could absolve their consciences of their complicity in the continued wealth inequality that the SF People's bank folks are positively addressing in their own way.  By the way, the far right makes fun of you just for having "sf" in your url.  Whose side you on?  And great little snitch there.  Well played.

laughingoutloud
laughingoutloud

This is almost too funny, do they even understand interest rate risk? What about liquidity risk? OR lmaybe they understand the consrtaints on investments and shocking them in an up and down 300 scenario, what about the regulations the CU's have to deal with? Or, NEV-or capital asset ratios?

Ds
Ds

And when people don't pay back their loans, will they foreclose and reposess?

chrishersh
chrishersh

Foreclose and reposess? Of course not, they'll forgive all those bad loans.

Right guys?

Hello??

wakan
wakan

Occupy the White House POTUS O is a Puppet of the 1%.

Sharon Miller
Sharon Miller

For those of you with your closed minds...try opening your little minds and have a positive attitude for once in your life!!

Picaro
Picaro

I know people in this push for a People Reserve, one of them even put up a new lock on the door my gf and I shared when he started sleeping with her! Inside source told me they're already squabbling over how much people want to get paid, and whether or not people are in it for the "right reasons." Fact: we are the ONLY country in the world that allows a private corporation to COMPLETELY govern our centralize banking system with now governmental involvement. Until that changes, do whatever you want with your monopoly money - it's still just monopoly money.

Gguest
Gguest

Be very careful about associating with Glide, a lot of money has disappeared there over the years...

citizen477
citizen477

Wow! The negativity here is astounding. All of a sudden college students are too dumb to start businesses, yet they have founded companies such as Facebook, Gatorade, even Apple. Also, not because someone is homeless means that they aren't capable of doing great things. Ever heard the story about Chris Gardner, who's life story the film "Pursuit of Happiness" was based on? 

You go ahead with your bad selves, OSF. I hope other Occupy movements follow suit and force the big banks out! 

Seemee0203
Seemee0203

Next up, OWS affordable rentals.  Where can I sign a lease??  The difference between these ladies and gentlemen is they are HELPING the 99%,  The 1%?  They are helping themselves off the broken backs of the 99%. 

On second thought, why am I even posting?  Within a few moments, some know-it-all is going to feebly attempt to point out how moronic my post is.   As you wish... , Carry on.  :-)

RightWing
RightWing

I call them the official Flea Party

BigJared
BigJared

Oh that is incredibly clever.  Perhaps someday you will write the scripts for Fox and Friends. It's too bad fleabagging isn't a euphemism the way teabagging is.  The tea party wins this round!

Mountainz
Mountainz

Woosh? Great articulate reply. Vote for for Ron Paul? Sounds like your pea brain left your earsv. Woosh

Mountainz
Mountainz

So occupy sf is flea bagging! Hahaha! This is awesome!

Not Joe the Plumber
Not Joe the Plumber

Occupy Santa Cruz has taken over a privately owned building and to my knowledge is not intending to pay rent, or utilities.  There is a sense of "entitlement" to the OWS movement that does not seem aligned to the thought process of making banking institutions responsible to the public since they received TARP but won't assist legitimate borrowers who have been hurt by the recession.   To an extent I agree with their motivations and intentions to make banking relations a local affair.  But if they intend to use lawless means to further that agenda, then how can they be trusted any more than the crooked institutions they complain of?   What about simply putting their money into locally owned, already chartered, regional banks such as Focus in San Jose, or Santa Cruz County Bank, or numerous established Credit Unions?

Brian Stull
Brian Stull

Just because they don't follow the "make-it-up-as-we-go" laws of the banks and the political parties they paid for, doesn't mean they are lawless. Those houses were paid for multiple times over, but banks kept raising interest rates until those people were no longer able to keep up with the payments. These people are only taking back what belongs to them and that was stolen from them.

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