California Asset Building

Today, California Governor Arnold Schwarzenegger announced an agreement with four large servicers of sub-prime mortgage loans to “fast-track” modifications to those loans so that homeowners who have been current, but are facing unaffordable loan payment resets, will be able to stay in their homes over the long term.  The program builds on a proposal by FDIC Chair Sheila Bair that servicers freeze interest rates at current rates for homeowners who have been making timely payments on sub-prime loans with interest… more

The New America Foundation and the Asset Policy Initiative of California, in association with Assemblymembers Ted Lieu (D-Torrance) and Ted Gaines (R-Roseville), cordially invite you to join us Monday, November 19th, for the third in a series of policy forum discussions in Sacramento designed to inform policymakers, legislative staffers, and advocates about asset-building research, data, and policies.

Our featured speaker, Paul Leonard, will discuss the current subprime mortgage crisis — its causes, the continuing effect it will have on homeownership, wealth, and the… more

In association with Assemblymembers Ted Lieu (D-Torrance) and Ted Gaines (R-Roseville), New America in California hosted this dynamic policy discussion on how public policy can encourage saving and wealth building for all Californians.

Heather McCulloch, a leader on asset-building policy issues, provided an overview on the history and evolution of policy ideas, in the United States and aboard, for expanding saving by families and individuals. Ms. McCulloch is the founder of Asset Building Strategies, a nationally recognized consulting group that provides… more

Two states are considering duplicating a program in New York that rewards banks with government deposits for opening branches in neighborhoods with little or no banking services.Lawmakers in California and Texas have introduced bills that would create "bank development districts," specially designated low-income areas that are underserved by banks...The bills are modeled after a nine-year-old New York law that offers banks select state and municipal deposits for two years, partial property tax breaks for 10 years,… more

Newborns typically are mailed birth certificates and Social Security cards within weeks of leaving the hospital. In at least two states they could soon be receiving other important documents: savings account statements.A bill being considered in the California Legislature would create savings accounts for every child born in the state after Jan. 1, 2008. Each account would be seeded with $500 in state funds, and the money could be used only for specific purposes, such as college or… more

Two seemingly unrelated developments last week tell us a lot about immigration and the public's attitude toward it.One was the conservative reaction to a bill introduced in the Legislature that would give a $500 savings account to every child born in California.The other was a study by the Public Policy Institute of California concluding that immigration -- legal and illegal -- tends to increase wages for everyone except earlier immigrants.The savings bill was introduced… more

California lawmakers are considering giving $500 to every single baby born in the state. The bipartisan bill aims to give babies a financial head start with a savings account. "Anything we can do to encourage savings and investment and to provide a young adult -- especially young adults from lower income families, families of modest means -- to be able to have a small nest egg to go to college to learn a career, down payment on the… more

Mar. 1 - KGO - A new plan to give newborns a head start is getting mixed reviews. The idea is to give every baby born in California $500 dollars. It would be a nest egg they would have money out of taxpayers pockets today -- that would be a nest egg when those babies become young adults... After families add money, at 18 the child would have to pay the state back $500 and use what's left… more

SACRAMENTO, Calif. — Every child born in California would get a $500 savings account to start building a nest egg for college or a down payment for a home, under a state Senate bill introduced Wednesday.California would be the first state with such a program, said David Lesher, a program director for the nonprofit New America Foundation, based in Washington. A national savings program has languished in Congress since 2005; a similar program has increased savings in Britain… more

Happy birthday, baby, here's $500 -- courtesy of California taxpayers.Legislation announced Wed- nesday would provide a tax-free, long-term investment account to every baby born in California, regardless of the parents' financial or immigration status.Senate Bill 752 is meant to persuade more families to invest for the future. "If we ask people to invest in California, California must invest in its people," said Sen. Darrell Steinberg, D-Sacramento, who is co-authoring the bill with Republican Sen. Bob… more