Oklahoma families are suffering from the debt overhang left over from the Great Recession

2. The need Oklahoma families are suffering from the debt overhang left over from the Great Recession • 472,600 are being pursued by debt collectors • 89,400 are unemployed • 731,500 live in poverty – including 278,000 children • 192,500 were subject to monetary civil suits in 2013 • 45,900 will lose unemployment benefits by year end • 10,600 filed bankruptcy in 2013 • 34% are unbanked • Oklahoma’s divorce rate consistently one of highest • Oklahoma ranks #1 for prescription drug abuse – in top 10 for overdose deaths per capita

3. WHO WE ARE The Center for Consumer Recovery is a self-sustaining/self-funded 501(c)3 designed specifically to boost the economy of Oklahoma and improve the lives of its citizens.

4. CCR Business model • Accepts donation of delinquent loans from Oklahoma banks in exchange for a tax deduction (tax credit) of equal fair market value. • Offers delinquent loan customers a range of free services to get the customer bank on his/her feet. The free services are: • Debt negotiation with other creditors • Job search and placement services • Identification of public and private social services • Financial literacy and financial skills training • After customer has received the free services and back on their feet, CCR will collect the donated delinquent debt. • Revenue from collections of donated loans will go to CCR to fund the cost of operations.

5. CCR 501(c)3 Donates delinquent Consumer Loan X$ (FMV) Bank With Delinquent Loans Bank receives Tax Deduction (Credit) X$ Offers to defer collections of delinquent loan until consumer is back on feet. Offers a range of FREE services •Debt Negotiations •Employment Assistance •Social Services CCR Contacts Consumer CCR to fund operations CCR Provides service request Revenue from collections go to CCR collects delinquent debt, after consumer is back on their feet.

6. Oklahoma ECONOMIC BENEFIT • Reduce bankruptcy – save hundreds of millions in losses to banking/retail institutions • Reduce unemployment • Pump $315 million into Oklahoma economy • Reduce SNAP payments • Reduce state expense to enforce/collect child support • Increase tax base (taxable wages, increased home ownership • Reduce debt collector lawsuits – unclog court system • Reduce foreclosures • Reduce substance abuse, financial based crimes • Raise FICO scores – increase access to cheaper credit – boost to retail sales • Create 4,000 direct jobs and tens of thousands of indirect jobs

7. Oklahoma Social impact • Reduce the divorce rate • Reduce spousal/child abuse • Reduce substance abuse • Reduce high school drop-out rate • Reduce teen pregnancies • Reduce financial based crimes, theft, burglary, shop lifting • Reduce displaced (foreclosed) families – homelessness • Reduce dependency on predatory lending • Increase financial literacy and budgeting skills

8. Proof of concept CFS2 has spent two years and over $2 million creating and implementing a unique business model that delivers profound positive results on families and their children. This model has proven the positive social value when debt collectors focus first on helping the family get back on their feet by helping the family resolve their other debts, find employment and receive social services.

9. Proof of concept Total number of services provided. Career Services Job Submissions - 7,142 Career Services Interviews - 970 Social Services - 5,193 Negotiation Services - 984 Total Services - 14,289 Total number of customers who received a service (just number of people – not services). Career Services - 408 Social Services - 1,605 Negotiation Services - 465 Total Services - 2,478 Number of states within which customers receiving services resided. Career Services - 42 Social Services - 52 (includes PR, VI) Negotiation Services - 48 Total number of agencies, groups, and companies we have in our database that provides the actual services for our customers. Career Services - 3,647 Social Services - 7,047 Negotiation Services - 3,282 Total Agencies - 13,976

10. Ccr FOUNDER Bill Bartmann Bill is the founder of CCR. His motivation was to create a self-sustaining philanthropy that would provide a holistic rather than piece-meal solution to the war on poverty. Banks would donate delinquent consumer debt. CCR would work with the consumer debtors to achieve financial recovery. CCR would then ask each consumer to make affordable payments on their debt. Revenue in excess of costs would be used to fund the other philanthropic activities of CCR: Conducting and publishing research to expose the predatory practices of the debt collection industry. Bill has been a successful businessman. He was twice named National Entrepreneur of the Year by Ernst & Young and the Kauffmann Foundation. Harvard Business School conducted a case study on his business model and he was awarded the American Academy of Achievement’s Golden Plate Award, an award previously received by five U.S. Presidents and three Nobel Prize winners. Bill is an expert in the consumer debt purchasing/collection business. He pioneered radical business focused on consumer outreach rather than threats and intimidation and a “no-litigation” philosophy. His first company, CFS, with 3,900 Oklahoma employee was acknowledged as “the largest, best trained and most profitable debt collection company in the world”. At the same time, his company gained a wide reputation as an “employer of choice”, offering employees a rich combination of benefits and opportunities. Bill has proposed legislation on both the national and state level that protects consumers from abusive debt collectors.