Money Management International

What it reported doing in 2016

Housing counseling: one-on-one counseling provided to help consumers understand the homebuying process and prepare to achieve and maintain homeownership. Pre-purchase counseling has been demonstrated to be an effective tool in reducing future mortgage delinquencies and foreclosures. In 2016, clearpoint provided this service to 3,182 potential new homeowners.early intervention housing counselinggovernment-sponsored enterprise and mortgage servicers provide referrals for homeowners who are past due on their mortgage payments. Outreach and counseling are provided at no charge to consumers with the goal of reaching homeowners to assess their financial situation, provide counseling and education, and assistance communicating with their loan servicers if needed before delinquency spirals out of control and results in foreclosure. During 2016, over 34,000 homeowners were referred for this service.foreclosure preventionclearpoint staff provide information, counseling and work with consumers and servicers to help homeowners avoid foreclosure and maintain home ownership. During 2016, clearpoint assisted over 13,600 homeowners in avoiding foreclosure.post-loan modification counselingclearpoint counselors provide ongoing financial coaching to homeowners who have received a loan modification. Homeowners are referred by a government sponsored enterprise or mortgage servicers. Service is provided free of charge to the homeowners. Counselors meet with the homeowner several times over the first year of the modification, helping with budgeting, credit management and educational advice designed to address any lingering budgetary issues and improve likelihood of successful homeownership going forward. Over 38,000 homeowners were referred to clearpoint for this service during 2016.reverse mortgagehecm certified counselors provide clear, objective advice about reverse mortgage products, costs and fees and personal budgets to seniors, and often the family members assisting them, so that they make sound decisions on the equity of their home for both their short and long term situations. In addition, counslors provided guidance to seniors at risk of foreclosure due to unpaid property taxes or insurance on property leveraged by a reverse mortgage. Counselors help find additional resources and improve afforability, allowing seniors to repay delinquencies and remain in their home. Clearpoint's counselors provided over 8,400 reverse mortgage and hecm default sessions in 2016.

Financial Efficiency

• Mission deployment rate: 100%; rating input score 100
• Program expense ratio: 82.3%; rating input score 82
• Fundraising efficiency: $14.51 raised per $1 spent on fundraising; rating input score 55; 55th percentile among comparable filings

Transparency & Controls

• Consistency checks: 100%; rating input score 100; 62nd percentile among comparable filings
• Pay-setting controls: 4 of 6 controls in place; rating input score 67
  • Compensation committee: Pass
  • Independent consultant: Missing
  • Other Form 990s reviewed: Pass
  • Written employment contract: Pass
  • Compensation survey or study: Missing
  • Board or committee approval: Pass
• Foreign activity oversight: Limited
• Grant itemization coverage: Limited
• Major donor itemization: Yes; rating input score 100
• Related-party transparency: Limited

Accountability

• Independent voting board: 100%; rating input score 100; 68th percentile among comparable filings
• Governance controls: 8 of 9 controls in place; rating input score 89
  • Conflict-of-interest policy: Pass
  • Whistleblower policy: Pass
  • Document-retention policy: Pass
  • CEO compensation review process: Pass
  • Other executive compensation review process: Pass
  • Form 990 shared with the board: Fail
  • Board meeting minutes documented: Pass
  • Audit committee oversight: Pass
  • Independent financial-statement audit: Pass

Sustainability

• Operating margin: -22%; rating input score 3; 3rd percentile among comparable filings
• Total-asset coverage ratio: 0.34; rating input score 13; 13th percentile among comparable filings
• Liabilities to assets ratio: 0.26; rating input score 58; 58th percentile among comparable filings
• Officer compensation ratio: 6.2%; rating input score 31; 31st percentile among comparable filings

Growth

• Program expense growth: -5.7% per year; rating input score 0; 7th percentile among comparable filings
• Revenue growth: -11.6% per year; rating input score 0; 2nd percentile among comparable filings
• Asset growth: -7.5% per year; rating input score 0; 5th percentile among comparable filings