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News Release
Texas Access to Justice Foundation Program boosts funding for legal aid in Texas
AUSTIN, Texas –– The
Texas
Access to Justice Foundation,
the largest
state-based funding source for civil legal aid, announced today Wells
Fargo is the newest and one of the largest banks to join the Foundation’s
Prime Partner bank program, a
significant step toward making legal assistance more accessible for
thousands of Texans. Funding from this program helps TAJF provide legal aid
services to more than 100,000 Texans across the state each year.
Prime Partner banks and credit unions voluntarily pay
higher interest rates for Interest on Lawyers’ Trust Accounts, a method of
raising money for civil legal aid and to support improvements to the justice
system. Prime Partner financial institutions pay 75% of the Federal Funds
Target Rate on IOLTA accounts, which is well above the eligibility
requirements for banks participating in the IOLTA program.
“Many Texans are
facing serious economic hardships, including evictions and domestic violence
situations, and simply do not have the funds to hire an attorney,” Deborah
Hankinson, chair of the board of directors for the Texas Access to Justice
Foundation, said. “By paying higher interest rates on IOLTA accounts, Prime
Partner banks help ensure that low-income Texans have access to basic and
essential civil legal services. We welcome a well-known and leading
financial institution like Wells Fargo to the Prime Partner program.” Approximately 5.2 million Texans qualify for legal aid,
the second-highest number in the nation. Legal aid organizations help Texas
families each year, but due to a lack of resources, many continue to suffer
or unsuccessfully attempt to represent themselves in the complex court
system. “Wells Fargo is
dedicated to serving our communities and one of the ways we can do that is
as a Prime Partner supporting the Texas IOLTA program, which funds legal
services for thousands of vulnerable Texans,” said Liesl Brown, Product
Management Senior Manager for Wells Fargo. “We are proud to become a Prime
Partner and hope that the additional funds generated will make a significant
difference in the lives of those in need of civil legal aid services.” Attorneys who handle client funds are required to keep
those funds in IOLTA accounts until they can be made available to a client.
TAJF receives funding from the interest generated by these accounts and uses
the money to distribute grants to legal aid providers throughout the state. During the pandemic, when interest rates fell
drastically to near zero, the IOLTA program lost nearly half its funding.
Prime Partners are critical to increasing this funding source that is
essential to helping many of Texas’ most vulnerable residents.
### Texas Access to Justice Foundation The Texas Access to Justice Foundation, created by the Supreme Court of Texas in 1984, is the primary state-based funding source for the provision of civil legal aid in Texas. The organization is committed to the vision that all Texans will have equal access to justice, regardless of their income. The Foundation administers a variety of funding sources, which are earmarked to assist nonprofit organizations in providing legal aid to approximately 100,000 Texas families each year. For more information, please visit: www.teajf.org
Contact: Kimberly Schmitt512-320-0099, ext. 104 kschmitt@teajf.org
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