NCUA To Award First Round of Grants for CDFI Certification Applicants, New Products and Summer Internships
December 5, 2013
Dec. 5, 2013
Applications for technical-assistance grants — which will total $481,000 — will be accepted from Feb. 3-14, the NCUA announced Wednesday.
Low-income-designated credit unions can receive as much as $16,500 for CDFI certification, new products and student internships when the National Credit Union Administration awards its first round of technical-assistance grants in 2014.
Applications for those grants — which will total $481,000 — will be accepted from Feb. 3-14, the NCUA announced Wednesday. Credit unions can apply online here.
“This a great opportunity that will help low-income-designated credit unions of all sizes better serve their members,” says John Trull, director of regulatory advocacy for the Northwest Credit Union Association. “There are a number of credit unions in the Northwest that are eligible to become Community Development Financial Institutions, and with that designation comes the opportunity to apply for multimillion-dollar grants to help financially empower individuals.”
Grants will be awarded in three areas:
- CDFI Certification: The NCUA will provide $2,500 each to as many as 40 credit unions seeking a CDFI certification. Credit unions have historically represented the second largest category of CDFIs, but only 10 percent of the nearly 2,000 low-income credit unions designated by NCUA are CDFI-certified. One certified, CDFIs can apply for funding from the U.S. Department of the Treasury’s Community Development Financial Institutions Fund, which awarded $184 million in 2013.
- New Products: Credit unions can apply for first-year funding of new products in nine categories: first ATM; online banking; mobile banking; online loan or membership applications; electronic or digital signatures; remote deposit capture; electronic bill pay; debit, prepaid or credit cards; and first website. Grants range from $2,000 to $10,000.
- Student Interns: The NCUA will award up to $4,000 to each eligible credit union to hire student interns for the summer of 2014. The internships must be completed by Aug. 31, 2014. Eligible credit unions will be selected by asset size, smallest credit unions first.
“The NCUA has made applying for the technical-assistance grants straightforward and accessible,” says Janet Buckalew, vice president of member advocacy and business development at Pacific Crest Federal Credit Union. “This is a great opportunity, and we are looking forward to applying.”
Funding for NCUA’s grant initiatives is provided by the Community Development Revolving Loan Fund, a fund created by Congress to support credit unions that serve low-income communities. NCUA’s Office of Small Credit Union Initiatives administers the program.
You’ll find more information about the first round of 2014 grants on the NCUA’s website. For more on the agency’s grants for low-income credit unions, visit the Office of Small Credit Union Initiatives’ microsite here.
Questions? Contact Gary Stein: 503.350.2216, firstname.lastname@example.org.
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