Bay Federal Credit Union Receives Community Development Financial Institution Certification
Capitola, CA, November 18, 2011 Bay Federal Credit Union has been certified as a Community Development Financial Institution by the Community Development Financial Institution Fund (CDFI Fund), a program within the U.S. Department of the Treasury.
I was excited to receive this news,â€ said Carrie L. Birkhofer, President and CEO of Bay Federal Credit Union. I hope this opportunity will allow us to expand programs that make a difference in our members lives and in the community.
The CDFI Fund promotes economic revitalization and community development in low-income and rural communities across America. Through funding to community-based organizations, called CDFIs, the CDFI Fund supports programs focused on improving the quality of life of people who live in economically-distressed communities or areas that are underserved by mainstream financial institutions.
CDFI certification makes Bay Federal and other CDFIs eligible to apply for Technical and Financial Assistance grants for the purpose of increasing institutional capacity to provide access to affordable financial services and loans for low-income consumers and underserved communities. CDFI Funds have been used to create and expand programs such as mortgage financing for low-income and first-time homebuyers, loans for micro and small businesses, and financial education programs.
Being eligible to apply for funding does not guarantee approval of CDFI grant requests Obtaining a grant from the CDFI Fund is a highly competitive and challenging process, said Ms. Birkhofer.If we do get a grant, we hope to be able to boost our financial education initiatives and develop loan programs for lower-income individuals and families.
To obtain the certification, Bay Federal secured assistance from the National Federation of Community Development Credit Unions (NFCDCU), a trade association that represents the vast majority of credit unions that are currently certified as CDFIs.
“We congratulate Bay Federal Credit Union for pursuing CDFI certification, which represents an official recognition of the groundbreaking work they have been doing for many years to bring affordable financial services to low-income and underserved consumers,” said Pablo DeFilippi, NFCDCUs Membership Director.
About the National Federation of Community Development Credit Unions (NFCDCU)
Established in 1974 by a coalition of credit union leaders dedicated to revitalizing low-income communities, the NFCDCUs mission is to strengthen Community Development Credit Unions (CDCUs), or credit unions that serve low-income, urban and rural communities, by advocating for and providing financial, technical, and human resources to CDCUs. For more information, please contact:
Pablo DeFilippi, CUDE
Director of Membership Development
National Federation of Community Development Credit Unions
39 Broadway, Suite 2140
New York, NY 10006-3063
212.809.1850, ext 304
For more information about the CDFI Fund, please contact:
Charlene C. Pierce
Community Development Financial Institutions Fund
U.S. Department of the Treasury
601 13th Street, NW
Suite 880 North
Washington, DC 20005
About Bay Federal Credit Union
Bay Federal is a full-service financial institution that serves over 55,000 members and 1,000 local businesses throughout Santa Cruz, San Benito and Monterey Counties. With over $600 million in assets, Bay Federal Credit Union is the largest member-owned financial institution in Santa Cruz County, serving its members and the community since 1957. Bay Federal supports many local schools and nonprofit organizations. For eight consecutive years, 100% of their employees have given their own time and money to support the community. www.bayfed.com.