Treasury CDFI awards Members CU $120,000
The credit union will use the grant award to fund a bi-cultural loan officer to increase lending to its lower-income and underserved minority community.
COS COB, CT (October 2, 2019) — Members Credit Union (MCU) today announced it is the recipient of a $120,000 Technical Assistant grant from the U.S. Department of the Treasury’s Community Development Financial Institutions (CDFI) Fund. The award allows the credit union to fund a bi-cultural loan officer to increase lending to its lower-income and underserved minority community.
The grant award is part of a broader community-development strategy aimed at the financial inclusion of lower-income, minority, and immigrant communities in Fairfield County, Connecticut. The state of Connecticut has the third-largest income gap in the country between the top 1 percent and the other 99 percent. Connecticut’s top 1 percent each earned an average of $2.7 million in 2015, compared to an average of $52,000 for the rest of all taxpayers – a ratio of about 51:1.
MCU’s commitment to the Hispanic community was underscored in 2018, when it was the first credit union in Connecticut to be honored with the Juntos Avanzamos (Together We Advance) designation, which recognized the credit union’s relevant community partnerships, board and staff diversity, acceptance of alternative ID and many other qualifications.
The 2019 CDFI Technical Assistance grant will be leveraged to increase financial education and lending to underserved markets.
“We are so grateful to Scott Butterfield and Your Credit Union Partner, first for giving us the confidence and encouragement to build a meaningful outreach program to our low-income and minority members, and second for taking us successfully through this Technical Assistance grant award process,” said Kathy L. Chartier, president and CEO of MCU. “Scott is truly our partner!”
The CDFI Program invests in and builds the capacity of CDFIs to serve low-income people and underserved communities lacking adequate access to affordable financial products and services. Award recipients often use the funds to analyze which products and services are appropriate for their target markets, develop lending policies and procedures, and build staff lending capacity. This year’s CDFI Technical Assistance grant recipients included 73 organizations and totaled more than $9.16 million in awards.
“For 25 years, the CDFI Fund’s Technical Assistance awards have helped CDFIs grow their organizations and better their capacity to provide financial products and services in low-income communities,” said CDFI Fund Director Jodie Harris. “The FY 2019 CDFI Program…recipients will continue that work in communities across the country, including 28 states and Puerto Rico.”
About Members Credit Union (MCU)
Nine Greenwich, Connecticut schoolteachers who were unable to get small loans at the local banks started members Credit Union in 1935. In 2002, we made the decision to become a community credit union and expand our outreach inclusive of all who live in Fairfield County, whether young or old, financially savvy or challenged, with good or challenged credit, American or immigrant. We are certified financial counselors and help our members find their way to financial success. Now, 15 years later, being an inclusive credit union, we received the Juntos Avanzamos (Together We Advance) designation in 2017 for our outreach to the Hispanic community. In 2018 were awarded with two national awards, Credit Union Hero and Trailblazer Award for Service to the Underserved. We continue to grow our services to those in the community and see a bright future ahead for Members Credit Union and the members we serve. For more information, visit https://memberscu.coop/.
About the CDFI Fund
The CDFI Fund was created to promote economic revitalization and community development through investment in and assistance to Community Development Financial Institutions (CDFIs). The CDFI Fund was established by the Riegle Community Development and Regulatory Improvement Act of 1994, as a bipartisan initiative. Since its creation, the CDFI Fund has awarded over $2 billion to community development organizations and financial institutions; it has awarded allocations of New Markets Tax Credits which will attract private-sector investments totaling $54 billion, including $1 billion of special allocation authority to be used for the recovery and redevelopment of the Gulf Opportunity Zone. For more information, visit https://www.cdfifund.gov.
