We cannot abandon Community Development Financial Institutions (CDFIs), who do measurable, positive work in our communities.
We cannot abandon Community Development Financial Institutions (CDFIs), who do measurable, positive work in our communities.
CDFIs provide responsible and affordable loans to individuals, businesses, and organizations that are unable to obtain financing from conventional banks – not because they aren’t worthy of a loan, but because their risk profile doesn’t fit the more rigid criteria used by conventional banks. This is an essential service for making sure loan capital reaches deserving borrowers with unconventional loan applications. And because CDFIs disburse loans instead of grants, they offer a sustainable solution to financing and teach borrowers how to manage budgets and pay back their loans.
CDFI funding to nonprofits for construction returns more money into the community through economic activity. It’s very important we keep providing this capital in Indiana.