This article first appeared on CUCollaborate
The NCUA announced Thursday that it has awarded $3.1 million in Community Development Revolving Loan Fund grants to 142 low-income credit unions and MDIs.
For the 2023 round, requests far exceeded the amount available, the agency said. In this year’s round, the NCUA received 290 grant applications totaling more than $7.7 million.
NCUA Chairman Todd Harper said that for the 2023 round, Congress had provided additional funding than in past years and allowed MDI credit unions to apply for grants.
Congress remains deadlocked over government funding for FY24, although the House and Senate Appropriations Committees have called for the CDRLF program to receive $4 million in FY24.
Record of success
“These grants have a track record of success,” Harper said.” Qualifying low-income and MDI-designated credit unions use these needed funds to create innovative products, provide financial education, and broaden access to safe, fair, and affordable financial products and services. This expands opportunity and assists members and communities nationwide in building financial security.”
The NCUA awarded grants ranging from $1,000 to $50,000 to credit unions in 40 states and the District of Columbia; 42 awardees were MDIs and 23 were first-time applicants.
Types of awards
The NCUA made awards in five categories:
- Underserved Outreach: 26 grants totaling $1,265,000.
- MDI Capacity Building: 23 grants totaling $1,079,200.
- Digital Services and Cybersecurity: 79 grants totaling $725,900.
- Training: 12 grants totaling $59,600.
- Consumer Financial Protection: Two grants totaling $16,500.
