Brightpoint Receives Funding From JPMorgan Chase & Co. To Grow Consumer Loan Program
Brightpoint (previously Community Action of Northeast Indiana or CANI) announced that is has received nearly $1 million in funding from JPMorgan Chase & Co. to expand its consumer loan program today. Brightpoint received this honor as an element of a $5.1 million grant to your grouped Community Loan Center Coalition of Texas and Indiana.
вЂњThe function of this grant is always to spend money on an employer-based, small-dollar loan system that may offer an option to payday lending,вЂќ reported Brightpoint President/CEO Steve Hoffman. вЂњThanks to your substantial financing from JPMorgan Chase, Brightpoint should be able to help to keep more bucks into the pouches of families within our community.вЂќ
In Indiana, payday lenders cost customers over $70 million in charges annually.
On a typical loan that is 14-day payday loan providers charge 365% APR. About 7% of low-income families in northeast Indiana use payday lenders regularly. However it is maybe perhaps perhaps not simply low-income households who are making use of these services. In line with the customer Financial Protection Bureau, the median earnings of payday borrowers is $22,476, but one fourth of all of the borrowers make $33,876 or higher.
вЂњThe challenges dealing with our communities need solutions tailored with their particular requirements,вЂќ said Jim Cook, division manager for ChaseвЂ™s Commercial Bank. вЂњBrightpoint is developing innovative approaches for the requirements of Fort Wayne area families that may connect them to greater financial possibilities and success.вЂќ
The city Loan Center was created in Texas and it is now expanding into Indiana. The Indiana Association for Community Economic Development (IACED) will behave as the statewide coordinator for the city Loan Center franchising in Indiana. Brightpoint will provide northeast Indiana while HomesteadCS will provide the Lafayette market.
Community Loan Cedar Rapids financiIA payday loans Centers provide affordable loans to consumers while allowing employers a chance to provide an employee benefit that is valuable.
Companies spend no direct price to produce this advantage for their workers and it will increase efficiency by reducing worker monetary anxiety and workplace morale that is increasing.
Town Loan Center at Brightpoint will offer you a loan that is low-cost with an inexpensive payback plan that is payroll deducted permitting workers to conquer their economic emergencies. Another advantage of this program is that activity in the loan is likely to be reported to credit bureaus (something lenders that are payday do) assisting to build the credit history associated with debtor.
Several times payday advances are useful for things like medical emergencies, vehicle repairs, or even get through to bills. The agency provides such as help enrolling in health insurance, assistance with utility and child care costs, and connecting them with other resources in the community while providing low-cost consumer loans for these needs, Brightpoint will also connect borrowers to the other services.
вЂњWe are excited to begin with providing this brand new solution that may help alleviate economic anxiety to get more families and produce a brighter future for the community,вЂќ concluded Mr. Hoffman. The Consumer Loan Center at Brightpoint is planned to start making loans in January 2016.
About Brightpoint Brightpoint is really a private, 501(c)(3) nonprofit organization serving significantly more than 35,000 individuals across northeast Indiana. Through a wide selection of programs, Brightpoint helps communities, families, and people get rid of the factors and conditions of poverty. All Brightpoint solutions are supplied without reference to battle, age, color, faith, sex, sexual orientation, impairment, nationwide origin, ancestry, or status being a veteran.