The federal regulator of credit unions says it has $2 million available for technical assistance grants and $5.3 million for loans to low-income-designated credit unions through the Community Development Revolving Loan Fund (CDRLF). Funds are to help credit unions serve members and stimulate economic activity in their communities.
The National Credit Union Administration (NCUA), which administers the CDRLF, says the revolving fund received a 2018 appropriation of $2 million for grants; it also has about $5.3 million available for low-cost loans as a result of prior-year appropriated funds and fund earnings. The fund provides grants and assistance to credit unions with NCUA’s low-income designation; or equivalent designation if state-chartered. (Requirements are detailed in Title 12, Part 701.34 of the Code of Federal Regulations.)
There are three technical assistance grant initiatives this year. The initiatives, and maximum per award in each, are: Digital Services and Security, $10,000; Leadership Development, $10,000; and Underserved Outreach, $20,000. The application period opens at 9 a.m. ET July 1 and closes at 11:59 p.m. ET Aug. 18.
Loans from the CDRLF carry a low interest rate and have a maximum maturity of five years. NCUA has set a maximum loan amount of $500,000. Applications will be accepted at any time and until funds are exhausted. The $5.3 million available for loans will change as loans are issued and as others amortize, that is, are repaid to the revolving fund.
More details are in an NCUA notice scheduled to publish Thursday in the Federal Register.