Spring Break
Non-profit helps students save money
Kyle Hansen
Issue date: 3/21/07 Section: News
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Lenders for Community Development, a not-for-profit organization, offers low-income students matching funds to help pay for education.
Liz Givens, the organization's director of development, said that helping people to build their assets is more important than just raising someone's income.
"Our organization believes that assets, like an education or a home, are the important foundations of a future."
Lenders for Community Development helps people to build their assets by providing training in budgeting and financial management and by providing matching funds to help people fund their education, buy a home or build their own business, Givens said.
Participants in the Individual Development Account program are required to complete 12 hours of training in addition to contributing to a savings account each month for two years. The funds they contribute to the savings account are matched by the organization two for one, Givens said. The participant can save a total of $2,000 and receive up to $4,000 in matched funds.
"The underlying idea of the IDA program is to help low income people improve their lives through making changes in behavior and changes in their assets," said IDA Program Manager Gwendy Donaker Brown. "We have found that it is a winning combination to help people develop the financial skills and provide financial support to help them achieve their goals."
Givens said that the funds come from the federal government, private foundations and individual donors.
The funds are not unlimited, but the organization currently has about 100 open positions for the whole Bay Area, Donaker Brown said.
Participants must meet income requirements, Donaker Brown said. The maximum 2006 income for an independent student is $19,600, or 200% of the federal poverty limit. For a family of four, the household income limit would be $40,000.
The funds can only be used for educational expenses such as tuition, fees and books, Donaker Brown said. The money cannot be used for housing or transportation.
Liz Givens, the organization's director of development, said that helping people to build their assets is more important than just raising someone's income.
"Our organization believes that assets, like an education or a home, are the important foundations of a future."
Lenders for Community Development helps people to build their assets by providing training in budgeting and financial management and by providing matching funds to help people fund their education, buy a home or build their own business, Givens said.
Participants in the Individual Development Account program are required to complete 12 hours of training in addition to contributing to a savings account each month for two years. The funds they contribute to the savings account are matched by the organization two for one, Givens said. The participant can save a total of $2,000 and receive up to $4,000 in matched funds.
"The underlying idea of the IDA program is to help low income people improve their lives through making changes in behavior and changes in their assets," said IDA Program Manager Gwendy Donaker Brown. "We have found that it is a winning combination to help people develop the financial skills and provide financial support to help them achieve their goals."
Givens said that the funds come from the federal government, private foundations and individual donors.
The funds are not unlimited, but the organization currently has about 100 open positions for the whole Bay Area, Donaker Brown said.
Participants must meet income requirements, Donaker Brown said. The maximum 2006 income for an independent student is $19,600, or 200% of the federal poverty limit. For a family of four, the household income limit would be $40,000.
The funds can only be used for educational expenses such as tuition, fees and books, Donaker Brown said. The money cannot be used for housing or transportation.
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