American Banking & Market News
August 24, 2010
Funds Matched 3:1, $5,000 Maximum Match per Household
Program Participants to Receive Financial Management Training & First-Time Homebuyer Training
SAN FRANCISCO--(BUSINESS WIRE)--EARN, the nation's leading provider of microsavings for low-income workers, has forged a new partnership with the San Francisco Redevelopment Agency (SFRA), an agency which exists to improve the environment of the city and create better urban living conditions through the removal of blight.
The partnership will provide Individual Development Accounts (IDAs), also known as matched savings accounts, for SFRA "Certificate of Preference" holders: families that were displaced primarily from Western Addition Area A-2 and Hunters Point by redevelopment activities in the 1960s and 1970s.
These IDA accounts will allow participants' savings to be matched three-to-one with a maximum match of $5,000 per household; the program has sufficient funding to serve approximately sixty-four first-time homebuyers. Participants will be required to save between $10-$200 per month and complete financial management training and first-time homebuyer training. EARN will provide the financial management training, IDA account management, and technical assistance.
"Owning a home remains synonymous with the American Dream for so many people, and we are thrilled to partner with SFRA to help make that dream a reality for hardworking San Franciscans," says EARN President and CEO Ben Mangan. "We're proud to help families achieve that dream by matching their savings - but even more importantly, our low-wage clients learn financial management skills that put them and their children on the path to long-term prosperity."
"Providing opportunity for individuals and families that were once displaced is of great importance to me and this agency," says Fred Blackwell, Executive Director of SFRA. "The IDA program is an excellent chance for clients to save money and receive the information necessary to navigate the home purchasing process. We are pleased to assist our clients in realizing their dream of homeownership in the City and County of San Francisco."
EARN's partnership with SFRA follows closely upon announcements earlier this month of the receipt of a $125,000 grant from the Silicon Valley Community Foundation and $500,000 in funding from the Ford Foundation.
The San Francisco Redevelopment Agency, incorporated August 10, 1948, is authorized and organized under the provisions of the California Community Redevelopment Law ("CCRL"). The Agency is an entity legally separate from the City and County of San Francisco, but existing solely to perform certain functions exclusively for and by authorization of the City and County of San Francisco. The Agency operates primarily in redevelopment project areas designated by the Board of Supervisors. In accordance with CCRL, the Agency works to improve the environment of the City and create better urban living conditions through the removal of blight.
Visit http://www.sfredevelopment.org/ for more information.
EARN is an award-winning California-based nonprofit that gives low-income workers the power to create economic prosperity for their families for generations to come. Since 2001, EARN has helped tens of thousands of low-wage families through innovative financial products including matched savings accounts, checking accounts for the unbanked, micro-loans, and money management coaching. EARN's powerful combination of lasting assets and financial know-how enables families to build wealth and achieve life-changing goals such as saving for college, purchasing first homes, or starting small businesses. Through its policy and research arm, EARN evaluates its impact and reports on new data regularly, sharing lessons learned and best practices in order to transform the financial services landscape and to champion effective public policies. EARN's ultimate vision is that millions of well-informed, low-income American families will achieve financial success through proven strategies, fair public policy, and their own hard work. Visit www.earn.org or follow us at http://twitter.com/earn and http://facebook.com/EarnOrg.