Transformation Nashville, Inc.
Programs
Budget
$50,000.00
Description
The working poor do not have access to traditional lines of credit, which, if they did, would require collateral and nearly 10% interest. These conditions are why predatory payday and title loan lenders are flourishing. They have been the only option for too many people, costing as much as 450% interest, trapping the working poor in poverty.
EmpowerCredit is an alternative to the poverty trap of payday and title loans. Thanks to the financial support of generous individual and foundation donors, EmpowerCredit provides emergency loans under $1,000 with the average loan being around $500.
Loans are made for the following emergent needs:
Paying off existing payday / title loans
Housing
Education
Medical expenses (including mental health)
Transportation
Expungement fees
Loan recipients are encouraged to complete a financial literacy class and their interest rate will be 1%. Otherwise, interest will be 3%. Payment plans are between 6 and 12 months and repayments fund future loans.
Beneficiaries
Economically disadvantaged people
Unemployed, Underemployed, Dislocated
Adults
Program Areas Served
None
$50,000.00
Description
The working poor do not have access to traditional lines of credit, which, if they did, would require collateral and nearly 10% interest. These conditions are why predatory payday and title loan lenders are flourishing. They have been the only option for too many people, costing as much as 450% interest, trapping the working poor in poverty.
EmpowerCredit is an alternative to the poverty trap of payday and title loans. Thanks to the financial support of generous individual and foundation donors, EmpowerCredit provides emergency loans under $1,000 with the average loan being around $500.
Loans are made for the following emergent needs:
Paying off existing payday / title loans
Housing
Education
Medical expenses (including mental health)
Transportation
Expungement fees
Loan recipients are encouraged to complete a financial literacy class and their interest rate will be 1%. Otherwise, interest will be 3%. Payment plans are between 6 and 12 months and repayments fund future loans.
Beneficiaries
Economically disadvantaged people
Unemployed, Underemployed, Dislocated
Adults
Program Areas Served
None
CEO/Executive Director/Board Comments
| We know that the pandemic has forced more individuals and families on to lower rungs of the financial ladder. We recognize the need for bridge funding to get over the rough patches has grown exponentially over the past year,. We want to be ready with systems and resources to meet this need rather than have our neighbors turn to the more than 100 unscrupulous and predatory lenders in our community. To meet this need, we are looking to expand our expertise and our financial capacity in 2021. |
