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 included in a $5.1 million grant to your Community Loan Center Coalition of Texas and Indiana.

“The reason for this grant would be to purchase an employer-based, small-dollar loan system which will offer an option to payday lending,” reported Brightpoint President/CEO Steve Hoffman. “Thanks to your funding that is generous JPMorgan Chase, Brightpoint should be able to help to keep more bucks within the pouches of families within our community.”

In Indiana, payday lenders cost consumers over $70 million in costs annually.

On a typical 14-day loan, payday loan providers charge 365% APR. About 7% of low-income families in northeast Indiana use payday lenders regularly. However it is perhaps perhaps not simply low-income households whom are making use of these services. Based on 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 even more.

“The challenges dealing with our communities need solutions tailored for their needs that are specific” said Jim Cook, unit supervisor for Chase’s Commercial Bank. “Brightpoint is developing strategies that are innovative the requirements of Fort Wayne area families which will link them to greater financial possibilities and success.”

Town Loan Center originated 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 Centers provide affordable loans to customers while enabling companies a way to provide an employee benefit that is valuable.

Employers pay no direct cost to produce this advantage for their workers and it will increase efficiency by reducing worker economic stress and increasing workplace morale.

The https://badcreditloanshelp.net/payday-loans-mi/tecumseh/ Community Loan Center at Brightpoint will offer you a loan that is low-cost with a reasonable payback plan that is payroll deducted permitting workers to conquer their monetary emergencies. Another advantageous asset 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 regarding the debtor.

Several times loans that are payday utilized for things like medical emergencies, vehicle repairs, or even get caught 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.

“We are excited to begin with offering this brand new solution that helps relieve monetary anxiety for lots more families and produce a brighter future for the community,” concluded Mr. Hoffman. The Consumer Loan Center at Brightpoint is planned to begin with making loans in January 2016.

About Brightpoint Brightpoint is a private, 501()( that is c) nonprofit organization serving a lot more than 35,000 individuals across northeast Indiana. Via a wide selection of programs, Brightpoint helps communities, families, and people eliminate the factors and conditions of poverty. All Brightpoint solutions are given without reference to competition, age, color, faith, intercourse, intimate orientation, impairment, nationwide beginning, ancestry, or status as a veteran.