Federally insured, low-income credit unions interested in becoming certified community development financial institutions may be eligible to use the National Credit Union Administration’s streamlined application.
In the streamlined process, which runs from March 19 to April 6, low-income credit unions submit data on loan originations to the NCUA’s Office of Credit Union Resources and Expansion. The agency will then analyze each credit union’s products and services and other indicators to determine its likelihood for certification.
If the credit union is qualified to use the streamlined process, the NCUA will provide an application form and the data necessary to complete it. The credit union then completes the application and submits it to the CDFI Fund, which makes the final determination on the certification. Credit unions not eligible for the streamlined application can still use the standard form.
The NCUA’s online program guide has all the necessary instructions for applying.
Developed by the NCUA and the Community Development Financial Institutions Fund, the streamlined application process has helped 39 credit unions obtain certification as community development financial institutions.
Credit unions that obtain CDFI certification can take advantage of training and competitive award programs provided by the CDFI Fund. These resources enhance credit unions capacity to provide underserved communities with access to safe and affordable financial services. The CDFI Fund webpage has complete information.