California Credit Union has announced that it has been certified as a Community Development Financial Institution (CDFI) by the U.S. Treasury Department’s CDFI Fund. This certification is available only to organizations that have proven they provide financial services and products in communities that have historically lacked access to traditional banking services. With this certification, California Credit Union will apply for grant funding later this year to further expand its mission-driven programs for historically underserved communities that lack access to traditional, affordable financial products and services in its service areas.
Certified CDFIs are part of a national network promoting economic growth in America’s underserved communities by financing businesses, creating jobs, and rebuilding neighborhoods. The CDFI certification allows qualified financial institutions to access federal funds to provide financial products and services in low-income communities for local residents and businesses. With California Credit Union’s designation, there are now seven CDFI certified credit unions in Los Angeles County and 36 in the state, per CDFI Fund data as of May 15, 2023.
California Credit Union President/CEO Steve O’Connell said, “We’re excited to earn this certification, which will enable us to expand on our mission to improve lives in the communities we serve. The opportunities available to us as a CDFI will amplify our programs to invest in local Southern California communities that need it most through providing critically needed access to capital and education programs.”
CDFI certification is the latest step in California Credit Union’s mission to meet the needs of underserved populations in its communities. Its Option Checking account was recently certified as meeting the Bank On National Account Standards, offering safe access to a traditional checking account, with zero fees or overdraft charges to support moving members out of a debt cycle. The credit union also has adjusted underwriting guidelines to provide easier access to funds, launched credit card products for members looking to build/restore credit, and offers a full suite of financial education and literacy resources.
Source: PR Newswire