A certified Community Development Financial Institution (CDFI) is a specialized financial institution that works in market sections that are underserved by traditional financial institutions. A CDFI may take the form of a bank, loan fund, credit union or venture capital fund within the finance, insurance and real estate sectors.
CDFIs provide a unique range of financial products and development services in economically-distressed markets, such as low-income multi-family housing development, community facilities and business loans.
The funding for operations and lending is secured from a combination of foundation grants, banks, socially responsible investors, and federal and state government agencies.
CIFI can provide services to any eligible business or neighborhood in Indiana. According to federal regulations, 60% of our activities must be help CIFI serve its target population:
- Businesses must use funds from CIFI to benefit low-income persons; for example, through job creation or providing access to critical goods and services; OR
- The neighborhood in which the business is located must have a poverty rate of at least 20% AND one of the following:
- An unemployment rate at least 1.5 times the national average in a metropolitan area
- A median family income below 80% of the greater of either the metropolitan or national median family income.
- A median family income below 80% of the state or national median family income for a non-metropolitan area.
Find out more information about a market area’s census demographic data here.
CIFI is unable to provide grants at this time.