SAGINAW, Mich. (1/15/16)--The Saginaw City Council and a Saginaw, Mich.-based credit union have teamed up in an effort to help improve local housing affordability.
The council signed a memorandum of understanding with Frankenmuth CU this week in support of a $2 million grant the credit union applied for from the U.S. Department of Treasury Community Development Financial Institutions (CDFI) Fund (MLive.com Jan. 13).
“This is so the CDFI knows that we are working with the city,” said Greg Dietrich, the credit union’s marketing and community development coordinator.
The credit union would use the grant to fund an affordable homeownership program for low-income residents, Dietrich said. To qualify, prospective residents would have to possess credit scores below 640.
Those who qualify also would have to use the funds to purchase housing for as a primary residence and attend financial literacy courses.
The effort has been commended by local civic leaders.
“We are going to be working with neighborhood associations … because they know where these people are,” Dietrich said (MLive.com).
But the housing grant isn’t the only funding for which the credit union has recently applied to support the local community. Frankenmuth also has applied for $2 million in Health Food Financing Initiative dollars from the Treasury Department. The funding, if approved, would support Saginaw’s Farmers Market.