These funds are used for borrower education, training, and coaching.

It’s important that borrowers repay their loans so we can continue our four-decade long record of perfect repayments to our investors. Coaching is key to our success, and it’s funded through donations and grants.

Traditional financial institutions often won’t make the loans we do because they are seen as high-risk. But our hundreds of success stories prove that nontraditional borrowers can be successful — with the right assistance. 

We connect our borrowers with coaching and other guidance that leads to successful loan repayments. Our coaching and guidance are specific to the needs of our borrowers. It might be helping a family repair their credit so they can buy their first home. It could be a “boot camp” training for the directors of a new resident-owned community. Maybe it’s business education for childcare directors, consultants matched to the needs of a growing entrepreneur, or other assistance that meets a borrower's specific challenges. 

These funds are used to make loans across our programs.

Our lending capital comes from dollars invested, donated, or granted to us by individuals and institutions. Our investments offer fixed-interest rates and terms, much like a CD. Interest is paid annually and every dollar invested is put to work in loans that meet our mission. Our Permanent Fund is also used for lending capital. But unlike investments, these dollars have been donated or granted to us and don’t need to be repaid.

Permanent Fund dollars are critical because they allow us to meet borrower needs through innovation and flexibility. For instance, they allow us to offer 0% loans for down payment and closing cost assistance to low-income homebuyers or craft flexible loan terms that enable manufactured-home-park residents to purchase their parks at affordable rates.

These funds are used for salaries, operations, and other business costs.

Earnings from our loans help pay our costs of doing business. This includes office space, utilities, gas, and maintenance, along with salaries and health benefits that help us attract and retain our exceptional staff.