S
Eric WuAccount Manager
Credit Builder Program
The Hilltop Microfinance Initiative
Paige HannahLoan Officer
HMFI: Who Are We?
• 501(c)(3) Nonprofit• Georgetown University• DC, Maryland, Virginia• 3 services– Small Business Loan– Business Consulting– Credit Builder Program
HMFI as a Stepping Stool
Access to traditional financial institutions
Underbanked segment of society
Small Business Loan & Business Consulting
???Credit Builder Program
The Loan• Two loans• Three tradelines• Improve credit score 50-100 points• “No score” will improve to 600
The Loan: Part 1
• $480 loan, no interest• $40/month payments over one year• Credit reported through the Intersect Fund
The Loan: Part 2
• Apply for a Capital One Secured MasterCard credit card
• $29 annual fee• $200 security deposit
The Loan: Part 2
• $65.95/month payments over 8 months– 10% interest rate
• Pay one small monthly bill $50-$150
• Credit reported through Capital One
Total Cost to Client
Fee Cost
Capital One secured credit card annual fee
$29.00
Capital One secured credit card security deposit
$200.00
Loan interest payment $7.57
Total Cost $236.57
Financial Literacy
Understand credit and types of debt
How to read your credit report
How to issue a credit dispute
How to improve your credit score
Short and long-term goals
And much more!
Credit-Reporting Capabilities
• Intersect Fund makes first loan installment possible
• Lender’s License for reporting in DC and Maryland
• Red tape & DC bureaucracy
• Capital One Secured Mastercard
Works Cited• http://www.wikihow.com/Improve-Your-Credit-Score• http://www.lowes.com/pd_225449-287-S243-6_0__?productId=3380042• http://commons.wikimedia.org/wiki/File:Credit-score-chart.svg• http://ieas.berkeley.edu/cjs/visiting_scholars_additional_information.html• http://www.eventbrite.com/o/the-intersect-fund-1512111200• http://www.sociallendingwatch.com/wp-content/uploads/2012/06/money_lending.jpg• http://commons.wikimedia.org/wiki/File:Octicons-mortar-board.svg• https://www.capitalone.com/• http://www.washingtonpost.com/wp-dyn/content/gallery/2010/01/14/GA2010011403123.html• http://www.remsol.co.uk/12/section.aspx/258
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