SAGINAW, Mich.—Frankenmuth Credit Union has signed a memorandum of agreement with the city of Saginaw as part of an effort to boost home ownership.
The CU is applying for a $2-million grant from the U.S. Department of Treasury Community Development Financial Institutions Fund. MLive.com quoted a representative of the credit union as saying the goal is to let Treasury know it is partnering with the city as it seeks to secure the funds.
According to MLive.com, if the grant is approved, the money would be used to help low-income residents become homeowners. It would be available to qualifying individuals who typically have a credit score lower than 640 and who will use the funds for a primary residence.
"We are going to be working with neighborhood associations...because they know where these people are," the FCU rep said.
Those who qualify would have to attend financial literacy courses.
In addition, the credit union is applying for a $2-million Healthy Food Financing Initiative grant from the Treasury Department to benefit the Saginaw Farmer's Market, according to MLive.com.