ABOUT US - U.S. Treasury Certified CDFI
History, Mission, & Values | Icahya Woecun | Staff | Board | US Treasury Certified CDFI | Employment
Community Development Financial Institutions are often referred to as CDFIs. CDFIs can apply to be certified by a division of the US Treasury called the CDFI Fund, which was established to expand the capacity of financial institutions to provide credit, capital, and financial services to underserved populations and communities in the US. One type of CDFI is a Native CDFI. One of the ways the US Treasury's CDFI Fund does this is by directly supporting the capitalization and services provided by Native CDFIs.
Four Bands Community Fund is a Native CDFI certified by the US Treasury.
CDFIs provide technical assistance and develop financial products to meet the needs of defined target markets. They make loans that are riskier, often at higher interest rates than banks. They don't avoid risk, but learn to manage it. Loan decisions are based on loan policies and a borrower's ability to repay.
Borrowers are expected to make regular loan payments on a set schedule until the full amount of the loan is repaid. If a borrower fails to make payments, a Native CDFI pursues collections options detailed in the borrower's loan agreement.
CDFIs strive to become a permanent capital resource in their communities. They believe that access to capital is part of long-term solution to community building and poverty alleviation.