The De Novo Foundation of San Antonio has partnered with PeopleFund to establish a program that offers selected clients the opportunity to receive a 0% interest microloan from PeopleFund.
This program, funded by The De Novo Foundation, ensures that interest rates will never rise above 0% for all approved clients. The client will only have to pay back money borrowed from PeopleFund, according to the timeline they establish with PeopleFund.
Here’s how it works:
- An applicant expresses interest in obtaining a microloan
- The De Novo Foundation will review the applicants request and verify that the person requesting the microloan meets necessary criteria (low income, purpose of microloan, and likelihood of repayment)
- The De Novo Foundation will refer the client to PeopleFund
- PeopleFund will conduct their own review process
If approved for the program:
- PeopleFund will notify The De Novo Foundation of its decision to approve a microloan for a client
- PeopleFund will notify the client of its decision and begin preparing documentation for the client
- PeopleFund will facilitate all aspects of the microloan including a realistic repayment plan for the client
- The De Novo Foundation will periodically check in with the client for feedback on the program and overall satisfaction of the client
The De Novo Foundation/ PeopleFund Microloan Program is exciting for a number of reasons:
- Clients can rebuild credit scores that have been damaged by bad investments, divorce or other circumstances
- Clients can improve their existing credit scores by making regularly scheduled payments on time
- With higher credit scores, clients can qualify for larger loans and lower interest rates for things like houses, automobiles, and other future purchases. This interest-free loan program is funded entirely by The De Novo Foundation. The De Novo Foundation contribution only ensures a 0% interest loan (through PeopleFund) to the client.