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Services

The Mini Loan Program was developed by the Catholic parishes

in Fullerton, California. The purpose of the program is to offer small loans that do not

exceed $7,500 to individuals and families to maintain their housing. These loans require

less documentation and provide lower interest rates than traditional loans. The Mini Loan

Program supports those who do not qualify for credit products offered by traditional

financial institutions because of their lack of credit history or poor credit scores.

This is more than a loan program; offering additional services to help neighbors in need be successful.

1) This program is a tool to rebuild or start building credit history. If payments are made

consistently and on time, the Neighbors in Need can improve their credit scores. Our

financial institution partner will report all payments to Credit Bureaus. Neighbors in

Need will also have access to better interest rates and credit products in the future.

2) The Mini Loan Program requires the qualifying Neighbors in Need to participate in

home visitations. These visitations provide mentorship to develop a home budget, learn

the basics of savings, loan interest rates, and financial goals.

3) This program can lead to systemic change one family at a time. By understanding their

home budget, the gap between expenses and income, and the importance of making

timely payments and not defaulting on their loan, Neighbors in Need can become better

organized, spend responsibly, and improve the stability of their home.

This Mini Loan Program was developed to keep families housed that are facing eviction or

entering into new housing. This program can also be used to finance other issues associated with

becoming unhoused:

1) Ending predatory debt. The Mini Loan Program can be used to pay off predatory loans

that have spiraled out of control and are impossible to pay off.

2) Rental deposits. Access to Orange County rental rates have inflated beyond the reach of

many local families. Assistance with first and last months’ rent plus security deposits

are a significant challenge in this economy. The Mini Loan Program empowers

families in need to become financially responsible. This program can lead to systemic

change one family at a time during this period of escalating inflation and financial

insecurity.

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