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NCUA to offer mentoring grants to small low-income credit unions

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The National Credit Union Administration is providing grants to small low-income credit unions that are designated as minority depository institutions in a new mentoring program.

Credit unions will be able to get grants up to $25,000 through the new pilot program to establish mentoring programs with larger low-income minority deposit institutions, the NCUA said on Wednesday. The program will provide three to five grants.

“Minority depository institutions play a crucial role in delivering financial services to people and communities who have been overlooked,” NCUA Chairman Rodney E. Hood said in a press release. “This pilot project is an extension of the efforts the NCUA makes through its Minority Depository Institution Preservation Program to provide technical assistance, training, and mentoring opportunities to help these credit unions help their members.”

Hood encouraged eligible CUs to consider applying for the new program, which will receive funding from the NCUA’s annual Community Development Revolving Loan Fund.

The NCUA will accept grant applications from Aug. 18 to Sept. 28.

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