Individual Development Account Program

Purpose of Program

Aleutian Housing Authority (AHA) has established an Individual Development Account (IDA) Program for the purpose of assistant for low to moderate low income people to achieve financial independence and to become financially self-sufficient through providing the motivation, information and skills to:

• Set goals for their future
• Establish regular saving habits and disciplines
• Invest in assets that will achievement of goals

Program Description

The IDA program is designed to provide training and counseling, access to financial services and a financial incentive to reach for a worthwhile goal.  The financial incentive is a 4:1 match for each dollar saved up to $1000 (if $1,000 is saved by the participant, $4,000 will be contributed by AHA, for a total savings of $5,000), which can be used to purchase a first home or to start a small business.

Savings Goal

The monthly minimum savings goal is based upon the household income level as a percent to median, as determined annually by the U.S. Department of Housing and Urban Development (HUD). The minimum savings goal are as follows:

• $10.00 = < 30% to median income
• $20.00 = 31% - 50% to median income
• $30.00 = 51% - 80% to median income

Income levels that determine minimum saving goal are done upon certification of completed application. There are no maximum monthly savings, however the match will only be done to the first $1000 over a minimum saving period of six months and a maximum saving period of 36 months.

Service Area

Participants must reside in the Aleutian/Pribilof Island Region.

Borrower Eligibility

Assistance under this program is available only to Alaska Native / American Indian persons. Preference is given to members or direct descendants of AHA member Tribes. At least one adult member of the household must present a CIB card or other form of positive identification of Native/Indian status at the time of application. A tribal enrollment card will be needed to show preference where applicable.

Income

Participants in the IDA program is limited to individuals and families with household income at or below 80% of the published median income established by HUD for the area. Participants will be required to provide documentation to verify the determination of low-income status.

Employment

The participants must be employed Full-time, Part-time, Seasonal, or Self-employed and show ability to make the minimum savings goals as required. All participants must submit their prior years tax return to show a 'verification of non-filing' status.

Waiting List

The IDA program is operated on a first-come first-served basis subject to availability of funds.

Training and Counseling

The participant must successfully complete training and counseling classes through our partnering organization, Consumer Credit Counseling Services of Alaska. The courses are 'Money in Motion' and 'Follow My Money.'

Training does not require travel.

The custodial savings accounts will be provided through our partnering organization, Wells Fargo Bank.

For more information, simply click here to send an email

For an application click here