Texas-based credit union provides innovative investment in economic development nonprofit
Austin– On March 29, Randolph-Brooks Federal Credit Union (RBFCU) announced a financial investment in PeopleFund, a nonprofit community development financial institution. The investment is a multi-year term loan with a low fixed interest rate. PeopleFund will use the investment for loans to minority, women and veteran business owners, and those located in low to moderate income census tracts. The investment, the largest credit union investment in PeopleFund’s 23-year history, will support underserved entrepreneurs and military families in areas served by RBFCU.
PeopleFund receives low interest rate loans from banks, foundations, religious orders, the federal government, and the state of Texas. The funds are used to provide loans to Texas business owners not eligible for traditional financing. In 2016 over 50 percent of PeopleFund loans went to startups with less than two years in business.
PeopleFund President & CEO, Gary Lindner commented, “We are honored that RBFCU has chosen to make the largest credit union investment in PeopleFund history. Together we will create jobs and transform lives through the unique combination of access to capital and education.”
RBFCU Senior Vice President of Business Solutions, Mike Maldonado said, “We are committed to the financial success of our members and the Central Texas community. We are proud to partner with PeopleFund to create economic opportunity for small businesses.”
Interested small business owners may contact PeopleFund’s Director of Lending, Education, & Training, Rocio Vallejo: [email protected] or 512.222.1011.
PeopleFund is a registered 501(c)3 nonprofit organization established in 1994. It is a U.S. Treasury certified Community Development Financial Institution (CDFI) and SBA certified lender. PeopleFund provides business loans up to $350,000 to Texas businesses that do not qualify for bank loans. It also provides client business assistance and education. The target market is minority, women, and veteran business owners and those residing in low to moderate income census tracts. Over 50% of current loans are to startups and non-profit organizations. Through access to capital and educational opportunities, PeopleFund creates economic opportunity and financial stability for underserved people to build healthy small businesses. PeopleFund inspires, educates, funds, and elevates entrepreneurs on the path to prosperity and the American dream.
Randolph-Brooks Federal Credit Union
Established in 1952, Randolph-Brooks Federal Credit Union is a full-service financial cooperative whose mission is to improve members’ economic well-being and quality of life. With assets exceeding $7.7 billion, RBFCU serves nearly 700,000 members from 55 branch locations throughout Texas.