What is an IDA?
An Individual Development Account helps our members meet certain savings goals. After proving they’re serious about saving money and improving their financial education, they could have their savings MATCHED dollar-for-dollar up to $4,000 per family and $2,000 per individual. With matching contributions from the government and participating nonprofit organizations, families can receive up to $8,000 and individuals can receive up to $4,000 toward their IDA account.
Typical goals for the savings and match are homeownership, higher education, job training, and starting a small-business. In some instances it could include the purchase of an automobile for work.
- To start an IDA, participants must agree to use the assets for certain purposes, including buying a home, starting or expanding a small business, paying for post-secondary education or job training, and, in some cases, purchasing a vehicle.
- The savings goal has to be met in two years (five years for homebuyers).
- To qualify, applicants must meet certain income requirements.
Linn Area Credit Union is very proud to offer this account. For more information about setting up an IDA, please give us a call.