ND Assistive Financial Loan Program Application

ND Assistive works to provide improved access to and acquisition of assistive technology (AT) for seniors and/or individuals with disabilities of all ages. This is provided through financial loans, alternative funding resources, and financial education.

This loan provides low interest rates, more flexible underwriting guidelines and repayment terms than do most consumer credit loans, and provides alternative banking options for individuals with limited income or damaged credit due to medical conditions.

This financial loan program to purchase AT offers:

A direct loan with a 2% interest rate through ND Assistive with repayment terms varying from 3 to 60 months

If you have any questions please call Pam Posey at 800-895-4728 or email pposey@ndassistive.org

ND Assistive Loan Policy

The purpose of the Financial Loans for Assistive Technology (AT) is to assist individuals with disabilities to secure the assistive technology they need to become more independent and productive members of the community with an improved quality of life.

ND Assistive provides low-interest loans with favorable terms and conditions through direct lending so that people with disabilities and their families may acquire assistive technology or computers and other equipment, including adaptive equipment.

ND Assistive cannot reimburse you for a device you have already bought.

Loan Criteria

All loan applications that ND Assistive reviews must demonstrate a reasonable expectation that the loan will be repaid. All loan requests are determined on a case-by-case basis. Generally, ND Assistive is looking for a pattern of stability with respect to credit history, debt to income ratio, and ability to make the monthly payments. ND Assistive may request the applicant provide an explanation or resolve negative findings within the credit report. In making its determination, ND Assistive may consider the nature and extent of an applicant’s creditworthiness, the fair market value of the item requested, and the total dollar amount of the loan.

The Loan Coordinator may ask the applicant and/or co-applicant having debt or credit issues to provide additional financial and/or other information in order to determine qualification for a loan. For verification of income, if an individual’s income is based on self-employment, ND Assistive will require the submission of the past year’s income tax return as signed and submitted to the IRS.

Credit Score

A credit score is a number that gives a picture of your credit health. The chart below shows what factors impact your score.

ND Assistive uses a credit scoring system and credit reports as part of its decision process on all applicants. The credit score generally ranges from four hundred (400) to above eight hundred (800). Financial institutions typically require scores approaching seven hundred (700) for loan approval. A credit score of five hundred,

(500)is generally required for ND Assistive to consider a loan for approval.

Debt to Income Ratio

Your debt to income (dti) ratio compares how much debt you owe compared to your income. Debt includes your monthly rent or housing payment, installment loan payments (like the loan you are applying for) and payments on revolving loans (credit cards). For example, if you have $500 in monthly debt payments and your monthly income is $1,000 your debt to income ratio is 50%.

$500/$1000 = 50%

ND Assistive will generally approve an applicant with a less than desirable debt to income ratio (50% or higher) if the borrower can adequately document sufficient cash flow for the loan. Individuals with subsidized living arrangements may qualify for a loan even if their debt to income ratio is higher than desired. Individuals having approval for special funding may be considered without regard to their debt to income ratio.

Ability to Make the Monthly Payments

As a part of this loan application you may be required to complete a monthly budget. This will be required if you have had credit issues or your credit score is below 650 and debt to income is above 50%. A budget shows how much income you have compared to your expenses. We use this to see if you can make the payment for the loan that you have requested. This is also a good tool to use for evaluating budgeting opportunities – feel free to make copies for future budgeting and planning.

Qualifying borrowers must document that they have sufficient resources to pay for all living expenses and still have a reasonable expectation of repayment before a loan may be approved by ND Assistive. The Board may approve loans to individuals who have additional projected income, and/or co-residents that assist with the monthly rent/mortgage and household expenses, which is verifiable.

The Board may also request a co-resident to become a co-applicant to consider additional income and reduce overall expenses. If an applicant wants to include a co-resident’s income and expenses, they may apply as a co- applicant.

Privacy Policy Notice

We value your privacy. We do not disclose any information about our customers or former customers to anyone, except as permitted or required by law. Information we collect includes:

• Information from the loan application
• Information about your transactions with us or others
• Information we receive from a consumer reporting agency

We take every precaution to ensure that your personal information remains private. We restrict access to non- public personal information about you to employees and other parties who need to use the information to provide loan services to you. We maintain physical, electronic and procedural safeguards to comply with federal regulations to guard your non-public personal information.

Titles and Liens

The assistive technology device will be titled or secured in the name of the borrower with Assistive as lien holder. At closing, the borrower will sign a security agreement releasing Assistive as lien holder on the items purchased with the financing proceeds.