Pace Community Action Agency, Inc.

Individual Development Accounts (IDA)


Individual Development Accounts (IDA)

What is an Individual Development Account?

Individual Development Accounts (IDAs) are matched savings accounts that enable participants to save for a specified goal within a defined time frame. Money saved in an IDA account is matched with state dollars and savings can only be used for specific asset-building purchases or investment; for example, to buy or rehabilitate a home, pay for education or job training, to start/expand a small business, or purchase a vehicle. Participants must save at least $350 of earned income per year

How Does This Individual Development Account Help?

This program is designed to assist individuals in achieving self-sufficiency through financial literacy and asset generation. If criteria are met and individuals are accepted into the program, the state will match funds $3 to every saved $1 for four years. Minimum individual savings will be $1,500 in three years and the State match adds $4,500 into the account for a total of at least $6,000 to be used for qualified asset purchases. The maximum amount that can be matched in one calendar year is $800 by the participant and $2,400 by the state.

Who Qualifies?

Criteria for this income-based program are as follows:

  1. The entire household size and combined earned income must be under 200% of the OMB poverty guidelines.

  2. Individuals must save $350 a year.

  3. A full credit report with score must be provided .

  4. 8 hours of financial literacy classes must be completed during the first year of being accepted.

How Do I apply?

Call 812.882.7927 to schedule an appointment to learn more about this program and to complete an application.  Information to start the financial literacy classes will also be provided.