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 $250 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 $4 to every saved $1 for four years. Minimum individual savings will be $1,000 in four years and the State match adds $4,000 into the account for a total of at least $5,000 to be used for qualified asset purchases.
Criteria for this income-based program are as follows:
- The entire household size and combined earned income must be under 200% of the OMB poverty guidelines.
- Individuals must save $250 a year.
- A full credit report with score must be provided .
- 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.