In partnership with our generous donors and partners, BCF is excited to offer grants of up to $3,000 each to business owners with incomes at or below 80% of the Area Median Income. These grants are intended to eliminate or reduce closing costs, addressing a major barrier to accessing credit. By covering these costs, low-wealth business owners can build more equity, reduce their overall borrowing expenses, and pay off loans more quickly, allowing them to allocate more funds toward growing their businesses.
About the Program
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How do I know if I qualify
All approved loan applications will be automatically evaluated for eligibility in this program. If you are eligible for the program, the BCF Lending Team will notify you as part of the Commitment Letter, which will also include details about the loan terms.
To qualify for the Program, Borrower must meet the following conditions:
(a) The Loan must be originated with BCF, not another lender;
(b) At the time of underwriting for the Loan, at least fifty percent (50%) of the aggregate ownership of the Borrower must be held by an individual or individuals whose annual income from their most recent personal tax returns is at or below eighty percent (80%) of the Area Median Income as determined by the Federal Financial Institutions Examination Council and the U.S. Department of Housing and Urban Development (“AMI”). BCF will use the home address(es) of each individual or individuals that comprise at least fifty percent (50%) of the aggregate ownership of the Borrower to evaluate the AMI;
(c) Borrower must be enrolled in Auto Pay for its monthly Loan payments to BCF for the term of the Loan;
(d) Borrower must make six (6) consecutive, on-time monthly payments during the first six (6) months following the Closing Date. -
How it works
After six (6) consecutive monthly on-time payments, BCF will credit the Closing Costs to the remaining principal balance of the loan. The Closing Costs Credit will be applied to reduce the principal balance once the sixth (6th) payment is successfully processed by BCF. This credit may shorten the loan term or reduce the final payment, without changing the Borrower’s monthly payment. Overall, this program helps lower the outstanding principal balance, enabling borrowers to repay the loan more quickly and pay less interest over the remaining term.
