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Ways to Work

The Ways to Work Program provides small, short-term, low-interest loans to working, low-to-moderate income families with challenging credit histories. In effect, we provide an alternative to predatory lenders for people with a demonstrated commitment to achieving increased self-sufficiency.

All Ways to Work loans are used to help individuals:

• Stabalize or improve their employment situations
• Increase their financial literacy
• Raise their credit rating
• Heighten their sense of self-esteem
• Obtain a vehicle

All of these bring about a significant improvement in a family's quality of life.

Ways to Work is not an emergency loan program, or a grant program. Approval may take up to 6 weeks, and you are expected and required to repay the loan.

• Borrower Qualifications and Requirements
• Loan Purposes and Limits
• Application and Approval Process

WAYS TO WORK PROGRAM: BORROWER QUALIFICATIONS AND REQUIREMENTS

• Borrower must be of legal age (18) and be an involved parent(s) of at least one dependent child.
• Borrower must live in Linn, Jones, Benton, Iowa, Cedar or Washington county.
• Borrower must have a valid Iowa Drivers License.
• Borrower must have been continuously employed for the last 6 months, or be going to school, above the high school level, at least half-time.
• Borrower must have the capacity (income) to repay the loan (and meet their other expenses).
• Borrower must demonstrate that they cannot obtain a loan through conventional sources due to credit history or status.
• Household income cannot be greater than 80% of area median income, based on geographic location and family size.
• Applicants cannot be filing, or currently be involved in a Chapter 7 or 13 Bankruptcy.
• Borrowers must complete the application process and attend a financial education class offered by Horizons.
• Borrowers must purchase the vehicle from approved dealers.

WAYS TO WORK PROGRAM: LOAN PURPOSES AND LIMITS

• Loans may be used to
  • Purchase a vehicle suitable to transport the borrowers family.
  • Pay for repairs to a vehicle used to transport the borrowers family.
• Loan Limits and terms
  • $4,000 maximum to purchase a vehicle
  • $800 maximum for other purposes
  • 24 month loan term
  • 8% interest

WAYS TO WORK PROGRAM: APPLICATION AND APPROVAL PROCESS

• Application
  • Contact us to determine eligibility
  • Complete Financial Information Forms and bring to appointment with Ways to Work Loan Coordinator
  • Complete Budget Counseling and Credit Review Process
  • Complete other documents as required
• Approval Process (purchase of vehicle)
  • Once the application process is complete, the loan request will be taken to an anonymous loan committee, made up of members of the community. The applicant remains anonymous to the committee, and their case is presented by the Ways to Work Loan Coordinator.
  • If approved, the applicant will locate a vehicle appropriate for the size of the family, and acceptable to the loan coordinator, from an approved auto dealer.
  • The applicant will have the vehicle inspected for major mechanical defects.
  • Once the vehicle has been approved, and the applicant has shown proof of insurance, the loan will be closed, and funds disbursed to the dealer.
  • A lien will be placed on the vehicle by Ways to Work, Inc., and by Horizons.
  • The borrower’s payment history will be reported to the three major credit reporting services. If payments are made on time, the payment history should help improve the borrower’s credit history and score.