Family Car Loan Program
| Family Car Loan program is a unique program that has been designed with the noble intention of providing financial help to low-income parents who are unable to get loans elsewhere. |
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The objective of this loan is to help the family pay for unexpected expenses without which it would be difficult for them to keep a job or stay in school. Under this program, parents are provided with loans at affordable interest rates for the purpose of purchasing a used car or having the existing car repaired.
Many families have their income affected due to lack of adequate transportation. Their problems are not solved through public transportation. These families need a personal mode of transportation such as car. However, buying a car for these families is nothing but equal to impossible as they are not eligible to get loans due to meager income levels, unstable credit history, lack of assets and no financial security. Crisis situations might arise in their life due to lack of car or frequent car breakdowns that could often end up in losing the job or staying in school. Sometimes, the crisis might even be fatal leading to death of a family member. Once the crisis arises, the situation of the family might get even worse with the family struggling to meet even day-to-day expenses.
With the objective of protecting these families from any such crisis and helping them to become self-sufficient and financially independent, organizations such as CalWORK have initiated such types of programs. Under this loan, a family is provided $3,000 for car purchase and $750 towards car repair. However, the eligibility criteria for such loan is that the parent must be employed for 20 hours a week and for at least 3 months and the child must be pursuing post high-school education.
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