What is an IDA?Individual Development Accounts (IDAs) are matched savings accounts that enable low-income families to save and build assets.IDAs encourage savings by matching participant deposits, which then are invested in one of the following assets:
IDAs are offered by community-based organizations, who also provide case management, financial literacy education and asset-specific training needed to purchase and manage personal assets. The match money is available through funding from a variety of agencies, including the federal government, state government and private foundations. Participant savings accounts are hosted by local financial institutions who report the Administrator. IDAs are about more then receiving match money. There are training requirements that will provide the skills to attain and manage assets that participants must follow. Trainings focus on the specific of each asset and provide a forum for participants to develop their skills as homeowners, students, entrepreneurs, homebuyers or employees. Financial Education: Financial education is provided to every VIDA participant, regardless of the asset goal chosen. In these sessions the participant will learn about financial habits and skills for a lifetime of asset-building. From savings and spending to distinguishing between wants and needs, partcipants will learn techniques to improve their financial situtation--no matter what the level. Participants will develop a spending plan or budget for their household and learn importnt information about consumerism, credit cards and predatory lending. Credit repair issues will be addressed. Homeownership Training: The homeownership training is designed to help first-time homebuyers learn the basics about the home buying process. They will not only learn the basics, but will leave the training better prepared to successfully complete the home buying process. Small Business Development Training: The small business development training will provide the skills needed to succeed as a small business owner and it will aid in developing a business plan. A business plan is an essential document that lenders require for receiving an approval of a business related loan. Post-secondary Education Training: The post-secondary education training focuses on accessing post-secondary education and academic planning. The education training will support the participant in achieving educational goals and understanding the career options available after finishing the educational program. Home Rehabilitation/Repair Training: This training is designed to help individuals learn about the processes involved in making their homes accessible, habitable or able to be visited. Individuals will learn about aspects of home rehabilitation or repair, including finding a contractor, bidding and much more. Employment-related equipment, technology or specialized training: This training will support participants in developing an employment plan, as well as explore with them the equipment, technology or training necessary to obtain or maintain employment.
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