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Program Purpose and Overview Page 1 of 2 En Español | Press Center | Blog | Contact Us Enter Search Advanced Search Home Treasury For... About Resource Center Services Initiatives Careers Connect with Us Home Home » Initiatives » Financial Stability » TARP Programs » TARP Programs » Bank Investment Programs » Community Development Capital Initiative » Program Purpose and Overview About TARP Community Development Capital Initiative TARP Programs Program Purpose and Overview Auto Industry Bank Investment Programs Asset Guarantee Program Supervisory Capital Assessment Program & Capital Assistance Program Capital Purchase Program Community Development Capital Initiative Program Purpose and Many communities that are underserved by traditional banks and financial services providers found it harder to obtain credit as the economy began its downturn. Community Development Financial Institutions (CDFIs) exist to provide financing to these communities. In particular, CDFIs focus on providing financial services to low‐ and moderate‐income, minority, and other underserved communities. Treasury created the Community Development Capital Initiative (CDCI) on February 3, 2010 to help viable certified CDFIs and the communities they serve cope with effects of the financial crisis. Under this program, CDFI banks, thrifts and credit unions received investments of capital with an initial dividend or interest rate of 2 percent, compared to the 5 percent rate offered under the Capital Purchase Program. To encourage repayment while recognizing the unique circumstances facing CDFIs, the dividend rate will increase to 9 percent after eight years, compared to five years under CPP. CDFIs that participated in the CPP and were in good standing were allowed to exchange securities issued under CPP for securities under the more favorable terms of this program. Treasury completed funding through this program in September 2010. The total investment amount for the program was approximately $570 million for 84 institutions. Of this amount, approximately $363.3 million ($355.7 million from principal and $7.6 million from warrants) represented exchanges by 28 banks of investments under the CPP into the CDCI. Overview Program Status Read more about the program status. Targeted Investment Program Last Updated: 7/21/2012 1:41 PM Credit Market Programs Executive Compensation Housing Investment in AIG Reports News Room About OFS Doing Business with OFS Contact Us Initiatives Bureaus Inspector General Sites U.S. Government Shared Services Financial Stability Office of Inspector General (OIG) HR Connect Program Office Housing Finance Reform The Alcohol and Tobacco Tax and Trade Bureau Making Home Affordable Bureau of Engraving & Printing Treasury Inspector General for Tax Administration (TIGTA) Administrative Resource Center (ARC)Bureau of the Public Debt Recovery Bureau of The Public Debt U.S. China Strategic and Economic Dialogue Community Development Financial Institutions Fund Special Inspector General, Troubled Asset Relief Program (SIGTARP) Treasury Direct Services for Governments Wall Street Reform Financial Crimes Enforcement Network (FinCEN) Report, Fraud Waste & Abuse Other Government Sites Financial Management Service Additional Resources USA.gov Internal Revenue Service Small Business Contacts USAJOBS.gov Office of The Comptroller of The Currency Budget and Performance OPM.gov Office of Thrift Supervision TreasuryDirect.gov Securities/Bonds MyMoney.gov Freedom of Information Act (FOIA) Data.gov No FEAR Act Data Forms.gov U.S. Mint Regulations.gov PaymentAccuracy.gov Business.USA.gov http://www.treasury.gov/initiatives/financial-stability/TARP-Programs/bank-investment-pr... 3/15/2013 Program Purpose and Overview Required Plug-ins Adobe® Reader® Page 2 of 2 Privacy Policy |Google Privacy |Site Map |Site Policies and Notices |Accessibility |FAQs |Feedback |Careers |Contact Us http://www.treasury.gov/initiatives/financial-stability/TARP-Programs/bank-investment-pr... 3/15/2013
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