Illinois State Treasurer Dan Rutherford Encouraging Use of Low-Interest Loan Program for Flood Victims
Matt Butterfield | Office of Illinois Treasurer Dan Rutherford|Thursday, May 5, 2011
Illinois State Treasurer Dan Rutherford is reminding Southern Illinois citizens about aide available to them from the treasurer’s Disaster Recovery linked deposit program.
The Disaster Recovery program helps residents, businesses and farmers obtain low-interest loans to recover from weather-related damage to their property. After a loan is approved, the state makes a deposit into the financial institution which helps lower the interest rate to the borrower, effectively making repairs more affordable. The program caps the interest rate at three percent for qualified borrowers at participating financial institutions.
“My heart goes out to all the people who have suffered loss in these floods. I want communities to be aware of this unique assistance that the Illinois State Treasurer’s Office is ready to provide,” said Rutherford. “The partnership we have established with Illinois financial institutions makes loans more affordable and can hopefully help return some normalcy to peoples’ lives more quickly.”
Flood victims who expect insurance to eventually cover their costs can use the Disaster Recovery program as a “bridge loan” for one year until their reimbursement arrives; those who sustain damage on uninsured property are allowed up to five years to repay their loans.
While other financial institutions are expected to join in the coming days, two banks in the flood-damaged areas have confirmed their partnership with the State Treasurer’s Office at this point;
City National Bank, (618) 524-2161, www.cnb-metropolis.com
Banterra Bank, (618) 524-9316, www.banterrabank.com
For additional information, flooding victims are encouraged to call the treasurer’s Disaster Recovery hotline at 866-523-0641 or visit www.treasurer.il.gov and click the Disaster Recovery link on the front page.
