A Family Development Account or “FDA” is a savings account that makes a difference and can help in a time you need it most. For every dollar you save, the FDA Coalition matches it with four additional dollars, so your savings add up quick. You deposit $5 in your savings account, you earn $20 in match funds, for a total of $25.
The FDA program can help you save money to reach a number of goals such as:
FDAs can be used to save to start or expand a small business. Funds can be used for the purchase of business equipment, inventory, marketing, and other start-up costs.
Home Buying and Repairs
If you’re looking for your first home purchase, you can use an FDA to purchase or construct a primary residence. You can also use an FDA to repair a home that is or will be the person’s principal residence.
Car Repair and Purchase
Funds may be used for the purchase or repair of a vehicle used for transportation to work or to attend education or training.
FDAs can also be used to create an emergency savings fund to pay for urgent expenses that may cause the loss of shelter, employment, or other basic necessities.
- Earned income from a job or self-employment
- Social security, disability, and/or child support does NOT count as earned income
- Below 200% of the federal poverty line
- A minor child in the home for the home repair, vehicle purchase/repair, and emergency FDAs
MaineStream Finance/Penquis is the administrative body for the statewide Family Development Account (FDA) program and the FDA Coalition involving 9 partners that cover the entire state. We work with 19 local banks and credit unions in servicing these matched savings accounts.
Need more information? Contact Rebecca Grant at 207-974-2459