$1,000 rent loans available through NORWESCAP Family Loan Program

If you are a working adult living in Northwest New Jersey and need help with rent payments, you may be able to get a special loan through the local community action agency. You can be approved even if you have bad credit.

NORWESCAP is the community action agency serving lower income families in Northwest New Jersey. The nonprofit organization was originally established in 1965 and has served thousands of individuals and families since.

Family Loan Program

One of their most unique programs is the Family Loan Program. This special loan service is a favorable alternative to high-priced payday loans and other stopgap measures often taken by desperate households reeling from a financial crisis. Such predatory loans never solve the problem. Instead, they just make it a much worse situation less than a month later.

The Family Loan Program is a much more workable solution. It does not punish you with huge interest payments. Instead, you can focus on repaying what you borrowed over a manageable period of time.

Unlike other loans, you do not have to have good credit for this program. Your employment of at least 20 hours a week at a job held for at least 6 months is enough to prove that you can be trusted to receive the loan.

Loan for Rent and Security Deposit

Up to $1,000 may be borrowed from NORWESCAP to go towards your rent obligations. Combined with the cash you have on hand, this could help you come up with the necessary funds to pay the rent.

If you are looking to move but cannot come up with the full first month’s rent and security deposit, this $1,000 loan can help make the requirement manageable. Coming up with the equivalent of two months of rent is very difficult for most lower income households. By making the loan available, it helps you pay the necessary amount without having to apply for more pricey security deposit loans. Instead of payday loan interest rates averaging 391%, the Family Loan Program features interest rates of only 6-8% based on your household income level. This is indeed one of the premier security deposit loan programs in New Jersey.

Another use for the funds is helping to cover arrears from your existing lease. If you find yourself unable to cover back rent payments, the loan could be a great way to help you catch up, thereby saving you the cost of late fees and the hassle of eviction.

Other Uses

The Family Loan Program is not limited to just rent assistance. You could also get a loan for a car repair, or for the purchase of a car. You need to be able to show that you need the car for work purposes.

Other uses may be approved if it helps you retain your current job. Childcare or unreimbursed employee expenses are other possible qualifying needs.

Regardless of how you use the loan, you may have up to 2 years to repay it. This can make it very manageable over the long-term, allowing you to avoid any future issues from trying to afford high loan payments.

To apply for rental assistance or other uses from the Family Loan Program, call NORWESCAP at 908-859-1777.