NCF - Helping Moderate and Low-Income Families

Posted: June 13, 2018


The road leading to home ownership just got harder; according to new data from the Consumer Financial Protection Bureau, banks are moving away from lending to moderate and low-income borrowers – especially borrowers of color.  This is most troubling for hard working families trying to achieve the American Dream; in 2017, low and moderate-income borrowers only made up 26.3% of the housing market - down from 36.6% in 2009.  Because banks have nearly abandoned using mortgage loan products that favor working-class borrowers, buying a home is increasingly difficult, more expensive, or impossible for the nation’s working class.  This is just one of many facts confirming the growing segment of society (low and moderate-income) being shut out of wealth building opportunities.

Other contributing factors include;

  • Unforeseen activities that negatively affect the borrower’s ability to repay debt.

  • Tight mortgage lending requirements make it difficult for people who live in urban areas to get a home (4 out of 5 people live in an urban area in the USA).

  • Creditworthiness – FICO credit scoring system

  • 26 million Americans are “credit invisible”.

  • 19 million Americans have no credit score.

  • Borrowers to establish a line of credit (LOC) or debt instrument to get a credit score.

Despite all the gloom – NCF HAS GOOD NEWS!


NCF’s COLA lending model DOES NOT use a credit score!  Yes, you read it correctly – with us, there’s no need to review credit history or track credit reports, all underwriting is based on two simple criteria’s;

  • Debt to income ratio, and

  • Income stability


If a potential borrower has stable income; and their debt-to-income ratio meet our guidelines, we can grant a loan – it’s just that simple!

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