NCUF Innovation Grant Application Tutorial |
 Section 1 – About the NCUF Grant ProgramThe Foundation’s grants build stronger communities and empower consumers by enabling not-for-profit, member-owned credit unions to serve more people with low wealth and modest means. Consistent with the goals of NCUF's signature program, REAL Solutions™, Innovation Grants help credit union members reach life-changing goals through innovative services in the following five areas:
Financial Education
Innovation Grants support innovative programs that help people become educated consumers of financial services. These include credit unions participating in national financial education programs such as Biz Kid$, the National Endowment for Financial Education, Junior Achievement, or other initiatives consistent with the financial education components of REAL Solutions™.
Transaction Services
Grants support affordable check-cashing, fee-free checking, money orders, remittances, tax preparation and other innovative services to attract underserved consumers.
Savings
Grants can support innovative credit union programs and services that promote savings awareness, such as low membership fees, safe accounts for new immigrants, and assistance to low-wealth members on establishing long-term savings.
Credit
Grants can help credit unions provide innovative payday loan alternatives, used car loans to help low-wealth members reach better jobs or attend class at higher education institutions.
Homeownership
Grants can support credit unions offering Home Loan Payment Relief (HLPR) mortgages, homeownership counseling, foreclosure prevention, sub-prime mortgage refinancing, and other services for low-to-moderate income homebuyers.
Click here for the Grant Application form.
Click here for general guidelines including eligibility, review criteria, and the application review process.
The FAQ section of this tutorial contains answers to many of the questions that have arisen in the past. |
Section 2 – Important Application InformationWhen is the deadline?
The NCUF Innovation Grant deadline is set during the first half of each year. The 2008 deadline is June 30.
Who can apply?
Credit unions, state credit union leagues, state credit union foundations, and other related organizations that work in a significant way with credit unions. The Foundation will not fund projects that do not involve credit unions.
When will we know if our grant application is approved?
If the grant request is up to $100,000, notification will be sent on September 30. If the grant request is over $100,000, notification will be sent after NCUF Board meets in the fall.
When can projects take place?
Projects can take place beginning January 1, 2009 provided that a Grant Agreement from NCUF has been signed and submitted. The grant period will be one year in length, concluding on December 31, 2009.
How much are the grants?
The grant amounts will be determined based on the grant request, the project budget, additional funds leveraged for the project, and other factors, such as the quality of the application and the availability of funds. There are no minimum or maximum grant amounts; grant requests will be evaluated based on the reasonableness of the project budget (i.e., don't inflate the project budget). Grants usually range from $5,000 to $100,000 with an average grant amount in the $35,000 to $50,000 range.
Is there a match requirement?
No, however, the Foundation expects applicants to secure additional funding from other sources and will look more favorably upon applications that demonstrate a commitment to bring other funding partners to the project. |
Section 3 – Types of Projects SupportedYou may already have a project in mind for which you will request funding. Remember that the Foundation funds projects that fall into the following five categories and emphasizes those that enable credit unions to serve people of modest means:
Financial Education
Transaction Services
Savings
Credit
Homeownership
To see descriptions from previously successful applications, click on the following links:
Descriptions of Current Grants
Success Stories
Projects of various kinds are listed. You may find a project similar to your own, or you may discover that you have a unique idea. |
Section 4 - Measuring SuccessIn Section 4 of the grant application, we ask you to develop project goals and ways to measure success with your project. This is a very important part of your application, so please take the time to create measures that are quantifiable.
If your project receives funding, these success measures will become a part of the Grant Agreement with the Foundation. In essence, this will serve as the contract that outlines the terms and conditions of your grant.
We will ask you to report on your progress toward your goals and we will monitor your efforts accordingly. Failure to file reports could jeopardize your grant funding, which would be paid in three installments. |
Section 5 – PartnershipsIn Section 5 of the grant application, we request information on your project partners. The Foundation encourages applicants to collaborate with other organizations, such as other credit unions, community groups, agencies, schools, and funders. Partnerships can enrich the scope of a project, attract additional resources and expertise, and “ground” a project in the community.
Think creatively about other organizations that can work with you to carry out your project. In addition to bringing resources and staff to a project, they may be able to help you promote the project, reach a target population, or add a new component that would enhance the project.
Work with your partners as you plan the project so they can become an integral part of the process. Include letters of support from them in your application to reinforce their role in the project. |
Section 6 – Leveraged FundsIn Section 6 of the application, we ask you to provide a list of organizations that are contributing funds to your project as well as the amount of their funding.
It is important to attract additional funds to your project. Not only will this bring you the necessary resources to implement your project, but it will also offer you the chance to establish relationships with other funders and partners, which can help you to sustain the project after the Foundation’s grant has concluded.
The Foundation looks favorably on projects that demonstrate a range of funding sources. |
Section 7 – Project SustainabilityThe Foundation views its funding as a strategic investment in important projects that help credit unions make a real impact in their communities. This can help you attract other funding, secure project partners, and get your project underway.
At the same time, we believe that it is important for you to have a plan to keep your project in force once the Foundation’s grant period has concluded. Our funding should be pivotal, but not the sole source of support for your project over the long term. |
Section 8 – Project BudgetYour project budget should include income as well as expenses.
On the income side, include your grant request as one of the items. Also include the other funding that you will leverage, as well as your own funds to complete the income side of the budget.
On the expense side, include costs for all the pertinent items of your project. If necessary, make a realistic estimate of your costs. Wherever possible, place an asterisk next to line items that would be funded by the proposed Foundation grant.
Make sure that Total Income equals Total Expenses. Check your calculations to verify that they are accurate. |
Section 9 – Frequently Asked Questions (FAQs)
Q. Can we apply for a project that is already in place?
A. Yes, but it must meet all the criteria in order to qualify for a grant.
Q. Can we apply for a project that has received funding from the Foundation in the past?
A. Yes, however, the Foundation expects grantees to seek other funding for projects so that they don’t become dependent on the Foundation’s grants. If the project has received funding before, the new application should indicate that the project has grown or somehow evolved to warrant a continued investment by the Foundation.
Q. If we don’t have funding from our league and/or state credit union foundation, are we still eligible to apply to the Foundation?
A. Yes, however, it strengthens your chances to have league and/or state foundation support.
Q. Can we apply for a grant to upgrade our equipment?
A. Innovation Grants focus more on innovative products and services rather than infrastructure. To upgrade or purchase equipment, ask the National Credit Union Administration (NCUA) if you are eligible to apply for a grant from their Office of Small Credit Union Initiatives.
Q. Can we apply for a grant to hire new staff?
A. Applicants are generally discouraged from applying for funding to hire new staff unless the application includes a plan to sustain the new position after the grant period has ended. The Foundation does not support requests to hire new staff for organizations that are not credit unions.
Q. Can we apply for matching funds for Individual Development Accounts (IDAs)?
A. In general, the Foundation does not grant its own funds to be deposited into the accounts of individual credit union members, such as matching funds for IDAs.
Q. What do you mean by project partners?
A. Please see Section 5 above.
Q. What do you mean by leveraged funds?
A. Please see Section 6 above.
Q. What can the grant funds be used for?
A. Grant funds are to support the innovative products and services of credit unions, credit union leagues, credit union foundations, or related organizations that work in a significant way with credit unions. Grant projects must achieve at least one of the Foundation's five grant-making objectives: financial education, transaction services, savings, credit, and homeownership.
Q. What if my project budget shows a deficit or surplus when I add it up?
A. When preparing your project budget, your Total Income should equal your Total Expenses. There should not be a deficit or surplus indicated in your budget. Be sure to include your grant request on the income side of the budget.
Q. Our project is a multi-year project. Can we apply for funding for more than one year?
A. In the past the Foundation supported multi-year projects. However, with limited Community Investment Funds and a competitive applicant pool, that is not likely for the foreseeable future. While you may apply for a multi-year grant, you should not assume that, if funded, you will receive funding for more than one year. You should prepare for the possibility that you might receive a one-year grant to get your project started, and that your work with project partners and the leveraged funds you bring to the project will allow you to build commitments that will sustain the project beyond the period of the Foundation grant.
Q. We already have a grant from the Foundation that is still in force. Can we apply for another project?
A. This is not generally encouraged, as the Foundation prefers to use its resources to jump-start new grantees. Organizations that have a current Innovation Grant should not apply for another grant in consecutive cycles unless they have submitted a Progress Report to demonstrate that they are fully meeting their success measures.
Q. We were turned down by the Foundation last year. Will this affect our chances to get funding this time?
A. Not necessarily. The Foundation looks at each application on its own merits. That being said, if you were turned down for funding for the same project in the past, it would help you to seek feedback from Foundation staff about the reasons your application was denied for funding and ask for suggestions that might improve your chances in the next round.
Do we need to be participating in REAL Solutions™ to be eligible to apply?
A. No. Only the types of programs funded through Innovation Grants are aligned with the Foundation's signature program, REAL Solutions™. Even if you are not currently participating in REAL Solutions™, we encourage you to apply for a grant to support programs that will achieve similar life-changing goals for credit union members with low wealth and modest means. |
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