The Cleveland Individual Development Account Program has been temporarily postponed. However, we do encourage people to check on this programs status periodically.
Individual Development Accounts (IDAs) are matched savings accounts that enable low and moderate income families in Cuyahoga County to save, build assets, and enter the financial mainstream. IDAs reward the monthly savings of working-poor families who are building towards purchasing an asset - most commonly buying their first home, paying for post-secondary education or job training, or starting a small business. A savings of $750 can be matched 2:1 or more once educational and other program requirements are fulfilled. Match dollars are typically provided by a combination of public and private funds.
IDAs make it possible for low and moderate income families to develop solid money management skills and build the financial assets they need to achieve financial stability. Families that acquire assets are more economically secure, have more options in life, and can pass on status and opportunities to future generations. In addition, these assets have positive social, psychological, and civic effects that are independent of the effects of income.
Participation in the WECO IDA program requires 16 hours of financial education. Classes focus on self assessment, goal setting, debt reduction, budgeting, saving, consumer awareness, understanding investment, and measuring personal growth and commitment. Also required are classes on the specific asset that the participant is planning to acquire, such as homebuyer education or business plan development. Classes are held at a variety of locations throughout Greater Cleveland.
Working through the IDA program typically takes 1-3 years and involves the following:
- Attend orientation: "Introduction to IDAs"
- Actively participate in nine financial education classes over a 4-month period, plus asset-specific training; a total of 16 hours
- Address any existing credit issues
- Identify an asset to achieve: home, small business, education or job training (depending on match sources other assets may apply)
- Deposit a designated amount in an IDA savings account at a participating financial institution
- Make monthly deposits to the account
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)Experienced and committed staff members teach the classes, monitor the accounts, and provide coaching and support throughout the process. Once the savings goal has been met, the participant submits invoices to WECO, which then pays the vendor.
WECO works with many area organizations to create customized IDA programs that serve the specific needs of targeted populations, especially in the area of education.
Please note: WECO's Individual Development Account (IDA) Programs are offered as matching funds are secured through government, business and foundation sources. Please contact WECO at 216-458-0250 to inquire about the availability of the particular IDA program you are interested in.