ECDC Enterprise Development Group is a VIDA intermediary, a program of Virginia Department of Housing and Community Development. We would like to introduce to you a called Virginia Individual Development Account (VIDA). Please review the information below and contact Emmanuel at ECDC EDG at 703-685-0510 Ext 240 if you are eligible and would like to apply.
What are VIDAs?
Virginia Individual Development Accounts are a great way for individual and families having a child under 18 years old and TANF eligible clients to save money and invest in their future by buying a first home, paying for education or starting or expanding a small business. By combining financial education with a matched savings account, VIDAs help families and single parents set financial goals, develop regular saving habits, and attain assets.
Why does the VIDA program emphasize assets?
Assets are anything that a person owns that has monetary value. There are some assets that depreciate or lower in value over time (like a car) and there are others that increase in value (like a house). The VIDA program is focused on helping people eligible purchase homes, advance their education or career, or invest in a business because these are the types of assets that increase in value over time and help families build wealth and achieve economic security.
How do VIDA work?
A Virginia Individual Development Account is a special savings account opened in a Participant’s name and DHCD’s name in Wachovia or BB&T local banks. Participating clients are required to attend at least 8 hours of money management training and make regular deposits into their VIDA for a period of at least six months and no longer than two years. When they reach their savings goal and are ready to invest their money, DHCD will match up to $2,000 at a rate of 2:1. That means that you and your spouse can put $6,000 total towards a qualified asset purchase – the $2,000 that you save and the $4,000 you earn through the VIDA Program.
Where do the VIDA matching funds come from?
The State of Virginia through the Department of Housing and Community Development and the Department of Social Services made this money available to promote assets building in low-income families and individuals..
Qualifying couples…
Earn no more than $26,400 a year for a single mom with one child.
Earn no more than $33,200 a year for a husband, wife and one child
Earn no more than $40,000 a year for a husband, wife and two children
Earn no more than $46,800 a year for a husband, wife and three children.
Add $6,800 for any additional child.
Must be Virginia residents
Must have at least a child who is less than 18 years old.
Must attend money management training and additional training or counseling sessions that are specific to their chosen asset goal (for example, homebuyer training, small business training, college and career counseling)
I’m ready to do this. What do I do next?
Call Emmanuel at 703-685-0510 Ext. 240 to schedule a VIDA orientation session.
Complete and submit a VIDA application with all the required documentation with $50 application fee.
When approved, pay a $25 money order to open your account.
Virginia