State Treasurer Dan Rutherford Visits Flooded Southern Illinois to Promote Low-Interest Disaster Recovery Loans
As Southern Illinoisans continue to battle flooding, Illinois Treasurer Dan Rutherford is encouraging residents, business owners, and financial institutions to look into disaster recovery loans that are made possible with funding from the treasurer’s office.
Rutherford visited Marion, Cairo, Metropolis, and Shawneetown today to survey the damage and promote the loans. “The sight of all this water, and the damage it’s caused, is stunning,” he said. Rutherford is also asking more financial institutions to partner with his office in offering loans to victims, who need to make repairs and survive the flood’s financial damage. “People whose homes, businesses, vehicles, and other property have been damaged or destroyed desperately need assistance to get back on their feet,” said Rutherford. “I want every flood victim to know what help is available.”
These loans allow home, business and farm owners to secure below-market rates for up to the first five years of a loan. The maximum interest rate is three percent. Loans will be available to help cover immediate costs that will eventually be covered by insurance (bridge loans), and to help cover costs if there is no insurance coverage. Loans can be repaid over a period of up to five years. The interest is low because the treasurer’s office “buys down” the interest rate by depositing money at a discounted rate into an eligible financial institution.
So far, two banks have signed on:
· City National Bank, (618) 524-2161, www.cnb-metropolis.com
· Banterra Bank, (618) 273-9346, www.banterrabank.com.
For more information, or to find an electronic version of the treasurer’s office application, go to www.treasurer.il.gov or call the Disaster Recovery hotline at 866-523-0641.