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Department
of Human Services Families
First Online Policy Manual Individual Development Account |
Revised: |
18.3 |
ELIGIBILITY TO RECEIVE MATCHING CONTRIBUTIONS |
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The money that the participant deposits
into the savings account is eligible for a match from a local bank, church,
or other donors that contribute through TNCED or through the sponsoring PIC. The
matching fund amount, plus the interest earned on that amount is documented
for each IDA participant by TNCED or the sponsoring PIC, on a quarterly
basis. An IDA Saver will not have
access to the matching funds unless a withdrawal is authorized for a qualified
purpose. Even for a withdrawal for a
qualified purpose, the matching funds go directly to the vendor. The matching institutions and rates may
vary by county and by the non-profit sponsor.
However, the match rates are, at a minimum, 1:1 and, at a maximum,
9:1. The matching funds are available for those account holders who: ·
Attend the
twice monthly meetings. ·
Deposit the
agreed upon amount (as decided by the participant and the non-profit sponsor)
into their account twice a month. The
deposit must be at least the minimum of the amount agreed upon, but may be a
greater amount. If the deposit is a
greater amount, the funds will not be matched unless a Deposit Change form
has been signed by the designated non-profit sponsor staff member or the
sponsoring PIC. ·
Are
currently employed. Once an IDA holder
secures employment, deposits to the account begin to be matched
immediately. For the period of time
that a participant is unemployed, deposits will not be matched. ·
The amount
of match funds that a participant has in their IDA will be posted quarterly
by TNCED or the sponsoring PIC. At the
time of a qualified purchase the match funds are paid directly to the vendor,
not the participant. ·
Funds that
are withdrawn for unqualified purposes are not eligible for a match. |
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