The Indian Island Impact Study: Four Directions has recently completed a formal study to evaluate the impact of FDDC programs and services on Indian Island. The study and report were conducted with Taylor Policy Group and the project underwriting was generously supported by Cushman Anthony, the John T. Gorman Foundation, Key Bank, the Maine Community Foundation, Maine Initiatives, the Philadelphia Yearly Meeting of the Religious Society of Quakers.
Electronic copies of the full report and executive summary may be found here:
- [Full Report] New Paths Home: The Impact of Four Directions Development Corporation on Indian Island, Maine
- [Executive Summary] New Paths Home
In part, the impact study provides evidence that FDDC has helped residents of Indian Island to achieve the following:
1. Access financial capital: Four Directions lends to qualified borrowers and helps them save money through the lending process. It also raises awareness off-Island about the possibilities for lending on-Island, improves Penobscots’ attractiveness to outside lenders, and refers Penobscot citizens to off-reservation banks when it would suit the clients’ needs well.
2. Accumulate assets: Through Four Directions’ efforts, citizens are able to qualify for mortgages and build home equity (by obtaining mortgages and paying them down and by investing in rehabilitation). They also are able to budget better and save more (through fixed interest rates and lower home operating costs).
3. Develop human capital: Through engagement with Four Directions, citizens increase their financial literacy, gain budgeting skills, improve saving habits, and raise their credit scores.
4. Build community: Four Directions home loans enable return migration and help resolve family housing constraints.
Native American Lending In Maine: This brief article provides an overview of Four Directions Development Corporation’s history and how the organization serves as a good example of how a Community Development Financial Institution (CDFI) can adapt to unique circumstances and fill unmet needs.
This article was written by John Moore, the Senior Vice President of Community Development Lending at Bangor Savings Bank and a long-time Four Directions Board Member.