The Car Ownership Program helps working people purchase cars through a loan program. Community Action provides a low interest loan up to $4,000 for people to purchase a car and guide them through the car buying process.
Applications are limited to people who do not qualify for a car loan at a reasonable interest rate due to a lack of credit history, limited income, or short employment history. Applicants are required to go through an interview process which involves a credit and budget review.
All applicants must meet the following requirements to be eligible for a car loan*:
- Live in Ramsey or Washington County
- Have a continuous work history of 6+ months at a minimum of 20 hours per week
- Provide recent documentation of monthly income
- Have a valid Minnesota driver’s license
- Be an adult age 18 or older
- Ability to provide proof of “full coverage insurance” prior to loan closing
- Have an annual gross salary equal to or less than stated income guidelines based on household size 200% of the federal poverty guidelines
All applicants are required to complete a loan application, meet with a program coordinator, and attend financial literacy classes in order to be considered for a car loan.
* Meeting eligibility requirements does not guarantee a car loan.
The following guidelines must be followed when purchasing a car**
- No SUVs, 4 wheel drive vehicles, or luxury cars.
- Car must have less than 140,000 miles.
- Car must be under 12 years old.
- No 8 cylinder engines.
**All vehicles must pass a comprehensive vehicle safety inspection prior to purchase.
2016 Income Guidelines
200% of Federal Poverty Level
|* Add $4,160 for each additional person|
For more information or to pre-qualify, please call 651-603-5880.