Organization is committed to empowering Chicagoans with financial needs to achieve their goals by offering loans at 0% interest

CHICAGO, IL – November 3, 2022 – Jewish Free Loan Chicago (JFLC), a non-sectarian, non-profit organization dedicated to empowering Chicagoans of all faiths and backgrounds with financial needs, announced today that it made its first five zero-interest loans to members of the Chicago community. Zero-interest loans are based on a deeply rooted Jewish tradition that sees helping people establish a financially secure future with self-sufficiency and dignity as the highest form of charity.

“I started Jewish Free Loan Chicago because I saw how zero-interest loans were helping low-income individuals and families facing financial emergencies in other cities and realized there was a gap in the Chicagoland area,” said Leah Greenblum, Founder and Executive Director. “We are the only organization of our kind providing zero-interest loans to Chicagoans in need. After opening our doors in September, I am thrilled that we disbursed our first five loans of the year, with a goal of reaching 50 loans in our first year of operation.”

According to the Urban Institute, in 2019, 61% of Chicago families were financially insecure, with less than $2,000 in savings, compared to 52% nationally. The COVID-19 pandemic has only exacerbated the issue. Supporting the individuals and families most at risk of falling into debt will require help from existing social services, as well as new avenues of aid, like the work of JFLC.

“Zero-interest loans are empowerment loans. JFLC allows borrowers who may not be eligible for traditional financial services – and therefore are susceptible to predatory forms of credit – to accept and repay loans with dignity,” said Hilarie Lieb, Professor of Instruction Emerita in Economics at Northwestern University and JFLC Board President. “A JFLC loan will never have fees, penalties, or interest, providing a financially safe and secure option for borrowers.”

JFLC loans can cover a variety of personal expenses that might otherwise put families at financial risk, including auto and home repairs, healthcare needs, education, and even fertility or adoption costs. A JFLC loan can also act as a bridge between jobs to enable a family to pay for basic living expenses.

Loans are awarded with a 20-to-24-month, interest-free monthly repayment schedule. Repaid loans replenish JFLC’s loan pool from which loans are made to future borrowers. This ensures the fund’s permanency and continual impact.

JFLC’s first loans included support for a mother of a special needs child who was in need of auto repairs, a social worker paying for home repairs, a Chicago Public Schools teacher consolidating debt, a service worker getting back on their feet after a medical procedure, and a recent college graduate paying living expenses between jobs.

Applications are open for the program providing funds to Chicagoans in need. To get more information, apply for a loan, or donate, go to jflchicago.org.