The government is battling various socio-economic maladies to pull back the sinking economy from the brink of insolvency. There are several initiatives taken by the government to bailout a big chunk of its population from bankruptcy and foreclosures. Though there are innumerous debts relief programs like debt settlement, debt consolidation and so on, yet these do not completely resolve the debt problems faced by the people.
This is why the government had to step in to control the debt menace from devouring its entire financial system. Debtors who want to take advantage of the government assisted debt relief grants will have to abide by certain rules so that their applications are accepted.
Here are some of the most prominent debt relief grants awarded by the government to the financially feeble:
- ARRA or EDA Recovery Act Funding – ARRA is the abbreviation of American Reinvestment and Recovery Act of 2009. It is a kind of financing that caters to individuals and groups of people who are suffering from any sort of financial insecurity. For instance, large scale laid offs by companies during economic crisis in order to save themselves from bankruptcy. Federal grants are generally looked after by competent grant writers. These writers are found associated with non-profit organizations. The job of a grant writer is to get the finances for the debtors.
- American Recovery Act – This is the parent relief program of the above discussed EDA Recovery Act Funding. This program was formally passed by the Obama government in the year of February 2009. It is a $700 billion mass relief fund that the Congress pledged, to provide assistance to the debtors. These funds are primarily given to non-profit organizations. However, the relief program also has the provision to help debtors individually. The fund aims to provide living expenses to unemployed debtors till they get a job and make debt payments.
- Relief to senior citizens – The government came up with a debt relief program that is meant for a small section of the society. These are aged and marginalized people who are not financially well off and have various debt obligations. Aged people who are finding it difficult to make loan payments can approach advocacy groups for help. Advocacy groups are a team of professionals who can help these people in filing their grant application properly. Moreover, reputation of an organization also matters a lot to get the application approved.
- Minority Business Enterprise Center or MBEC – It is also a type of federal fund that has been built to save sinking businesses and private undertakings. It is an indirect means to save businesses. The grant does not make any debt payment on behalf of the debtor but the fund provides assistance to keep the business afloat. A person may also get this type of funding to discharge his/her financial duties. The aim of this government grant is to encourage investments in research and development that will keep the business rolling.
The Obama government is trying to improve its debt relief programs and provide more financial security to the people. There many more such programs that are being drafted to ease people’s lives and save the economy from another financial crisis.
This is a guest post by Kevin Craig who is a financial writer for various finance related communities. He has helped lot of debt burdened people with free counselling on debt consolidation as well as debt settlement programs. With his advice many are now living a debt free life. You can reach him at: kevin.craig672(at)gmail(dot)