Game Theory Academy is thrilled to announce a new program for Bay Area youth: Lending Circles.
Through a partnership with Mission Asset Fund, GTA organizes small groups of youth to lend money to each other, in the process practicing saving and financial planning habits. It’s called a social loan, and people across the globe do this where banks are inaccessible. They are known as “Tandas” in Mexico, and “Susus” in West Africa and the Caribbean, and “paluwagan” in the Philippines. Now, Bay Area youth can do this too! Mission Asset Fund has made the traditional practice even more dynamic by incorporating credit reporting so that participants increase their credit scores easily and safely.
Lending Circles provide small zero-interest loans. 6-12 pe
ople come together in-person to form their circle and decide on the amount for their group loan. Each month, participants contribute the same monthly payment of $30-50, and each month a different participant receives the loan. Each person sets their own goal for the money (can be something fun like a birthday splurge or something serious, like books for the semester). In addition, all members of the circle complete a series of financial education webinars, ensuring that participants have more tools available to them during and after the Lending Circle process.
Thanks to MAF’s work, youth in Oakland and people throughout the country can now use Lending Circles to both save money and build their credit!
For more information about GTA’s Lending Circle’s program, please email hayley@gametheoryacademy.org or call 510-858-5068.
Follow Mission Asset Fund on Twitter to learn more about their amazing work and clients. @MAFpajarito