May 17, 2013
First Interstate Bank has partnered with Bank2, located in Oklahoma, to provide affordable housing loans to Native American customers.
Available through the U.S. Department of Housing and Urban Development (HUD), the Section 184 Indian Home Loan Guarantee Program provides home mortgages specifically designed for American Indian and Alaska Native families, Alaska Villages, Tribes, or Tribally Designated Housing Entities (TDHEs). As a 100% tribally-owned financial institution, Bank2 has specialized in the Native American lending landscape for years. “First Interstate will be referring all Section 184 prospects to Bank2 in an effort to provide the best service possible to our Native American customers,” explained Johnnie McClusky, First Interstate’s Community Development Officer. “This is all part of our commitment to the communities we serve.”
The purpose of Section 184 is to increase Native peoples’ access to financing. Section 184 loans can be used, both on and off native lands, for new construction, rehabilitation, or purchase of an existing home. Section 184 loans offer a low down payment and competitive interest rates. In addition, monthly mortgage insurance is not required. According to HUD, the Section 184 program has guaranteed over 12,000 loans to individuals, tribes, and TDHEs.
Customers interested in obtaining a Section 184 loan should contact their local First Interstate Bank branch; local bank representatives will then refer the customer to Bank2 as appropriate.