Individual Development Account

An Individual Development Account, or IDA, is a special matched savings account designed to help families and individuals of modest means establish a pattern of regular saving and, ultimately, purchase a “qualifying asset.” New Opportunities is authorized by the State of Connecticut to help residents of the Greater Waterbury, Meriden and Torrington areas open and manage these accounts.

A “qualifying asset” is something of value that is likely to return substantial long-term benefits to its owner – benefits like security, stability and opportunities for more income. These assets may include

• A first home
• A small business
• Post-secondary education or job-training
• A vehicle if needed for employment
• A deposit on a rental apartment

IDA savings matches are not “giveaways.” Participants earn matches by saving their own hard-earned dollars and taking other steps to prepare for the future, like attending Financial Education classes. Both government and private entities combine to provide match savings dollars as a way to help hard-working low-income families and individuals build a more stable and secure future.

Depending on the specific program, the savings in an IDA can be matched $1 or $2 for every $1 saved by the account holder. There is a maximum amount that can be matched, which can differ with each program.

IDA participants must commit to:

• Making regular savings deposits (the amounts are determined on an individual basis).
• Attending a Financial Education course.
• Participating in monthly Asset Specific Savings Clubs
• Working with a Case Manager on an on-going basis.

The eligibility criteria differ with each program, but there is usually an income eligibility limit as well as an asset limit for entrance into the program. There are also other things New Opportunities will consider when determining a person’s eligibility for the program – like the ability to attend meetings and willingness to save. IDA program staff will meet with applicants to determine if they meet income eligibility.

For more information, call (203) 575-4346 or email manthony-rush [at] newopportunitiesinc [dot] org (subject: IDA Inquiry from Website) .