Asset Recovery Kit - The PenFed Foundation

PenFed Foundation
Asset
Recovery Kit
(ARK)
The ARK program has helped nearly 4,500
military families with over $2.5 million worth
of emergency loans and financial counseling.
A
sset Recovery Kit (ARK) is a branchbased, low-cost alternative to predatory
lending. A participating credit union can offer its military members interest-free loan
and financial counseling to meet the immediate need and provide them tools for long-term
success.
It offers interest-free, short-term advances
to active duty, reserve, and national guard
military personnel with emergency cash
needs.
Borrowers pay only a $5 fee with absolutely no interest for immediate cash advances
of up to $500 (or 80% of net pay).
PenFed Foundation guarantees and reimburses all losses to participating credit
unions.
The service member can receive three advances in a six-month period. Importantly,
he or she is required to receive financial
counseling before each subsequent cash
advance.
Join ARK
TODAY
Call 703-838-1335
or visit us online at
PenFedFoundation.org
The program is offered to all credit unions
free of charge and branded with the name
and logo of the partner credit union.
This product competes directly with predatory lenders by offering an efficient loan
process; the application is an easy-to-complete single sheet with no credit report.
debt continues to pile up. A Center for Responsible Lending study estimates the average payday loan borrower repays $834 for an
intial $339 advance.
Predatory lenders target the military because
the challenges of military life create financial
stresses while the stability of a government
salary means the lenders have less risk in rePredatory loans threaten the financial secu- couping the loan. Ultimately, these predatory
rity of countless Americans. They are quick practices affect our Armed Forces as proband easy to obtain,
lems with debt hinder
and the high cost
“ARK is a real, honest business readiness and produccan have long-term
tivity among service
negative effects on a partnership with the PenFed
members.
borrower’s credit.
Foundation. It’s simply the right With over $2.5 milPredatory loan fees thing to do for your members.”
lion in advances given
range from $10 to
to nearly 4,500 indi$35 per $100 bor-David Elliot viduals and families,
rowed, the equivaARK is a proven sucPresident & CEO, cess in stopping the
lent of 182% - 910%
Fort Bragg Federal Credit Union predatory practices of
APR. Although intended to be shortpayday lenders within
term, the reality is that the average payday the military community. Your credit union
customer secures multiple loans each year. can offer this valuable program to support
This causes him or her to fall further behind your members.
each time the loan is rolled over and their
Join ARK today and give back to your members, our nation’s brave warriors, by helping
them achieve the financial security and education they deserve.
PenFed Foundation
ARK is a no-hassle,
no-risk program for your credit union.
 ARK is a proven program. PenFed Foundation shares the procedures and forms for ARK,
trains your branch, loan and collection staff and pays for marketing materials and ad
placements branded with your credit union’s name and logo.
 ARK is free to your credit union. The fee will help cover your overhead costs so you don’t
have to stretch your budget to offer a solution to this underserved community.
 PenFed Foundation guarantees you against any losses from ARK; you can help solve the
problem of predatory lending while remaining safe and sound.
 Your members will increase their financial literacy with free money management training
to help them prevent debt and credit crisis.
 You can increase your standing in the community by offering your members a solution to
the typical high-interest preditory loans targeted at those who can least afford them.
Asset
Recovery Kit
(ARK)
Helping Our
Nation’s Defenders
Mitchell never had trouble paying his bills
on time until his car broke down just as his
monthly bills were due. He needed $500
to repair his car, but he simply didn’t have
enough money to cover everything. So he
turned to ARK for help. “I went in and five
minutes later my problems were solved. It
was a good deal. It saved me a lot of heartache too.” Mitchell was able to keep his
life on track and stay out of debt because
ARK provided him with an interest-free loan
when he needed it the most.



Alicia carried a lot of weight on her shoulders serving for her country. Dealing with
financial burden only made the weight
heavier. She looked to ARK for help and
discovered a new feeling of relief. Relief
from knowing that she could lift the financial burden from her shoulders and take
control of the future. “The ARK loan took
the powerless feeling away from me. The
ARK loan is the easiest, most comfortable
experience you will ever go through when
it comes to borrowing money.”
Join ARK
TODAY
Call 703-838-1335
or visit us online at
PenFedFoundation.org
The PenFed Foundation is an independent
501(c)(3) public charity working to meet the
unmet needs of military personnel and their
families. All losses are guaranteed and repaid
to participating credit unions as a philanthropic effort to support those who sacrifice
so much for our country.