Question

Organizations known as ________ are often a source of funding for lower-income communities. These organizations have a significant role in the economic recovery and some start-up businesses have successfully found sources of capital by going through one of these organizations.

Answer 1

The correct answer is CDIFs (Community Development Financial Institutions)

Step-by-step explanation:

A Community Development Financial Institution (CDFI) is a kind of financial entity that supplies and provides assistance to marginalized and low-income communities. The CDFIs, which are certified by the US Department of the Treasury, may be community banks, credit unions, nonprofit organizations, venture capital funds or funds available for loans. They usually raise the money they lend through scholarships, loans with low interest rates, foundations, government or banks that seek to meet the requirements of the Community Reinvestment Act (known by its acronym in English as CRA). The CDFIs are very community-centered, directing their financing to small businesses, microenterprises, nonprofit organizations, commercial real estate and property as well as access to affordable housing.