The Indian Loan Guarantee and Insurance Program (ILGP) reduces the risk to lenders who offer loans to American Indian/Alaska Native (AI/AN) tribes and individuals with the financial support of the federal government.
Our Division of Capital Investment (DCI) manages the program and can provide up to a 90 percent loan guarantee for lenders.
Borrowers are not required to complete any government forms to participate in the program.
What You Need
All applicants must complete the Indian Affairs Form RG110 and sign a Loan Guarantee Agreement with ILGP before they can participate. Lenders must also provide standard documentation that is required of all lending institutions.
ILGP also offers interest subsidy payments for certain loans, which is a discretionary payment made to a lender for the benefit of a borrower whose projected or historical earnings are below the industry norm. A lender may request interest subsidy as part of a loan guarantee request.
To be considered for the program, you must submit all required information. If your application is incomplete, we will inform you and provide an explanation of what needs to be completed. You must then resubmit a completed version.
How to Apply
Applicants are required to submit completed proposal application packages via email to the appropriate DCI zone office.Steps
Make an inquiry by contacting the DCI zone office where the borrower’s business is located. Find zone information.
To apply for a loan guarantee, the approved lending institution must sign a Loan Guarantee Agreement and complete Indian Affairs Form RG110. Those required documents should be submitted to their designated DCI zone office along with standard documentation that is mandatory for lending institutions. This will likely include a complete loan application, an independent credit analysis of the borrower’s business and collateral, and a recent, original credit report from a nationally recognized credit bureau, according to requirements established by 25 CFR §103.12.
You’ll receive a confirmation email from us within 5 business days after submitting your application materials.Approval Process
An initial review is conducted by a DCI zone manager.
After passing the initial review, the DCI credit committee conducts its review and determines whether the application will be approved or rejected.
If approved, DCI prepares the Conditions of Approval and Guarantee Certificate, which is submitted to the DCI division chief for final approval.
The signed Conditions of Approval and Guarantee Certificate is then sent to lender.