Non Profit Loan Schemes - An Advantage to Non Homeowners

2007-03-08 10:33:40

( Financial )



Reports in the past by independent sectors, national coalitions of charities, and some foundations strongly recommend that nonprofit organizations do not provide personal non profit loan packages to their directors or executives. This is because it allows such organizations to comply with the laws and provisions of most countries on such non profit loan systems. The provisions generally prohibit a company from making non profit loan schemes to any of its directors or executives.

If a nonprofit organization decides to acquire a loan package, the said report suggests that the board should be the one to review such loan applications. The process for providing the loan should also be documented, and the value plus terms of the loan be fully disclosed. To guide the board and staff in independent decision-making, the report also states that an organization must have a conflict of interest policy with disclosure. in addition, the policy must be strictly enforced at all times.

Most people have also added that there may be rare occasions where it makes sense for an organization to make a non profit loans to non homeowners so as to provide support in housing issues as part of a recruitment package. In such situations, it's critical for the board to be involved in comparing the package to other similar organizations and determining the most reasonable non profit loans to non homeowners.

Before an organization decides to make a non profit loan, reputable people in the governments of most countries suggests the organization to carefully consider legally responsible non profit loan schemes to offer or obtain.

Thus, by reading through the information above, you gain substantial knowledge in the certain provisions that pertain to non profit loan schemes as imposed by the government departments of most countries. With this, you can accurately compare the non profit loan schemes regarding the aspects of legality and ethical perspective so as to either obtain, or offer, the most appropriate non profit loans for non homeowners.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.