T Providing A PATH IBA-MEMBER BANK USING ITIN MORTGAGE LOANS TO REACH ITS LOCAL INTERNATIONAL POPULATION BY JOSH FLYNN, PHAROS-TRIBUNE Three years into their Individual Taxpayer Identification Number Loan Program, Security Federal Savings Bank, Logansport, has found nothing but success in their efforts to assist the international community in their service area. The program helps residents who do not have a social security number, including undocumented immigrants, but have an individual taxpayer identification number. Security Federal Savings Bank, with seven banking centers across Logansport, Kokomo, Delphi, Lafayette and West Lafayette, created the mortgage loan program to help residents become homeowners. Since 2021, approximately 80 residents have received a loan. The bank has never had a late payment, according to Bryan Martinez, the bank’s loan originator at its Logansport home office. The success of the home mortgage program led bank leaders to expand it to also cover a home equity line of credit option, loans for investment properties and lower down payments. “It’s been extremely successful, and we have been able to help a lot of people who were in a position which they didn’t feel they were prepared or financially ready to purchase a home,” said Annette Russell, bank president and CEO, and a former chair of the Indiana Bankers Association. The program originated when bankers discovered the Hispanic population had grown by 40% in both Cass and Tippecanoe counties over the past decade. There was general frustration among the Hispanic populace about being ineligible for a loan. The bank realized that much of the Hispanic community’s money was going toward rent, and they were not building equity or achieving home ownership. “We are not all equal as far as status is concerned,” Russell said. “We knew it was important that these individuals were contributing members of our community and had a desire to stay for employment, for educational purposes and they were also small business owners in our community, so they have really embraced living in our community. They’ve become engaged in our community. We felt it was important to modify our product base to afford them the same opportunities as everyone else.” Those seeking a loan must provide a valid form of identification other than a driver’s license, a documented source of income, proof of employment and proof of credit. Alternative sources of credit can be used to help those who have not yet established a credit history, including something purchased on a contract or even a Netflix membership — anything that shows the applicant can make a monthly payment. DIVERSITY, EQUITY & INCLUSION Bryan Martinez, left, of Security Federal Savings Bank poses for a photo with Renee Salinas, who took advantage of the bank’s ITIN loan program. Russell 16 HOOSIERBANKER
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