OFN Member Marla Bilonick, executive director of the Latino Economic Development Center, was interviewed by American Banker about the potential dangers that arise when small businesses combine personal and business finance.
The news coverage comes about because of a recent announcement from TD Bank about a new $3 million initiative to partner with the National Foundation for Credit Counseling to provide credit counseling to as many as 10,000 small businesses. John Reosti of American Banker reports, “The project aims to help small business owners better manage their personal credit and to show them the risks of using consumer credit to finance their operations. One objective is to convince more entrepreneurs to replace consumer-oriented credit, such as credit cards and home-equity lines, with commercial loans.”
Over the long term, TD Bank is aiming to create more cooperation among commercial banks, credit counselors, CDFIs and groups like the Small Business Administration’s SCORE program.
““I’m all for it,” said Bilonick.”
Read the full article here.