The low-interest loans are available to residents and business owners living in declared disaster areas in Illinois who are waiting for insurance settlements or other aid programs to take effect. Residents and business owners who do not have adequate insurance coverage can also apply.

To receive the low-interest rate, residents and business owners must secure the loan at a bank or financial institution that participates in the state’s Disaster Recovery linked deposit program. The loan can be up to the costs of repairs and expenses.  The Opportunity Illinois loan application must be filed by the bank on the resident’s behalf within 90 days of a state, federal or local official’s natural disaster declaration.

Amounts and Terms:

• Storm victims with insurance coverage are eligible for low-interest rate loans up to the costs of repairs and expenses with interest-only payments for one year. The loan is designed to be paid off with an insurance settlement or other aid payment within the 12-month term.
• Storm victims without insurance coverage are eligible for low-interest rate loans up to their damage amount with interest-only payments for one year or interest and principal payments for up to five years. A compliance review is required for loans with terms over two years.

Deposit amounts and lengths for those without appropriate insurance:

Amount of Deposit   Length

$0 - $5,000             12 mth (interest only)

$5,001 - $10,000     24 mth (interest + principal)

$10,001 - $25,000   36 mth (interest + principal)

$25,001 - $50,000   48 mth (interest + principal)

$50,001 and up       60 mth (interest + principal)

Interest Rates:

• Interest rates are indexed daily here or you may contact our office at (217) 782-2072. The listed rate is the Treasurer's deposit rate at the participating lender. The lender may not mark up that rate by more than 2.5 percent. Please note the listed rates are posted to give potential borrowers an indication of current rate figures. The final deposit rate is determined on the business day prior to issuing the loan.

Program Eligibility:

• A storm victim's home or business must be in a location declared a disaster area by the Governor of Illinois, President of the United States or local government official.
• The loan application must be filed by a participating lender within 90 days of the disaster declaration.
• The loan must be used to pay the costs of repairs and expenses  related to disaster recovery.

How do I apply?

1. Contact the Treasurer's Disaster Recovery hotline at (866) 523-0641 to confirm you qualify for the program and to receive a list of participating financial institutions.

2. Meet with a loan officer at a participating financial institution and secure loan approval. The financial institution must agree to use the program.

3. After you are approved for a loan, an Application for Deposit must be completed by the financial institution and a Program Application for the Bridge Loan or the Uninsured Loan must be completed by the borrower. The Application for Deposit and the Program Application can be faxed to our Banking Division at (217) 522-1217.

4. If the application is approved and the lender has sufficient collateral, our Banking Division will perform a 24-hour transfer of funds via ACH into the financial institution so that the funds are made available to the borrower.

For more information about the loan possibilities for your family, e-mail Opportunity Illinois at opportunityillinois@treasurer.state.il.us or call the Disaster Recovery hotline at (866) 523-0641. Lenders with questions should call our banking division at (217) 782-2072.

Program History:

Since the program was started in May 1995, the Treasurer's Office has backed more than $48.6 million in low-interest loans to storm victims in Illinois. The Treasurer's Office backed $60,200 in low-interest loans to victims of natural disasters in Mt. Prospect, Elgin and Woodstock in 2007, with the loan amount peaking at $33.4 million in 2005.

Personal Experience:

Philip Gebhart, Village of Jerome

Between 8:20 and 8:30 p.m. on March 12, 2006, the Springfield area was hit by a pair of tornadoes.

Philip Gebhart’s home in the village of Jerome withstood the 120 mph winds, but not the blowing debris.

A neighbor’s roof and a tree crashed into the truck driver’s single-story house, damaging his roof, siding and windows. His insurance company was responsive, but he still came up short.

Gebhart and his bank turned to the Illinois State Treasurer’s Office for a $7,000 low-interest loan to bridge the gap.

“I had to replace siding, windows and the roof, rebuild two porches, and I still had to survive,” he said. “The loan came in very handy. I am fortunate for it.”