I need security deposit and first month rent in Brooklyn, NY

(Request from Sareen in Brooklyn, New York) I need to get money to pay security deposit and first month rent this site is not telling me how to do this Please help! I am in the Bronx ny (bronx county) moving to Brooklyn ny  (Kings county) need help with security and 1st month rent

Dear Sareen,

There are a couple of options for obtaining money for security deposit and first month rent in Brooklyn. Your actual options will depend heavily on your household income, credit rating and whether or not you have experienced any recent financial hardships. Here are the options.

Rental Assistance Loan

If you have steady income and reasonable credit, then you could easily borrow the money you need to complete the move. Personal loans for a couple of thousand dollars can often be obtained from local banks or credit unions, thereby giving you the immediate cash you need to satisfy the move-in requirements of your new landlord.

Borrowing money may not seem like an appealing option, but sometimes it is a worthwhile consideration if it allows you to come up with the cash necessary to make a much-needed move. While you might pay a few hundred bucks in interest over the next 1-2 years, how much would you save in transportation costs or lower rent if you moved to a new place that better met the changing needs of your household?

Our advice is to skip the predatory loan outlets that are frequented by poor borrowers that have damaged credit. Even consumer finance companies can charge too much. Instead apply through your bank or a credit union after you have compared at least a few different loan offers.

For example, Brooklyn Cooperative Credit Union allows local residents to become a member with a monthly membership fee of just $1. We saw loans of $400 to $10,000 with interest rates of just 12% APR. There is a 20% security deposit required, so you would still need to put up partial collateral. Still it is a great way to turn $500 in your bank account into a $2,500 loan. Call Brooklyn Cooperative Credit Union at 718-418-8232 for more information about loans for rent, security deposit and other moving costs.

Bay Ridge Federal Credit Union offers personal loans that start at 8.95% APR (at press time) and depend on your credit rating. Membership is open to employees of certain employers, or to Community Districts 7, 10, 11, 13 and 15. Call 718-680-2121 to see if you qualify for membership.

People’s Alliance Federal Credit Union recently expanded membership to Brooklyn residents or workers. This means that you could take advantage of personal loan rates starting around 10% APR, which is substantially less than you would pay at most for-profit loan companies. Call 631-434-3500 to speak with a membership representative or loan officer at People’s Alliance Federal Credit Union.

Rental Assistance Grants

Brooklyn rental assistance grants can be obtained by certain households that meet the eligibility requirement of the program that distributes emergency housing grants. Whereas good income and credit histories are necessary to borrow money, a recent financial hardship and reduced income could actually improve your chances of being approved for a grant towards your security deposit and first month rent in Brooklyn.

We routinely review local organizations and agencies that provide grant-based rental assistance as well as low cost or zero-interest loans for rent. Aid programs in Brooklyn typically serve lower income households that have experienced a recent financial crisis. Those who are already on public assistance or who qualify for public benefits are usually more likely to be approved, as are those who are elderly or disabled.

To begin, you may contact a local organization directly, or you may be referred through social services (HRA Centers) or even the United Way. Call 311 in New York to gain access to information and referrals for housing grants and other aid programs. Some provide assistance for just the security deposit while others may help with your first month’s rent. The most common programs focus more on eviction prevention, so you will need to make sure they can help you with your move.

Lastly, never pay for information about benefits programs. Those companies merely send you copies of publicly available information that you could have obtained by first going through a reputable source. Be prepared to provide necessary documentation to each lender or aid program to show that you meet their qualifications. After your move, hopefully you will receive most or all of the security deposit from your last apartment, which can further strengthen your financial condition.