My rent is due today in Traverse City, in desperate need

(Request from Megan in Traverse City, Michigan) Due to a bad home situation I was forced to move out of my mom’s house. My rent is due today, July 1, and due to unexpected costs I am unable to pay. I need 462.00. Please direct me to help! I am in desperate need!

Dear Megan,

Thank you for revealing the amount that you need to meet the rest of your rent obligation. I realize that time is important so we want to act quickly. I have gathered information on a few community resources that may be a source of rental assistance in Grand Traverse County.

Grand Traverse-Leelanau DHS

The Michigan Department of Human Services maintains a local office that serves your community. The Grand Traverse-Leelanau DHS office provides several types of cash assistance, one of which being Emergency Assistance.

Very strict income requirements ensure that only those who are living near or below poverty levels can generally qualify for cash payments towards rent. The agency does not lend money. Instead, grants may be awarded to applicants who might otherwise become homeless without getting some help with arrears. You can contact the local office for assistance at 231-941-3900 or you may initiate your application through the Michigan Bridges program portal.

Northwest Michigan Community Action Agency

The Northwest Michigan Community Action Agency (NMCAA) can help you negotiate a workout arrangement with your landlord. Perhaps you just need more time to come up with the rent due to the unexpected expenses that you incurred. NMCAA can speak with your landlord on your behalf while you are in attendance. They can help arrange a way to catch up on your late rent if your landlord is willing to provide you with a schedule for getting your rent caught up over the next 1-2 months.

If you receive an eviction notice, then NMCAA can in certain circumstances provide a cash payment to satisfy the late rent. This is generally a one-time grant, so make sure that it is an emergency situation before using it. Call NMCAA at 231-947-3780 for the Three Mile Rd office next to the airport.

Father Fred Foundation

One local charity may provide you with an additional option. The Father Fred Foundation provides to certain tenants financial assistance when they are in financial distress. The funds could go towards rent or related living costs such as utilities.

You should visit the local government aid agencies prior to requesting help from Father Fred Foundation since they have a more limited budget. Funds are generally set aside for families that have no other options. Still, the staff can be very helpful in giving you options for improving your situation. There is food available and other support that could help you save more of your next paycheck for rent. Call the Father Fred Foundation at 231-947-2055. The office is located on Hastings St in Traverse City.

Grace Episcopal Church

A local religious-based program is provided by Grace Episcopal Church. Call 231-947-2330 if you would like to speak with a volunteer about your living situation. You can be connected with services to help you deal with your current financial hardship.

Together these organizations provide much needed emergency services and help with rent in Traverse City and the surrounding county. You can find out what aid is available to you and do what is necessary to remain in your current rental home assuming it is permanently affordable. If you cannot afford the rent, then there are low-rent options in the community.

Rental Loan

After having met with the above entities, you may find that there are still needs that must be met. Higher income households are often denied cash assistance through local aid organizations. If your income exceeds the guidelines for aid, then you may have a better chance of qualifying for a shorter-term loan for rent. Here are examples of loan rates that we found at press time:

  • TBA Credit Union listed unsecured loan rates ranging from 7-16.9% APR.
  • Members Credit Union allows up to 60 months to repay a 8.50% APR unsecured loan.
  • Northwest Consumers Federal Credit Union offers several unsecured loan options with rates below 10%.
  • East Traverse Catholic Federal Credit Union can provide personal loans for rent and other short-term needs. Rates were just 8.25% when we checked.
  • Credit Union One provides personal loan rates starting at 7.5% APR as well as a Cash Out Auto secured product.

These loan options will be substantially more affordable than any finance company or payday lender. Since Michigan allows payday loans, you could legally borrow money with an oppressive 391% APR. Be smart and only choose an option that will help you.