Debt Consolidation
Fresh Start Loan

 This loan provides debt consolidation and relief by converting high-interest debt into a 0%-interest loan.

Debt Consolidation Fresh Start Loan Overview

The Fresh Start Loan Program provides 0%-interest, no-fee loans of up to $20,000 to clients working with select financial counseling organizations as a means to pay down high-interest debt and regain financial stability.

To be eligible for a Fresh Start Loan, you must be working with and referred by a financial counselor at one of the organizations listed below. Please contact one of the organizations directly if you wish to begin working with a financial counselor.

Neighborhood Trust Financial Partners (NTFP)
If you live in NYC, Long Island or Westchester, please text HFLS to 646-349-5959 or visit https://go.mytrustplus.org/HFLS 

    Community Service Society of New York (Financial Coaching Corps)
    Serving residents of NYC’s five boroughs
    Contact: Robi Jaffrey
    Email:     [email protected]

    New York Legal Assistance Group (NYLAG)
    Serving residents of NYC’s five boroughs.
    To schedule an appointment click here.

    Kosher Debt Help (By Collective Kindness)
    Serving residents of NYC’s five boroughs, Westchester, and Long Island

    Collective Kindness is a national nonprofit. Kosher Debt Help works exclusively with credit card debt. It does not handle student loans, medical debt, auto loans, mortgages, or personal loans. To be eligible for the HFLS Fresh Start Loan program, clients must reside in the five boroughs of New York City, Westchester, or Long Island.

    Contact:     Julie Shizgal, Client Coordinator

    Schedule a free consultation here

    Eligibility

    In addition to working with a financial counselor at one of the organizations listed above, loan applicants must meet the following general HFLS eligibility criteria:

    • Reside in NYC’s five boroughs, Westchester, or Long Island
    • Locate one qualified guarantor (for a loan of $10,000 or less) or two qualified guarantors (for a loan of more than $10,000).
      • Guarantors must reside in NY, NJ, or CT; have annual pre-tax household income of at least $50,000; and have good credit (based on an HFLS review of their recent credit history).
    • Have annual pre-tax household income at or below the income limit for their household size.
      • If your annual pre-tax household income is slightly above the limit in the chart below, please discuss your specific situation with your financial counselor; you may still qualify for an HFLS loan.
    • Since HFLS lends to households, a married couple is considered one borrower. If an applicant is married or partnered, they must include their spouse’s/partner’s information in the application.

    Guarantor Information

    Guarantor Overview

    One qualified guarantor is required for a loan of $10,000 or less. For a loan of more than $10,000, two qualified guarantors are required.

    A married couple is considered one guarantor. If a guarantor is married or partnered, his or her spouse/partner must also complete and sign the Guarantor Form.  

    The guarantor and their spouse are liable for the loan in the event a borrower is unable to pay for any reason.

    Who may be a guarantor?

    Guarantors must meet the following criteria:

    • US citizens or permanent residents currently living in New York, New Jersey, or Connecticut
    • Have a checking account, good credit, and annual pre-tax household income of at least $50,000 a year
    • Currently employed (HFLS prefers persons who have worked at least one year in their present position), or if retired, can demonstrate their ability to repay through pension/retirement income or assets.

    Who may not be a guarantor?

    Even if they meet the requirements above, the following people may not guarantee a loan:

    • You, your spouse, or your dependents
    • Persons who currently have an outstanding HFLS loan or are a guarantor on an outstanding HFLS loan
    • Persons who are financially unable to repay the loan

    Loan Process

    Please do NOT contact HFLS with questions regarding the Fresh Start Loan Program, as HFLS cannot provide you with the online application or determine whether you are eligible. The financial counselor you work with will be able to determine your eligibility for a Fresh Start Loan after reviewing and discussing your financial situation with you. If you are eligible, they will provide you with additional information and a link to an online application.

    Application Process

    1. Complete and submit the online loan application for this program. The application link must be provided to you by the partner agency financial counselor you’re working with.
    2. After you submit your application, each guarantor you listed will automatically receive an email with a link to complete the online Guarantor Form, which includes identity verification through ID-Pal. Please remind your guarantor(s) to complete the form promptly. If they do not see the HFLS email in their inbox, ask them to check their spam or junk folder.
    3. After receiving the completed application, Guarantor Form, and all ID-Pal verifications, an HFLS Loan Officer will contact you to request any missing information and schedule a 15-minute loan interview by phone.
    4. During the interview, the Loan Officer will ask any questions they have about your application, explain the loan closing process and loan terms, and answer any questions you have.
    5. View your application status, track its progress, and see whether any information or documentation is missing by logging in to the HFLS Portal.

    Back to Top

    Interested in applying for a
    Debt Consolidation Fresh Start Loan?

    HFLS Debt Consolidation Fresh Start Loans are only available to clients working with and referred by a financial counselor at one of the organizations listed to the left.

    HFLS Borrower Testimonies

    Witness the Impact

    HFLS Impact

    See Your Impact!

    HFLS Loan Programs

    Lean More!