* What Loan Purchase transactions should be reported in connection with the Target Market requirements?

All loan purchase transactions closed during the relevant review period must be reported in an organization’s Transaction Level Report in connection with the Target Market requirements as eligible Financial Product activity for CDFI Certification purposes. The CDFI Fund considers all loan purchases to be eligible Financial Product activity. 

The CDFI Fund recognizes loan purchases from both Certified CDFIs, and non-Certified entities may count toward meeting the Target Market benchmark requirements, provided certain conditions are met:

• If an OTP – Certified CDFI(s) market component is part of an organization’s CDFI Certification Target Market, any loan purchase from a Certified CDFI—whether purchased individually or as part of a bundle—may count toward that Target Market component.
• If the loans purchased were originally directed to a component of the purchasing organization’s overall CDFI Certification Target Market, these loan purchases may count toward that Target Market component regardless of whether they were purchased from a Certified CDFI or a non-Certified entity.”