Loans for day care issued to New York City parents

  @AaronSmithCNN August 5, 2013: 3:23 PM ET
christine quinn day care loans

New York City mayoral candidate Christine Quinn unveiled a child care loan program for middle class parents.

NEW YORK (CNNMoney)

Child care is so expensive in New York City that City Council Speaker and mayoral frontrunner Christine Quinn is launching a loan program to help middle-class parents pay for daycare.

City Council Speaker Quinn unveiled a pilot program Monday to provide subsidized child care loans to families that she described as "middle class." Her office describes the plan as the first of its kind in the U.S.

Parents with children aged two to four will be able to receive loans of $11,000, at a 6% interest rate. Applicants must have an annual income of between $80,000 to $200,000, and a credit score of at least 620, according to Quinn's office. Their finances will be reviewed by financial counselors from the Neighborhood Trust Credit Union, which will administer the loans.

Related: Powerball jackpot reaches $400 million

In a press release detailing the plan, Quinn said that New York City has some of the highest child-care costs in the country. In Brooklyn, day care costs can cost $1,700 per month, while it can run as much as $2,300 a month in Manhattan.

The city's Administration for Children's Services already subsidizes child care for families below the poverty level, but there hasn't been a program to help middle class families until now.

A pilot version of the day care program will provide loans to 40 families in its first year. To top of page



Join the Conversation
Overnight Avg Rate Latest Change Last Week
30 yr fixed4.26%4.48%
15 yr fixed3.30%3.31%
5/1 ARM3.30%3.35%
30 yr refi4.25%4.45%
15 yr refi3.29%3.34%
View rates in your area
 
Find personalized rates:
Rate data provided
by Bankrate.com
CNNMoney Sponsors
Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.