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A Senate spending bill proposed allocating $324 million to the Community Development Financial Institutions (CDFI) Fund, a move the Defense Credit Union Council (DCUC) said would deliver major benefits for military families and underserved defense communities. The funding level appeared in the Senate Appropriations Committee’s draft FY2026 Financial Services and General Government bill.
“The Senate Appropriations Committee’s proposal is not just good budgeting, it is smart national policy,” Jason Stverak, DCUC’s chief advocacy officer, said. “This investment directly strengthens the ability of credit unions, especially those serving our military and veteran communities, to deliver affordable capital, expand financial inclusion, and support the economic resilience of the communities we serve.”
CDFI-certified credit unions often serve as lifelines for military families navigating frequent relocations, deployments and economic instability. The proposed funding would allow these institutions to expand small-dollar and emergency loan programs, invest in affordable housing near military installations, support veteran-owned small businesses, and deploy more capital into underserved rural and urban defense communities.
Stverak said strengthened CDFI funding is especially critical as service members continue to face rising living costs, predatory lending risks, and limited access to safe, affordable credit. “Strengthening the CDFI Fund is a direct investment in their financial readiness and overall well-being,” he said.
DCUC urged Congress to keep the full $324 million intact as appropriations negotiations continue, calling the return on investment “unmistakable: stronger communities, stronger families, and a stronger nation.”
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