State Treasurer Vivek Malek visits local leaders, discusses MOBUCK$ Program
November 22, 2023
From Missouri State Treasurer’s Office
Photo: Adriana Keeton, [email protected]
Missouri State Treasurer Vivek Malek visited with local leaders last week at the Barry County Courthouse in Cassville. He discussed the local impact of the MOBUCK$ low-interest loan program, and shared his plan to work on legislation that would expand the successful program’s capacity.
Due to inflationary pressures, the Federal Reserve Bank has continued to raise interest rates. As a result, the State Treasurer’s MOBUCK$ low-interest loan program has become a lifeline for farmers and small business owners. Since March 2022, the Fed has increased interest rates eleven times, resulting the highest rate in 22 years. Through the MOBUCK$ program, lenders are allowed to lower interest rates to borrowers by about 2-3 percent.
During the past program year, October 1, 2022, to September 30, 2023, the MOBUCK$ low interest loan program provided $572,500.00 in low-interest rate loans in Barry County.
State Treasurer Vivek Malek said, “The MOBUCK$ program helps small business owners and farmers get low-interest loans at a time of historically high interest rates. This program has been a game-changer for folks in Barry County, and that’s why I’m going to continue to fight for it.”
In May 2023, the State Treasurer’s Office indefinitely suspended acceptance of MOBUCK$ applications due to a statutory limit on the total dollar amount available to loan. Due to the increased demand, Treasurer Malek is asking the Missouri General Assembly to expand the program’s capacity to help small business owners and farmers. The General Assembly is scheduled to return in regular session beginning on Wednesday, January 3, 2024.
Due to expiration of some existing MOBUCK$ loans, funds will become available to resume acceptance of applications. As a result, the State Treasurer’s Office will begin accepting new applications for loans beginning Tuesday, January 3, 2024. However, if demand remains high, and the statutory limit is not increased, available funds are likely to be exhausted and the application portal will be closed again, which will force Missouri small businesses, including farmers and ranchers, to pay higher interest rates.
Due to inflationary pressures, the Federal Reserve Bank has continued to raise interest rates. As a result, the State Treasurer’s MOBUCK$ low-interest loan program has become a lifeline for farmers and small business owners. Since March 2022, the Fed has increased interest rates eleven times, resulting the highest rate in 22 years. Through the MOBUCK$ program, lenders are allowed to lower interest rates to borrowers by about 2-3 percent.
During the past program year, October 1, 2022, to September 30, 2023, the MOBUCK$ low interest loan program provided $572,500.00 in low-interest rate loans in Barry County.
State Treasurer Vivek Malek said, “The MOBUCK$ program helps small business owners and farmers get low-interest loans at a time of historically high interest rates. This program has been a game-changer for folks in Barry County, and that’s why I’m going to continue to fight for it.”
In May 2023, the State Treasurer’s Office indefinitely suspended acceptance of MOBUCK$ applications due to a statutory limit on the total dollar amount available to loan. Due to the increased demand, Treasurer Malek is asking the Missouri General Assembly to expand the program’s capacity to help small business owners and farmers. The General Assembly is scheduled to return in regular session beginning on Wednesday, January 3, 2024.
Due to expiration of some existing MOBUCK$ loans, funds will become available to resume acceptance of applications. As a result, the State Treasurer’s Office will begin accepting new applications for loans beginning Tuesday, January 3, 2024. However, if demand remains high, and the statutory limit is not increased, available funds are likely to be exhausted and the application portal will be closed again, which will force Missouri small businesses, including farmers and ranchers, to pay higher interest rates.
