LANSING, Mich. – Gov. Jennifer Granholm unveiled an economic stimulus package yesterday which includes making $150 million available to credit unions and banks to provide new loans to the state’s small businesses.
Under the plan, the state will purchase certificates of deposit at participating banks and credit unions that commit to lending at least 80% of the money to Michigan businesses.
The plan follows a similar initiative undertaken in Illinois, which is buying depositing up to $100 million of state funds in the state’s credit unions and banks.
Gov. Granholm also proposed major budget cuts, as well as plans to keep homeowners facing foreclosure in their homes by freezing foreclosure proceedings for up to 90 days so the homeowner and lender can work out a payment plan.
