Five federal financial institutions regulators and state regulators encourage financial institutions to consider prudent efforts to modify terms on existing loans or extend new credit to help affected borrowers. But credit unions are already out in front. Just some of the relief options include:
Prudent workout arrangements that are consistent with safe-and-sound lending practices are generally in the long-term best interest of the financial institution, the borrower, and the economy, the federal agencies say. And they add that such efforts should not be subject to examiner criticism.
Cornerstone Credit Union League, CUNA, media, and members of Congress want to know what credit unions are doing during the shutdown. We urge you to continue sharing your stories by:
There's a lot we can do to amplify your credit union's story in the press and with Congress.
"It is so heartening to see the outpouring of support that credit unions are delivering to families affected by the shutdown," said Cornerstone President/ CEO Caroline Willard. "Living up to the mantra of 'people helping people' every day is nothing new for credit unions, but this large-scale effort—humanitarian in scope—really exemplifies the depth of their commitment to the communities they serve."
Cornerstone has heard from the following credit unions, so far, and you can check out what steps they're taking to help.
Government Employees FCU President/CEO Dee D. Crisp said the Austin-based credit union is offering a loan at 5 percent for up to one month’s salary and deferment on existing loan payments for members affected by the shutdown. The term of the loan and deferment is 60 days.
Houston-based JSC FCU serves a large segment of NASA and government members. JSC President/CEO Brandon Michaels reports that from Jan. 1 through Jan. 11, the credit union completed 317 furlough loans totaling $1,203,456, an average of $3,796 per loan.
The JSC FCU program is:
TruService Community FCU President/CEO Linda A. Jeffery says her credit union is committed to helping members impacted by the government shut down. The Little Rock-based credit union has established the following for affected members:
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