MONTEREY PARK, Calif.–Credit unions across the country continue to offer financial assistance and relief to members affected by the coronavirus and the related shutdown of much of the economy, including one CU that reports it has distributed more than a half-million in loans to date.
Meanwhile, in other news related to the pandemic, CUNA has announced a “pause” in its Open Your Eyes awareness initiative, additional meetings have been cancelled, and credit unions and associations are addressing members via video.
F&A FCU in California said in an announcement on LinkedIn it has funded 115 emergency loans for members for a total of $544,000. The loans carry a 0% APR. The credit union also offers a skip-a-pay option. In addition, the CU said employees below the VP level have received an additional week’s PTO to use or cash out for emergencies.
Electro Savings Offers Relief Loans
In St. Louis, Electro Savings Credit Union has launched a Comm(unity) Relief Program, including a loan that offers qualified borrowers relief from making their first payment for 12-months and a 0% APR on consolidated credit card debt for six months. In addition, Electro is offering payment deferment options, and credit limit increases for credit union members who currently have Electro loans. Each member is encouraged to contact the credit union to discuss their unique situation.
“We want our credit union members to know that we're ready to stand by their side, offering the support they may need. We also want the community to know that we are here for them too,” explains Jim Struble, Electro president and CEO. “If people, whether current Electro members or not, are impacted financially due to the COVID-19 pandemic, we're dedicated to working with and helping them through these uncertain times. Now more than ever, we're here for our members and our community”, says Struble.
Hand-Sanitizing Stations, Relief Offers
In Santa Rosa, Calif., Redwood Credit Union said its branch locations remain open and, in following Center for Disease Control and Prevention (CDC) health and safety guidelines, it has added hand sanitizing stations, antimicrobial soaps, social distancing in its queues, and increased cleaning efforts at the branches and ATMs.
In addition, assistance programs are available to support impacted members, including:
- 0% interest rate loans up to $5,000 for impacted businesses and individuals that are current RCU members (first loan payment may be deferred up to 90 days).
- 90-day payment deferrals on all consumer, credit card, mortgage and business loans.
- Waiving all late fees over the next 90 days.
- Loans will not be reported as delinquent to the credit bureaus during any payment deferral period.
- Early withdrawals from RCU certificates without any penalty.
- Other financial assistance tailored to the member’s individual situation.
“Our mission is serving the best interests of our members, employees, and communities. We’re focused on being there for our members, ensuring they have access to their money, and supporting our community’s needs,” said Brett Martinez, president and CEO of RCU. “We have a strong disaster plan in place and an amazing dedicated team that allows us to make these things happen.”
Other CUs offering relief:
- CBC FCU in California is offering skip-a-pay options, fee waivers, short-term emergency loans with a 5% interest rate and hardship assistance.
- Gesa Credit Union in Washington State is offering low or zero interest rate personal loans to members facing financial hardship because of the coronavirus.
- ORNL FCU in Tennessee has created a Pandemic State of Emergency Assistance Loan Program, allowing impacted members to apply for an unsecured loan at 0% interest for the first six months and 3% fixed interest for the remainder of the term.
- Navy Federal in Virginia is waiving fees for Western Union and early CD withdrawals.
- In Wentzville, Mo., 1st Financial FCU said in addition to waiving its $35 skip-a-pay fee and offering loan modifications, it is also suspending foreclosures for 60 days.
Video in the Dakotas
The Credit Union Association of the Dakotas hasproduced a short video message promoting the safety and soundness of its member credit unions, and reminding the public it stands willing and ready to serve our members as their financial needs arise. The video, which features CEO Jeff Olson, can be found here.
Eyes Get a Rest
CUNA Awareness, LLC, the organization overseeing CUNA’s Open Your Eyes awareness initiative, said it is pausing its efforts as the coronavirus threat affects so many aspects of everyday life. The organization said it is looking to recalibrate its messaging to ensure the CU brand is conveyed in a positive light. It said the “pause” could last until May.
CU Direct ORIGEN8 Cancelled
CU Direct announced it has canceled its 2020 ORIGEN8 Lending and Users Conference, which had been scheduled for Las Vegas. The company said the event will next be held beginning May 27, 2021 at the Cosmopolitan Hotel in Las Vegas.
Is Such a Thing as a Free Lunch
Houston Highway Credit Union is providing free lunch for all of its employees during weekdays.
Michigan CUs, Banks Issue Joint Statement
Michigan’s banks and CUs have issued a joint statement reinforcing the “importance of stable and uninterrupted delivery of important financial services, such as access to money and credit, during this time of crisis.”
“All Michigan banks and credit unions remain open for business and will continue to be available to meet the financial needs of consumers and businesses,” the respective associations for credit unions and banks said. “State and federal regulations require financial institutions to be prepared for situations like pandemics, with tested and proven business continuity plans and procedures that ensure they continue to serve their local communities during difficult times. They have come together to express that consumers’ money is safe and sound in a bank or a credit union. Deposit insurance through the FDIC and NCUA covering at least $250,000 per person ensures the security of consumers’ funds.”
CU Creates Video
In Sayreville, N.J., the $5-million Parlin DuPont Employees FCU created a video for its social media channels assuring members of their commitment to them during the COVID-19 pandemic, as well as offering reminders of how to stay healthy and prevent the spread, the CrossState Credit Union Association reported.
In a cue card-style video, Parlin DuPont Employees FCU CEO Christina Olender holds up instructions and tips for social distancing. She also reminds members of the various options the credit union offers including mobile banking, bill pay, and more.
Click here to watch the video.