RICHMOND, Ind.–Through a special program, Natco Credit Union is reporting it has been able to forgive $18,737 in interest on 50 loans held by members who have been hardest hit by the pandemic due to loss of income.
Natco CU received a $10,000 grant from NCUA to assist members who suffered a financial impact from a loss of employment due to COVID-19. The credit union forgave an additional $8,737 in an effort to help more members through an initiative it called the “Deferred Payment Relief for Service Industry Workers.”
In announcing the loan forgiveness, Natco CU shared the story of one member who was laid off in March when his employer closed due to the coronavirus. A 90-day payment deferral on his credit union loans was immediately granted, Natco CU said, but not long after losing his income he also contracted COVID-19 and came very close to losing his battle with the virus.
“He was placed on a ventilator, then suffered a stroke, and lapsed into a coma.
After a lengthy stay in the hospital, he recovered enough to be released but was unable to care for himself,” the credit union reported. “He temporarily moved in with a relative, where he received visiting nursing services and was required to wear a heart monitor. Almost four months later, he still had lingering symptoms that may never go away. He was eventually able to return to work with the added burden of a mountain of medical bills.”
‘Moved to Tears’
Natco CU said during his time off, interest accumulated on two credit union loans in the amount of $1,691.56. Through this initiative, Natco said it was able to forgive the entire amount of accumulated interest. “The member was moved to tears and said that no one had ever done something that nice for him in his entire life,” the credit union said.
The $108-million Natco CU has approximately 16,131 members.