ONTARIO, Calif.–A number of state credit union associations and individual credit unions have released updates on the support CUs in their respective states have provided to members during the coronavirus pandemic.
According to data compiled by the California and Nevada Credit Union Leagues from late March to early June, credit unions in both states have accomplished the following:
- Nearly 560,000 members have been provided financial relief.
- Over 563,000 extensions made on nearly $15.1 billion in member loans.
- Almost $74 million provided in emergency loans to members.
- More than 2.8 million fees waived for members.
- $1.3 billion employee/business loans made via the Paycheck Protection Program (PPP) loans from the Small Business Administration and Treasury Department’s federal relief program.
Putting the Green in Green Mountains
Meanwhile, in Vermont, data collected by the Association of Vermont Credit Union show nearly $385 million in support has been provided.
Data collected by the Association of Vermont Credit Unions (AVCU) between April 12 and June 11, 2020 show that since COVID-19 cases began appearing in the state, 83% of credit unions helped more than 17,680 members by granting forbearances or extending payments on mortgage balances totaling $119.5 million, extending payments on consumer loans and business loans totaling $108.1 million and $101.6 million respectively, and funded $51.4 million in small business loan applications through the U.S. Small Business Administration’s Paycheck Protection Program (PPP).
An additional $3.7 million in very low-rate or 0% emergency loans made to consumers brings the sum of COVID-19 financial support provided to Vermont Credit Union members to $384,277,928, the AVCU said.
“This impressive volume of support was delivered through 1,134 mortgage forbearances and payment extensions; 7,348 consumer loan payment extensions; 534 business loan payment extensions; 1,257 emergency consumer loans; and 1,321 approved and funded PPP small business loans,” the Association said. “During the same period, Vermont Credit Unions also collectively waived 6,088 individual account fees for members in their time of need.
Fifteen Vermont Credit Unions (83% of all AVCU member credit unions) participated in the data collection survey.
Report from Cornerstone League
Meanwhile, the Cornerstone CU League reported SBA data as of May 30 show credit unions in Arkansas, Oklahoma, and Texas have made 458,760 loans for their members for a total of $48.8 billion. More than $130 billion is still available to loan.
The breakdown is as follows:
- Arkansas: 40,920 loans for $3,284,322,657 net
- Oklahoma: 61,975 loans for $5,419,286,214 net
- Texas: 361,765 loans for $40,295,186,026 net
- Totals: 464,660 loans for $48,998,794,897 net
"While the SBA's PPP program has been fraught with issues, credit unions remain undeterred in their mission to assist their small business member owners," said Cornerstone Chief Government Relations Officer Jim Phelps. "It should come as a surprise to no one that the effort credit unions put forth for their members every day is only expanded during hard times, like those we're experiencing today with this pandemic."
View the report for more details.
Astera CU Reports Results
In Lansing, Mich., Astera Credit Union said since the launch of the PPP in April, Astera CU has helped 126 local businesses get access to $6.3 million in funded loans. With these funds, business owners were able to save 564 jobs that could have otherwise been lost.
“We recognize that even as the economy re-opens many businesses still need the Paycheck Protection Loan Program,” said Astera CU President/CEO Martin Carter. “Since the inception of this program we’ve been helping small businesses with these loans to help keep their employees on the payroll.” Carter goes on to say, “This time has been and continues to be incredibly stressful and I couldn’t be prouder of the Astera team for continuing to work hard to make a difference in the lives of our members, local businesses and the communities we serve.”
Hanscom CU Reports Results
In Massachusetts, Hanscom FCU said it has offered a LifeLine Loan program, which gives members a loan of up to $5,000 interest free for the first 60 days, and also modified its Skip-A-Loan payment program by waiving the $25 fee for qualified members. This program allows members to skip a payment on their auto, personal, or RV/motorcycle/boat loans. To date, Hanscom FCU said it has granted more than 2,500 Skip-A-Loan payment requests.
Hanscom FCU said it also instituted a mortgage forbearance program for its first and second mortgage/home equity line of credit (HELOC) holders to help qualified members during this time of crisis. To date, the credit union has issued first mortgage and HELOC forbearances for a total of $27.5 million in outstanding principal balances.
The credit union has also funded more than $10 million in PPP loans to date.
“Every employee on our lending team – from mortgages and consumer lending, to commercial lending and collections – has gone above and beyond the call of duty helping our members through these extraordinary times,” said Tom Becker, Hanscom FCU’s chief lending officer. “Especially when I know that many of our own employees have been facing their own personal challenges during this pandemic, I’m humbled by the dedication they have to do the right thing by our members.”
Other State Compilations
The Iowa Credit Union League and Montana’s Credit Unions have also released infographics showing the contributions of CUs in their respective states, as seen below.