Credit unions provide millions in relief to shutdown-affected members

Although the government shutdown has ended, people across the country are recovering from the impact. The Washington, D.C., area is home to many affected employees, including Congressional staffers. Credit unions in the area provided more than $208 million in assistance to 11,364 members, according to a survey conducted by the MD|DC Credit Union Association.

“Credit unions mobilized quickly to support their members, activating assistance programs to provide financial lifelines in response to the shutdown,” said John Bratsakis, MD|DC Credit Union Association president/CEO, adding that with the government re-opened, “credit unions remain focused on helping members recover financially and plan for the weeks ahead.”

Maryland-based FedChoice Credit Union immediately activated support measures and approached the shutdown holistically, giving members the ability to work with a Certified Financial Planner and access onsite mental health support, said President/CEO Brett Noll.

In total, FedChoice has approved more than $2.4 million in loans for federal employees, including $1.4 million in furlough-specific loans, as detailed in a recent America’s Credit Unions blog.

NIH Federal Credit Union in Maryland also stepped up for its members. “Many of the loans we’re providing are helping members bridge the gap from missed paychecks and maintain stability during an uncertain time,” said President/CEO Rick Wieczorek. “It’s gratifying to hear from members who appreciate their credit union’s commitment to going above and beyond to help. That’s the credit union difference.”

Navy Federal Credit Union's government shutdown support dispersed more than 190,000 loans totaling more than $345 million, with zero interest charged and zero impact to members’ credit histories. Navy Federal also worked to assist members with managing more than $2.5 billion in loan balances.

Credit unions are providing needed programs and outreach in North and South Carolina. The Carolinas Credit Union League shared several examples, including:

• In Jacksonville, N.C., Marine Federal Credit Union activated its long-standing Payroll Assistance Program;
• Piedmont Advantage Credit Union in Winston-Salem, N.C. extended payment relief on loans totaling nearly $190,000 in balances—helping affected members avoid more than $3,200 in monthly payments;
• In South Carolina, CPM Federal Credit Union extended assistance beyond member relief to address broader community needs. Alongside offering low-rate loans, payment extensions, and waived fees, the credit union also donated $10,000 to local food banks as SNAP funding ran out.

“Across North and South Carolina, credit unions are responding swiftly and compassionately to help members weather the uncertainty of the shutdown,” said Carolinas Credit Union League Director of Federal Affairs Nate Lane. “These stories show that mission in action.”

Pasadena, Calif.-based Wescom Financial has provided $152,000 in emergency loans and dozens of payment deferrals to members, as highlighted this week in the America’s Credit Unions blog. They launched an immediate emergency assistance program and empowered their teams to identify opportunities to meet member and community needs.

"Let's just be very mindful and make sure that we are reaching out to our community partners to see how we can help," said Ashley White, senior vice president and chief marketing officer at Wescom Financial, when meeting with her team.  "Let's not sit back and wait. Let's be proactive and reach out."

Also in California, Kinecta Federal Credit Union, SchoolsFirst Federal Credit Union, California Credit Union, Los Angeles Federal Credit Union, Northrup Grumman Credit Union, and JACOM Credit Union have all reached out to members with fee waivers, loan flexibility, paycheck replacements, and more.

In Nevada, multiple credit unions activated to assist government workers. America First Credit Union welcomed non-members eligible to join and access furlough assistance loans, while Silver State Schools Credit Union, Clark County Credit Union, Great Basin Federal Credit Union, Greater Nevada Credit Union, and Elko Credit Union all provided loan payment deferrals and other resources.    

Peninsula Credit Union was invited by Rep. Emily Randall, D-Wash to participate in her Federal Employee and Military Family Resource Fair in Bremerton, Wash. The team answered questions from affected employees and shared available assistance options.

A continually updated list of credit unions providing assistance is available on the America’s Credit Unions Government Shutdown Assistance webpage, and credit unions are encouraged to share their work in serving federal workers during this time of need.