WASHINGTON— If the government shutdown continues into next week, many federal workers will begin to miss paychecks but it will be members of the military who will likely get much of the media attention, with politicians from each side of the aisle likely pointing to the other side as being at fault.
The next payday for members of the military is Oct. 15.
“As the government shutdown continues, we want to be clear: This has real consequences for our servicemen and women, federal employees and their families,” said Defense Credit Union Council Chief Advocacy Officer Jason Stverak. “If the shutdown stretches on into next week, which it seems is likely at this point, we’d expect military paychecks to be delayed, and as a result, real challenges for families trying to keep up with mortgages, loans, credit cards and everyday living expenses.
“Additionally, there’s the suspension of the National Flood Insurance Program, which could stall home sales and purchases. This can directly impact military families when they’re in the process of relocating under PCS orders,” Stverak continued.
Added DCUC President and CEO and retired U.S. Air Force Col. Anthony Hernandez, “Credit unions have always stood ready to serve those who serve our nation. In times like a government shutdown, these institutions continue to step up by offering tailored support and assistance to ensure the financial readiness and well-being of our servicemembers, veterans and federal employees.”
Defense CUs Offer Help
Some of the credit unions that serve defense memberships and are offering assistance during the shutdown, according to DCUC, include:
• In Maryland, Andrews Federal Credit Union is offering Financial Assistance Loans of up to $5,000, no interest or payments for 90 days, and fixed 6.00% APR thereafter. It is also offering penalty-free share certificate withdrawals, Skip-a-Pay (up to two skipped payments per year on eligible loans), consumer loan flexibility, mortgage assistance, financial counseling and more.
• Cobalt Credit Union in Nebraska has a Furlough Relief Loan with a 0% APR for 90 days, up to $5,000, no fees, no payments due for 60 days, as well as other loan assistance.
• Virginia-based ABNB Federal Credit Union is offering short-term 0% loans, waived overdraft, late, penalty and early withdrawal fees, Skip-a-Pay programs with no fees or penalties, and more.
• New Cumberland FCU in Pennsylvania is offering low-interest relief loans and Skip-a-Pay.
• New York-based AmeriCU Credit Union is offering 0% APR loans to cover income gaps, fee and penalty relief, postponement of loan payments without penalties, and penalty-free share certificate withdrawals.
• American Southwest Credit Union in Arizona has 0% APR emergency loans up to $6,000 for federal employees, contractors and active-duty Coast Guard members, and is waiving early withdrawal penalties on CDs.
• In Texas, Randolph-Brooks Federal Credit Union (RBFCU) has a Government Shutdown Consumer Relief Loan with no credit pull required for eligible members. It is also offering fee waivers and early withdrawal penalty waivers on certificates.
• In San Diego, Frontwave Credit Union has a Government Shutdown Loan and is offering penalty-free loan extensions and Skip-a-Payment options on existing loans, and other relief.
In addition, DCUC has additional related tools available here.
The CU Daily also has a separate report on other credit unions providing assistance.
Mid Minnesota FCU Joins DCUC
Separately, DCUC said it has welcomed Mid Minnesota Federal Credit Union as its newest member.
“Mid Minnesota FCU is proud to join DCUC and connect with fellow credit unions that share our values and vision,” MMFCU President and CEO Bob Gerads said in a statement. “We are excited to expand our ability to deliver meaningful financial solutions, especially to the military and veteran communities we are honored to support.”
Added Hernandez, “We are thrilled to welcome Mid Minnesota Federal Credit Union into DCUC membership. Their dedication to financial accessibility, personalized service and community impact reflects the very best of the credit union movement. We look forward to working with them and supporting their service to those who serve our nation.”
