If Congress and President Obama can’t come to an agreement to raise the debt ceiling, members of members of Navy Federal, Pentagon FCU and FAA CU will have access to interest-free loans and other programs for coping with any short-term loss of payments from the government.
The $44 billion Navy Federal is offering advance pay to members who are active duty and Defense Department civilian employees who have direct deposit.
But President/CEO Cutler Dawson is using the possibility of a shutdown as a teachable moment. He advises members of the Virginia-based CU, in a letter on its website, to take three steps to plan for unintended financial events: Have an emergency savings fund; set up direct deposit; and manage your credit wisely.
The $15 billion Pentagon FCU in Alexandria, Va., said it will advance the deposits of active duty and Defense Department employees as well as government retirees and Social Security recipients.
Pentagon FCU is offering this to all members, regardless of whether they have direct deposit. Also, the credit union said it plans to review requests for due date adjustments and skip payments in an expedited manner.
The $502 million FAA CU in Oklahoma City is already helping its members who are now furloughed because of Congress’ failure to pass a bill allocating funding to the FAA.
The credit union is offering a 60-day interest-free loan, equivalent to the last deposited paycheck, up to $6,000. It is also forgiving up to $100 in overdraft fees and allowing members to skip up to two loan payments (except mortgages) without charge.
Several other credit unions around the country also have announced plans to help Social Security recipients, federal employees and others who would be affected by a government shutdown.
