To help credit unions looking to grow their business lending programs, Navy Federal Credit Union said it has launched a new commercial participation loan program.
Making its debut Monday, the C-PaL program will create partnerships between the $49 billion Navy Federal and other credit unions nationwide. The partnering credit union would be the originator of the loan with Navy Federal being a purchaser of a significant portion of the loan, the Vienna, Va.-based cooperative said.
“This is a timely and responsive move,” Jim Salmon, executive vice president of business services at Navy Federal, said in a statement. “We are ready to help credit unions who are nudging close to their commercial loan caps. By partnering with other credit unions, we hope to bring some relief to an ever-increasing problem.”
Credit unions interested in C-PaL can contact Navy Federal.