The $142 million BluCurrent Credit Union in Springfield, Mo., said demand for its zero interest Holiday Loan program has been strong.
BluCurrent CU’s Holiday Loan program offers members with approved credit up to $1,000 at zero interest. Terms are up to 12 months with weekly or monthly repayment options for as little as $19.24 a week.
Within the first seven days of making the loans available, 86 loans have been approved so far totaling $136,000, including other loans cross-sold to members during the new promotion.
“We started offering the Holiday Loan the Monday before Thanksgiving, and since then we’ve seen loan volume in all of our branches increase significantly over this time last year,” said Brad Christman, BluCurrent CU director of branch services. “While $1,000 may not seem like a lot of money to some people, it’s a big deal to those going through a rough patch during the holiday season.”
Randall Bettis, senior vice president of lending for BluCurrent, added, "Many turn to high-interest credit cards or payday loans, especially this time of year. Being a local financial institution, we’re fortunate that we have more freedom to offer unique types of loans to help save people money.”
BluCurrent plans to offer Holiday Loans as long as possible throughout the holiday season, but that will continue to rely on demand.
“We don’t have a particular goal for the number of Holiday Loans we can or would like to do,” Bettis said. “We’ll just continue to monitor volume and go from there. Unfortunately, these will just be offered for a limited time.”