Hanscom Federal Credit Union wants its its members who are federal employees to know that if they're affected by a limited government shutdown that could go into effect December 21, they may be eligible for a LifeLine Loan. In addition, Hanscom FCU will waive penalties for premature withdrawals on term share certificates and allow qualified members to skip consumer loan payments with no fee.
Beginning on December 26, 2018, members whose paychecks are affected by the shutdown or a furlough will be able to apply for a 0% Annual Percentage Rate (APR) LifeLine loan with a 60-day term, up to 100% of one’s net monthly pay or $5,000, whichever is less. For those needing more than 60 days to repay, the loan will be converted into installment payments over a 12-month term at a low fixed rate of 8.49% APR.
“Although this shutdown is limited in scope, some essential federal employees will go without pay until an agreement can be reached in Congress,” said Paul Marotta, Hanscom FCU’s Chairman of the Board. “We supported our members throughout the furloughs in 2013 and, once again, we’re here to provide access to funds so our members’ living expenses can be covered, whether they’re essential or non-essential government personnel impacted by this event. We want them to know we’re here for them.”
Government employee members who wish to take advantage of the "Skip-a-Payment" option on their loan will have the $25 fee waived. However, past payments cannot be reversed to give free skips and no skips will be allowed on payments that were due prior to the shutdown on December 21st.
Affected members are encouraged to drop by a Hanscom FCU branch to determine the best options for their unique situations should a shutdown occur. We encourage free, confidential counseling through BALANCE at 888-456-2227.
In addition, Hanscom FCU also offers tools to help members manage a reduction in income due to events like government shutdowns. The Financial First Aid kit is a free, downloadable guide containing worksheets and advice for prioritizing expenses and evaluating resources. For details, along with more information about applying for a LifeLine loan, visit www.hfcu.org/lifeline or call 800-656-4328.