As the federal government shutdown disrupts paychecks for federal employees across California and Nevada, local credit unions are deploying special relief programs, providing a financial safety net for households needing immediate cash flow and payment flexibility.
Assistance ranges from short-term, zero-interest loans to fee and payment flexibility — and to provide immediate cash flow, several credit unions are offering payroll assistance loans.
Redwood Credit Union is offering a zero-percent APR Payroll Assistance Loan for 60 Days, alongside deferred payments on loans and credit cards and penalty-free early withdrawals from savings certificates.
Similarly, Patelco Credit Union is providing a $500 loan at zero-percent interest, while also waiving late fees and offering loan deferrals, and encouraging members to visit their online resources for help with everyday expenses like food and housing.
First US Community Credit Union is offering a furlough loan that’s zero-percent interest with a 12-month term, with the first payment deferred up to 90 days. Community First Credit Union’s Emergency Relief Loan provides $1,000 with no interest for 12 months and no payments due for 90 days.
Beyond immediate relief, other credit unions are offering comprehensive emergency loan packages with deferred payment periods.
Golden 1 Credit Union launched a Payroll Assistance Loan Program providing low-interest loans of up to $6,000, based on one month of verified net income, in addition to waiving certificate of deposit early withdrawal penalties. Wescom Financial is providing an Emergency Relief Loan of up to $5,000 with no payment and no interest due for the first 90 days, after which a fixed 5.90-percent APR applying for the remainder of the term.
Meanwhile, SESLOC Federal Credit Union activated its Government Shutdown Emergency Loan Program, providing up to $5,000 at a fixed 5-percent interest rate, with the first payment due up to 90 days after inception. For qualified members, Educational Employees Credit Union is offering the ability to skip a loan payment, in addition to an emergency no-interest loan of up to $10,000 for up to 30 days.
To alleviate the stress of household budgets, many credit unions are also focusing on maximum flexibility, waivers, and counseling. SchoolsFirst Federal Credit Union is providing overdraft and late fee waivers, penalty-free early withdrawals from share certificates, and the option for skip-a-payment or due date changes. LBS Financial Credit Union is offering skip-a-pay, payment extensions, and workout loans as needed.
Both Mocse Credit Union and Chaffey Federal Credit Union are waiving fees, offering skip-a-pays, as well as granting members access to certified financial counselors. California Credit Union is waiving loan payment assistance modification fees and offering penalty-free certificate withdrawals, along with a Special APR Signature Plus Loan.
Other credit unions are similarly active, ensuring federal workers have access to resources. Many of these government employees are essential personnel working without pay.
Greater Nevada Credit Union is leading the way with a comprehensive assistance loan, providing up to $10,000 with zero-percent interest for the first six months and a 90-day grace period until the first payment is due.
Adding to the state’s efforts is Great Basin Federal Credit Union, which is waiving late fees on loan payments and offering Skip a Pay options to impacted members. The credit union wants to make sure no one is penalized for the congressional impasse.
The message from credit unions across both states is clear: federal workers should not face financial devastation due to the government shutdown. Credit unions are urging federal employees to contact their credit unions’ support-and-resource centers to benefit from relief options. This includes:
According to Congressional Research Services, over 155,000 federal employees work in California and several thousand in Nevada. This does not include the thousands of employees who work for federal contractors and may also be impacted.
“Credit unions are financial institutions focused on their mission of ‘people helping people.’ This includes times of need and emergencies, such as the government shutdown,” said Stephanie Cuevas, senior vice president of federal advocacy for California’s Credit Unions and Nevada’s Credit Unions. “Credit unions are moving quickly to offer support to federal workers — from TSA agents to air traffic controllers, service members, and more. The goal is to support families during these times of uncertainty while the shutdown is resolved in Washington, D.C.”
