Natco Credit Union forgives $18,737 in interest on member loans
Natco, CU, Richmond, Ind., was able to forgive $18,737 on 50 loans held by members who were hardest hit by the pandemic due to loss of income through its Deferred Payment Relief for Service Industry Workers initiative.
Natco received a $10,000 grant from NCUA to assist members who suffered a financial impact from a loss of employment due to COVID-19. The credit union forgave an additional $8,737 in an effort to help more members.
Below is an example of a member who was helped by the Deferred Payment Relief for Service Industry Workers initiative:
"This member was laid off in March when his employer closed due to COVID. A 90-day payment deferral on his credit union loans was immediately granted. Not long after losing his income, he contracted COVID-19 and came very close to losing his battle with the virus. He was placed on a ventilator, then suffered a stroke, and lapsed into a coma.
"After a lengthy stay in the hospital, he recovered enough to be released but was unable to care for himself. He temporarily moved in with a relative, where he received visiting nursing services and was required to wear a heart monitor. Almost four months later, he still had lingering symptoms that may never go away. He was eventually able to return to work with the added burden of a mountain of medical bills.
"During his time off, interest accumulated on two credit union loans in the amount of $1,691.56. Through this initiative, Natco was able to forgive the entire amount of accumulated interest. The member was moved to tears and said that no one had ever done something that nice for him in his entire life."