NCUA awards credit unions $3.7M in grants and loans for pandemic relief

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The National Credit Union Administration has given out $3.7 million in zero-interest loans and grants to more than 160 credit unions with a low-income designation.

The money will help these institutions “provide affordable financial services to their members and communities during the COVID-19 pandemic,” the regulator said on Tuesday in a press release.

Earlier this year, NCUA said it would use most of this year’s Community Development Revolving Loan Fund to help with the fallout from the coronavirus. Credit unions that received the money were in 40 states and Washington, D.C.

NCUA awarded 153 grants ranging from $900 to $10,000 for a total of almost $1.5 million. Thirty-two of those credit unions were first-time recipients and 48 of the institutions are designated as minority depository institutions.

Additionally, the regulator provided nine loans of $250,000 each at no interest.

The money was awarded in four categories: loan-payment relief for members affected by the coronavirus; additional services and products for members affected by the pandemic; covering expenses tied to transitioning to remote operations; and assistance for mortgage, rent and utility payments for members, such as small business owners and hospitality workers.

More urgent need grants are still available, NCUA said.

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