Banks help federal workers during longest-ever shutdown

As the longest-ever partial government shutdown drags on, area banks are offering help to furloughed federal workers.

Ryan Coye, senior vice president of relationship banking and development for Gate City Bank, said the bank has been monitoring the government shutdown since it started.

"We realized it's creating an impact on customers and members of our community," Coye said. "We realized we needed to do something. We have capability to help with their challenges."

Gate City Bank, which has three locations in Grand Forks, has offered to help customers by extending a payment on a loan, honoring currently scheduled closing dates or working around potential overdraft situations.

Gate City Bank is also offering a personal loan to help federal government employees who need assistance during the shutdown. The BetterLife loan is a short-term loan with zero percent interest and no fees.

"We've created a no-cost loan for people who are missing paychecks," Coye said. "It is designed to cover the time period federal employees are not getting paid."

To get assistance, federal employees must prove they are employed by the government, either with paperwork or a paystub, he said.

Coye said he helped a woman this week concerned with her January mortgage payment.

"She wasn't sure when the government was going to resume and so we deferred her January mortgage payment," Coye said. "We wanted to put her mind at ease."

And people seem to be taking advantage of the help banks are offering.

Coye said Gate City Bank has had daily calls and walk-ins requesting help.

"It was surprising to me how frequent it is," Coye said.

Other area banks are also offering help to furloughed federal employees.

Chris Moen, the northern valley retail market manager for Alerus, said that the financial institution is working with furloughed federal employees to find the best solution for their situation.

"We want to actually sit down and talk about what the problem is, what the time frame might be," Moen said. "We're here to help out."

Moen said that oftentimes that help comes in the form of an extension or deferment on a loan or letting a customer know what lines of credit are available to them.

"These people are serving our country in one way or another. They keep our government running, so we want to help them in any way that we can."

Bremer Bank said it is also willing to work individually customers who are affected by the shutdown, according to Tammy Peterson, Grand Forks Region President for Bremer Bank.

"We recognize the partial government shutdown has the potential to affect many of our customers and communities," Peterson said in an emailed statement.

Area Community Credit Union in Grand Forks is helping members of U.S. Customs and Border Protection with two-month extensions on personal loans for any government employee who brings paperwork from the Department of Homeland Security stating they are not working.

CEO Lonny Nygren said the credit union is trying to help these federal employees go about their regular lives.

Starting Jan. 11, U.S. Bank is offering qualified federal employees the option to apply for low-rate quick loans of $100 to $6,000, according to a news release. Customers are encouraged to contact a customer service representative about other assistance programs that may be available, including mortgage relief options.