Many Credit Unions Ready to Provide Immediate PPP Loan Relief to Small Businesses

Local credit union CEOs are available to be interviewed

The federal government is providing an immediate $321 billion infusion into the Paycheck Protection Program (PPP), and many of California’s credit unions stand poised to immediately push these loans out to businesses.

During the initial round of PPP lending, it was widely reported that many small businesses had been abandoned by big banks, as seen in this Daily Breeze story. Credit unions meanwhile, answered the call. The story for the last week has been about community banks, but it was in fact not-for-profit credit unions aiding their communities.

While banks continue to deal with a backlog of applications, this second round of PPP funding may continue to prove difficult for small businesses to access. Some banks have even encouraged businesses to apply elsewhere.

For many small businesses, credit unions are able to provide a solution.

Since California has issued its “stay-at-home” order, the state’s credit unions have provided hundreds of thousands of their members relief from mortgages, auto loans, credit card payments and business loans.

In addition to extending 1,612 business loans, many credit unions in California indicate that:

  • 15,856 mortgage payments have been extended
  • 403,458 consumer loans (auto and credit card) have been extended
  • 425,000 total members have been assisted 

 

For a more complete look at how credit unions are helping, click here

“Credit unions have a legacy of assisting our members during times of hardship—from natural disasters, to recessions, to government shutdowns—and this crisis is no different,” said Diana Dykstra, president and CEO of the California Credit Union League, the trade association for credit unions in the state.

Credit unions are not-for-profit banking cooperatives, owned by their members.

To speak with a local credit union CEO, please contact Tina Ramos-Ingold, media relations specialist with the California Credit Union League, at tinar@ccul.org or 909.212.6050.