State Offers $100M Loan Program To Help Federal Workers During The Partial Shutdown
Federal workers in Kane County affected by the partial government shutdown can get help through a new, state of Illinois $100 million loan program.
According to a state of Illinois news release, the program offers zero- or low-interest loans to the more than 8,000 furloughed federal workers who live in Illinois and have been affected by the partial shutdown that began Dec. 22.
In addition, many lenders doing business in the state of Illinois have agreed to waive fees and provide other support to furloughed workers, especially as they deal with mortgage payments, student loans and car loans.
Lenders that have already agreed to participate are listed online at www.illinois.gov/shutdownaid; their assistance ranges from deferments on loans to 0 percent interest to assisting individuals on a case-by-case basis.
The Illinois Department of Commerce and Economic Opportunity is also offering winter heating assistance to qualified federal workers through the Low Income Home Energy Assistance Program.
Federal workers whose last 30-day income has been impacted by the federal shutdown can find a complete listing of LIHEAP’s local administering agencies and additional information about the program here, or call the LIHEAP toll-free hotline at 1 877 411-WARM (9276).
“This loan program will help those struggling to meet their day-to-day expenses as the shutdown drags on,” Gov. JB Pritzker said.
How It Works
The “linked” deposit loan program will be run by the Treasurer’s Office in partnership with various banks and credit unions across the state. The Treasurer’s Office will make deposits in participating financial institutions, allowing these institutions to provide below-market rates to federal workers who qualify for the program.
For example, the state might offer a deposit at 0.01 percent if the financial institution agrees to loan out the money to federal works at 0.0 percent. Specific rates and terms of eligibility will vary by institution.
“This program will help bring relief for working families impacted by this impasse,” said Treasurer Michael Frerichs.
A partial list of participating banks and credit unions offering assistance are below:
- 1st Mid America
- Bank of America
- BMO Harris
- Citizens Equity First Credit Union (CEFCU)
- Community Plus Federal Credit Union
- First Midwest Bank
- Heartland Credit Union
- Home State Bank
- IH Mississippi Credit Union (IHMVCU)
- KCT Credit Union
- R.I.A. Federal Credit Union
- Scott Credit Union
- JP Morgan Chase
- SENB Bank
- SIU Credit Union
- University of Illinois Community Credit Union
- U.S. Bank
- U.S. Employee Credit Union
- Wells Fargo
- Vibrant Credit Union
SOURCE: State of Illinois news release