90-day, interest-free loans for furloughed federal workers
Medford, Ore. —
Washington Federal Bank is offering a new 90 day interest free quick loan to government employees that have not received a paycheck since the government shut down.
Government employees can apply for a loan in the amount of six missed paychecks. Applicants must be government employees and bring in the last pay check they received before the government shut down.
Bank employees then figure out the net take home pay and multiply it by six pay periods to offer a loan in a specific amount to every employee that has gone more than three weeks without pay.
Loan approval requires a Washington Federal Bank checking account to provide access to the funds.
“It takes the stress away, but once the 90 days are up it goes to 5% interest rate,” Washington Federal Bank Vice President, Patty Surowski said.
According to Washington Federal Bank employees, if the account still has an outstanding balance by the year 2020 the interest then increases to the 9% mark.
The new loan program is available at any of their eight state branches. “The loan amount will be equal to their pay that they take home times six pay periods, it’s that easy,” Surowski said. “The reason it’s called a quick loan is because we will know if an applicant is approved in a matter of hours.”
To be approved an applicant must present their furlough letter or any other check that demonstrates zero pay and a current government identification card.
"Washington Federal is truly a community bank and this is something that will help the people that live in our communities to thrive and not be stressed out during this government shut down we just are trying to help them out," Surowski said.