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Credit union to assist furloughed members

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Fort Knox Federal Credit Union initated special loan and withdrawal options to assist members affected by recently announced federal government spending cuts that likely will result in furloughs for some government workers.

Employees could be furloughed for up to 176 “non-contiguous hours” between April and the end of the fiscal year in September, which is as much as 22 eight-hour work days.

“There are more than 5,000 Department of Defense civilians and contractors impacted by this in the Fort Knox area,” said Bill Rissel, Fort Knox Federal president and chief executive officer.

To help its members, Fort Knox Federal has reactivated its interest-free loan for 30 days. The interest-free offer previously was used in association with disaster and emergencies but is being extended to account for the amount of lost pay due to furloughed time off from work.

“This can help members replace lost cash from their paychecks with no additional cost for interest,” Rissel said.

Members also can request a temporary interest-only payment option on current Fort Knox Federal loans for three months. That could take a member’s car loan payment, for example, from $325 a month to less than $55.

Also, furlough loans can be extended as an interest only payment for two months after the initial 30 days of no interest.

Fort Knox Federal also will allow early withdrawals of up to $10,000 from share certificates of deposit with no penalty. 

“Again, this will assist members who are affected by the manditory cuts and will have no adverse impact on either savings dividends or loan rates,” Rissel added.

For information about any of the options, go to ww.fkfcu.org/furlough or call 800-285-5669, ext. 5500.