Veridian Credit Union, Waterloo, Iowa, has set aside $3 million for a special Storm Loan program to help those who’ve suffered property damage or hardship due to recent storms.
The $1.8 billion asset credit union’s Storm Loan features a 7.5% fixed rate interest rate for loans up to $5,000; 7% if payments are made via automatic transfer or payroll deduction.
Borrowers will be asked to indicate the specific purpose for the loan at application. Funds can’t be used to pay off an existing loan, and only one Storm Loan per household is permitted.
Many Iowa communities have been affected by rain, floods, and storms this season. Some Iowa families are displaced from their homes because of flood waters, and many others are left with clean-up from storm-related damage.
People may apply for the loan through Oct. 31, 2011, or until the $3 million fund is loaned out, whichever occurs first.