Phil Castle, The Business Times
A bank headquartered in Western Colorado offers loans to federal employees on unpaid leave because of the partial government shutdown.
Alpine Bank offers loans of up to one month of net salary. Payments won’t be due for six months after the shutdown ends.
“We want to offer our assistance,” said Clay Tufly, regional president for Alpine Bank in Mesa County.
The bank is headquartered in Glenwood Springs and operates 40 locations across Colorado, including the Grand Valley.
Loans are available from any location, Tufly said. To apply, furloughed government employees need state and federal identification as well as paycheck stubs or some other verification of their salaries. No collateral or other underwriting requirements apply, he said.
As of noon Jan. 15, Alpine Bank had issued more than 130 loans worth a total of $375,000, Tufly said. The bank has set aside $5 million for the program, he said.
The loans are set up as a ready reserve line of credit. Applicants can choose to pay off the loan during the six-month period.
The loans offer federal employees another option for paying bills during the shutdown rather than using credit cards or savings, Tufly said.
The loan program is the third Alpine Bank has offered during government shutdowns, Tufly said. The bank also offered loans in 1995 and 1996 and again in 2013.
The latest shutdown, which began Dec. 22, is the longest in United States history. “It’s been a little tougher,” Tufly said.
The response from federal employees taking advantage of the loan program has been gratifying, he said. “I think everyone is very thankful.”
For more information about the loan program for furloughed federal employees, visit www.alpinebank.com.