“The CDRL fund provides grants and low-interest loans to assist ‘low-income’ credit unions in providing basic financial services to struggling communities. These funds have previously been used to expand member services, provide loans to un-banked communities as alternatives to payday loans, fund financial education services, and to generally increase the capacity of ‘low-income’ credit unions to serve their members and communities.”
“It is important to remember in our current economic climate that not all financial institutions engaged in risky lending practices,” noted Hastings. “Credit unions, specifically those that serve low-income, rural, or disadvantaged communities, have consistently followed prudent and sound policies, yet are now being particularly hard hit by this current financial crisis.”
“My amendment provides an increase of $250,000 to the CDRL fund, which reflects the added pressures placed upon ‘low-income’ credit unions and will allow them to continue to provide and expand their vital services during these tough financial times.”
Hastings’ amendment was endorsed by the Credit Union National Association (CUNA), which represents 90 percent of America’s credit unions.
Congressman Alcee L. Hastings is Vice Chairman of the House Permanent Select Committee on Intelligence, a senior member of the House Rules Committee, and Co-Chairman of the U.S. Helsinki Commission.