Wednesday, March 6, 2013

Redstone Federal Credit Union responds to budget cut crises

HUNTSVILLE, AL (WAFF)- A major financial name in the Tennessee Valley is trying to get ahead of the financial havoc sequestration is expected to cause here.

The Redstone Federal Credit Union (RFCU) shares more than its name with the Redstone Arsenal.

"I don't think any of us has encountered anything of this magnitude, of what we're seeing," said Joseph Newberry.

Newberry, the CEO of RFCU, estimates some 30,000 of its members work directly or indirectly for Redstone Arsenal and could be in for a financial hit.

"We know that some of them have gotten letters that they may be laid off or furloughed one day a week, so that will have an economic impact on the families," he said.

Since Friday, the credit union has been urging members to talk with its counselors.

It is pushing literature on financial first aid and surviving layoffs, and it has started offering a special low interest furlough loan.

Newberry said the credit union has gotten sporadic inquires so far from nervous customers and he hopes that those who may actually be facing trouble do not hesitate too long before asking for help, just as he hopes this entire sequestration drama turns out to be a short term, temporary affair.

"I do think that there will be a solution. ?My only wish, and I think everybody's wish, is that they don't solve it by a temporary solution by kicking the can down the road, just temporarily," said Newberry.

He said sequestration falls into the same category as the April 27th tornadoes, but he said the credit union has been responding to these personal crises since the start of the recession back in 2008.

Copyright 2013 WAFF. All rights reserved.

Source: http://northhuntsville.waff.com/news/news/93150-redstone-federal-credit-union-responds-budget-cut-crises

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