Banks and credit unions attempt to provide some relief for those affected by federal shutdown

As the government shutdown encroaches the 40-day mark, many banks and credit unions in the Spokane area are trying to provide some relief for government employees during the shutdown.

The Washington State Employment Security Department reported approximately 80,000 federal employees work in the state. In an email, Chris Barron, the director of the office of communications for the department, said Spokane County had 5,079 federal employees as of the first quarter of 2025. This ranks Spokane County fourth in the state when it comes to counties with the most employed federal workers, behind Pierce, King and Kitsap.

As of Nov. 4, Barron said 2,470 federal employees have applied for unemployment benefits. Of that total number, 127 claims have been made in Spokane County. Barron said Washington state has a high number of federal employees deemed essential who are currently working without pay. These individuals are not eligible for unemployment, as only furloughed employees qualify.

A Bank of America study found in 2024 well over 40% of Americans say they are living paycheck to paycheck. The bank’s research found that last year nearly 30% of Americans spend 90% of their income on necessities.

Dan Hansen, the strategic communications manager at STCU , said the credit union, headquartered in Liberty Lake, has systems in place to help members who know they’re going to come up a bit short. He said many financial institutions, particularly local banks and credit unions, have ways of consolidating loans or enacting loan skip payments if someone is unable to pay.

“The things we normally do are consolidating loans. That can often help save members money,” Hansen said. “In extreme cases, we can do skip payments and other things. It just kind of depends on the individual circumstances of the person who calls. But we have a team of debt management people who work with them on that.”

Specifically for federal employees affected by the shutdown who are already STCU members, Hansen said STCU is offering a 0% interest loan up to $6,000 with no payments required for the first 90 days.

With SNAP funds frozen and food banks struggling to keep up, Hansen said STCU has set aside around $350,000 for surprise donations to 40 nonprofits that provide food assistance services in the region. The credit union also is offering matching grants for anyone who donates to the Here for Good Foundation in November.

“Like everyone else, we’re just hoping this comes to an end soon,” Hansen said.

A Pew Research Center analysis reported nearly half of all government employees earned less than $89,000 annually in March 2024, while 8% earned less than $50,000. The Social Security Administration in 2024 listed $69,846.57 as the national average annual income.

Natalie Hobbs, a senior external communications specialist for BECU, said the credit union is encouraging affected federal employees to check their online Financial Relief Solutions page. On this page, they have resources like payment relief assistance, short-term loan modifications, mortgage payment suspension and personalized financial guidance.

Similar to STCU, Hobbs said BECU, which is based in Tukwila, Washington, is donating $200,000 to local food banks and pantries, which is double their usual annual donation. She did not mention specific programs or assistance designed solely for federal employees.

Kurtis Kelly, the director of marketing and community development at Canopy Credit Union, which was started by a small group of federal workers in Spokane in 1956, said the first and most important service Canopy offers members is the option to skip payment on car loans, mortgages and more. This is offered on a case-by-case basis.

Bank of America has its online Client Assistance Program, which offers personalized assistance to clients experiencing financial difficulties, according to a written statement from Senior Vice President of Media Relations Colleen Haggerty. Some of the options they have for members include deferred payments on credit cards, auto loans, mortgages and home equity lines of credit.

JPMorgan Chase customers who are struggling should reach out to the bank, said Darcy Donahoe-Wilmot, executive director of media relations and community engagement for JPMorgan Chase.

“We’d encourage any customer who’s been negatively impacted by the government shutdown or has questions to contact us directly through our special care line, visiting a branch or calling the customer support number on the back of their card,” Donahoe-Wilmot said.

Donahoe-Wilmot said the bank provides a variety of fee waivers and repayment plans, including mortgage forbearance, auto lending assistance, and waiving or refunding credit card late fees and minimum payment deferrals.

She said Chase is refunding monthly service fees and overdraft fees for customers they’ve identified as having direct deposits tied to federal government accounts and ended up missing payments.

Columbia Bank also is asking customers experiencing financial difficulty to call the bank.

“Columbia Bank is currently offering existing qualifying customers, who are federal employees impacted by the government shutdown, access to an emergency loan,” said Alexandria Plew, the senior communications manager for Columbia Bank, in an email. “Customers interested in applying or learning more should contact their local branch or our customer care team.

Amanda Swan, vice president of community impact and communications for Numerica Credit Union, said the credit union is offering flexible solutions to help members manage expenses during the shutdown. Loan extensions, such as due date adjustments, payment deferrals or skipping a payment are options available to Numerica members.

Numerica, based in Spokane Valley, is offering short-term funding to cover essential expenses until regular pay resumes through 0% interest paycheck bridge loans. Swan said Numerica, through its partners at GreenPath Financial Wellness, offers free financial counseling as well.

Many other banks, like Wells Fargo, offer financial guidance and assistance. Sunny Rodriguez, the senior lead communications consultant for Wells Fargo, said customers can use the Wells Fargo app or call to get information and help during such tumultuous times.

“Regardless of what financial institution you’re in,” Kelly said. “The best thing is to reach out and communicate. The worst thing (people) can do is say, ‘I know I’m going to miss a payment’ and just not call … As scary as intimidating as it is, the best thing they can do is communicate.”