CCUA Resources to Help Credit Unions Support Members in a Shutdown

Dear Credit Union Leader,

When the federal government shuts down, even for a short time, the impact ripples far beyond Washington. Families face missed paychecks, communities feel the strain, and uncertainty takes hold. For hundreds of thousands of federal workers suddenly furloughed, the stakes are personal and immediate. That’s where credit unions step in. Guided by the principle of people helping people, they provide real relief and tailored support to members whose financial well-being is at risk during a shutdown.

The Cooperative Credit Union Association (CCUA) wants to ensure your credit union has timely information and resources to prepare.

A government shutdown occurs when Congress fails to pass appropriations bills or a continuing resolution to fund government operations. During this time, many federal agencies must suspend non-essential functions until funding is restored. The NCUA, Federal Reserve, and CFPB will remain operational, ensuring continued credit union deposit insurance. However, the SBA and FHA may pause loan processing and originations.

According to the latest data from the Congressional Research Service, Massachusetts employs approximately 26,000 civilian federal employees, Rhode Island has 9,000, New Hampshire has 5,000, and Delaware has 4,000 . While some employees may be deemed essential and required to work without pay, many others will face immediate financial strain. Military service members may also be affected, and some veterans’ benefits could be delayed. Social Security benefits generally continue, but administrative services may be slowed.

Credit unions have a long tradition of supporting members in times of uncertainty. We encourage proactive communication with members, flexible solutions such as deferred payments or emergency loans, and outreach to federal employees and contractors who are not yet members. During the 2018 shutdown, 62% of families reported depleting their savings, while nearly two-thirds of Americans could not cover a $500 emergency . This underscores the critical role of credit unions as stabilizing partners.

Regardless of a government shutdown, CCUA will continue to support member credit unions and advocate directly with lawmakers. We remain committed to ensuring credit unions are recognized as critical financial partners in serving their communities.

We will monitor the situation and provide updates as needed. Should you have any questions, don't hesitate to contact Jessica Avery, Director of Advocacy javery@ccua.org or 413-388-1240 or Adrian Velazquez, Chief Advocacy Officer, at avelazquez@ccua.org or 617-480-2219.

Regards,

Ron McLean
President/CEO
Cooperative Credit Union Association