BRONX, NY — Despite the current recession-or perhaps because of it-the $15 million Bethex Federal Credit Union has taken a strong position on small business and micro-lending and has recently announced a change to its lending practices.
Bethex, a community development credit union, said its business portfolio includes businesses owned by minorities and women and, in response to requests from its business borrowers, the credit union has recently modified its business loan policy to include an interest rate reduction for business and micro-enterprise members. In some cases, the credit union may lengthen the term of a loan, resulting in lower monthly payments while extending the life of the loan.
As an approved Small Business Administration (SBA) lender, the credit union reduced its interest rate is based on the SBA's permitted rate of prime plus 2.5%. By monitoring this rate on a daily basis, Bethex is able to offer its members the best possible rate for each loan that is approved, the CU said.
Complete your profile to continue reading and get FREE access to CUTimes.com, part of your ALM digital membership.
Your access to unlimited CUTimes.com content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical CUTimes.com information including comprehensive product and service provider listings via the Marketplace Directory, CU Careers, resources from industry leaders, webcasts, and breaking news, analysis and more with our informative Newsletters.
- Exclusive discounts on ALM and CU Times events.
- Access to other award-winning ALM websites including Law.com and GlobeSt.com.
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
