Economic Resilience in Response to the Coronavirus Outbreak
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Message from Our Executive Director
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Aloha,
As we face the economic impacts of coronavirus (COVID-19), Hawaiian Community Assets and Hawaii Community Lending wanted to share with you the measures our organizations have put in place and the actions we intend to take in order to ensure economic resilience of our people and our communities:
(1) Keep ourselves and our clients safe and healthy,
(2) Continue delivery of our services and products, and
(3) Share announcements and resources that may be available to assist you with your financial situation.
Mahalo nui loa for your time and kokua in sharing this information with your family, friends, co-workers, and employees.
At Hawaiian Community Assets and Hawaii Community Lending, we will remain vigilant and continue to assist our people to the best of our ability in ensuring economic resilience and limit the negative impacts of COVID-19 on our communities.
Malama Pono,
Lahela Williams
Lahela Williams
Executive Director
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Keeping Ourselves Safe and Healthy
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Effective immediately, HCA and HCL will implement the following measures to keep our staff and clients safe and healthy.
Limit In-Person Contact. Our organizations will ask all clients to answer screening questions before they receive in-person services. These screening questions will allow us to protect the health and safety of our team and reduce the likelihood of spreading the virus.
Clients who come to our offices in-person without a scheduled appointment will be prompted to call our office so they can speak with a representative to complete the screening questions before entering.
Encourage Online Use. Our organizations will encourage all clients to submit intake packets and loan applications and participate in education and counseling via secured
Drop Box.
For all clients who do not have the ability or capability to submit documents or participate in services online, our organizations will require clients to answer screening questions before they enter our offices or receive in-person services.
Teleservice. Our organizations have adopted a teleservice policy that will uphold the practice of social distancing among our staff located at our offices statewide. All staff will be available by email during their teleservice dates.
Internal Communication. HCA and HCL staff will report immediately to their direct supervisor if they feel ill, believe they have been exposed to COVID-19, or are diagnosed with COVID-19. These staff members will be placed on teleservice immediately and required to work from home until further notice.
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Continue Delivery of Services and Products
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Effective immediately, HCA and HCL will implement the following measures to continue delivery of our services and products.
Submit Client Intake Packets and Loan Applications Electronically. Clients will be encouraged to submit completed client intake packets and loan applications online via
Drop Box.
Our intake packets and loan applications can be accessed below:
- Client Intake. To enroll in free financial education and counseling services including matching grants to Native Hawaiians to obtain rentals or purchase homes.
- Emergency Loan Application. To apply for an emergency loan for first month's rent/deposit, past due rent, or past due mortgage.
- Consumer Loan Application. To apply for a consumer loan to payoff collections, public records, high-interest debt, payday loans, and consolidate debt and reduce monthly payments.
Virutal Workshops. Our organizations will ask all clients to answer screening questions before they will be allowed to attend in-person workshops scheduled through March 31, 2020. These screening questions will allow us to protect the health and safety of our team and reduce the likelihood of spreading the virus.
Starting April 1, 2020, all in-person financial and housing workshops will be suspended and workshops will be delivered virtually.
Virtual Counseling. Our organizations will encourage clients to participate in counseling via phone and webinar.
For all clients who do not have the ability or capability to submit documents or participate in services online, our organizations will require clients to answer screening questions before they enter our offices or receive in-person services.
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Announcements and Resources
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HCA and HCL will provide ongoing announcements and resources that may be able to assist you with your financial situation.
The following announcements and resources have been provided below:
Grants and Loans
- Kahiau Emergency Financial Assistance grants up to $2000 to Native Hawaiians for emergencies
- Coordinated Statewide Homeless Initiative provides emergency financial assistance for rent, security deposits, and utility payments
- Hawaii Community Lending offers loans for emergency housing payments and debt consolidation
Moratorium on Foreclosures and Evictions and Suspension of Utility Shut Offs
- HECO Suspends Disconnections for 30 Days
- HUD Suspends All Foreclosures and Evictions for FHA-Insured Mortgages and Properties for the Next 60-Days
- USDA Announces Foreclosure and Eviction Relief for Guaranteed Mortgages for Next 60 Days
Private and Public Sector Actions to Provide Economic Relief
- Bank of Hawaii Announces Forbearance and Extension Programs for its Borrowers
- Hawaii Community Lending Offers Borrowers Forbearance and Reduced Payment Options to Address Financial Hardship, Encourages Others to Do the Same
- USDA Drops Interest Rates for Single Family Home Direct Loans for Very-Low and Low-Income Buyers
- Joint Statement by Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, and Office of the Comptroller of the Currency on Community Reinvestment Act Activities Banks Can Take to Provide Relief to Customers and Invest in Community Development for Low- and Moderate-Income Communities
Consumer Protection
- Tips for Avoiding Coronavirus Financial Scams
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Moratorium on Foreclosures and Evictions and Suspension of Utility Shut Offs
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Private and Public Sector Actions to Provide Economic Relief
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Media Contact
Jeff Gilbreath Director of Lending and Development
(P) 808.587.7653
March 18, 2020
Hawaii Community Lending Offers Borrowers Forbearance and Reduced Payment Options to Address Financial Hardship, Encourages Others to Do the Same
Honolulu, HI - Hawaii Community Lending (HCL), a nonprofit Department of Treasury certified community development financial institution, announced today it will be offering its borrowers forbearance and reduced payment options in order to address the economic fallout from the coronavirus impacting its loan borrowers.
HCL provides consumer, housing, and business loans to unbanked and underbanked individuals, families, and entrepreneurs across the State of Hawaii. All HCL borrowers are unable to qualify at credit unions and banks and often rely on high-interest alternative financial services, like payday lenders, to make ends meet.
“Our borrowers are facing extreme and sudden hardship as a result of being laid off and seeing their work hours reduced through no fault of their own,” said HCL Director of Lending and Development, Jeff Gilbreath. “We are committed to provide the relief that is necessary for our borrowers to remain economically resilient. We hope other financial institutions in Hawaii will follow suit and temporarily lessen the debt burden our people are experiencing so we do not further exacerbate the negative economic impacts we are already seeing.”
According to Gilbreath, the Federal Reserve Bank of Chicago highlighted research in a 2016 report “
How did the Great Recession affect payday loans
” on the increased use of payday loans during the Great Recession. He fears the impact this will have on the Hawaii’s economy in light of the fact that the majority of payday lenders in the islands are headquartered off-shore and charge upwards of 460% APR.
“Our hope is that we will be able to expand our product offerings to include emergency grants and low-interest loans so our Hawaii residents do not have to rely on payday loans and other products that charge 40% to 460% interest,” continued Gilbreath. “If there are foundations, banks, and other investors ready to join us, we welcome them to come onboard. If you or someone you know needs a loan, call us. It is critical that we keep capital in Hawaii for Hawaii.”
HCL borrowers who wish to request a forbearance or reduced monthly payment, should contact its Loan Servicing Manager, Kahaunani Mahoe-Thoene at 808.775.9147 or [email protected].
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