Budget Impasse Loan

PSECU has developed a special 0% Annual Percentage Rate (APR) PA Budget Impasse Loan*.

Loan Details

• 0% APR line of credit during the 2009/2010 PA budget impasse and for 60 days after the budget is signed by the Governor. Any remaining balance after that time will begin to accrue interest at a low rate of 3.9% APR.
• A $1,000 line of credit will be available on each pay date affected by the impasse. The line of credit will be increased in $1,000 increments every two weeks during the impasse.
• No penalty for early repayment.

In Order To Be Eligible, You Must

• Be a PSECU member who meets established criteria. (Not a member? Apply now using promo code SB123.)
• Have a Payroll Direct Deposit from the Commonwealth of Pennsylvania established with PSECU. (See your payroll office to set up Direct Deposit with us.)

After you have a PA Budget Impasse Loan set up, it will be available for use on your first affected pay. If your first affected pay is on or before July 17, the loan will follow a bi-weekly cycle starting on the 17th. If your first affected pay is on July 24, the loan will follow a bi-weekly cycle starting on the 24th.

Important: The money is available as a line of credit. You have the option to use - or not use - the money. If you choose to use it, you will need to "advance" your loan into your checking or savings shares.

After you advance your loan into a share, you can use the money to pay loans or access your money with your PSECU Check (debit) Card. You can use the card to withdraw at an ATM and/or make purchases. When using debit with the PSECU Check Card, you must have funds available in your checking shares or your transaction will be declined.

How to Advance Your Loan

The fastest and easiest ways to advance your loan are with psecu@home® and the Self-Service Telephone (SST).

Online with psecu@home:

• Log into your account through psecu@home
• Select "Move Money"
• On the "Transfer" page, choose "PA Budget Impasse Loan" from the "Transfer From" drop down menu
• Choose the share or loan you want to transfer to
• Enter the transfer amount and select the "Continue" button
• Verify your transfer information and select the "Transfer" button to complete the transfer

If you don't have psecu@home, setting it up is easy. Click here for instructions. You'll be assigned a password which you can use right away. You can change your password after you log in.

Self-Service Telephone (SST)

To advance the loan to (S4 shares), call 717.236.9150 in Harrisburg or 800.435.6500 nationwide. You will need your member account number and your account PIN.

• Enter transaction code 83, followed by the # sign
• Enter 90 as the loan to transfer from, followed by the # sign (If you have only this loan, you won't be asked for a loan number.)
• Enter the amount to transfer, followed by the # sign
• If this is correct, press the # sign

You may also call a Member Service Representative in Harrisburg at 717.234.8484 or 800.237.7328 nationwide. Only the member (not a joint owner) will be able to call to request information or request a transfer. Please be aware that due to this special loan program, we have been experiencing higher than normal call volume.

Draw Period

You can continue advancing your loan at 0% APR during the 2009/2010 PA budget impasse and for an additional 60 days after the budget is signed by the Governor. After the 60 days, the 0% APR increases to 3.9% APR. You will be unable to advance the line of credit after the 60 days. PSECU may cancel this PA Budget Impasse Loan at any time.

How to Repay

Your first payment will be due 90 days after the 2009/2010 budget is signed. The fastest and easiest ways to repay your loan are with psecu@home® or the Self-Service Telephone.

There are other options for making loan payments. Coupons will be sent to you before the first loan payment is due. To repay prior to receiving the coupons, please follow these instructions:

1. Make checks payable to PSECU/L90
2. Enclose a sheet of paper with your name, account number and the words Loan 90.
3. Mail to:
   PSECU P.O. Box 67012
   Harrisburg, PA 17106-7012

Other choices for repayment include transfers from any PSECU share, payroll deduction, or direct payment from another financial institution. To change from coupons to another method, simply give us a call. Remember, there is no prepayment penalty. Also, if you repay the entire balance on the loan within 60 days after the budget is signed you will pay no interest.

Sample Timeline:

• Midnight 6/30 - No signed budget
• 8/05 - Budget is signed, 60 days at 0% APR and to draw funds (draw period)
• 10/05 - Rate increases from 0% APR to 3.9% APR and no draws
• 11/03 - First payment due. ($20 monthly for every $1,000 borrowed.) Read the LOANLINER® Addendum for full details and payment schedule

For additional loan options and helpful tips, click here.

*The 0% Annual Percentage Rate (APR) PA Budget Impasse Loan (PBIL) is available only to PSECU members whose accounts receive a Commonwealth of Pennsylvania (PA) Direct Deposit that is affected by a 2009/2010 budget impasse. PSECU will provide PBIL participants with a line of credit in $1,000 increments on the day(s) of their regular Commonwealth payday beginning on or after July 17, 2009. The 0% APR is effective during the impasse and for a 60-day period after the Governor signs the budget. Any balance remaining after that period will begin to accrue interest immediately at a rate of 3.9% APR. Rates are effective as of July 17, 2009. PSECU reserves the right to discontinue or alter the PBIL at any time. For complete details, visit psecu.com/state and read the LOANLINER® Credit and Security Agreement and LOANLINER® Addendum.