Page 11 - Michigan Credit Union League: CU Impact Report

FALL 2020 CREDIT UNION IMPACT REPORT 11

Our Michigan credit unions know the integral $600 million
part that small businesses play as the backbone of
communities statewide. Thus, the focus during PPP
application eligibility was on the mom-and-pop in PPP distribution for
corner store, family-owned restaurant and beauty Michigan credit unions
salon owner.

“They are our friends and neighbors. They support local
sports teams, schools and non-profit organizations 10,400
to improve all our lives,” said Frankenmuth Credit
Union CEO Vickie Schmitzer. “They employ our family loans to small businesses
members and encourage others in our communities
to be creative and find solutions not yet met with their
entrepreneurial spirit. If credit unions don’t support
the small entrepreneur, who will?”
77,000
Through two rounds of PPP loans, an estimated 50
Michigan credit unions are closing loans on $600 employees positively impacted
million in funds to assist local business owners. As
stated, more than 10% of these very small businesses
that were assisted by credit unions became new
members after being unable to borrow from their 10% new or
existing bank. When turned away from for-profit
institutions, they found a welcoming community non-members
partner in credit unions.
who were turned away
“There are businesses who have already opened their by other lenders
eyes to a credit union, and those that would benefit
from doing so,” said LAFCU CEO Patrick Spyke.
“Credit unions are serving small businesses … period.
Many small businesses couldn’t seem to get traction
with their financial institution and are now opening
their eyes to the power of credit unions.”

The new partnerships between members and credit
unions that have come from this situation are forged
in the toughest times and build trust that will last
much longer than the current pandemic.

One business member, Matt Buskard, owner of
Bobcat Bonnie’s in Detroit, said joining a credit union
to apply for a PPP loan was one of the best decisions
he could make, “During a time when we all have
the option to assist others or judge them, the credit
union has chosen to assist me, truly proving that we
are all in this together and they are here to help.”

“Communication was wonderful, and I couldn’t
have asked for a better experience during difficult
times,” said another applicant and LAFCU member,
David Trumpie of Trumpie Photography. “I just
keep hearing stories of everyone having nightmare
experiences, and everything went great for me. I will
be working to move the remainder of my banking
to LAFCU going forward. This PPP loan will certainly
help in a very tough time.”