Vancity cuts credit card interest rate to 0%
Vancity has outperformed major credit card issuers by offering to temporarily cut interest rates on its cards to 0% and postpone minimum payments for those experiencing financial hardship due to COVID-19.
While many credit card issuers have offered to cut interest rates to 10%, the credit union, which has three branches in Victoria, will offer payment deferrals of up to six months at a rate of up to six months. 0% interest. Eligible cardholders can call Vancity to request relief.
“Vancity has been working since the start of the COVID-19 pandemic to meet the financial needs of our members and help them through these uncertain and difficult times. As we do this, we see the impact this is having through no fault of their own on people’s credit cards, ”said Tamara Vrooman, Managing Director of Vancity.
“Having access to credit for things like buying groceries online is vital for many families. Whether it’s credit cards or something else, I encourage all of our members who are facing financial issues to contact us.
Prior to the announcement, Vancity had worked with affected businesses and individual cardholders to offer lower credit card interest rates and personalized payment plans on a case-by-case basis.
Vancity also works with its clients to defer loans, such as mortgages, for up to six months.
The credit union pointed out that when it defers member loans, interest only accumulates on the loan balance – it does not make up interest on interest during the deferral period.
Vancity approved 97% of the 4,000 deferral loan requests it processed.
The credit union waived Interac wire transfer fees and ATM fees in Canada until the end of September to encourage people to bank outside of branches.
aduffy @ timecolonist
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