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Oct 16 2025 • By Melissa Czarnik

Media Release: Federal Employee Loan Program

HFLS TO OFFER MILLIONS IN INTEREST-FREE LOANS TO REPLACE MISSED PAYCHECKS FOR FEDERAL EMPLOYEES AFFECTED BY GOVERNMENT SHUTDOWN

FOR IMMEDIATE RELEASE
Press contact: David Rosenn, drosenn@HFLS.org, 212-687-0189

NEW YORK CITY (October 16, 2025) — Responding to the financial strain on federal employees who have been furloughed or are working without pay, the Hebrew Free Loan Society (HFLS) will provide interest- free loans to replace missed paychecks for low- and moderate-income federal workers who reside in New York City, Westchester, Nassau, and Suffolk Counties.

The Hebrew Free Loan Society’s Board approved an initial allocation of $2 million for the program, with further funding available if demand requires. As of September 2025, there are over 44,000 federal employees in New York City alone.

To apply for a loan, borrowers should visit www.HFLS.org/FederalEmployee.

“Few families can afford to miss even one paycheck before they start to suffer financial challenges. We felt the community should respond, and interest-free loans will help to ensure people have what they   need to make ends meet now without having to pile up credit card debt or raid retirement accounts,” said Rabbi David Rosenn, President and CEO of the Hebrew Free Loan Society.

The program will operate as follows:

  • Loans of up to $7,500 are available with no interest and no fees. Borrowers repay only the amount they have borrowed.
  • HFLS will determine income eligibility by the employee’s federal government paystub.
  • Borrowers must provide one guarantor.
  • Affordable monthly repayments will be suspended until four weeks after the government reopens.

Contractors and other workers affected by the government shutdown who are not federal employees can also access interest-free loans at HFLS by applying for a General Needs loan at www.HFLS.org.

About the Hebrew Free Loan Society

The Hebrew Free Loan Society (HFLS) is a nonprofit lender making 0% interest loans to help low- and moderate-income New Yorkers of all backgrounds achieve financial stability and upward mobility. Founded by immigrants on New York City’s Lower East Side in 1892, today HFLS makes over $35 million per year in interest-free loans for housing, college, job training, small business and general consumer needs.  Learn more about HFLS by visiting www.HFLS.org or visit our pages on LinkedIn, Facebook, and Instagram.

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