Residential Direct Loan COVID-19 Assistance

I have signed  as a Borrower a Consumer Loan Note or Note, Disclosure, and Security Agreement, as may be applicable. I am paying my monthly loan payments to Concord Servicing Corporation directly.

You should have received a letter from Concord Servicing Corporation that allows you to opt-in to a six-month loan payment deferral. If you have not received the letter, please contact us at [email protected] or 587-3868.

Should you opt-in to the six-month temporary loan payment deferral and complete and sign the necessary documents to migrate your monthly loan repayment to your utility bill (“on-bill”), these are the benefits that you will receive:

  • There is no payment due for six months. On month 7, your principal and interest payment amount due will resume and be charged as a Program Charge on your monthly electric utility bill, which is also the first month of your on-bill loan repayment. On month 7 you will see a prorated Program Charge that is less than your regular Program Charge amount, depending on the start of your utility billing period. Thereafter, you will see the regular Program Charge amount on your monthly utility bill. Your final on-bill Program Charge will be another prorated amount to make whole the prorated amount from the first month.
  • No interest will be charged or accrued during the concurrent six-month period that there is no payment due. Starting on month 7 with your first on-bill loan payment, your annual, fixed interest rate will be reduced to 5.50% from 5.99% until the loan is paid in full.
  • Your Loan Maturity Date will be extended by an additional 6 months and you will continue to be charged the Program Charge for an additional 6 months until the new Loan Maturity Date.

The six-month temporary loan payment deferral is available until May 31, 2020. 

Here are some FAQ to help:

I want to opt-in, but I am confused on who needs to sign the letter I’ve received from Concord. All individuals who signed as a Borrower the original Consumer Loan Note or Note, Disclosure, and Security Agreement, as may be applicable, must sign the letter. Only then will the letter, combined with the completed Utility Authorization signed by the Hawaiian Electric Companies Account Holder(s), will constitute as a Deferral Agreement. If more than one individual signed as a Borrower, each individual can submit the signed signature page electronically, by facsimile, or by mail as indicated at the end of the letter. 

I want to opt-in, but I am told I need to sign an additional program document. What is it?  As part of the terms and conditions of the GEMS Financing Program, you granted HGIA a security interest in the Energy Improvement financed via your executed Consumer Loan Note or Note, Disclosure, and Security Agreement, as may be applicable.  Unfortunately, the State’s Land Court system does not accept UCC-1 Financing Statements and instead requires an additional document titled “Purchase Money Mortgage” (“PMM”).  Please be assured that this document only grants HGIA a security interest in the equipment we financed, as originally agreed.  It is not a mortgage over your real property.  Unfortunately, Land Court also requires this document to be notarized.    For notary services, we recommend checking with your bank or credit union for availability.  There are also mobile notary services available if you are unable to leave your home.  We appreciate your cooperation and will be contacting you directly when we receive your request to opt-in for the Program Charge reduction and deferral, to provide you an estimated time frame to receive the PMM document and answer any additional questions you may have.

I don’t want to opt-in to the six-month temporary loan payment deferral. What happens then? If you do not want to reduce and defer your Program Change, then no further action is required. There will be no changes to your current Obligation term and payments. You will continue to see your original monthly Program Charge on your utility bill and your Obligation Maturity Date will remain the same.

Can I pay off my loan? If you opt-in to the six-month temporary loan payment deferral, you will not be able to pay off your loan during the six-month deferral period. Should you want to pay off your loan within the next six months, please contact us at [email protected] or 808-587-3868. If you want to pay off at a later time, you can still do so with no prepayment penalty.

What if I need additional payment assistance beyond the six-month temporary loan payment deferral period? Please check our website for updates. At this moment we only have approval for the six-month deferral period. Our staff and Board of Directors will continue to monitor the economic impact of COVID-19, and any changes to the Temporary COVID-19 Assistance will be posted on our website.