Monthly Archives: February 2020

19 Feb

2020 RMLEFCU Unparalleled Community Impact Award

It’s time for the third annual RMLEFCU Unparalleled Community Impact Award!

This award is designed to honor a local law enforcement officer who demonstrates outstanding community service consistently. We created this award because we are constantly impressed with the exceptional community service our local law enforcement officers demonstrate and believe their good deeds should be formally recognized and appreciated. We value our members and their noble professions and would like to acknowledge the great community we serve.

In addition to the Unparalleled Community Impact Award, we will be honoring two additional officers with Outstanding Act of Service Awards, which honor individuals who have displayed a recent act of outstanding service. The award recipients will receive recognition in the form of a plaque, a prize, and public recognition at an Unparalleled Community Impact Event held in their honor at their department with a celebratory luncheon for attendees immediately following the event compliments of RMLEFCU.

Have anyone in mind?

Please submit your nomination below by filling out all the required information. The more detail you can provide, the better the selection committee will be able to choose a winner.

Deadline for all nominations is Friday, April 10th, 2020.

 

Unparalleled Community Impact Award Nomination 2020

  • Nominee Information

  • Your Information

  • Any More Relevant Information or Attachments

  • Drop files here or
18 Feb

Do Credit Unions Offer Better Car Loans?

Credit Union Auto Loan FInancing

Are you considering buying a car? You’ve probably started researching interest rates on auto loans from banks and dealerships, but there’s another option that you might not know about – credit unions to finance your purchase.

Credit unions offer savings and checking accounts, loans, and other financial services, similar to banks. The difference is that credit unions are member-owned not-for-profit organizations.

Instead of charging members fees for using their services, a credit union gives back to its members by offering them higher savings and investment return rates and lower interest rates on loans.

Having a car loan from a credit union could possibly yield lower interest rates, lower minimum loan conditions, and better lending approval chances.

What Makes Credit Union Auto Financing Different?

There are several benefits to using a credit union when it comes to financing your vehicle, as opposed to a dealership or bank.

You could have a better chance of getting a loan accepted. Since credit unions are smaller and concentrated on their communities, they appear to have a greater understanding of members who have less than perfect credit scores. If you have a limited credit history, that can make a credit union a much better option than a bank.

Credit unions commonly offer lower interest rates than banks or car dealerships. Since credit unions don’t rely on income the way banks do, they don’t have to make as much money on your loan. But don’t worry, the method of getting a loan remains very similar. At credit unions, the loan application process typically consists of checking your name, salary, work details, and credit history. You may even receive a decision quickly with the local decision-making after your application is complete.

When Should You Finance a Car Through a Credit Union?

If you are just starting to build credit or have a thin credit file, a credit union may be more likely than a bank or auto dealer to approve you for an auto loan.

If you are already a credit union member, it makes sense to see how their loan conditions compare with those of banks or dealerships. Before you visit the dealership, you can get pre-approved auto loans from your credit union to give you more negotiating power.

Obtaining a car loan through a credit union can come with a range of benefits depending on the practices of the individual credit union such as car buying options through Credit Union Direct Connect and AutoTrek. As a member, you may find lower interest rates and lower loan minimums.

To see if a credit union is right for you, research credit unions in your area, compare offers from different lenders and choose the one that suits your budget and financial situation. If you have any questions regarding RMLEFCU’s auto loans give us a call at 303-458-6660 or email lending@rmlefcu.org. Let’s get you in a new car!

13 Feb

Hidden Benefits of Credit Unions

credit union benefits members vector

There is one major difference between credit unions and commercial banks. Credit unions are not-for-profit financial institutions that exist to serve and pay dividends to members, while banks are for-profit institutions that only pay reported profits to shareholders.

Since credit unions are not for profit, they can focus on providing better services to their members. Here are some hidden benefits associated with joining a credit union.

Personalized Customer Service

Credit unions go above and beyond in helping their members achieve financial success through personalized service. Because credit unions are non-profit institutions, they will focus on helping members with their individual financial needs.

In addition, several credit unions offer training and counseling to help members understand complex financial issues. Here at RMLEFCU, we understand you or your family member is in a protective service occupation and we understand how stressful it is and what monetary needs occur in the line of service.

Higher Interest Rates

Unlike for-profit banks, credit unions can return profits to their members in the form of higher interest rates on products like CDs and savings accounts. The money you put into the credit union is also used to help fellow LEOs in their loans.

Lower Fees and Loan Rates

Credit unions tend to have fees that are lower and fewer charges for typical banking products.

Usually, the price for borrowing money from a credit union, defined as the interest rate or APR, is lower than what a bank would offer.

Community Focus

Credit union members often have similar interests because of membership requirements, live in the same geographic region, work closely together, or are active in a mutual organization. Members typically enjoy being part of a financial institution that serves customers ‘ needs almost as much as they do.

Voting Rights

When you are a member of a credit union, you get to vote on important decisions about the credit union, including choosing members of the credit union board. This is because you too become a credit union co-owner when you become a member. As a co-owner, you have a say in how the credit union is run, and you profit from those choices.

Your Community Benefits Too

Your local credit union is committed to supporting your local community and improving it. Credit unions will use the funds at their disposal to support and/or donate to local youth programs, charities, sports clubs, and cultural activities.

Are you ready to be a part of the RMLEFCU family? Click here to sign up to be a member or call 303-458-6660 if you have any questions.

05 Feb

What is a HELOC and Why Should You Have One?

Home Equity Line of Credit (HELOC) piggy bank under a house

In many places, home values have grown considerably for recent years, providing homeowners an opportunity to tap into the equity of their homes to make renovations or otherwise boost their overall financial picture.

Although a home equity line of credit (HELOC) may be a good way to quickly access cash, it is important to proceed with caution and have good reason to do so. We’ll explain the ins-and-outs of a HELOC and some reasons why getting one could be the right move for you.

What is a HELOC?

A home equity line of credit, or HELOC, is a second mortgage that gives you access to cash based on the value of your home. You can draw from a home equity line of credit and repay all or some of it monthly, similar to a credit card.

You borrow against your equity with a HELOC which is the value of the house minus the amount that you owe on the primary mortgage. Which means:

  • You might lose your home to foreclosure if you don’t make the payments because you’re using your home as collateral.
  • To get a HELOC you need to have plenty of equity. Typically, a HELOC allows you to borrow up to 85% of the value of the home subtracted by the amount you owe on the loans.

For something like a major repair or remodeling project that increases your home value, taking out a HELOC would be great. You should not get a HELOC if you’ll be putting yourself at risk of losing your home because you are unable to pay back what you are borrowing.

How Does it Work?

A HELOC works kind of like a credit card. You will borrow money up to a certain credit limit set by the lender and then pay it back, along with interest, the borrowed amounts. This option can offer more flexibility and you can even withdraw and make payments daily or weekly.

How Much Can You Borrow?

The credit limit for a HELOC depends on a number of factors, including your income and outstanding loans, but it is largely determined by the market value of your home and the amount you owe on your mortgage.

Say you have a $500,000 home on your first mortgage with a balance of $300,000 and your lender allows you to use up to 85% of your home’s equity. You may receive a HELOC with a limit of up to $125,000:

  • $500,000 x 85% = $425,000.
  • $425,000 – $300,000 = $125,000, your maximum line of credit limit.

What Would I Use a HELOC For?

A HELOC is commonly used for home repairs and upgrades. If you use the money to buy, build, or substantially improve your house, the interest on your HELOC may be tax-deductible.

Some people also use home equity lines of credit to pay for education. You should not use a HELOC to pay for vacations and vehicles because those expenses do not build wealth, and if you default on the loan, you run the risk of losing the home.

How to Get a Low-Interest Rate

 You can automatically get a low-interest rate just by being a member of RMLEFCU! A good credit score can lower your interest rate even more. Order your free annual credit report from one of the three credit offices (Experian, TransUnion or Equifax) or check the RMLEFCU app to check your credit score. If you’re close to the cutoff lines between a good and excellent score, spend some time and raise your score before you apply for the HELOC.

When you’re ready to have a little extra cash, give RMLEFCU a call at 303-458-6660 or email lending@rmlefcu.org. We’ll get you the best rates.