Community Financial Credit Union

Preparing Your Finances for Emergencies

2012-01-23T12:27:00.002-05:00

When an emergency strikes, you may not have time to grab all your important belongings. Therefore, be sure to take steps in advance to protect certain documents. Follow these steps to prepare yourself financially for an emergency.

Keep important documents safe. It’s easy to forget about the documents you rarely use, such as your marriage license or birth certificate. You should store these in a fire proof safe at home, or consider renting a safety deposit box to store original copies.

Create an emergency kit. This could be a waterproof box with a lock or any type of safe compartment. Your emergency kit should include copies of your original documents, health insurance cards, telephone numbers for emergency contacts, and emergency cash.

Always have a rainy day fund. Get in the habit of saving money for an emergency. It helps to setup a separate account specifically for this fund. It’s always better to be prepared and you can learn more about saving by reading our previous post.

Community Financial Credit Union offers a variety of savings accounts to help you be prepared. Learn more about Community Financial by visiting one of our branch locations or calling us at (877) 937-2328. We’ll be happy to answer your questions and assist you with any of our services.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Winter Savings Tips – How to lower your Heating Bills

2012-01-16T12:29:00.002-05:00

With winter weather sweeping over Michigan, it’s smart to pay attention to the amount you spend on energy bills. If you haven’t prepared your house for the winter, here are a few easy steps:

Cover up drafty windows. Use a strong, clear plastic sheet to cover any drafty windows. Make sure you seal it tight to keep the heat in. You can also try installing tight, insulation drapes or shades for your windows.

Monitor and adjust your temperature. This is a good habit to get into. When you’re home, keep your thermostat at a comfortable temperature. Always turn it down when you’re out for the day. The US Department of Energy claims that turning it down your thermostat 10-15 degrees for eight hours can save around 10% a year on your heat bill.

Maintain your heating system. To keep your system at its best performance, it’s always good to replace air filters and schedule regular maintenance. If you’re looking to try alternative heating options, make sure you follow these Safety Tips from US News and Money.

For more information on how you can save on Energy check out this Energy Savings Guide from the State of Michigan. Lowering your energy use is good for the environment and for your pockets. Stay warm and keep an eye on your heating bills this winter!

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Strategies for Handling Your Debt

2012-01-09T11:02:00.004-05:00

Is your New Year happy or are you faced with the daunting challenge of paying off debt? Debt issues can limit financial options if they are not managed properly. These suggestions can help you plan to reduce your debt and ease your financial burden in the future.

Analyze your situation. Review the different types of debt you have, including the interest rate each creditor is charging, and how your money is being spent. This high-level view can help determine how much debt you are actually dealing with and help you plan accordingly.

Plan and Prioritize. Is it better to pay off smaller debt or larger debt first? Paying off small debt may give you a sense of accomplishment, and you can add the money saved towards other bills. Take a look at your situation and work with a financial professional to see which steps will save you the most money. With credit cards, always try to pay more than the minimum balance which saves money on interest.

Set Goals. Develop a plan that fits your budget so you can manage your debt. If you need help, work with a financial advisor who will likely be able to provide some options to help.

Community Financial may be able to help you lower your rates and get a better handle your debt now. Learn about our debt consolidation loans now. For financial counseling, we recommend Accel Financial Counseling.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Preparing for the New Year: What to Shred

2012-01-03T12:18:00.008-05:00

According to the Federal Trade Commission, as many as 9 million Americans have their identities stolen each year. It’s important to make sure that the right documents from this past year are saved, and the right ones are destroyed.

MSN Money lists eight things you should shred right now:

Old tax returns. The IRS recommends saving tax returns for three to four years in a firebox, anything older and you are safe to shred.
Bank statements. If you’re tired of keeping paper statements around, switch to eStatements and let your financial institution store them.
Credit card offers. Always destroy credit card offers you receive in the mail.
Old photo IDs. Get rid of old passports & drivers licenses just for safe measures.
Pay stubs. Old pay stubs can provide fraudsters with target information.
Convenience checks. They often come from credit card companies and can be used to borrow money from your line of credit. Shred them if you’re not going to use them.
Canceled checks. Make sure to shred any canceled check, even if you wrote void across the check.
Canceled credit cards. Just to stay on the safe side, it’s best to shred or cut up any old cards.

Along with shredding documents, it is important to review your information online. The beginning of the year is a great to time to check your credit for any fraudulent activity. You can get a free credit report now from www.annualcreditreport.com.

Community Financial Credit Union takes extra steps to protect your information. However, there are steps you can take to protect yourself from identity theft. Learn more in our previous post. If you have any questions feel free to visit one of our branch locations or call us at (877) 937-2328.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

New Year, New You: A look at your next year’s finances

2011-12-28T11:23:00.004-05:00

The start of a new year is a great time to rejuvenate your financial health. It is a good idea to reevaluate your financial goals and budget. This annual exercise will help you stay focused and manage your finances successfully. A great way to get started is to consider these questions.

What are your goals? A great first step is to outline your financial goals for the year. Remember to include any major events coming up, such as a vacation as well as any big ticket purchases you might need to make. Remember to include retirement savings too. While you can’t plan for everything, setting goals will help you save and prepare for the year.

What is your budget? With goals for the year in place, setting up a realistic budget is the next step. If you haven’t drawn up a spending plan, get started now. If your household already has a budget in place it’s always good to review it and adjust accordingly. Please visit our previous post for more on budgeting.

What loans can you refinance? Refinancing outstanding loans with a lower rate will help you start saving money immediately. A good place to start is by shopping around at your local credit union. Community Financial Credit Union can help you review your credit.

One more important step to consider is saving money for emergencies. It’s a good idea to always have a rainy day fund just in case the unexpected happens. Payroll deduction is one of the most painless ways to set money aside.

Start your new year off right by planning for your financial health and avoiding trouble later. Learn more about how Community Financial can help you with payroll deduction and more. Have a happy and healthy new year!

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

eServices - All you need to stay on top of your finances

2011-12-19T10:22:00.005-05:00

Today’s technology has revolutionized the way we bank. It has leveled the playing field between mega banks and your community credit union. Thanks to free ATM networks, smart phones and the internet – you can bank from anywhere.

Community Financial’s new eServices gives you 24/7 access to your credit union accounts safely & securely using today’s latest technology. Here is a brief overview of what our eServices can do for you.

eBanking, our free online banking access at www.cfcu.org, allows you to view account balances, transaction history, even pending transactions on your accounts. Transferring money between your credit union accounts or to other financial institutions is also right at your fingertips. You can even customize “My Homepage” so the information you use most is front & center when you login.

ePay, our bill paying service within eBanking, lets you pay anyone from your credit union checking account including businesses, individuals and charities. It is simple to enroll and customize your payee list. Then all it takes is a few clicks to pay bills - no need to write a check or find stamps.

eAlerts are customized emails or text messages that you send from eBanking when certain events occur. For example, you can set an alert when your checking balance falls below $50 or your car loan payment is due. eAlerts help you stay connected to your money and avoid mishaps.

eStatements, eNotices & eReceipts are paperless ways to receive important information on your accounts. Just tell us you want to go green and we will email you when your statements are available to view in eBanking.

Community Financial’s new eServices have everything you need to make banking easy, fast and convenient. Take a few minutes to set up your account, get comfortable with the options, and enjoy the freedom of eBanking!

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Tis the Season of Giving! Community Financial is donating over $50,000 to local schools and non-profits.

2011-12-12T08:13:00.010-05:00

Our Season of Giving campaign has just kicked off! On behalf of our members, Community Financial Credit Union is donating over $50,000 to local non-profits and schools throughout the month of December.

In the spirit of the holidays, each organization will be surprised with a donation from Community Financial. The gifts will be kept under Community Financial's giving tree. Join us on Facebook where the winners will be announced every weekday!

“The schools and non-profits in our communities do so much good work throughout the year, and we wanted to show our appreciation,” said Bill Lawton, Community Financial President and CEO. “As a community credit union, it is part of our mission to support our communities and we are proud to be able to do that this holiday season.”

Gift recipients so far include The Ostego County Community Foundation, Gaylord area schools, Hillman and Atlanta area schools, JoBerg/Lewiston area schools and the Community Foundation of Northeast Michigan.

Community Financial Credit Union is a not-for-profit institution that gives back to the community. To learn more about upcoming programs and community events connect with us on Facebook and Twitter.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Campaign for Your Community: Helping the Plymouth Community United Way

2011-12-05T10:16:00.001-05:00

At Community Financial Credit Union, we believe engaging in our communities is one of the best ways to keep them vibrant and successful. That’s why we give back to our local non-profits and schools throughout the year. Part of that effort includes our work to raise money in support of the Plymouth Community United Way’s Campaign Drive.

During this annual campaign, our employees enroll to have donations deducted from their paychecks; all donations are then matched by Community Financial. Community Financial has been a Silver Campaign Sponsor for the past 13 years.

Even a little amount can go a long way for our community. If you see the payroll deduction application come across your desk, consider signing up! Not every company offers payroll deduction contributions.

The Plymouth Community United Way serves all of Western Wayne County. The foundation helps support the community by providing emergency shelters, food pantries, and other services for struggling families. Contributions are made for basic needs and stability resources such as crisis intervention, educational and youth development services, family services, and job training. Learn more about the Plymouth Community United Way and how you can help.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Picture Perfect Michigan Success

2011-11-28T09:45:00.002-05:00

Community Financial’s second annual Picture Perfect Michigan photo contest was a success! With dozens of entrees received, we celebrated beautiful places across Michigan.

Each week our Facebook fans posted photos of special moments and locations in Michigan. We received photos from all over the state, including photos of Detroit, Plymouth, Lake Michigan, Northern Michigan and many other great settings!

“At Community Financial, we celebrate being a part of our community,” said Sarah Cousineau, Community Financial Marketing Manager. “We’re happy to give back to those who helped us capture and share wonderful photos of Michigan.”

Visit our YouTube channel to see some of this year’s photos. Do you have another photo you’d like to share? Even though the contest is over, you’re always welcome to post your photos and comments on our page at Facebook.com/CommunityFinancial. We’re always happy to hear from you.

Community Financial Credit Union is a not-for-profit institution where giving back to the community is part of our mission. To learn more about upcoming programs and community events connect with us on Facebook and Twitter.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Features worth Finding in a Financial Institution

2011-11-22T13:45:00.003-05:00

When we’re shopping we usually look for not only the best deals but also the best service. The same applies to selecting a financial institution. If you’re thinking about making a switch, here are some qualities to look for.

Free checking. Lately many banking institutions are charging for checking. At Community Financial Credit Union we off truly free checking. That means no hidden requirements and no debt card fees. You can open an account with just $5.

Great rates. Ask about the interest rates you can get on your savings or checking accounts and look for low loan and mortgage rates. Remember that every institution has different rates, and the rates are subject to change. Credit Unions like Community Financial typically have lower rates on loans and mortgages than banks.

Customer service. Even in a world where we often prefer the ease of online banking, customer service is still key. At Community Financial you’re more than just a number to us. We’re here to personally assist you through your financial decisions. That’s the kind of relationship we believe you should be able to have with your financial institution.

Are you making the switch? It’s not as hard as you think. At Community Financial we make banking easier. If you’re interested in learning more about the difference between credit unions and banks, read our previous post. Community Financial is here to assist you with any questions you have about our services. Feel free to visit one of our branch locations or call us at (877) 937-2328 and we’ll be happy to help you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Holiday Travel Tips from Community Financial

2011-11-14T09:07:00.003-05:00

The holidays are right around the corner! For those of you traveling this holiday season, here are a few tips from Community Financial Credit Union to prepare yourself financially.

Purchase your tickets early. Plan ahead and order your ticket early to find the best prices. Be flexible with the days you choose. Traveling on less popular days can save you time and money. Wednesdays are usually the cheapest days to fly.

Avoid overspending. The best way to avoid overspending is to stick to your budget. This doesn’t just include holiday shopping, budget for all of your travel expenses.
Set money aside for an emergency. Read our previous post for more on budgeting.

Take precautionary steps to prevent identity theft. Due to an increase in attempted identity theft, Community Financial closely monitors any foreign transactions. If you are planning to travel abroad for the holidays, please let us know. We will monitor and assure that all of your Visa transactions are processed smoothly.

Fraud and identity theft are serious issues. Learn how to protect yourself from fraud. Taking these extra steps can help you have a safe and enjoyable holiday. Feel comfortable financially this holiday season and stick to your travel budget.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

The Cost of Thanksgiving: donating to those in need

2011-11-07T09:30:00.004-05:00

In honor of the Thanksgiving holiday, Community Financial Credit Union is collecting canned food to donate to families in need.

Over the last ten years, the cost of Thanksgiving dinner has increased dramatically. Last year the average cost of a classic, home-made turkey dinner for ten was $43.47 according to the American Farm Bureau Federation. Rising food costs and high unemployment mean many families are struggling to put food on the table this year.

“Last year the community really turned out to help,” said Community Financial Plymouth Branch Manager Mark Evenson. “We collected hundreds of cans of food to help make Thanksgiving easier for local families. Donations made at our office go to the Plymouth Salvation Army food pantry; they serve all of Western Wayne County.”

Please help make these efforts a success by donating canned food this week at any Community Financial branch. Donations are collected at all our branches and distributed to local food panties year round.

Our credit union members care about the community and this program is one of the many ways we support their efforts to make a difference. You can learn more about our community involvement, including scholarships, financial literacy programs and donations by joining us on Facebook and Twitter.

Thank you and Happy Thanksgiving!

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Holiday Planning: Shop Online to Save Money

2011-10-31T10:50:00.003-04:00

While the weather outside is getting colder, your home is a warm and cozy place to shop from. If you’re considering shopping online this holiday season, remember you can reap lots of benefits if you shop smart.

Save your money by using comparison sites. While websites such as Amazon.com and Ebay.com are great places to shop online there are other websites you can use to help compare prices. Try sites such as pricegrabber.com, shopzilla.com, or Google Shopping. Taking the time to research products and prices will help you find the best deals online.

Keep an eye out for discounts on shipping. One of the benefits of shopping online is the convenience of having everything delivered to your home, but be careful not to pay too much for shipping. During the holidays most sites will offer some kind of free shipping, typically on larger purchases or limited time offers. Try searching on Freeshipping.org for free shipping codes.

Stay away from window shopping even online. Shopping sites will suggest items you may like based on your selections, be careful not to add extra items to your cart. Make a list of items and stick to your list. Window shopping may entice you to spend more than you planned.

Shopping online can help make your holiday shopping easy and stress free. It keeps you out of those busy stores and can help you stay focused. Plus, you get to avoid all the crowds and enjoy the season. However, if you are worried about your holiday budget make sure to check out our Visa credit cards. Community Financial offers great low rates for our members. Learn more by visiting our site here.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Financial Decision Making: How to avoid decision fatigue

2011-10-26T10:56:00.004-04:00

Did you know? The human brain is more susceptible to impulsive decision making at the end of the day than at the beginning. It’s called “decision fatigue” and is caused by the wearing down of willpower and mental energy throughout the day by all the decisions consumers face, according to the NYT.

Decision fatigue can negatively affect financial health if we allow ourselves to make big decisions at the wrong time of day. Wise financial choices require a strong, clear state of mind. That’s why morning is the best time of day to make important decisions.

The more decisions we make throughout the day, the less strength we have and the more susceptible we become to impulsive purchases. This leaves us vulnerable to marketers and salesmen (who call us at dinner time!!?) so that by the end of the day, decision fatigue can cost us money.

Here are some tips to help avoid decision fatigue:

· Arrange to make important financial decisions in the morning

· Avoid shopping trips after work

· Make lists and plan ahead

· Set financial goals to help you become financially fit.

Nobody wants to end the day with buyer’s remorse and fortunately proper planning can help avoid decision fatigue.

For more information on how stay financially healthy, read our previous posts on budgeting and saving. Community Financial Credit Union is here to help you with any questions. Stop by one of our convenient branch locations for further assistance.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Holiday Planning: Budget to Reduce your Holiday Stress

2011-10-17T11:57:00.004-04:00

With holiday parties, family events, shopping and cooking, you may feel stressed as the holiday season approaches. When it comes to shopping, you should plan ahead and set a budget to help you manage your money.

Make a list. It’s never too early to start planning. Brainstorm your gift ideas ahead of time. We all know it can be easy to window shop and purchase extra items during the holiday season. Making a list will help you stick to your plan.

Setting a budget is crucial. A budget will help you feel less stressed and help you control the amount you spend. You can research different prices for your gift items. Shop around but set a spending limit and stick to it.

Always check out sales. The day after Thanksgiving is a big day for sales, but if you want to avoid the crowds check out the sales online. Some websites will offer deals similar to those in stores. You can stick to your budget and maybe even save more than you planned.

Apply for a credit card. If you’re worried about not having enough money, use a credit card from Community Financial. Credit cards can be a great way to help you pay for your gifts later but remember your budget. If you manage your credit card payments wisely you can build good credit. Learn more on how to build good credit in our previous post.

You can enjoy your holiday shopping if you plan ahead and avoid unnecessary stress. If you are in need of a little help, learn more about the Visa credit cards Community Financial offers.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

A Look at Fees in the Banking Industry

2011-10-10T11:02:00.002-04:00

You may have heard the news recently that banks have started charging monthly debit card fees. At Community Financial Credit Union, debit card use remains free. However, many financial experts warn that customers at traditional banks may find debit card fees to be a new trend in the banking industry. To protect yourself, we recommend taking positive steps to analyze your relationship with your financial institution.

Be proactive. As a customer, you always have a choice. Find out if your institution will be adding such fees. Banks have the right to charge fees, and different banks will charge different fees for their services.

Consider your options. Credit unions like Community Financial do not charge debit card fees. We are a not-for-profit financial institution where earnings are returned to members in the form of better rates and lower fees. Credit unions offer the same services as banks but are more focused on the people they serve. Learn more about the difference between banks and credit unions by reading our previous post.

Avoid unnecessary fees. Many banks charge monthly fees for checking accounts as well as charging for debit card use. Instead, you can choose an institution that works for you. At Community Financial we offer both free checking and free debit card use to our members. Becoming a member is as simple as opening a $5 savings account.

If you choose to close your accounts, make sure they are completely closed. The Detroit News offers tips for accurately closing accounts and avoiding additional fees.

It’s your money – make sure it’s in good hands. If you would like to learn more about Community Financial, visit one of our convenient locations or call us at (877) 937-2328. We’ll be happy to answer your questions and assist you with any of our services.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Used Car Shopping Tips

2011-10-04T13:26:00.004-04:00

Buying a used vehicle can be a great way to get a quality vehicle for a lower price. At the same time, the fact that the vehicle has a “past” can introduce some uncertainties. If you are shopping for a used car, there are steps you can take to help find a safe, reliable vehicle.

Certification. Find out if the car you’re interested in is a certified pre-owned vehicle. This is an attractive alternative to purchasing a new car. A certified pre-owned vehicle has met stringent guidelines set by the manufacturer and typically comes with a limited warranty. Each auto manufacture has slightly different certification procedures, so ask the dealer for information about the manufacturer’s pre-owned certification program.

History. Every used car has a history, and you can get a CARFAX report by entering the car’s Vehicle Identification Number (VIN) at Carfax.com. A VIN is a 17-character unique number assigned to each vehicle. It can be found on the dashboard at the base of the windshield and the driver’s side door. All of the vehicle’s recorded history including repairs, odometer readings, accidents and title information are documented using the VIN. However, only accidents and repairs that are reported or performed by a professional mechanic will be recorded in this history.

Condition. Find out how the car runs. When you take the vehicle for a test drive, ask if you can drive it overnight. Prove you’re insured and agree in writing that you won’t drive for more than 100 miles. Also, ask the owner to let you take the car to your mechanic. It’s wise to have someone you trust check the vehicle and evaluate any repairs it may need.

In recent years, prices for used cars have increased. It is important to make sure you have extra funds for any immediate repairs. Community Financial Credit Union offers great low rates on Auto Loans. Find out more at one of our convenient branch locations.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Celebrate Fall with our Picture Perfect Michigan Contest

2011-09-26T12:03:00.004-04:00

Fall is a beautiful season in Michigan! The trees are ablaze with color and the weather is cool and crisp. It’s a great time for photography and Community Financial invites you to enter your favorite photo from any season in our Picture Perfect Michigan contest.

We’re hosting the Picture Perfect Michigan contest on our Facebook page. Each week one photographer will receive a $25 Visa gift card from Community Financial. Simply join us on Facebook and upload your favorite picture of Michigan from your personal photo album.

Once your photo is uploaded to our Facebook wall, users can click “like” to vote for your picture. Votes will be tallied from the number of “likes” each photo receives. Every Friday at noon the “likes” will be counted and Community Financial will announce the winner by posting on Facebook. To qualify, photos must be your own original property. Entrees are limited to one photo per week and contestants must be 18 years of age or older.

Last year’s contest included spectacular photos of Michigan. Take a look at some of the entrees by visiting our YouTube channel. We’re looking forward to this year’s pictures! Join us on Facebook now for your chance to receive a $25 Visa Gift Card by sharing your photo of Picture Perfect Michigan!

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

What to Know about Your Credit

2011-09-19T09:20:00.006-04:00

By: Michelle Richards, Education Partnership Coordinator II

Michelle Richards of Community Financial

Whether you are applying for an auto loan or signing up for cell phone service, your credit score is an important factor in many areas of your financial life. That’s why it’s important to understand what your credit score says about you and how your score is determined.

Your credit score is a number between 850-300 that rates your ability to handle debt. Credit scores can be rated on a scale similar to this example: 850-730 (A+), 729-680 (A), 679-640 (B), 639-600 (C), and below. But what does this mean to you? You’ll pay considerable more for a “C” rated car loan than an “A+” rating. And if you fall too low, you‘ll be shut out of borrowing altogether.

To examine your credit, get a free credit report from Annualcreditreport.com. While the report is free, please note that there is a $7.95 charge to get your credit score. When viewing your report, you should always check to make sure it is accurate. An estimated 48% of credit reports have errors in them. If you find any evidence of fraud you should immediately contact the credit bureau. More information about this is available in our previous post, What to do if you are a Victim of ID Theft.

It’s also helpful to know that the majority of your credit score, over 35%, is based on payment history. Therefore, it’s very important to make payments on time. The rest of your score is based on factors such as your credit capacity, the length and type of credit, and the total amount of your debts.

Building a good credit score requires first establishing credit. One easy way to establish credit is a secured Visa credit card. If you have a $500 credit limit on your secured Visa, Community Financial will put a hold on the $500 in your savings account. Then after you show you can handle the card responsibly, Community Financial will release the hold and convert your account to a traditional Visa. Making payments on time and not maxing out your credit limit will help to Build Good Credit.

Building a strong relationship with your financial institution is another important way to improve your financial strength. Having a checking and savings account and using direct deposit with Community Financial will help you get the best rates for loans and credit.

Join me as I lead a seminar this week on “Understanding and Improving Credit,” on Tuesday, September 20^th at our Novi Office. Community Financial’s seminars focus on financial education and assistance. Call our Novi location for more information.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Freshman Finances: How to budget for your new college life

2011-09-12T11:55:00.005-04:00

College can be a substantial investment and proper planning is important in order to successfully manage financial responsibilities at school. It helps to start planning ahead by creating a budget.

When creating your budget, estimate what you will need for tuition, fees, books, and food. This will give you an idea of what your expenses will be at college. If you’re interested in keeping expenses low, here are some tips to assist you.

Books. Look for used books from your campus bookstore or shop online. Consider renting your books or buying a book from a friend who has taken the course the previous semester. Some colleges also have websites that students use to sell their old books for fair prices.

Meals. Take advantage of meal plans – you’ve already paid for it. Some cafeterias may be open late or all night so you can avoid ordering food or going out to dinner. Colleges like Michigan State University have Sparty's Express stops where you can use your meal plan to get food to take on the go. If you shop for dorm snacks, use coupons and other discounts to save money.

Entertainment. When going out with friends, plan to take a certain amount of money with you. You can leave the rest behind. This will help you limit your spending during a night out. You can also take advantage of student discounts because many places will give you a discount when you show your student ID.

Take advantage of free and inexpensive campus events. There are an abundance of free movies, sports events, planetariums and museums to explore on most college campuses.

Fees. Watch out for little fees that may chip away at your budget. Whether it is a parking fine or a late drop fee, these costs can really add up.

To help you easily access your money and manage your spending, Community Financial Credit Union offers VISA® debit cards that can be used on college campuses. We don’t charge “foreign fees” when you access your money through network ATMs on campus. For more information visit our previous post on Financial Steps for the College Bound on how to financially prepare for college.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Community Financial’s Summer of Sharing Success

2011-09-06T09:21:00.009-04:00

Our first ever Summer of Sharing Program successfully donated $1,060 to 60 local charities, community groups and school groups serving Michigan. That’s a total of $63,500 going back to our communities! The campaign honored Community Financial’s 60^th Anniversary.

Community Financial was able to see first-hand the good that local charitable groups do for Michigan. One example, Camp Casey, let Community Financial witness their program in action. Camp Casey is a non-profit horseback riding program for children with cancer. From their barn in Novi, the group travels to give horsey house calls to sick children living in Metro Detroit.

Community Financial watched as Camp Casey surprised a 10-year-old girl with brain cancer. She received a spirit-lifting horseback ride and was featured on Channel 4 News.

“Camp Casey, like many of the smaller community groups and charities we honored this summer, don’t often receive large donations or grants that larger organizations benefit from,” said Sarah Cousineau, Community Financial Marketing Manager. “Our Summer of Sharing was able to reach out to local groups who are struggling in a rough economic climate.”

Other recipients include Plymouth Oratorio Society, Friendship Shelter in Gaylord, Canton Young Marines, and numerous school programs. You may read all of the recipient’s stories online at SummerofSharing.org. You can also visit our YouTube channel to see photos of check presentations.

Community Financial Credit Union is a not-for-profit institution that gives back to the community. To learn more about upcoming programs and community events connect with us on Facebook and Twitter.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Buy Local, Bank Local: Support Michigan’s Economy

2011-08-30T17:13:00.007-04:00

By: Rick Schalkofski, Branch Manager Hillman

Summer is a great time to buy Michigan grown produce at your local Farmers Market. These products are fresh, inexpensive and support our local farmers.

The number of Farmers Markets have tripled in Michigan during the past decade, helping our economy grow. There are markets in many communities including Gaylord, Hillman and the well-known Eastern Market in Metro-Detroit. Visit this site to search for local Farmers Markets in your area.

Rick Schalkofski, at our Hillman Branch, was a professional cook for ten years before joining Community Financial Credit Union. Rick finds the best ingredients often come from local farmers.

“Not only are you supporting Michigan farmers, but also it is great place to get fresh produce at great prices. You can find anything you want from herbs to vegetables and more,” says Rick. “You can try new things too like spaghetti squash. It looks like spaghetti but has much more nutrition value.”

Click here for a recipe on spaghetti squash.

Farmers Markets in the Hillman area are a part of the region’s effort to build sustainable communities, where business are focused on keeping money local in the local economy.

Buying locally helps support your community, and banking locally does too. Unlike banks that profit from your money, Community Financial Credit Union is a not-for-profit institution. Community Financial gives back to our members through savings and low rates, and also to our community by sponsoring and donating to local programs.

Learn more about what Community Financial Credit Union can do for you by visiting one of our eight Michigan locations. To learn more about the differences between a bank and a credit union, visit our previous post.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

BACK TO SCHOOL: FINANCIAL LITERACY FOR STUDENTS

2011-08-22T10:53:00.010-04:00

We often hear our members say that teaching children to manage their money helps them learn to be responsible. Experts also claim that financial literacy can help foster a financially responsible community, and in turn, may help prevent future economic recessions.

Because financial literacy is important to our community, Community Financial Credit Union has partnered with local schools to create a variety of programs that we offer specifically for youths.

Our Youth Services include:

1. Free savings accounts with no minimum balance requirements

2. Special rewards for deposits

3. Easy access to our School Credit Union Program

Our “School Student Run Credit Union” program exposes thousands of students to money management skills. Students learn the credit union business by participating as tellers, branch managers, marketing representatives, computer operators, and bookkeepers.

Community Financial also works to bring Junior Achievement concepts to local elementary classrooms, teaching students age-appropriate banking concepts.

At Community Financial, we know that education is important. Helping establish financial literacy programs in schools will teach students important money management skills that they will carry with them as adults. If your school is interested in joining our program, please contact Natalie McLaughlin at 877-937-2328 or stop by any of our eight convenient locations.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

BACK TO SCHOOL: FINANCIAL STEPS FOR THE COLLEGE BOUND

2011-08-15T09:47:00.014-04:00

Books, binders, dorm décor – we know you already have a lot on your list to prepare for college this fall. One more important step is to prepare your financial checklist.

Heading to college may seem scary but you can prepare yourself financially for any situation that might occur. Community Financial Credit Union recommends adding this financial checklist to your college preparations.

1. Open a free student checking account. Our student checking accounts come with free online banking and eStatements, making transactions easy when you’re out of town.

2. Get a Visa® Check Card attached to your bank account to make purchases while you’re away at school wherever Visa is accepted. It also works as an ATM card so you can get cash at thousands for machine. Community Financial does not charge you foreign ATM fees.

3. Open a Visa® credit card. Credit cards can help you handle emergencies. Our Platinum Visa Card for students comes with a low fixed rate and a Points2U Reward Program. Read our previous post on how to use a credit card for building your credit.

Here are some additional tips. When you’re on your own for your first time, take extra steps to protect your personal information. Make photocopies of all the cards and important data in your wallet and store the copies in a safe place. If your wallet is lost or stolen, it will be handy to have these documents.

Monitor your accounts online. This will help protect you from any unauthorized use of your personal financial information. College.gov offers useful tips for avoiding bad deals and scams aimed at college students. Monitoring your accounts can also help you maintain a balanced budget. For college budgeting tips visit Federal Student Aid.

Remember that preparation is the first step toward success in college. Prepare a thorough list that will enable you to feel satisfied as you check off your tasks and head to college financially equipped.

For more information, please contact Community Financial at (877) 937-2328. We will be happy to assist you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Save Your Money: Tips from Community Financial

2011-08-08T11:01:00.002-04:00

Fewer than half of Americans set aside money for savings on a regular basis. If you’re one of them, you’re headed in the right direction. Saving money is not only rewarding but also important to protect you in emergency situations and cover unforeseen expenses.

As Benjamin Franklin famously said, “A penny saved is a penny earned.” Here are some tips to help you save your money.

Start now. Review your budget and make sure you are able to put away money at least once a month. Saving a little bit now will add up in the long run.

Use savings accounts. You’re better off saving your cash in a savings account rather than leaving it at home or in a deposit box. In an account your money will earn interest. To make saving easy, you can set up automated deposits into your savings account.

Look for good rates when borrowing money. If you’re looking for a loan, mortgage, or line of credit, first take the time to search for good rates. If your current loans or credit cards have high interest rates, try calling the lender to request a lower rate.

Avoid overdraft fees. Monitor your daily expenses to avoid overdraft fees on your bank accounts. Budgeting can help you save money by preventing overdrafts. Also, look for accounts that provide overdraft protection.

Community Financial Credit Union offers a variety of savings accounts to meet your needs and help you make the most of your money. Our accounts include important benefits such as overdraft protection. Click here for more information on these accounts. Stop by one of our branches or call Community Financial at (877) 937-2328 to find out which account is right for you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Fraud PART 2- What to do if you are a Victim of ID Theft

2011-08-01T09:39:00.002-04:00

No matter how careful you are with your personal information, no one is immune to identity theft. If you become a victim, there are important steps to take to help catch the thief and recover your good name.

File a police report. Report the crime immediately and keep a copy of the documentation. Agencies that assist in detecting identity thieves will ask to see a police report. It’s also important to contact the Federal Trade Commission to report fraud.

Contact credit card companies and banks. Call and notify your credit card companies and other institutions immediately. Cancel any cards the thief might use in your name. Also call the three major credit bureaus to prevent the thief from re-opening credit cards that you have canceled. The bureaus are TransUnion, Equifax and Experian, and placing fraud alerts with them will help protect you.

Write letters to dispute charges. Follow up your calls with creditors in writing, this may be part of their requirements and you will have documented your efforts. This will help you defend yourself against fraudulent charges so keep copies of all the documents you send.

Use online banking to monitor accounts. Monitor your accounts and check all balances. Keep an eye on purchases made. You should also check your credit report annually. If an identity thief opens a new line of credit in your name, you probably won’t find out about it unless you check your credit report. Each year you’re entitled to a free copy of all three of your credit reports at www.annualcreditreport.com.

According to the FTC, identity theft involving credit cards may be easier to recover from than other forms of identity theft. Consumers can check their credit reports, review their purchase history, prove their innocence and even help apprehend the culprit. Helping track your identity thief will also help prevent future attacks.

“You may be able to show that the signature on an application is not yours," the FTC's website claims. "These documents also may contain information about the identity thief that is valuable to law enforcement.”

Taking steps to guard your good name and credit are important but are not guaranteed to protect you. Stay alert, always treat your personal information as if it were cash and proceed carefully when detecting and reporting identity theft.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Fraud PART 1– Recognizing Identity Theft and Common Scams

2011-07-25T10:00:00.021-04:00

With over 9 million Americans estimated to fall victim every year, identity theft is the most common crime reported to the Federal Trade Commission. Identity theft is the act of stealing your good name to commit fraud, and one of the most potent defenses against it is recognizing and understanding common identity theft scams so you can protect yourself. Here are a few of the most common scams.

1. Lottery/raffle winner or tax refund – These scams start with an email that says you won a large sum of money or are entitled to a tax refund, but in order to claim it you need to go to a website or call a toll free number. You will be asked to enter your social security number or bank account and passwords so they can send you the money. Instead of making a deposit-- you guessed it – they empty your account or use your ID to open credit accounts.

2. There is something wrong with your account - These calls or emails say they are calling from your credit card company or bank and have noticed excessive activity on your account. They ask you to provide your account number, security codes and/or passwords to verify the transactions. By doing this you are giving them access to your credit. Sometimes they send you to a website that looks just like your bank’s site, but the bogus site is a front to collect your personal data.

Art Beard, Information Technology
Department Manager

3. The Nigerian scam–This scam has been around for nearly a decade and has spawned a number of variations. You receive an email from a stranger asking for your help to get a large sum of money out of their country. In return for your assistance, the sender will share part of the money with you. The aim, of course, is to get access to either your bank account or your personal information so the thieves can open accounts in your name.

No legitimate company will ask you for your personal data – Think about it, if they are truly a company you deal with, they already have your information on file. If a caller claims to have your credit card number and reads it back to you but it’s wrong – hang up. The thief is trying to trick you into correcting their mistake and divulging information.

“The best thing to do is check your accounts online regularly and review your credit report for errors at least once a year,” According to Art Beard, Information Technology Department Manager at Community Financial. “Due diligence is the best way to keep your good name.”

If you have any questions don’t hesitate to contact Community Financial at (877) 937-2328. Next week we’ll discuss what to do if you fall victim to ID theft.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Michigan’s Housing Market: What to know when buying a home

2011-07-18T12:46:00.008-04:00

By: Nicolle Sherman, Mortgage Specialist

Housing prices seem to be stabilizing this spring but it is still a buyer’s market in Michigan. If you’re shopping for a home, here are some important steps to help you have a successful and enjoyable home buying experience.

Get pre-approved before you look at a house. Many real estate agents will look for a letter of approval before helping you find a house. Also, mortgage requirements have changed in the last three to five years. It’s important to make sure you understand the eligibility requirements for financing at this time.

Find a good agent. It’s really important to have someone help guide you through the process and give you sound advice as you’re shopping for a home. You can always contact Community Financial Credit Union for a recommendation.

Be aware of the competition. Attractive properties move quickly in any market. The housing slump has ended and sellers of quality properties are getting their asking price. Be prepared to come in with your best offer.

Short sales aren’t always short. If you’re interested in a short sale you’ll need to be patient. The short sale process is tedious and can take about four to six months.

At Community Financial, we’re here to help you. We offer a wide variety of mortgage options, low closing costs and competitive mortgage rates. As a local community lender, we know the Michigan housing market and are here to make home buying easier. Click here to visit the mortgage section of our website or click here to apply online. For more information, please contact Community Financial at (877) 937-2328. We will be happy to assist you.

Posted by: Nicolle Sherman, Community Financial Mortgage Specialist
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Building Good Credit: Using Credit Cards Wisely

2011-07-11T09:39:00.004-04:00

The ability to get a loan, mortgage, insurance, even a cell phone can be impacted by your credit score. Your approval and your interest rates will also be affected by the quality of your credit. Using a credit card wisely can help in managing your finances and building good credit.

Essential to building good credit is paying all your bills on time. It’s also wise to pay more than the minimum balance and whenever possible, pay off the entire balance. Limiting the number of credit cards can also help avoid accumulating excessive credit card debt.

Paying credit card bills on time and avoiding too much debt accumulation are important steps to help develop and maintain a good credit score. Your credit score, contained in your personal credit report, is one of the main factors lenders evaluate when you apply for a loan. Credit scores can also affect the cost of other goods and services, such as auto insurance.

Keep in mind that credit cards can be dangerous. It’s easy to over spend now because you get to pay later. With low minimum payments, there’s a risk of forgetting to pay off debt or letting it build up until it gets too high.

“Often when people think of a credit card, they automatically think debt,” says Christine Shilling, Branch Manager with Community Financial Credit Union. “Credit cards don’t have to lead to debt. By managing your payments carefully, you can help build good credit rather than harm your credit.”

If you are interested in applying for a credit card or want to learn more about establishing good credit, Community Financial has great options available. Stop by one of our branches or call us today (877) 937-2328.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Our Personality Sings Customer Service

2011-07-05T09:33:00.007-04:00

By: Jason Houston -- Trainer, Education & Development Department

In the eight years that I’ve worked at Community Financial, I’ve really seen how special a credit union is both as a place to work and as a service to the community. My name is Jason Houston and I first started with Community Financial as a front line Member Service Representative.

As a representative, I served members at both our Canton Center & Novi Offices. I always sang and tried to lighten the mood for everyone.

At our 2011 annual employee kick-off service meeting I sang a song and performed a skit. I dressed up as Corey Values, a spin on core values, and sang my own version of Justin Timberlake’s “We’re Bringing Sexy Back.”

I performed Community Financial’s “We’re Bringing Service Back”:

“I’m bringing service back

I know it’s special how you like your cash

Now take a look as I count it back

I’m bringing service back”

Fortunately for me, working at Community Financial is a great fit for my personality. Working with people just comes naturally for me; I enjoy getting to know our members, and spending time learning how to help them. We treat others as people rather than just customers. That’s what I love about working at a credit union.

Now that I work in our Training, Education and Development Department, I’m getting to know my internal team members more and understanding how we work together to deliver quality service to our members. I am still building relationships and it’s really nice. It’s important to find a job that fits your personality.

Community Financial’s staff makes it their job to connect with members to enhance their experience. We’ve been voted one of the 101 Best & Brightest Places to Work in Metro Detroit five years in a row!

Stop by Community Financial Credit Union today and experience the credit union difference.

Posted by: Jason Houston, Community Financial Trainer, Education & Development Department.

Making a Difference

2011-06-27T09:40:00.017-04:00

Marybeth from the Detroit Area Diaper

Bank and her son receive a check from

our Summer of Sharing.

We’re often asked to describe the difference between a credit union and a bank.

It’s a good question because on the surface, they might seem the same. Credit unions and banks offer similar services, such as checking and savings accounts, loans and mortgages. They’re both federally insured and equally safe. Yet despite the obvious similarities, there are very important differences. Credit unions offer specific advantages not available at banks.

First, credit unions such as Community Financial are non-profit organizations owned by the members. Therefore, instead of profiting for shareholders and investors, the credit union returns profits to its members in the form of lower loan interest rates and higher dividends. Fortunately, becoming a member is as simple as opening a $5 savings account.

“We offer the same services as big banks, like low-cost checking, online banking and auto loans,” explains Bill Lawton, Community Financial CEO. “Credit unions also offer special, personalized service to the community.”

Supporting the local community is another important advantage of choosing a credit union. Currently, Community Financial is celebrating its 60th anniversary with a “Summer of Sharing.” The credit union is donating $1,060 every day for 60 days to support local charities, community groups and school groups. Learn more and nominate a recipient at summerofsharing.org.

Selecting a credit union versus a bank is up to you. Choosing Community Financial brings the added benefit of knowing your choice will benefit you and your community. For more information, visit one of our convenient locations or call us at (877) 937-2328 and we’ll be happy to assist you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Success on a Budget

2011-06-20T09:47:00.004-04:00

Do you have a spending plan for yourself or your household? If yes, then you’ve made a smart move that more Michigan residents would be wise to follow.

Currently, only 67% of Michiganders have spending plans, according to a recent MSU study. Among those who have plans, most never change them despite facing unemployment or other economic difficulties.

If you don’t have a spending plan, now is the time to create one. Budgeting is beneficial during good times and critical during tough times. Fortunately, preparing a budget can be relatively easy. Here are a few quick tips.

Make sure you know how much you’re actually spending each month. Create a list of expenses, and if you’re not sure how much you spend on casual items like coffee, snacks and dining out, try keeping a log for the month. You might be surprised how fast these purchases add up.

Take advantage of online tools to help organize your finances. For example, Mint.com offers a free and easy to use budgeting tool. Also recommended by Consumer Reports are Buxfer.com and Geezeo.com.

Remember to include savings and emergencies in your budget. Setting aside a little of each paycheck in a separate account will help you prepare for the future.

Once you create your budget, monitor and adjust it regularly, recommends Professor Lisa D. Cook with MSU’s Department of Economics.

Budgeting is also a good way to teach children to manage money wisely, and helpful resources are available for young adults, such as BrassMagazine.

Most important is to start now, and Community Financial can help. To open a savings account, visit one of our convenient locations or call us at (877) 937-2328 and we’ll be happy to assist you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Tips for Surviving Summer Gas Prices

2011-06-13T10:02:00.006-04:00

Summer is a beautiful time to be in Michigan! We know many of our members travel up North to cabins, lakes and weekend getaway spots. With the summer travel season approaching fast, many economic experts are warning that gas prices may rise past $4 or even $5 a gallon. This increase in gas prices may hurt your travel plans.

To help lighten this burden for you, Community Financial has a few practical tips to ease your pain at the pump.

Drive efficiently. Speeding, rapid acceleration and excess braking waste gas. The US Department of Energy claims that avoiding these habits may help save 5-33% of your gas or about $.19- $1.25 a gallon. Driving efficiently can also mean driving safer.

Take care of your car. Keep your engine properly tuned, keep your tires properly inflated and use the recommended grade of motor oil for your car. These measures can all help you improve your vehicle’s gas mileage.

Conserve transportation. Carpooling, bike riding and simply driving less are all environmentally friendly options to help decrease the amount of gas you purchase.

If despite these efforts your vehicle still gets poor gas mileage, you may decide it is time for a new car. Community Financial can help. We have great loan rates available to help you purchase another vehicle. Right now we’re offering new auto loans of 2.99% APR* with no application fees. We also offer flexible repayment terms up to 84 months.

Community Financial makes getting a loan as easy as possible! We offer online banking access and a .25% rate discount when payments are automatically deducted from your Community Financial checking account. To learn more about our great loan options, stop by, log on or call Community Financial today.

Read more about the US Department of Energy’s gas recommendations.

Disclosure: *Quoted rates are based on 48 month term and include a .25% rate discount when payments are automatically deducted from your Community Financial checking account. New car loan payment example assuming: A $20,000 vehicle with 20% down, an excellent credit score, a 48 months term and a 2.99% APR would result in monthly payments of about $380.63. Rates vary and are dependent on individual credit history and other factors including: model year, loan amount and term.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Home Improvements: When it’s Time to Hire a Professional

2011-06-06T09:51:00.052-04:00

By: Mark Evenson, Plymouth Branch Manager

My wife and I needed to do some landscape work for our home. I made the mistake of trying to do it myself instead of hiring a professional. I ended up doing more damage than good.

I thought it was going to be easy. We ripped out 18 bushes and needed to remove 10 yards of rock and dirt. I tried to dig out the rocks with a shovel but realized I needed something biggerand rented a bobcat.

Mark Evenson, Plymouth Branch Manager

It was my first time using a bobcat. I ended up ripping a six foot tall lamppost completely out of the ground.

I learned my lesson. I needed a professional to help me. Sometimes hiring a professional can be costly. Fortunately, home improvements are a worthwhile investment that Community Financial can help finance.

For major home improvements consider one of these options:

Home Equity Line of Credit. This has a low variable rate based on the current prime. It is a replenishing line of credit that you can draw against as needed simply by writing a check. Interest may be tax deductible and it has an interest-only payment option.

Home Equity Term Loan. This has a fixed rate with a set term. It’s best for larger projects; funds are taken all at once and your monthly payments are set. Interest may also be tax deductible.

No Equity Home Improvement Loan. A great option for homeowners who may not have equity in their home. This loan has fixed rates and terms up to 48 months.

Also, a Community Financial Platinum Visa® is a great way to finance smaller do-it-yourself projects. Community Financial is your local expert that can run the numbers and help you decide the best way to finance your dreams.

At our house, we cleaned up the mess and our house looks great. But I learned my lesson to hire a professional for future home improvements. If you have any questions or concerns about home financing, please contact Community Financial at (877) 937-2328. We will be happy to assist you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.

Congratulations Graduates! Now how are you paying for college? Read on…

2011-06-02T10:34:00.010-04:00

By: Karen Alexander,
Community Financial Education Partnership Coordinator

Its graduation time and high school seniors have been anxiously waiting for it all year. Their lives will change dramatically if they are going off to college in the fall. Here are a few things they need to think about before they go.

Your #1 Goal is to Graduate with as Little Debt as Possible:

Today many college students graduate with significant student loans; as much as $200,000. This debt is permanent and may take decades to pay off. You need to understand student loans cannot be discharged by filing bankruptcy; the only way you can get rid of this debt is by paying it off. A great rule of thumb: Don’t borrow more than your anticipated starting salary after you graduate.

Not all Loans are Created Equal:

Grants, Scholarships and Federal Work Studies are great ways to pay for school, because you do not need to pay them back. But if you need student loans in order to afford college, the best deals are federally subsidized loans. There are also unsubsidized federal loans and private loans but these are more expensive. To see what you qualify for, you’ll need to fill out a FREE FASA statement annually at http://www.fafsa.ed.gov/. Do this even if you do not think you’ll be using loans – schools look at these when awarding scholarships too. Be careful to only borrow the amount you need and you should avoid using credit cards to pay for school.

Consider the 2/2 Plan:

Consider going to a community college for 2 years first. You can save as much as 98% over going to a state college. If you decide to go to community college, contact the school you plan to transfer to and make sure your credits will transfer. You will avoid wasting money and re-taking classes at your next school.

Commute to School:

If you have the option to commute, you can save thousands on room and board. It is expensive to live on campus; on average, you will save $9,800 a year.

Work on Campus:

Working on campus will give you some additional spending money, and as long as you manage your time, you should be able to maintain high grades.

College is an exciting time in the life of all young adults. Make the right choices so you’re not paying for it decades after you graduate! Good Luck!

For further reading, please check out the following articles:

7 Tips for Repaying Student Loans

Save $50,000: Nab more merit money

Posted by: Karen Alexander, Community Financial Education Partnership Coordinator.

Financial success: Setting goals to becoming Financial Fit

2011-05-31T12:16:00.028-04:00

By: Helen Miller-Padden, Accounts Payable Accountant

Helen Miller-Padden, Accounts Payable Accountant

Learning to set a goal for my fitness helped change my life around. The doctor told me I needed to lose weight. Concerned for my health and my future, I needed to get into better physical shape.

I decided to learn how to run. I told my coworkers and friends about my decision. I made the commitment and wanted their support. One of my coworkers was a high school cross country coach and volunteered to help train me.

The first thing she told me was that it wouldn’t work if I didn’t set a goal. This was the first and most important step to becoming physically fit.

I set a goal. Within the first week of running, I decided to run a 5K race in November. I trained a little bit each day for 12 weeks and felt healthier and stronger as each week progressed. I completed my first 5k race. Not only did I finish the race, but I reached my goal of losing weight and learning to run.

Setting the goal was an important first step and it is just as important for becoming financially fit. I knew if I didn’t set a goal I would avoid the training, put it off, or make excuses. Getting into good financial shape takes the same commitment as getting into physical shape.

Experts recommend setting savings goals and then including small steps to help you reach your goal. Training a little bit each day helped me lose weight. Packing a lunch instead of going out to eat can help you save money.

Like training for a run, it helps to ask for help and vocalize your goals. Let others support you. It helps you stay on track and reinforces that you will be successful.
Making a budget can also help you reach your goal. There are many simple budgeting tools you can use to assist you. Try this tool to help create your budget.

Community Financial Credit Union offers tools to help you reach your financial goals. We even have a high-rate Goal Setter Savings Account that can help you put money aside monthly to reach your goals.

Remember to celebrate your success –it makes it all worthwhile!

Check out Community Financial’s financial podcasts on our home page.

For more detailed tips on saving money

Fox Business article on using Goal Setter Savings accounts

For a quick savings plan visit MSN.com

Savings federally insured by NCUA.

Posted by: Helen Miller-Padden, Community Financial Accounts Payable Accountant.

Retirement and the Accumulation of “Stuff”

2011-05-23T10:33:00.015-04:00

A cautionary tale by Karen Alexander,
Community Financial Education Partnership Coordinator

At a recent family get-together, a newly retired relative complained about how little he received from his pension. He stated that he only gets a 1/3 of his income from his former employer. The reality was sinking in - it is difficult to survive an extreme reduction in income if you have not planned for the future.

I’ve known this person my entire life; he was constantly buying “stuff.” He loves books, collectibles and other unique items. He was sure that in buying these items, they would increase in value and he would be, essentially, a very wealthy man.

Unfortunately, his plan didn’t work as he anticipated. Most of the items he bought are worthless, and along the way, he failed to plan for his retirement. He never saved a penny of his own money. Now, as he contemplates getting a post-retirement job, he is bitter about having to pay taxes on what small income he will earn.

He is not the only one who neglected to save for retirement. Research indicates people ages 55 to 64 have save a median of $100,000 in retirement accounts and those 65 or older, about $60,800(Survey of Consumer Finances, 2007). Many baby boomers are unprepared to retire and face the possibility of outliving their money.

These are stunning statistics, but where do we go from here? There are a few choices available to those who have not saved, or have not saved enough for retirement:

Start now: The main reason people say they haven’t saved for retirement is they don’t know how get started. It is never too late to begin saving. Find where you can save money monthly, and put the funds away into an account. Where you keep your retirement funds depends on your age and options so ask your tax advisor.

Work Longer: If you have not saved enough for retirement, you may consider working longer. You can claim Social Security at the age of 62. But if you wait, the payouts increase by 7 to 8 percent each year you delay, up until age 70 (Brandon, Emily).

Share Expenses: Based on your situation, you may want to move in with family or live with a friend. Sharing basic expenses such as utilities, food and lodging may assist in reducing your basic costs of living.

For my priorities, I am placing my retirement savings above “stuff.” Once I have my retirement and savings goals met, I can buy all the “stuff” I want!

For further reading, please check out: 10 Things You Didn’t Know About Social Security.

Posted by: Karen Alexander, Community Financial Education Partnership Coordinator.

Leasing vs. Buying a New Car: What to Know

2011-05-16T10:55:00.015-04:00

Jill Cotter, Vice President/Lending,
Community Financial.

If you are looking for a new vehicle you may be torn between leasing or purchasing a new car. I know that everyone has different driving needs, but there are some financial costs and benefits to consider.

Leasing does offer several benefits. Leasing a car allows you to have a new, reliable vehicle which means less maintenance costs. Often your lease will last 2-3 years and you can change your vehicle at the end of the lease.

However, this option does come with limits. You are only using the vehicle, not owning it. Leasing sometimes requires a down payment and has mileage restrictions. You may end up paying extra on mileage or wear and tear fees. Repeated leasing can be more expensive in the long run.

Purchasing a car means you own your own vehicle. You have the freedom to choose any make or model. You will have a lower down payment and no mileage restrictions. Owning your vehicle means you can sell it for cash anytime.

Overall, it is typically cheaper in the long term to purchase a car. If you are okay with keeping your new car longer, you can lower those payments by financing it up to 84 months. Loans are a common route to financing a car purchase. According to cars.com, approximately 80 percent of auto consumers either pay cash or finance their purchase with a loan.

Interest rates for loans are a large factor that impacts buying and leasing costs. Today’s ultra-low loan rates, as low as 2.99% APR* at Community Financial Credit Union, make the difference in the payments between buying and leasing less of an issue. We all know the bottom line is – can I afford the vehicle? A credit union representative at Community Financial can run the numbers for you; they are trained to help you make the best decision for your situation.

*Consumer Loan Annual Percentage Rates (APRs) only available at Community Financial offices, the web or call center; not available through dealerships. *Quoted rates are based on 48 month term and include a .25% rate discount when payments are automatically deducted from your Community Financial checking account. New car loan payment example assuming: A $20,000 vehicle with 20% down, an excellent credit score, a 48 months term and a 2.99% APR would result in monthly payments of about $380.63. Rates vary and are dependent on individual credit history and other factors including: model year, loan amount and term.

Posted by: Jill Cotter, Community Financial Vice President / Lending.

Protecting Yourself Against Fraud

2011-05-04T13:08:00.040-04:00

Community Financial understands the critical importance of keeping your banking information safe and secure. We take extra measures to ensure that your information is protected. In addition, there are steps you can take to help protect your personal information against fraud and identity theft.

The Federal Trade Commission describes identity theft as “the act of stealing your good name to commit fraud.” Unfortunately, attempts to commit identify theft are dangerously common. Personal information such as your address, phone number, driver’s license, social security number, credit card numbers, birth date, and mother’s maiden name should all be protected. Therefore, be extremely careful when giving out this information.

You can help protect yourself by carrying as few credit cards and forms of ID around with you as possible. For example, there is no reason to carry your Social Security card in your wallet. Make a list or photocopies of all information you carry, and store the list or copies in a safe place.

“Keeping photo copies of any cards and documents you carry is smart planning in case you ever lose your wallet,” explains Randy Penner with Community Financial. “If you lose a credit card it is important to notify the credit card issuer immediately to help protect yourself against identity theft.”

Randy Penner, SVP / Sales & Marketing
at Community Financial offers tips to
prevent identity theft.

Also keep in mind that thieves may try to get a hold of your information through dumpster diving. You should always shred documents that contain any personal information, including account numbers, before throwing documents away. This includes unsolicited credit card applications as well.

Email can also put you at risk of identity theft. Be wary of any email messages that ask for personal information. Remember that Community Financial will never call, email, send a text or voice message to request your personal identifying information or account number, PIN, password or card number. Do not provide information to any unsolicited request.

If you have any questions or concerns, please contact Community Financial at (877) 937-2328. We will be happy to assist you.

Posted by: Community Financial
Community Financial Members Federal Credit Union is a not-for-profit, full-service financial institution owned and governed by its membership.