Loans

• Secured Loans

• Unsecured Loans

• Performance Based Rating Chart

• Underwriting Guidelines

• Application (PDF 451K)

• USA Today Calculators Web Site

• NADA Web Site
  
  Note: The Credit Union does not endorse or guarantee the products, information, or recommendations provided by linked sites.

   

• Loan criteria is subject to change without notice.
• We do not make mortgage loans or business loans.
• Details about underwriting criteria for loan approval are available in the Credit Union office.
• Complete loan applications received in the Credit Union office by 1:00 P.M. will be processed by the end of the next business day.

• Be a member of the Credit Union.

• Needs to be equal to the amount of money being borrowed.

• Can be a clear title to an auto, boat, camper, etc.
  
  Note: Credit Union savings accounts, stocks, and bonds can also be used to secure loans.

• The interest rate charged on secured loans varies by the age of the collateral. Loans secured with savings accounts, stocks, or bonds will automatically receive the lowest interest. See base rates below.

• 72-month term limited to 95% of vehicle's value and subject to $20,000 minimum loan amount.

• Refer to the Performance Based Rating Chart.

• Be a member of the Credit Union.

• Maximum loan amount is $4,000.

• Loan pay backs range from 1—24 months.

• Slightly higher interest rates. See base rates below.

• Refer to the Performance Based Rating Chart.

• Bankruptcies

• Beacon Scores Defined

• Beacon Score Guidelines

• Credit Card Ratio

• Credit Reports

• Debt to Income Ratios

• Exceptions

• History

• Judgments and Collections

• Late Payments

• Loan Value

• Any applicant with a bankruptcy filed within the past two years will be declined.

• If a member filed Chapter 13 or 7 and reaffirmed and paid off, a loan may be considered nine (9) months after the original loan was satisfied provided everything else is in compliance.

• E rating = scores of 549 and below
• D rating = 550-599
• C rating = 600-639
• B rating = 640-679
• A rating = 680-739
• A+ rating = 740 +

• Applicants with Beacon Scores of 549 and below may be declined.

• Applicants with Beacon Scores between 550 and 600 must have a cosigner with a Beacon Score above 640.

• Applicants with Beacon Scores over 640 must have acceptable credit card and Debt to income ratios

• A Credit Card Ratio is determined by dividing the applicant's total credit card balance by their gross annual income.

• Applicants with Credit Card Ratios exceeding 20 percent may be declined.

• The co–maker’s income may be used to reach an acceptable credit card ratio.

• The co-signer’s income may not be used to reach an acceptable credit card ratio.

• In the event an applicant or co-maker is self-employed, verification of income (tax return) may be required.

Credit Reports less than one year old will be required for all loan amounts over $1,000.

A Debt to Income Ratio is determined by dividing the applicant's total monthly payment obligations (credit card payments, mortgage payment or rent, car payments, child support payments, etc.) by their monthly gross income.

• Monthly Gross Income of less than $1500 should have a ratio of less than 30 percent.

• Monthly Gross Income of $1,501 to $2,500 should have a ratio of less than 35 percent.

• Monthly Gross Income of greater than $2,500 should have a ratio of less than 45 percent.

• The co-maker’s income may be used to reach an acceptable debt to income ratio.

• The co-signer’s income may not be used to reach an acceptable debt to income ratio.

• In the event an applicant or co-maker is self-employed, verification of income (tax return) may be required.

Exceptions, including refinancing and consolidation loans, will be handled on an individual basis within our policy standards.

Any applicant with a negative history (for example, excessive delinquencies) with the Credit Union will be declined.

Any applicant with any unsatisfied judgments or unpaid collections (excluding medical or hospital) may be declined.

Any applicant with more than three (3) "over 30 day late" payments or more than one (1) "over 60 day late" payment may be declined.

• New vehicles: 100 percent of the purchase price may be financed.

• Used vehicles: 100 percent of the loan value per NADA may be financed.

• Co-maker. Shares equal responsibility with the borrower for payment of the loan and receives an equal benefit in the loan proceeds. A co-maker is identified as a joint applicant, and the resulting loan is identified as joint credit.

• Co-signer. Takes on liability for the obligation of another person without receiving goods, services, or money in return. A co-signer’s signature is requested as a condition for granting a member credit. The co-signer does not need to be a Credit Union member.