WINTER 2016
Investing in our children’s
Education
Message from Keith Sultemeier, President & CEO, Kinecta Federal Credit Union
From sponsorships to financial education to scholarships,
Kinecta Federal Credit Union delivers a wide range of activities that
benefit students, teachers and administrators. Your Credit Union
is committed to building enduring partnerships with local school
districts as well as community organizations that invest in kids, the
future of our community.
College and Career Center
A long-standing partnership between Kinecta and El Segundo High
School recently led to the transformation of a dusty classroom into
a state-of-the-art College and Career Center, where students and
staff have access to a broad array of resources to help prepare
for their future.
Kinecta provided the funding and technical expertise to fully renovate
the space, outfitting it with 10 computers, related equipment,
infrastructure and furnishings. Kinecta and school administrators
collaborated on the development of the plans with significant input from the El
Segundo Board of Education.
Taking a “Bite of Reality” With all the competing demands on today’s schools, teaching money
management skills often falls low on the priority list. Kinecta’s team of financial
experts wants to be part of the solution by providing free on-site facilitation,
collaboration and funding for engaging financial literacy programs.
In Bite of Reality workshops, Kinecta dares teens to face real-world financial
challenges in a fun, interactive setting. Given a fictional occupation, salary,
spouse, family and debt, participants get a taste of what it’s like to juggle a
budget and stay on track with expenses.
Your Credit Union is proud to be part of the fabric of our community by
enhancing access to educational resources, information and opportunities!
It’s Scholarship & Grant application time!
For the past 15 years, Kinecta has awarded college scholarships to help young
members on their path to higher education. Our new teaching grant program is
further supporting educational excellence in our community. Please see the back
page for details on applying.
Kinecta is Committed to Small Business
Did you know that Kinecta has been designated by the Small
Business Administration as one of its Preferred Lenders? We
are proud of that fact and proud of the work we do every day
to assist small business owners.
Shane Kazai, owner of Imperial Design Group, is a perfect
example. Shane relates that, “As a small business owner, I
needed a financial institution that could understand my needs.
I am lucky that I found Kinecta.”
Entrepreneurs and small business owners are among the
cornerstones of the communities Kinecta serves. A primary
responsibility of Kinecta, and credit unions in general, is to
serve the communities in which
they are located. Toward that end, in
addition to loans and sound advice,
Kinecta offers free small business
seminars. Watch for more info on
upcoming seminars.
So whether you are a small business
owner, or aspire to become one, visit
www.kinecta.org/business-services, or call
888.371.7501 to see how Kinecta can help
get you, and your business, to the next level.
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2016 is Here
Are you hoping that 2016 could be the year you become a homeowner? Beyond great rates and
excellent service for buyers in any situation, Kinecta has a suite of tools to help first-time home
buyers make their dreams come true.
With the Holiday Season underway, sometimes good financial planning gets lost in
the shuffle. Then the following year may begin with resolutions to do better.
Kinecta has a better idea.
May Now Be Within Reach
Resolutions are Good - But Plans are Better!
Here are just some of the ways we can help you
get more home for the money you have:
Set aside a few minutes in January to consider a few things as the year begins:
• Down payments as low as 3% on conforming loans to $417,000,
and Federal Housing Administration (FHA) qualified loans to $625,500 in some areas.
• Down payments as low as 5% on fixed rate loans to $625,000.
• Down payments as low as 10.1% with Kinecta’s unique combo loan,
borrow up to $1,000,000.
If you are concerned about Private Mortgage Insurance (PMI) with down payments this low,
we can help there too. As a not-for-profit financial cooperative, Kinecta is able to offer
discounted PMI premiums, resulting in lower monthly mortgage payments.
Take advantage of our free homebuyer workshop, available online on our Facebook page
www.facebook.com/Kinecta. For a free homebuyer consultation, click over to
www.kinecta.org/home-loans or call 800.854.4501 option 1. We look forward to working
with you and making buying that first, or next home a reality.
Tax advantaged savings and college funding – Whether you choose a traditional IRA, Roth IRA, or a 401k plan through your
employer, your savings will grow tax-deferred, allowing you access to your money later in life when your tax bracket should be
lower. In the case of 401k plans, your employer may match your contributions, which may make a significant impact on your
account. Many of the same advantages are available using 529 College Savings Plans to save for college tuition. A quick chat with
a Kinecta Financial & Insurance Services (KFIS)* Financial Consultant will clarify which of these options is best for you.
IRA and 401k rollovers – If you have multiple retirement accounts or a 401k at a company you no longer work for, one option may
be to roll your funds into a single IRA. Having a single IRA gives you simpler and greater control over asset
allocations and beneficiary distributions. Efficient rollover strategies take careful planning, so be
sure to speak with a professional and ask questions. And, it’s a good idea to integrate
these decisions into a well-designed estate plan.
Keep in mind that a rollover is not the only option. You may
wish to leave your account with the current firm or take a cash
distribution, or lump sum distribution. (Penalties may apply
based on age limits)
Tax planning for tax year 2016 – Changing exemptions,
making an extra house payment to accrue a greater mortgage
interest deduction, or making an IRA contribution, are a few,
among many, steps you can take throughout the year to reduce
2016 taxes. This is yet another valuable topic to discuss with a
financial professional.
Terms & Conditions subject to change. All loans subject to credit approval. NMLS #407870
El Niño Is Coming!
Be Prepared with
Flood Insurance
El Niño is a weather pattern that begins with
unusually warm temperatures in the equatorial
Pacific. It typically results in more rain in
the Southwest, and a strong El Niño brings
frequent and intense storms to the western
United States, especially here in California.
Experts predict that rainfall could be extremely
heavy this year. This could lead to devastating
flooding, especially in areas affected by
prolonged drought and recent wildfires.
Be prepared – Consider purchasing or
renewing flood insurance for your home or
business, and its contents. Be sure to take
an inventory of your belongings, and make
an emergency plan for you and your family.
Contact Kinecta Financial & Insurance Services
(KFIS)* at 800.905.4466 option 2 or
visit www.kinectainsurance.org.
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WINTER 2016
Home Ownership
To begin that discussion and develop a clear, actionable
plan for your financial future, simply call 800.854.9846
option 5, then option 1, to schedule your Kinecta Financial & Insurance Services
(KFIS) complimentary financial review. Here’s to a prosperous 2016!
Looking for a Way to Save Money in 2016?
Transfer Those Credit Card Balances
The holidays are the traditional best of times. Socializing with
family and friends enjoying Holiday traditions are the best,
but at the end of the holiday season you have high credit card
balances from all that shopping.
So much of Holiday shopping gets done with high interest store
credit cards or bank credit cards.
The rates are often so high that it can take years to pay off the
balance. Taking advantage of a credit card company’s New Year’s
balance transfer promotion can be the “best” way out of your
“worst” situation. But be careful: once that 0.00% APR† special
ends, the rate can soar to 20.00% or higher. Then, you’re right back
in a mess.
Throughout the year, Kinecta will be contacting its members
through the mail and via email with very attractive balance transfer
offers with promotional rates that start as low as 3.99% APR.
Give yourself a credit card balance do-over with Kinecta’s excellent
rates and offers. Can’t wait for the offer to come to you? Simply call
877.881.6023 to explore your options or to discuss your current
rate. Get your financial life back on track and get back to the “best
of times.”
*Securities offered through LPL Financial, Member FINRA/SIPC. Insurance products offered through LPL Financial or its licensed affiliates. Fixed insurance products may also be
offered through Kinecta Financial & Insurance Services, a subsidiary of Kinecta Federal Credit Union, CA Insurance License #0E24631. Kinecta Financial & Insurance Services, Member
FINRASIPC, provides referrals to LPL Financial. Kinecta Federal Credit Union and Kinecta Financial & Insurance Services are not affiliated with LPL financial.
Insurance and investment products are:
Not NCUA Insured | Not Credit Union Guaranteed | May Lose Value
This information is provided for general informational purposes only and should not be considered investment or tax advice. Please consult with a qualified tax advisor or a financial
professional regarding your specific situation.
† APR=Annual Percentage Rate.
Certain terms, conditions and exclusions
apply. Approval subject to verification of
creditworthiness. When approved, the minimum
credit line is $250 with a minimum payment term
of 30 days.
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2015 Food Drive Was a Great Success
Product Highlights
Additional terms and conditions may apply.
Call your local member service center for details.
LOAN RATES
New Autos
• as low as 2.24% APR1
EFFECTIVE DECEMBER 15, 2015
Used Autos
• as low as 2.74% APR1
CHECKING PLUS RATES2 EFFECTIVE DECEMBER 15, 2015
1. Luis Peralta, President of Nix
Neighborhood Lending, greets
recipients at the 42nd Annual
Kinecta/Nix Holiday Food Drive.
2. Watts Community Activist
“Sweet” Alice Harris (at left) and
Assemblyman Mike Gipson (at
right) helped distribute grocery
store gift certificates and holiday
meal items to families in need.
3. Team Kinecta included 100
employees and their families who
volunteered to distribute grocery
store gift certificates and holiday
meal items to families in need.
Minimum Balance
$1,000,000 and over...................................................... 1.00% APY
$750,000 - $999,999...................................................... 0.90% APY
$500,000 - $749,999...................................................... 0.70% APY
$250,000 - $499,999...................................................... 0.60% APY
$100,000 - $249,999...................................................... 0.50% APY
Below $100,000.............................................................. 0.05% APY
SHARE CERTIFICATE RATES EFFECTIVE DECEMBER 15, 2015
2-Year Certificate....................................................1.05% APY3
5-Year Certificate....................................................2.05% APY3
Annual Percentage Rate (APR). All loans subject to credit approval. Contact
the Credit Union for more information about fees and rates. The actual rate you
receive is based on your credit qualifications, term, and loan amount. Rates are
subject to change. Auto loans without automatic payment from a Kinecta savings
or checking account will be .25% higher. Other terms and conditions apply.
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Annual Percentage Yield (APY). For Checking Plus accounts $9.00 monthly
fee waived with direct deposits totaling $500.00 or more OR $2,500 minimum
average monthly checking balance. Checking Plus APY increases with higher
balances. Minimum balance required for each tiered-rate, which are listed in
the above table. Fees could reduce earnings on the account. Rates are subject
to change after account is opened. 3Certificates opened will earn dividends
at yields shown until they mature. Dividends are paid monthly and at maturity.
Other maturities and yields may be available. Fees could reduce the earning
on the account. Account may be subject to penalty for early withdrawal.
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Youth and Teacher Scholarships
Check our website in Feb. 2016 for more details.
Youth Scholarships
Kinecta is dedicated to helping young adults reach their financial and academic
goals. We are proud to offer eight deserving young members a $2,000 scholarship
to assist them in making higher education a reality.
Teaching Grants for Growth
Attention teachers! Kinecta is committed to helping teachers in their classrooms
as well.
Kinecta is offering four $1,000 grants for pre-K to 12th grade teachers to purchase
classroom supplies or to help fund special projects.
Timeline
• Applications, full details and selection
criteria will be available at all locations and
at www.kinecta.org starting in February 2016
• Applications must be received
by March 5, 2016
Green Tip #34
How many ways can you go paperless at Kinecta in 2016?
• Save the mail – Choose to receive statements and notices
electronically. Just login to Kinecta Direct Online Banking
and update your eDocuments preferences.
• At the ATM – Next time you’re at a Kinecta ATM, update
your preferences to skip the paper receipt.
Member Access
Download our App
Member Contact Center
800.854.9846
310.643.5400
Online
www.kinecta.org
Past Kinecta Scholarship winners, and
Kinecta and its subsidiaries’ employees,
volunteers, and their immediate family
members are not eligible.
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The Kinecta News is published for members of Kinecta Federal Credit Union. The articles and opinions in this publication are for general information only and are not intended to
provide specific advice or recommendations for a specific product or service. We suggest that you consult your attorney, accountant or financial or tax advisor with regard to your
individual situation. Entire publication © Kinecta Federal Credit Union, 2015. All rights reserved.
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