OPEN RANGE
Frontier Financial Credit Union Newsletter
First Quarter 2016
2016 FHA Policy to Lower Qualifying Credit Score
Could Help Thousands Buy a Home
Major lenders will now approve FHA mortgage applications for borrowers with FICO
The Federal Housing
Administration (FHA)
scores of 580. It marks a 60-point improvement from last year, when FHA lenders required
640 FICO scores or better to get approved. The fact that the FHA raised its loan limits
in 188 counties nationally speaks to a broader theme that there is reinvigorated demand
has implemented a
for housing, both in terms of home sales and refinancing.
new policy lowering
The news comes at a time when FHA loans are in demand. The program's 3.5% down
the minimum credit
payment minimum is among the most lenient for today's home buyers; and underwriting
score of a buyer
requirements on an FHA loan are flexible and forgiving.
which, in turn, could
FHA loans are loans which are insured by the Federal Housing Administration and made
allow 100,000
available to U.S. buyers and existing homeowners. FHA loans account for close to one-
additional families per
quarter of all loans closed today. Since 1934, the FHA loan program has helped more
than 40 million families buy or refinance property. Its extreme popularity is a direct result
year buy a home with
of its flexibility.
a FHA loan.
Conventional loans offered by mortgage giants Fannie Mae and Freddie Mac definitely
have their place in the market. But they are not very flexible regarding certain loan criteria.
FHA fills in the gaps by offering mortgage approvals to those with —continued on page 4
In This Issue
 2016 FHA Policy to Lower
Qualifying Credit Score
 Could Assumptions Harm
Your Retirement Plan?
 Shared Branching Network
 United Cerebral Palsy
Clothing Drive
 Contact Information
 Financial Statistics
 Privacy Information
Could Assumptions Harm
Your Retirement Plan?
Two Common Misconceptions To Think About
#1) Assuming retirement will last 10-15 years
Historically, retirement has lasted about 10-15 years for most
Americans. The key word here is “historically”. When Social Security
Provided by Joanna Moran,
Certified Financial Planner
was created in 1933, the average American could anticipate living to age 58 as a man
or 62 as a woman. By 2014, reports indicated life expectancy for the average American
had increased to 78.8.1,2
So assuming you’ll only need 10 or 15 years worth of retirement money could be a
big mistake.
In 2014, the Centers for Disease Control and Prevention's National Center for Health
Statistics said that the average 65-year-old American male can expect to live to nearly 83.
The average 65-year-old American female has an average life expectancy of 85.5.2
#2) Assuming too little risk
Holding onto your retirement money is certainly important; so is your retirement income and
quality of life. Over the last few decades, we have had moderate inflation (and sometimes
worse, think 1980). What happens is that over time, even 3-4% inflation gradually saps your
purchasing power. Your dollar buys less and less. If your income doesn’t keep up with
inflation – essentially, you end up living on yesterday’s money.
Joanna Moran may be reached at 775.824.8006 or [email protected]
Joanna Moran is a registered representative offering securities and advisory services through Cetera Advisor Networks LLC.
Cetera is not affiliated with any other named entity. Registered address: 5200 Neil Rd, Reno, NV 89502. Investments are not
deposits; not NCUSIF insured; and not insured by any federal government agency. No credit union guarantee. May lose value.
This material was prepared by MarketingLibrary.Net Inc., and does not necessarily represent the views of the presenting party,
nor their affiliates. This information should not be construed as investment, tax or legal advice. All information is believed to be
from reliable sources; however, we make no representation as to its completeness or accuracy. Please consult your Financial
Advisor for further information..
1 – www.ssa.gov/history/lifeexpect.html [1/28/14]
2 – www.usatoday.com/story/news/nation/2014/10/08/us-life-expectancy-hits-record-high/16874039/ [10/9/14]
As you retire, you may
assume that an extremely
conservative approach to
investing is mandatory.
But given how long we
may live - and how long
retirement may last growth investing may be
important.
Shared Branching Network
A New Choice.
Your credit union has joined together with other credit unions,
internationally, in a cooperative effort to bring you a new choice in financial
convenience, “The CU Service Centers® Network.” You can now perform many of
your financial transactions and obtain services at branch locations or other credit
unions belonging to the network.
CO-OP's nearly 30,000 ATMS
and 5,000+ shared branches
Financial partnerships at the workplace is probably the reason you joined your credit
means you have more direct,
union. But convenience for you at work may not translate into convenience for your
surcharge-free* access to your
family members. Now with CU Service Centers®, your family will find access to the
money than most traditional
credit union more convenient.
bank customers do.
Convenience on the road or when relocating
No matter where you may be on the road, your credit union is now as close as the
nearest CU Service Centers® location. With so many convenient locations, you will be
able to access your credit union account even if you travel or relocate hundreds of
miles from your credit union.
With CU Service Centers®, you can use your valuable credit union
membership internationally.
There are CU Service Centers® located worldwide. For a complete listing of locations
and hours of operation, call toll free 888.CUSWIRL. You can also look up CU Service
Centers® locations on the internet at www.co-opcreditunions.org/locator. To speak
with a live member service agent 24/7/365, call the CIMple Call Center at
866.MY.CU.NOW for account information.
Contact Us
Give us a call for more
information about our
services and products.
Main Office
5200 Neil Road
Reno, Nevada 89502
United Cerebral Palsy Clothing Drive
UCP…”Life without limits for people with disabilities”
Please help us support people with disabilities and their families in our community.
During the months of April and May, United Cerebral Palsy (UCP) collection bins will be
located in the credit union lobbies.
Please bring all the men, women’s and children’s clothing that you no longer need or
wear (in plastic bags) to our offices and donate them for a great cause! You can also
donate the following items to UCP...
Clothing
Dishes
Pots and Pans
Small Appliances
Tools
Hardware
Books
Records
CD'S
Movies
Working Stereos
Radios
Antiques
Decorative Items
Curios
Collectibles
Arts and Crafts
Jewelry
Toys
Children's Items
Fabrics
Sports Equipment
And much more!
For free residential pick-up of donated items, please call Erica at 775.834.5935 or
UCP’s Main Office at 775.322.6555.
All clothing donations benefit United Cerebral Palsy, a non-profit organization providing
exceptional disability services for people with disabilities and their families. 91% of
everything donated to United Cerebral Palsy (UCP) goes to provide important services
for people with disabilities in our community. For more information, visit ucpnv.org.
2016 FHA Policy to Lower Qualifying Credit Score Could
Help Thousands Buy a Home –continued from page 1
Sparks Office
5362 Sparks Blvd
Sparks, Nevada 89436
775.829.2070
877.852.2481
CIMple Call Center
866.MYCUNOW
866.692.8669
Visit us on the web at
www.frontierfcu.org
Financial Statistics For
Month Ended Jan 31, 2016
Shares
Share CD
Medium to low credit

Lower income

Income from numerous sources

Co-borrowers who do not plan to live in the home (non-occupant co-borrowers)

Down payment gift money, but no down payment of their own

Properties that are in need of repair
The FHA Loan can also help a borrower accomplish financial goals while at the same
time improving their equity position and their credit score to refinance into something lower
in the long term. Like conforming conventional and jumbo loans, FHA loans still require full
documentation, such as tax returns for two years, W-2s, pay stubs and bank statements.
But they are flexible on using reserves and gift monies to purchase or refinance a home.
For more information about mortgage loans or to apply, visit us online
at frontierfcu.org.
$984,980
Draft
$17,650,829
Money Market
$13,504,264
Total Shares
$67,730,427
Loans
$45,242,426
Investments
$22,174,539
Reserves
Assets
Members

$35,590,354
$6,163,457
$74,526,911
6,637
Privacy Notice – Federal law
requires us to tell you how we
collect, share, and protect your
personal information. Our privacy
policy has not changed and you
may review our policy and
practices with respect to your
personal information at
frontierfcu.org or we will mail
you a free copy upon request if
you call us at 775.829.2070.
32006-NEWS-032016