CU
Connection
SoCal
A Publication for Members of Credit Union of Southern California
Winter 2016
A Fresh New Year
with Lower Payments
Get 1.99% intro APR for 12 months on balances
transferred to a CU SoCal Visa® Credit Card
INSIDE:
 Message From Our President/CEO
 Balance Spending, Saving, and Debt
 Credit Score Tips
 Featured Member
 Low-Rate Visa® Credit Card
 Knock Down Your Auto Rate
 Annual Meeting
 New Branch Location
 Free Financial Education Workshops
866.287.6225 | CUSoCal.org
Financially Thrive in 2016
H
appy New Year! The fresh start of a new year prompts
many of us to pause from our busy schedules to reflect
and reset. New Years’ resolutions often include plans
to improve our health by lowering key numbers—our
cholesterol, blood pressure, or what we see when we step
on the scale. However, the start of a new year is also a great
time to review our finances to see how we can grow key
numbers to improve our financial health. As your credit
union, it is our yearly resolution to Build Better Lives for
Members by helping them gain monthly cash flow, grow
their retirement savings, and improve their credit scores.
This year, we encourage you to let us help you grow your
numbers. We offer solutions to help you gain monthly
cash flow by lowering your auto loan rate by 2% or more,
reducing your mortgage payments with an initial low rate of
2.375%, and transferring your high-interest loan and credit
card balances for free to our VISA® credit card with a low
1.99% APR1 for one year. Because preparing for retirement is
very important and often difficult to do alone, we hope you
will schedule time this year to sit down with our investment
and retirement financial advisors to strategize the best
ways to grow your nest egg. Lastly, we are pleased to help
you raise your credit score with free financial education
workshops as well as provide you access to free financial
coaches and a robust financial fitness program through our
partner, BALANCE™.
At CU SoCal, we believe that we are more than a place to
bank. We are here to help you financially thrive. Thank you
for your continued support and for allowing CU SoCal to
serve your financial needs today, as well as in the days and
years ahead.
Balance Spending, Saving,
and Debt
S
ome friends and family members seem like naturalborn savers. If you don’t fall into that category, you
can still be successful with your finances. Knowing how
to effectively invest, save, and spend will help you make
smart financial choices.
Spend less than you earn.
Having a budget puts you in control so you can enjoy your
money instead of worrying about the bills.
Take advantage of matching contributions.
If your employer offers matching contributions in your
workplace savings plan, make sure you are putting in the
full amount. It’s like getting free money.
Pay off high-interest rate credit card debt.
By paying off your cards with the highest interest rates
first, while making the minimum payments on the others,
you’ll save on interest charges and get out of debt earlier.
Establish an emergency fund that will last at least
three months.
Freedom is knowing that you can get by without a
paycheck if you have to.
Fund an IRA.
Once you’ve maxed out your workplace savings plan, a
Roth or Traditional IRA lets you save with tax-free growth
or on a tax-deferred basis.2
Need help to plan for the future? Contact a helpful CFS
financial advisor at 866.287.6225.3
Dave Gunderson
President/CEO
1
APR=Annual Percentage Rate
2
Anyone with employment compensation can contribute to a Roth IRA, subject to
certain income limits. You must be at least 18 years old to open an IRA. 3 Non-deposit
investment products and services are offered through CUSO Financial Services, L.P. (“CFS”),
a registered broker-dealer (Member FINRA/SIPC) and SEC Registered Investment Advisor.
Products offered through CFS are not NCUA/NCUSIF or otherwise federally insured, are not
guarantees or obligations of the credit union, and may involve investment risk including
possible loss of principal. Investment Representatives are registered through CFS. The
credit union has contracted with CFS to make non-deposit investment products and
services available to credit union Members.
Qs As ASK CU SoCal
Dear CU SoCal,
I’ve resolved in 2016 to focus on two
numbers: the one on my bathroom
scale, and the other on my credit report.
Is there anything I can do to help the
second one go up? The first one seems to
do that all by itself.
Building Credit in Costa Mesa
Dear Building Credit,
Credit reports and scores have become a
very important part of everyday life, and
we like to do all we can to help Members
increase their credit scores. That said, here
are our top tips to help boost your credit
score this year:
Make your payments on time and in full.
Of the number of factors that go into
calculating your credit score, your
payment history has the greatest impact
on your credit score as it accounts for 35
percent of your overall score. So, what does
this mean in terms of increasing your credit
score? Put simply, how much you pay is just
as important as when you pay.
Reduce the amount you owe, or raise your
overall credit limit.
The second highest contributor to your credit
score is your credit use. Lenders may consider
you to be a higher risk when your balances
are high. By paying down your existing debt
and/or increasing your credit limit, your
utilization will appear lower, thereby raising
your score.
Don’t close your oldest credit card.
The length of your credit history is also an
important component and makes up 15
percent of your score. Be sure to hang on to
your older accounts so that you don’t lose
any of your valuable credit history.
Check your report for errors.
Unfortunately, one in four credit reports
has errors serious enough to affect one’s
creditworthiness.1 Each birthday, we
recommend obtaining a free credit report
from annualcreditreport.com and doing
a quick check to ensure your report is
accurate.
Your Friends at CU SoCal
“Mistakes Do Happen: A Look at Errors in Consumer Credit
Reports” published by The Public Interest Research Group
(PIRG) in 2015
1
Financial Fitness Workshops
“Getting a home loan from CU SoCal
CU SoCal offers a variety of helpful
is more feasible than I imagined.
workshops to help you strengthen your
Attending the Buying a Home workshop
financial knowlege and plan for your future.
was informative and helped us plan a
Visit CUSoCal.org, News & Events, to view
strategy to buy a home.”
and register for upcoming workshops.
—Melissa M., Hacienda Heights
Melissa M., Hacienda Heights
Erase Your Higher-Interest Debt!
1.99
%
APR
2
NO TRANSFER FEE
NO ANNUAL FEE
LOWER YOUR PAYMENTS when you transfer
your balance to a CU SoCal credit card.
•
•
•
•
1.99% promo APR on balance transfers for 12 months2
NO transfer fee, NO annual fee, NO cash advance fee
Annual cash rebate with your CU SoCal Visa® Platinum Card
Credit lines up to $25,000
Transfer your balance today! Simply log into your online banking account and
click “More Details” just below “Loans and Credit Cards” on the Account Summary
Page. Then select “Account Services” and “Balance Transfer.” You may also call us at
866.287.6225 or visit CUSoCal.org to apply online.
APR=Annual Percentage Rate. Offer valid on non-CU SoCal balances. Amount is limited to your
approved credit line. Promotion (promo) balances will be at 1.99% fixed promo APR for 12 months (365
days) with a corresponding monthly periodic rate of .166% from the date they are posted. After promo,
rate will change to a non-variable rate as low as 10.90% APR. Promo rate may be terminated on accounts
delinquent 60 days or more. Promo expires 12/31/16 and is subject to change.
2
Lower Your Auto Payment
Complimentary Workshops
Rates as low as 1.49% APR!1 Refinance
your current auto loan and we’ll
lower your rate by at least
2% APR.
BUYING A HOME
Tuesday, January 12 | 6:30-8 p.m.
Whittier Community Center, 7630 Washington Ave.
Current CU SoCal auto loans are not eligible.
Minimum amount of $5,000 financed. Floor rate
for this promotion is 1.49% APR. APR, financing terms,
and/or loan to value of vehicle will vary based on model year of
the vehicle and/or applicant’s credit worthiness. Not everyone will qualify. Vehicle model year must be 2010 or
newer. All loans and vehicles are subject to approval. Requested loan amount cannot exceed the present value
of the vehicle. Value of the vehicle determined by Kelley Blue Book. Offer is subject to change without notice.
1
Annual Meeting
Because our Annual Meeting has been attended by less than
half of a percent of our total Membership the past several years,
a decision has been made to reduce the scale of the event. We
invite you join us at a new time and location for cookies, coffee,
and to hear credit union highlights from our President/CEO.
Tuesday, March 29 at 4:30 p.m.
Brea Community Center, 695 E. Madison Way
Tuesday, March 8 | 6:30-8 p.m.
Newport Beach Library, 1000 Avocado Ave.
GETTING OUT OF DEBT
Wednesday, January 27 | 6:30-8 p.m.
Whittier Community Center, 7630 Washington Ave.
BUILDING A BETTER BUDGET
Wednesday, February 24 | 6:30-8 p.m.
Fullerton Library, 353 W. Commonwealth Ave.
FINANCIAL PLANNING 101—CREATE A
FINANCIAL P.L.A.N.2
Wednesday, March 16 | 6:30-8 p.m.
Covina Library, 234 N. Second Ave.
RSVP by March 22
Email [email protected], visit CUSoCal.org,
call 562.365.1882, or 866.287.6225 toll-free.
New Location
Tuesday, March 22 | 6:30-8 p.m.
Newport Beach Library, 1000 Avocado Ave.
CU SoCal has a new branch located on the
second floor of the Newport Beach Library.
Wednesday, March 23 | 6:30-8 p.m.
Fullerton Library, 353 W. Commonwealth Ave.
1000 Avocado Ave.
I am a new Member and
I’m excited about the
nationwide network of
no-fee ATMs! The branch is
convenient and the service is
very personal and attentive.
—Teresa J., Diamond Bar
Tuesday, February 9 | 6:30-8 p.m.
Fullerton Library, 353 W. Commonwealth Ave.
Wednesday, March 30 | 6:30-8 p.m.
Whittier Community Center, 7630 Washington Ave.
This is the best bank with
superb customer service. A
company overcharged me and
CU SoCal worked with me to
get all of my fees reversed. I
highly recommend them!
—Katie S., Fullerton
RSVP
Visit
CUSoCal.org
News & Events/Educational Workshops
[email protected]
Call562.365.1882
2
Non-deposit investment products and services are offered through CUSO Financial Services, L.P. (“CFS”), a registered
broker-dealer (Member FINRA/SIPC) and SEC Registered Investment Advisor. Products offered through CFS are not NCUA/
NCUSIF or otherwise federally insured, are not guarantees or obligations of the credit union, and may involve investment
risk including possible loss of principal. Investment Representatives are registered through CFS. The credit union has
contracted with CFS to make non-deposit investment products and services available to credit union Members.
We’re Here to Serve You
TELEPHONE SERVICE CENTER
Monday-Friday
9 a.m.–6 p.m.
Saturday
9 a.m.–1 p.m.
Local
562.698.8326 Toll-free
866 CU SoCal (866.287.6225)
WebsiteCUSoCal.org
[email protected]
Mobile Banking
m.CUSoCal.org
Find ATMs
Text location to 692667
GET SOCIAL WITH US
@CUSOCAL
HOLIDAY NOTICE
New Year’s Day
Friday, January 1
Martin Luther King Jr. Day Monday, January 18
Presidents’ Day
Monday, February 15
GROWING TO SERVE YOU BETTER
Members78,186
Loans
$433,658,709
Assets
$997,400,832
FINANCIAL HIGHLIGHTS as of November 30, 2015
Welcome Members of Fairview Employees Federal
Credit Union!
Federally insured by NCUA
HOME LOAN |
30-Year Fixed vs. 5/5 ARM
COMPARISON
Sample Mortgage: $250,000—30 year term
30-Year Fixed-Rate Mortgage1
Rate of 4.00% for life of loan
APR 4.044%
5/5 ARM1
Initial rate 2.375%, max. rate 7.375%
APR 3.891%
M O N T H LY
M O N T H LY PA Y M E N T
M O N T H LY PA Y M E N T
SAVINGS
Years 1-5
$ 1,194
$ 972
$ 222
Year 6—if no rate change
1,194
972
222
Year 6—if rates rise 2%
1,194
1,205
—
Year 11—if rates rise to max. rate
(2% cap per adjustment period)
1,194
1,422
—
Year 16—if rates rise to max. rate
(5% cap over initial rate)
1,194
1,513
—
23,881
47,731
226,119
30,347
27,951
219,653
$6,466
19,780
—
PRINCIPAL PAID after 5 years
INTEREST PAID after 5 years
After 5 years, how much will you owe?
30-Year Fixed vs. 5/5 ARM
Monthly Payment—Years 11-15
$12,620
TOTAL SAVINGS
YEAR 10
$1,194
$1,422
5/5
$1,205
FIXED
$13,320
TOTAL SAVINGS
YEAR 5
$1,194
5/5
$972
5/5
FIXED
$1,194
Monthly Payment—Years 6-10
FIXED
Monthly Payment—Years 1-5
-$1,060
TOTAL SAVINGS
YEAR 15
NMLS #45478
For more information,
contact CU SoCal’s Mortgage Loan Consultants:
Jorge Hernandez
Fernando Lopez Jorge Hernandez
562.322.2450 cell
562.325.0979 cell
[email protected]
[email protected]
Fernando Lopez
Disclosures on reverse side.
@CUSoCal
800.698.7196 | [email protected] | CUSoCal.org
Learn More
Proper submission of your income and asset documentation is needed. Interest rates and adjustable-rate mortgage shown
are are subject to change without notice and are not intended to be inclusive or a commitment to the pricing for which you
may qualify. Actual pricing will be based on credit history, loan to value (LTV), occupancy, property type, loan amount, loan
purpose, and income and/or financial obligations. Membership is subject to eligibility. All new accounts will be verified through
ChexSystems® and are subject to credit approval.
1
Loan Amounts.................................... up to $1,500,000
Loan-to-Value..................................... Varies: up to 95% for conforming loan amounts
Loan Origination fee........................ $995
Loan Purpose...................................... Limited cash out, refinance or purchase
Property Use........................................ Owner Occupied
Lien Position........................................ 1st
Property Type...................................... Single Family Residence, no condo or co-ops
Property Location.............................. California
Prepayment Penalty......................... None
Rate Lock Valid for............................. 45 days
•
•
•
•
•
•
•
•
•
The Annual Percentage Rate (APR) is based on representative loan amount for stated term and includes points listed.
Points include any origination and discount fees.
Rates and terms are subject to change without notice. Interest rates assume credit history in good standing.
All loan applications subject to credit and property approval. Flood and/or property hazard insurance may be required.
Additional fees and closing costs apply.
For adjustable-rate mortgages, rates are subject to increase after the initial fixed-rate period.
Assumes no subordinate financing.
Maximum loan limits and minimum equity/down payment requirements apply.
Other restrictions may apply.
Additional rates and programs are available.
If the down payment is less than 20%, mortgage insurance may be needed, which could increase the monthly payment and APR.
The rates listed on the reverse side are based on a FICO above 720 and an LTV below 60% for a No-Cash Out Refinance or Purchase.