SPRING 2016
How to Choose the Right
Credit Card for You
Spring into Home Buying
ASK THE ADVISOR:
Disaster-Proof Your Insurance Coverage
Traveling? Protect Your Finances
R ETA & T IM C . | ME M B E RS S I N C E 2 010
How to Find the Right Credit Card for You
If you’re shopping around for a credit card, you’ve probably noticed that there are
plenty of options on the market today. Low-interest, balance transfer, rewards,
cash back, airline- and hotel-specific cards, retail cards, student cards, business
cards…the list is endless. So how do you find the credit card that’s right for you?
YOUR CREDIT
SCORE MATTERS
Your credit score determines
what cards you may qualify for as well as
interest rates. Keep it healthy by paying
your bills on time, not maxing out your
credit lines, or applying too frequently
for new credit. Late payments and
carrying a high balance are two of the
quickest ways to drop your score. If you
don’t know where you stand credit-wise,
annualcreditreport.com provides a free
copy of your credit report every 12 months
from each credit reporting company.
However, keep in mind that credit scores
aren’t included with the free reports; you
must purchase them separately.
CHALLENGED
OR NO CREDIT
If you have a low score, or a
thin credit history, you’ll have to seek out
options that can help you build or rebuild
your credit profile. You may qualify
for either a secured or unsecured card.
With a secured card, you put up a
cash deposit that you borrow against.
For instance, SchoolsFirst FCU offers a
secured credit card that allows you to
deposit an amount equal to the credit
limit you seek, up to $5,000. Then, by
making modest charges and paying the
balance off each month, you’ll build a credit
history which will be reported to the credit
bureaus. In time, you’ll see your score rise.
If you’re a college student, you may qualify
for a student credit card. NerdWallet.com’s
“Best College Student Credit Cards of 2016”
research allows you to compare features
and interest rates from a variety of cards.
There are many benefits, such as cash
back and travel perks that can help you
or your student build a credit history and
be rewarded for managing credit wisely.
CARRYING A BALANCE
If you carry a balance on your
card, an important feature to
consider is finding one with a low interest
rate so you are reducing what it costs to
finance your debt. Your local credit union
may offer the most competitive interest
rates, because data provided by the Credit
Union National Association to Informa
Research Services shows that credit union
platinum credit cards had an average
annual percentage rate (APR) of 8.87% in
2015, as compared to bank platinum cards
with APRs of 10.36%. SchoolsFirst FCU
offers credit card APRs as low as 8.75%.¹
BALANCE TRANSFERS
If you have a game plan to pay
off credit card debt and keep
it paid off, then you may want to consider
a balance transfer card, which allows you
to transfer a card’s balance with a higher
interest rate to one with a low- or nointerest rate. Keep in mind that balance
transfer offers are usually for a set period
of time, so you’ll need to factor in whether
or not you can reach your goal in the time
period offered. And—when that time ends,
make sure the card’s new interest rate is
competitive and not higher than it should
be. Avoid cards with balance transfer fees,
which typically hover around 3% APR.
REWARDS, CASH BACK
AND MORE
Diligent about paying off your
card each month? Then, you probably don’t
need to worry as much about interest rates
and can shop around for cards that fit your
lifestyle. For instance, if you travel a
lot, a card that offers travel rewards and
no foreign transaction fees can really make
a difference in your bottom line. Do
your homework on research sites such
as Bankrate.com, NerdWallet.com, and
Credit.com. Be careful with store retail
cards, which may come with plenty of
perks, but interest rates tend to be higher,
so you’ll need to use them with care.
Unlock the Door to Your New Home
Our Home Advantage program and
partnership with First Team Real Estate
can be the key to your home-buying
success. Members enrolled in Home
Advantage receive a 20% rebate from the
commission of the participating agent
who represents them in their home
purchase—or 25% rebates when both a
home sale and purchase are completed.2
SchoolsFirst FCU is
switching to MasterCard®
Some exciting changes are
happening to our credit cards this
year. We’re switching from Visa®
to MasterCard to offer you even
greater convenience, security
and benefits—like chip-enabled
technology and complimentary
identity theft protection services—
to make your SchoolsFirst FCU
credit card the only one you’ll want
to take out of your wallet.
New credit cards will be reissued
throughout 2016. Please go to
mastercard.schoolsfirstfcu.org for
more details. And log into Online
Banking to confirm or update your
contact information to ensure you
receive your new card.
Real Estate Workshops
Get expert advice about buying,
selling, or using the equity in your
home to your advantage.
HOME BUYING
April 6, April 14, April 27, June 9
6:30 – 8 p.m. | Pasadena
April 6, April 27
3:30 – 5 p.m. | Orange County
Department of Education
April 21, June 28
6:30 – 8 p.m. | Riverside-Riverwalk
April 28, May 26, June 30
6:30 – 8 p.m. | Tustin
May 10
6:30 – 8 p.m. | Redlands
May 12
6:30 – 8 p.m. | Torrance
May 19
6:30 – 8 p.m. | Riverside-University
June 2
6:30 – 8 p.m. | West Covina
HOME SELLING
May 5
6:30 – 8 p.m. | Tustin
REGISTER TODAY AT
schoolsfirstfcu.org/workshops
Spring into Home Buying
Rates are still low, making it a great time to buy. If you’re on the fence about whether to buy or not,
here are some things to consider.
BUY FOR THE LONG HAUL
If you plan on living in your home for more than five years, then
buying a home makes sense. If you’re unsure whether or not
you’ll be staying put, renting is probably the way to go, because
it usually takes at least five years to build enough equity in your
home to come out ahead when you go to sell it.
CONSIDER YOUR MORTGAGE OPTIONS
Like your home, a mortgage loan is going to be something you’ll
have to live with, so make sure you shop around for lenders who
have an excellent reputation for closing loans on time and offer
competitive interest rates. Most loans contain a variety of fees
including loan origination, escrow, recording, appraisals, credit
report, and title insurance, so if you do decide on a lender, make
sure you get a loan estimate, so you know all the costs involved
ahead of time. You’ll also need to decide on a fixed rate or an
adjustable rate loan. If you’re planning on staying in your home
for a longer period of time, then a fixed rate is a good choice,
particularly with interest rates under 4% APR. For instance,
SchoolsFirst FCU offers 30-year fixed rate loans with down
payments as low as 3%.3
GET PRE-APPROVED BEFORE SHOPPING
Before you start your home search, you’ll need to figure out
how much you can afford, and what type of loan is right for
you. Getting pre-approved for a mortgage allows reality to set
in; your credit, assets and income are reviewed by the lender
and you’ll find out just how much money you can borrow.
Keep in mind that to qualify, you’ll need a solid credit score,
have a steady job history, and carry a manageable debt load.
The lender will require a picture of your financial information
which includes your income, employment history, savings,
debt, and two years of W-2s and possibly tax returns.
because they have experienced firsthand the agent in action.
Programs like SchoolsFirst FCU’s Home Advantage are a good
resource because you are paired with a loan consultant and
local realtor who will guide you through every step of
the process.
DON’T LET EMOTIONS DRIVE YOUR DECISION
A home is one of the biggest investments you’ll ever make,
so make sure you have your feet firmly on the ground when
you decide to buy. First, understand all the costs involved
in your purchase beyond the monthly payment, including
property taxes, insurance, home repairs and maintenance,
and homeowners association fees. Next, evaluate the pros
and cons. For instance, does the house fit your family’s
needs? If the house has unique qualities that you find
appealing, will they appeal to others when you go to sell it?
And if it’s an older home with lots of character, will it involve
repairs or energy costs that can bust your monthly budget?
Finally, location is all-important. Is the street in a good
neighborhood, with good schools? Is the property located in
a flood zone or an area prone to wildfires? There are plenty
of questions to ask and your realtor can help you find the
answers. Finally, drive by the home at different times of day
to really get a feel for what it will be like living there. You’ll
need a critical eye to determine if it’s really the right home
for you.
WHEN STAYING PUT MAKES FINANCIAL SENSE
If you’re already a homeowner, sometimes a home equity line
of credit (HELOC) can help make not moving more attractive.
With the money, you can make home improvements such
as remodeling your kitchen or bathrooms, installing energy
efficient windows or getting a new roof.
FIND THE RIGHT REALTOR
You’ll want to make sure your agent has a solid track record
and is knowledgeable about the areas you are interested in.
Getting a referral from friends or family is a great way to go,
FOR SALE
Financial Workshops
REGISTER TODAY AT schoolsfirstfcu.org/workshops
Learn more about planning for your financial future by attending one of our complimentary workshops:
RETIREMENT PLANNING FOR SCHOOL EMPLOYEES5
BUILDING A BETTER BUDGET
April 14
4 – 5 p.m. | Riverside-University
May 7
10 – 11 a.m. | Riverside-University
April 26
4 – 5:30 p.m. | Santa Ana
April 20, April 27
3:30 – 5 p.m. | Orange County
Department of Education
June 15
3:30 – 4:30 p.m. | Riverside-University
TRUSTS AND ESTATE PLANNING5
April 16, May 21
10 – 11:30 a.m. | Santa Ana
May 19
6:30 – 8 p.m. | Tustin
Ask the Advisor:
Disaster-Proof Your Insurance Coverage
Ask the Advisor is an advice blog featured in the Highlights section on the schoolsfirstfcu.org home page. Each
month, we answer your top questions.
Laura Holmes is a Licensed Insurance Agent with SchoolsFirst Insurance
Services, specializing in personal lines policy. With more than 10 years of
experience in the insurance industry, Laura has developed an understanding of
the importance of insurance and managing risk. She is dedicated to educating
our Members about how to properly protect themselves and their family.
Laura is based in our Santa Ana Branch.
Most people don’t worry much about their insurance coverage until
they need it. So if you haven’t read your policy’s fine print—believe me,
you’re not alone. That’s why I recommend getting a complimentary
insurance review to help you figure out if you have what you need.
Overdue for that review?
Here are some questions to help you decide.
HOMEOWNERS AND RENTERS INSURANCE
If your home is damaged because of an earthquake or
flood, would your insurance pay to have it fixed? Hint: Most
policies don’t include coverage for these perils. You’ll most
likely have to add earthquake on to your existing policy and
purchase a separate flood insurance policy through the
National Flood Insurance Program.
Another question: Does your homeowners or renters
insurance include actual cash value (ACV) or replacement
cost coverage? The first fixes home damages and
replaces your belongings, minus depreciation—which
means it won’t cover your losses at full value. Unlike ACV,
replacement cost coverage pays for all the damage, no
depreciation at all. This translates into big savings if you
have to file a claim.
CAR INSURANCE
If you live in fire, flood or earthquake country, your car
can take a beating should catastrophe strike. Does your
insurance include both comprehensive and liability coverage?
Don’t know? If your car is damaged due to a natural disaster,
comprehensive coverage will fix it, liability will not.
MINDING THE EXTRAS
You may be thinking: What extras? If you don’t know, a
review can help you find out if you need the following:
Umbrella Insurance: Extra liability insurance that protects
you and your assets against major claims and lawsuits.
Valuable Personal Property Insurance: Covers valuables
including things like jewelry, coins, collectables and
family heirlooms.4
VISIT OUR NEW
SchoolsFirst FCU Location
If you’re in the neighborhood, stop by and visit
our new SchoolsFirst FCU branch located at
3430 Marron Road, Suite 200, Oceanside.
President’s Message
Dear Members,
With the change of season, you
may have some spring cleaning or
other home improvement projects
on your mind. If you’ve started a
to-do list, now may be the perfect
time to spruce up your financial
house, as well.
Clearing out old paperwork, spotchecking saving and spending
habits, or ensuring you have the
right mix of products in your toolkit,
are just a few ways to boost your financial well-being. Of course, you can’t
accomplish everything at once, but nothing feels better than crossing one
or two tasks off your list. And we’re here to help you do just that.
As your Credit Union, we remain committed to not only providing highly
competitive products and services, but sound financial guidance as well.
We encourage you to take advantage of our advice and educational
offerings, including free financial and real estate workshops, and our
online educational learning modules, articles and videos. So whether you
want to improve your money management skills, learn more about how
much insurance you need to protect your family, purchase a home, or save
for retirement and college—we have solutions and expert advisors to help
you gain the knowledge you need to make smart financial decisions.5
And when it comes to more personalized advice, one of the most valuable
resources we provide is a team of professional advisors. They are here to
focus on you, your dreams, and your personal financial goals. When you
schedule a complimentary consultation, your advisor will listen to what
you hope to achieve and together you will come up with a plan that fits
your life. It’s a great way to get a jump-start on your financial improvement
goals, and a wonderful benefit of your Membership.
It’s an honor and privilege to serve you,
Bill | PRESIDENT/CEO
Appreciation Weeks
Every May, we honor teachers and classified school employees
for the difference they make in students’ lives each day. We are
grateful for your commitment to making the future brighter for
the next generation.
May 2–7, 2016 | Teacher Appreciation Week
May 15–21, 2016 | Classified School Employee Week
Please join us at any branch during these weeks as we
celebrate your contributions.
Member Spotlight
Reta and Tim C. joined the Credit Union in 2010, on the recommendation of Reta’s
mother who is a school employee and Member. When the couple found a vacation home
near their family in Colorado, they looked to their Credit Union to help them navigate the
process, as they planned on buying it using a home equity line of credit (HELOC).
They were beyond pleased when the loan processed in record time. “We went from a
closing date of Jan. 25 to Dec. 29 on our new second home. SchoolsFirst FCU did it in
only 20 days. It rocked and rolled so fast…the process was perfect.” With an auto loan,
share certificates, and a money market account, Reta loves the ease of online banking
and the mobile app. And she likes being able to walk to her local branch. “When I go in,
everyone is so helpful. I can’t imagine going anywhere else for anything we need.”
“We went from a closing date of Jan. 25 to Dec. 29 on our new second home.
SchoolsFirst FCU did it in only 20 days.”
Reta and Tim C. | Members Since 2010
School Employee Appreciation Nights
ANGELS VS. RAYS
Friday, May 6 @ 7:05 p.m.
DODGERS VS. CARDINALS
Friday, May 13 @ 7:10 p.m.
School employees, family members and friends are invited to join us at Angel or Dodger
Stadiums for a night to honor the contributions of those who help build the future.
Go to schoolsfirstfcu.org/appreciation to learn more about how to purchase
discounted tickets and our school supply drive.
Traveling?
Protect Your Finances
Travel Notice
eAlerts
Set up a travel notice informing your financial institution
where you are going and for how long. If you don’t, your
account may be frozen due to “unusual account activity.”
Set up eAlerts to keep track of
account charges.
No Public Wi-Fi
A Light Wallet
Streamline your wallet and take only what
you need: a credit and debit card and just
enough cash for planned spending.
Don’t ever use public Wi-Fi networks to
access your financial accounts; they are
not secure.
Report Fraud
Use Safe ATMs
Use safer ATMs, typically found in shops, banks and
hotel lobbies that have surveillance cameras in place.
Report fraud or theft immediately.
Member Discounts with Sprint
Members can receive 10% off most regularly priced plans, whether you are a current or new
Sprint customer.
CALL 877.SAVE.4.CU and mention ID “NACUC_ZZM” to take advantage of this special offer.
Correction: In the Winter issue of Report Card we reported that the tax filing deadline was April 15. The actual deadline this year is April 18.
We’re Here For You
Go Online
schoolsfirstfcu.org
Call Us
800.462.8328
Emergency After-Hours Support
Find Us
Visit schoolsfirstfcu.org/branches
or use our mobile app to find a
branch or ATM near you.
Available 365 days a year from 5 a.m.
to 12 a.m.
Holiday Notice
In observance of this holiday, our Branches, In-Store Branches,
Service Centers, and Member Contact Center will be closed.
July 4 Independence Day
TellerPhone
800.540.4546
Mobile
m.schoolsfirstfcu.org
ATM Locations
isit our website or mobile app for
V
a complete listing of more than
28,000 fee-free ATMs.
Get social with us!
Join our communities and be among the first
to learn about new products, services, video
workshops and special promotions. Plus, share your
story with us; we would love to hear from you!
Federally Insured by NCUA
1. SchoolsFirst FCU’s credit card program features a range of rates based on a variety of factors, including the applicant’s credit rating. APR = Annual Percentage Rate. As of 03/23/2016, Gold
and Platinum credit card rates range from 8.75%-17.90% APR; Rewards credit card rates range from 11.75%-17.90% APR, and School Employee credit card rates range from 7.75%-17.90% APR.
Rates are subject to change, are variable and subject to change after account opening. Foreign transaction fee: 2% of the transaction in U.S. dollars. 2. Rebate payment is made by First Team Real
Estate and is credited to your benefit at the close of transaction. Purchase price must be greater than $150,000. Rebate for home purchase only is 20%. Rebate for home sale and purchase is
25% for each transaction. In order to receive the 25% rebates, the home sale and purchase transactions must take place within six months of each other. First Team Real Estate is not affiliated
with SchoolsFirst FCU. 3. For a $200,000 mortgage loan for a term of 30 years with a 4.5% APR, the monthly payment will be $1,013.37. Payment examples do not include the cost of property
taxes or insurance, so the actual payment obligation will be greater. The annual percentage rate, or APR shown, includes an estimate of 30 days of prepaid interest. All programs, loan rates,
APR, points, and terms listed are subject to change without notice. All loans subject to approval. Annual percentage rate may be increased if loan is refinanced. 4. CA Insurance License 0I19344
5. Securities sold, advisory services are offered through CUNA Brokerage Services, Inc. (CBSI), member FINRA/SIPC, a registered broker/dealer and investment advisor. CBSI is under contract
with SchoolsFirst FCU to make securities available to Members. Not NCUA/NCUSIF/FDIC insured, may lose value, no financial institution guarantee. Not a deposit of any financial
institution. CUNA Brokerage Services, Inc. is a registered broker/dealer in all fifty states of the United States of America. Federally Insured by NCUA