Archive for September, 2009

The Credit Union Way

September 24, 2009

Tiffany and I have a fascination with these two personal finance radio personalities, Dave Ramsey and Clark Howard.

ramsey

Tiff and Dave are like BFF…or maybe it’s just that she reads his books and listens to his radio show all the time.

clark-with-wallet-200_o

Clark and I go way back…or maybe it’s just that I’ve listened to his radio show my entire life (thanks Dad!).

So, if you couldn’t tell already, we are big fans! Dave will tell you how to get out of debt and Clark will tell how to save a buck.

I was listening to Clark this afternoon when a caller called in about looking for a credit union. He was tired of the crazy fees that his bank was charging.  He heard Clark talking about how different credit unions are than banks and he wondered how to find a credit union that would work for him. Clark was more than happy to help.

Did I mention that Clark and Dave STRONGLY recommend credit unions to their listeners?

Oh, well then, I’ll tell you now. Clark and Dave STRONGLY recommend credit unions to their listeners. They are big fans of the credit union world because we are not-for-profit and NOT owned by stockholders.

Clark even mentioned that in the coming years the ‘giant monster mega banks’ (that’s his affectionate term for them) will have to find more and more ways to charge fees to their customers to make more and more money.

Credit unions have lower loan rates and fewer fees because we don’t have stockholders to please.  It’s just that simple.

So, I’m glad I got to hear that caller on the Clark Howard Show today. It reminded me that my money is safe in a place that isn’t trying to nickel and dime me to please their stockholders.

If you know of anyone that is tired of their bank, tell them about NWGACU. And if they live far away, tell them to check out www.findacreditunion.com.

If you are interested in tuning in to personal finance radio, you can hear Dave on WLAQ (1410 AM) from 3-5 every weekday, and you can hear Clark on WRGA (1470 AM) from 1-3 every weekday.

Posted in Better than a Bank | Leave a Comment »

I Don’t Have Any Credit! Where Do I Start?

September 23, 2009

Tiffany wrote a great blog on July 6th entitled “Credit Explained”. If you missed it, now would be a good time to go back and read it.

In my position as a Financial Services Officer, I get asked all the time what the best way to start building credit is. My two favorite options are share-secured loans and credit cards.

Share-secured loans are wonderful to start out with because you’re borrowing your own money! You put up a little money into your account (I recommend your savings) and you pay it back with a really low interest rate. Our interest rate for these types of loans is the share rate + 2%. This means that whatever interest rate the share earns, you add that to the 2% (ex: right now, our main share, aka our savings account, earns 0.25%. Your share-secured loan interest rate would be 2.25%). What’s even better is you won’t have to have a co-signer even if it’s your very first loan! We don’t even run your credit report for these because it’s your money. It’s on hold in your account, so it’s not really a big risk for us. With this type of loan being used for the sole purpose of building your credit, I would make the minimum payment due, not pay it all off in one big chunk. You want to build a good long repayment history.

As for the credit card idea, don’t freak out! Credit cards can be awesome things if they’re used responsibly. First you want to make sure that you find a credit card that has a low fixed interest rate with no annual fee (by the way, I think ours is pretty great). Also, make sure that you get a low credit limit to start with. You may need a co-signer with this type of loan because it is more of a risk. I’m going to share a piece of advice with you that my dad shared with me on my first credit card: make a small purchase on your credit card each month and pay it off as soon as your statement comes. If you follow this sage advice, you won’t have to pay interest on the card and your debt won’t spiral out of control.

Whichever option you choose, just make sure you pay the full amount due and make it on time. Follow this simple advice and you’ll be a credit super star in no time!

Posted in Life at the Credit Union | Leave a Comment »

Spin It and Win It

September 17, 2009

The game show Wheel of Fortune has been on television since 1983. If my math is correct (although it’s usually not) that means Americans have been tuning in to watch contestants spin the wheel for 26 years!

The longevity of this television show tells me that people love to watch people take chances on the wheel (or maybe they are tuning in to check out Vanna’s ever-elegant fashions).

Anyway, we decided that people love a chance to win! So, we picked up a couple of Prize Wheels!

prize-wheel

When you come in to get your auto loan (great rates – as low as 5% on new cars and 6% on used), you get to spin the prize wheel! And there is no ‘Bankrupt’ on this wheel…only a chance to WIN!

You could win:

  • $50 Visa gift cards
  • $100 Visa gift cards
  • ¼% off loan rate*
  • ½% off loan rate*
  • 1 year of free car washes

    • Any auto loan gets to spin the wheel, refinances too!

    Leslie, Assistant Branch Manager, was the first to spin the wheel. She won a whole year of free car washes! Woo-hoo!! 

    Prize Wheel Leslie

    The next members to get an auto loan spun the wheel and won .50% off of their loan rate! Wow!

    Actually, they got TWO spins! First they landed on $50 VISA gift card. Not a bad prize if you ask me, but they chose to spin again and landed on the .50% rate reduction and decided that would save them money in the long run.

    WAIT?! How did they get to spin the wheel twice?

    Well, everyone that gets an auto loan gets one chance to spin the wheel. BUT, if you also have Checking with Direct Deposit, a debit card, eStatements, and Online Banking with us, then you get to spin again and choose the better of the two spins.

    And if you are really lucky, I just might sing the Wheel of Fortune theme song while you spin the wheel…

     
    *Offer available only to members who are approved for the auto loan. Rates of 5% APR and 6% APR are base rates and qualifications are based on an assessment of individual credit worthiness and underwriting standards. Estimated monthly payments on 60-month loan at 5% APR = $18.87 per $1,000.00 borrowed and at 6% APR = $19.34 per $1,000.00 borrowed. For terms and conditions, please contact a Financial Services Officer at 706.290.9290 or 706.802.0030.

    Posted in Life at the Credit Union | Leave a Comment »

    In the Community – TOGA, TOGA, TOGA!

    September 9, 2009

    This past weekend was full of events celebrating the 175th anniversary of  good ole’ Rome, GA. The toga party seemed to be the main event.

    NWGACU was represented by our members, staff, and Board of Directors. You may recognize some of these faces from the credit union sporting their togas.

    TOGA! SEPT09 009

    I heard that everyone had a good time dancing to the Georgia Blues Brothers and playing with beach balls! Santa was there decked out in his toga and there was even a dog wearing a toga!

    The Guinness Book of World Records staffers were there counting togas to see if Rome would be the next record holder for largest toga party. It didn’t pan out for us this time, but a good time was had by all!

    TOGA! SEPT09 013 

    Posted in In the Community | Leave a Comment »

    Times Have Changed

    September 8, 2009

    I’m sure you can imagine how much things have changed since 1957. A lot.

    Prices have changed a whole lot. I found an article from howstuffworks.com about grocery store prices from 1957.

    The article starts by pointing out what the average person was bringing home in income.

    $4,494 per year.

    The average person would have paid about $20,000 for their home, $2,500 for their car, and about 27 cents a gallon for gas.

    Now, on to the fun part. Going to the grocery store in 1957:

    • Milk = $1
    • TV Dinner = $.75
    • Ground beef (1lb) = $.30
    • Butter (1lb) = $.75
    • Eggs (1 dozen) = $.55

    Those are just a few highlights from the article, but it got me thinking about how much I pay at the grocery store now. I would LOVE to be paying those prices from 1957!

    Since we can’t find milk for $1 anymore, here are some tips to save a little money when you do your shopping:

    • Make a list (and stick to it)
    • Set a dollar limit (and stick to it)
    • Avoid buying nonfood items like batteries, medicine, and cleaning products at the supermarket. Use a discount store for these items.
    • Plan your weekly meals before grocery shopping. Base your meals around specials and coupons to save money.
    • Don’t grocery shop on an empty stomach. You could end up buying more than you need.
    • Avoid buying prepared and packaged goods. For example, Consumer Reports found that two pounds of carrots cost $1.29, compared with $7.16 for the same amount of pre-cut carrot sticks.
    • About two-thirds of grocery store purchases are unplanned. Shop less often and remember to stick to your list!

    Do you have other tips for lowering your grocery bill? Let us know!

    Posted in Fascinating Finds, Making Cents | Leave a Comment »

    In the Community – Princess Style

    September 2, 2009

    At NWGACU we love to join in on the fun happenings around Rome.

    For example – the toga party this weekend celebrating 175 years of Rome – we’ll be there!

    Another fun happening went down this past Monday at the Dwarf House and one of our Tellers was there to capture it all. Christi took her daughter to Princess Night at Chick-fil-a, a night full of Princesses and Prince Charmings and good food. Here is what she saw:

    Princess-Night

    Christi even got to say hello to some of our members while she watched her daughter enjoy Princess Night.

    There was a Space Walk for the kids and the little princesses could even get their hair done! As the door was opened for them, each princess got to walk into the restaurant on the red carpet and take pictures, color, or just eat.

    What a fun event! The Chick-fil-a Dwarf House is planning another event just for the boys – Superhero Night! That’s coming in a few months, so be on the lookout!

    Posted in In the Community | Leave a Comment »

    Credit Cards Done Right

    September 1, 2009

    Hi! I’m Rebekah. If you come into the Main Office, you’ve probably seen me behind the teller line, or lately in my current position as a Financial Services Officer. I’ve been around here a little while. Seven years to be exact and loving every minute of it! My husband and I live here in Rome with our sweet, beautiful baby girl (our English Bulldog, Cream Cheese). You might be seeing me pop in here from time to time contributing to the blog.

    An article was sent to me that I found very interesting. Kelly Spors, writer of the column “Small Talk” in the Wall Street Journal, recommended that her readers look to smaller banks and credit unions for credit cards. Her reasons: smaller banks and credit unions often carry their own branded credit cards and charge lower fees than larger banks and the national companies.

    Did you know that the average interest rate on a major bank credit is 13.76%? If you call around, I bet you’ll find that your local credit unions offer interest rates below this average. I know we do. We actually offer two— 9.9% and 11.9%, depending on your qualifications.

    I have members come into my office all the time wanting one of our credit cards so that they can pay off and close their others. The biggest complaint I hear from these members is that their interest rate is really high and the credit card company keeps raising it. Remember—13.76% is average. Companies are charging 20% or higher! I don’t know about you, but I don’t want to be paying any more interest than I have to.

    And if the interest wasn’t bad enough, then there’s the crazy fees. I don’t think it’s fair to be charged an enormous late fee if I’m only one day late on my payment. Lucky for you, that’s not the credit union way. We’ll give you 10 days before you are charged a late fee. I don’t know of any major bank offering that! If you’re like me, and you sometimes forget to make your payment, you’re going to be paying a much smaller late fee. We’re talking an average of $15 less.

    Credit Card Issuer Interest Rate(s) Late Fee Over Limit Fee
    Northwest Georgia Credit Union 9.9% or 11.9% fixed $20 $10
    Discover 11.9% to 18.9% variable $19 or $39 depending on balance due $15 or $39 depending on balance due
    Wachovia 8.9% to 19.99% variable Defaults to 29.99% for late payment $20, $29, $39, depending on balance due $35
    Chase 13.24%, 17.24%, 22.24% variable Defaults to 29.99% for late payment $15, $29, $39, depending on balance due $39

    I can’t think of a single reason why you shouldn’t call or come in to see what we can do for you… unless you like paying lots of interest and high fees!

    Posted in Fascinating Finds, Making Cents | Leave a Comment »