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NEWSLETTER:
Volume
15, No. 3, July,
1999
REBATES
The Board of Directors is pleased to continue the quarterly rebate
for all real estate loans and older unsecured loans. This reduced
the effective secured loan rates to 6.5%, and the effective unsecured
loan rates to 12% for the second quarter of 1999.
DIVIDENDS
For the second quarter, the Board declared the dividend rate of 2.25%
on balances of less than $5,000, and 2.75% on balances of $5,000 and
greater.
LOAN
INFORMATION
Interest
rebates to loans make our effective loan rates extremely competitive.
Although the rebates are not guaranteed, and are subject to our performance
and the general level of rates in the larger economy, our track record
with rebates has been consistent back to 1983, reducing nominal rates
and paying the funds back into the borrower's share account. Auto
loans do not receive a rebate, as the nominal rates on them at 7%
to 8% are already low. Our second mortgage and home equity loan rates,
while carrying nominal rates as high as 9.5% variable, have been reduced
through rebates to 6.5% since 1997. In addition, real estate loans
may be and usually are tax deductible, further reducing the effective
interest rate. We will lend up to 80% of the value of your home, less
any prior mortgages for up to a 15 year term. Our maximum real estate
loan amount is $200,000. There are no points, and all Credit Union
installment loans are insured by the Credit Union up to $30,000 for
death or total disability of the borrower at no additional cost. Real
estate secured loans may be used for a variety of purposes including
home improvement, tuition, vacation, down payment on a second home,
etc.
CD
RATES
We offer certificates of deposit at the following current rates and
yields for the following terms:
| 6 month certificate |
3.75% rate |
3.83% yield |
$2,500 minimum |
| 9 month certificate |
3.80% rate |
3.87% yield |
$2,500 minimum |
| 12 month certificate |
4.00% rate |
4.08% yield |
$2,500 minimum |
| 30 month certificate |
4.75% rate |
4.86% yield |
$1,000 minimum |
| 60 month certificate |
4.75% rate |
4.86% yield |
$1,000 minimum |
Current
certificate of deposit rates offered are subject to change in response
to market conditions.
YOUR
MONEY IS SAFE
All Credit Union deposits are insured up to $100,000 per member by
NCUA, a federal government agency. The NCUA fund is in sound health,
without a losing year in its 28 year history, and has an equity level
of 1.30% of insured savings.
24
HOUR / 7 DAYS A WEEK SERVICE
Don't
forget that the Credit Union has a 24 hour a day Voice Response Unit.
The system is only down for about 30 minutes a day during system backup
around 2:00 P.M., or in the rare event of repairs to the building
electrical system during weekends. To reach the system call (215)
592-3084.