May 31st, 2010
REVIEW: Kasasa Helps Small Banks Play With The Big Boys
Big banks better watch out— Kasasa offers rewards checking and savings accounts through local banks and credit unions, known for their personal customer service, and levels the playing field between community banking and big banks. Kasasa was created by sister companies BancVue and First ROI, which has previously established CheckingFinder, a similar program offering free, high-interest checking accounts for community banking. However, Kasasa is unique in its rewards-oriented product options.
February 24th, 2010
Should You Stick With A Bank Or Switch To A Credit Union?
In light of increasing credit card fees and loopholes in the CARD Act, fed-up consumers are ditching banks for credit unions to take advantage of lower interest rates, better banking practices, and consumer-friendly policies. Credit unions continue to have some of the best deals on credit cards as well as a consumer-friendly approach that is a welcome reprieve from exorbitant credit card fees and predatory practices. But just how do credit unions measure up against big banks?
December 21st, 2008
Credit Karma Roundup: Merry Christmas!
Christmas is only a few days away now. What are your plans for the holidays this year? Are you staying home or visiting? No matter what you’ll be doing Credit Karma wishes you and yours a terrific few days spent together with family and friends. We’ll see you here next week.
National Credit and Economic News:
- Free From Broke offers 8 Ways The Economic Crisis Can Be Good For You.
- Get Rich Slowly looks into Three Legislative Proposals That Could Have Major Consequences for Your Finances.
- Palm Beach Posts says Credit lines shrink even at prime level
- Forbes wonders After The Bailout, Tariffs?
- Business Week writes Air Fares Are Plunging, Along with Traffic.
Credit Scores:
- Star Telegram asks Why check your credit report?
- Wall Street Journal says Credit Unions Offer Auto Deals.
- New Credit Scoring System Ready for ’09 writes Kiplinger.
Credit Cards:
- A My Two Dollars’ reader faces this dilemma: Pay Off Credit Card Balance Or Keep Emergency Fund?
- Stop Buying Crap writes Credit Cards Made a Little Less Evil with New Industry Rules.
- Digerati Life asks Applying For A Credit Card? Review The Credit Card Bill of Rights!
- Read the highlights of new credit card rules over at The Sun’s Financial Diary.
- American Banker says Card Rules Done, Now for the Makeover.
- Blueprint for Financial Prosperity on the subject of the Best Charity Credit Cards.
- The Economist talks about a nudge in the wrong direction when it comes to credit cards.
Debt:
- Mr. ToughMoneyLove posts The College Student Debt Machine: A National Disgrace.
- Cash Money Life says less debt, and more income!
- FT publishes holiday home equity used to pay off UK debts.
- New York Times presents Governor to Unveil a Low-Cost Student Loan Program.
News and Carnivals Featuring Credit Karma:
- Rickety for Credit Karma Checkup.
- Dec 15 Edition of The Holiday Spirit at Systems Overload.
- Carnival of Credit Report Stories at Lava.
Photo Credits: 1
December 2nd, 2008
Is a Credit Union Right For You?
As loans from traditional banks become harder to get, more consumers are looking into credit unions in hopes of getting the loans that they need. There are a few pluses and minuses that come with joining a credit union and it is important to know what you are getting into before you sign up. Let’s take a look at credit unions and see what you can expect.
1. Loans are easier to get.
This is probably the main reason that many people do decide to become members of a credit union. As the name implies, their main purpose is to offer credit to their members. If you have reasonably good credit, or have only made a few mistakes and your credit score is still decent, you should not have any difficulty getting a loan from a credit union. If this is a high priority for you, then joining would be a good idea.
2. No businesses allowed.
Credit unions are typically only for consumers. There may be a few exceptions to the rule, but generally, if you have a business, you’ll have to set up a separate account for it somewhere else. This isn’t that big of a hassle, but if you like to keep your money in one bank, it can be annoying. The primary purpose of a credit union is to serve consumers individually, not as companies. In addition, getting a business loan from a credit union is next to impossible, even if you are applying as an individual.
3. Loan amounts will be small.
Credit unions typically only lend out on smaller loans, usually in the $10k range. You may find a few that are willing to go over that, but this is a general guide to the type of funding that you can expect. That basically means that while they may be good for a small personal loan or a used car loan, anything over that will be tough to finance through a credit union. These loans are definitely not suited for home purchases.
4. One on one help.
Credit unions typically limit their members and they do offer additional services to those that they accept. For example, many will offer free credit counseling or other services that can help you find your financial footing, or keep it on solid ground. For those that are looking for a little extra attention and help with their money, a credit union can be a very good choice.
5. Limited membership.
The downside to credit unions is that they do have limited memberships available. Some may only accept specific kinds of people, such as fireman, military members or similar professions. If you are applying to join a credit union, make sure that their charter is broad so that you have a better chance of being accepted.
At the end of the day, the choice to join a credit union can be beneficial, especially for consumers that need easy access to loans and financial advice.
Photo Credits: 1
November 26th, 2008
Ten Ways to Make your Credit Look Better
Have you ever been told to “always look your best”? The same should be true for your credit. You should work to make sure that your credit always looks its best as well. Here are ten ways that you can approve the appearance of your credit.
1 – Pay down your debt.
This is one of the fastest ways to improve your credit by decreasing your credit available to credit used ratio, paying down the balances on the higher interest credit accounts first. If you are using more than 50% of your credit, then you are using too much and need to start paying some of it off for better results.
2 – Use secured cards to make an entrance into the world of credit.
Most banks and credit unions offer secured credit cards, which are excellent for helping you build credit even if you don’t have much to speak of just yet.
3 – Apply for a passbook loan.
These are month to month loans that use your savings account as a means of collateral, which is a great way to show lenders that you are capable of paying off the loan even if your credit is less than ideal. Some banks don’t report passbook loans to the credit bureaus so check with yours.
4 – Utilize retail store credit cards wisely.
These cards are relatively easy to get and can help to build your credit appeal. You can use these cards for purchases that you can pay off right away and build credit in the process.
5 – Keep old accounts open.
Closing an old account is something that you will regret, so even if you are not using the account, leave it open or it could have a negative effect on your credit.
6 – Properly utilize the 100-word Statement.
Under the Fair Credit Reporting Act, you are allowed to add 100 words to your credit bureau file, and this can be utilized to improve your credit image. Just keep in mind many lenders will just review the credit score and ignore any statement.
7 – Perform occasional checkups on your credit report.
By reviewing your credit report from time to time, you will be better able to keep track of changes to prevent negative things from showing up.
8 – Protect yourself from identity thieves.
Identity thieves can wreak havoc on your credit, so it is vital that you take steps to prevent your identity from being stolen if you want your credit to be appealing to lenders.
9 – Maintain good record keeping habits.
This is going to mean attending to your checkbook as often as possible, devising a bill paying system that works for you, and above all else, always paying your bills off on time, every time.
10 – Get professional help, if all else fails.
The two primary sources of help are your attorney, and a legitimate credit counseling company. If you cannot make your credit more attractive on your own, these two sources of help could be just what you need.
Photo Credits: 1
July 31st, 2008
Ask the Guy on the Inside
As the lead marketing writer for a major credit union, I see the ins and outs of the financial world from a unique perspective. Few people in the organization know the full spectrum of products and services like I do, and even fewer have to try to figure out how to best sell them. Thankfully, Credit Karma has given me the opportunity to share some of my thoughts on the former and forgo the latter in favor of a completely up front and honest appraisal of the industry.
So although my paycheck comes from a credit union, and I will occasionally sing the praises of the not-for-profit side of banking, I’m here because I very much appreciate the trend towards transparency that CK, and the internet as a whole, has provided. After all, our financial system is set up in a way that you’d have a pretty tough time avoiding loans, credit, and accounts, so instead of fighting that system, the best thing to do is learn how to take advantage of it. Sure beats stuffing your cash in a mattress anyway (is that even something people still do?).
As time goes on, I’ll be adding my little insights into the financial world alongside the other informative posts on this blog, so if you have any questions for me feel free to ask them in the comments section of this entry. I’ll give you straight answers about what goes on inside the corporate offices of your local banks and credit unions, give you tips on how to get the most from your accounts and credit, and will also let you know when some good promotions come around. Hey, I know you might think you’re sick of being marketed to, but the truth is that you can benefit greatly by keeping your fingers on the pulse of the banking industry because there’s still plenty of money being spent out there to get you to become a customer/member.
Case in point; banks and credit unions are giving away money for everything from opening a checking account with direct deposit to using the bill pay feature of their online banking systems.
I’ll keep an eye out for you, and again, post those questions if you have them.
