Winter 2016

WINTER 2016
Board Creates New Dividend Structure
Introduction of 4th tier opens a new chapter on dividend options!
As part of CEFCU’s steadfast commitment to superior
financial value, the Board of Directors has adopted a
resolution to establish a new share dividend tier. Effective
January 1, 2016, this new tier will be a fourth tier for share
deposits of $250,000.01 and above:
$0.00 – $ 25,000.00
$ 25,000.01 – $100,000.00
$100,000.01 – $250,000.00
$250,000.01 & Above
Rich Harris, President/CEO. “This new tier structure allows
us to pay competitive dividends on all four tier levels. The
dividend rates declared for each level must be carefully
assessed by the Board to ensure the best possible rate is
paid compared to other financial institution money market
type accounts. It is this kind of foresight that keeps CEFCU
strong, steady, and successful in any economic climate.”
“There is an increased level of expectation from our
members to keep dividends high and loan rates low,” said
Exciting Innovation and
Improvements to Be Unveiled in 2016
2015 has been a great year — a year of financial growth and product
improvement. We take great pride in the advancement of many of our
electronic services and improved service features. But, rest assured, there’s
more to come!
The calendar is filled with good news — from new and enhanced service
capabilities to more innovation and functionality. We are involved in demanding
and complex transactions with rapidly changing processes and technology.
We are prepared. We are committed. We are focused and strategically
aligned to meet the growing needs of our members.
Our members want easy access and convenience in how they access
their accounts and perform transactions. The Board of Directors and
management team are actively looking for new ways to improve services.
Our Credit Union is directing resources to areas that offer the potential
for growth to provide greater value and improved services.
We are excited to embrace 2016. We thank you
for your trust and confidence and wish you and your
family a very healthy and prosperous New Year.
Happier
Have a Happy New Year with
4.75% APR* (FIXED)
Ring in the new year with our discounted rate on all purchases and balance transfers from
high-interest credit cards posted to your Platinum MasterCard account prior to April 15, 2016.
START THE NEW YEAR RIGHT! If you’re a current CEFCU MasterCard holder, use your card and charge your spending at a
reduced rate. Prior to April 15, enjoy a rate of 4.75% APR every time you use your CEFCU MasterCard — whether it’s to make a
purchase or pay off another card. If you’re not yet a CEFCU cardholder, apply for a card today and start realizing the savings now.
And, you will continue to enjoy this discounted rate on those 4.75% APR purchases or balance transfers through
October 19, 2016! In other words, if you use or open your CEFCU card now and use it, you could enjoy some very significant
savings for over 9 MONTHS!
After the promotional period — unlike many credit card offers that start
low only to sky-rocket later — your CEFCU MasterCard simply reverts to
9-MONTH COST COMPARISON
its original money-saving rate of just 9.25% APR (VARIABLE). So, if you carry a
ACCOUNT
18.00%
4.75%
9-MOS.
balance on your credit cards, you will always come out ahead by choosing CEFCU.
BALANCE
APR
APR
SAVINGS
Make this a truly happy New Year. Shop with the card that will save you
$ 2,500
$360
$ 95
$265
money every time you use it...your CEFCU Platinum MasterCard.
$ 5,000
$720
$190
$530
And for maximum savings, transfer your higher-cost balances from other
$ 7,500
$1,080
$285
$795
cards right now and enjoy 9 months at 4.75% APR! You can do it all online
$10,000
$1,441
$380
$1,061
at www.cefcu.org (or print out our balance transfer form and mail it in).
Your exact cost will vary depending upon your specific monthly balance.
LOOK AT THE MONEY YOU CAN SAVE!
If you carry a balance on other credit cards, don’t
miss this opportunity to cut your finance charges...
dramatically! With credit card rates typically
ranging from 17% APR to 21% APR or more, our
discount rate of 4.75% APR can save you hundreds
of dollars over the course of the next 9 months...
more than $1,000 in some cases!
The chart above compares the cost of our 4.75% APR
to that of a typical credit card at 18.00% APR.
It assumes maintaining a balance of $2,500,
$5,000, $7,500, or $10,000 every month.
Not a Cardholder? Apply Today
Are you an eBranch user? Log into eBranch and click “Apply for a Loan,”
then click “Consumer Loan.” Most of the already short application will be
completed for you.
Not an eBranch user? Apply online at www.cefcu.org.
Prefer to call or come in? Call 800/593-3328 or visit any of our three
office locations.
Once approved, you can expect your card in 7-10 business days. It’s just
that easy to get the credit you deserve...in 2016 and beyond!
Choose one of four designs exclusive to the
Caltech/JPL community pictured above...
and show your pride while you save!
*APR=Annual Percentage Rate. Promotional rate of 4.75% APR applies to all transactions, including purchases, cash advances, balance transfers and convenience checks, posted to your CEFCU Platinum MasterCard
account between November 15, 2015 and April 15, 2016. Promotional rate on those transactions will expire October 19, 2016. Transactions posted to the account after April 15, 2016 will be at the rate in effect, currently
9.25% APR (VARIABLE). This APR will vary with the market based on the Prime Rate. Balance transfers and convenience checks cannot be used to pay off existing CEFCU loans. For more information, view our MasterCard
Disclosure. All credit subject to approval.
2016 CALENDARS ARE HERE! Visit any office to pick up a copy today.
We’ve Lowered Closing Costs on Conforming Mortgages
There are many advantages to using CEFCU
for your real estate borrowing needs. And now,
there’s one more! We’ve lowered closing costs
on conforming mortgages.
Already in effect, we’ve reduced points to save
you even more money. Couple this cost savings with
our unique product line and customized service and
you truly have unsurpassed value. We’ve done a
better job than traditional mortgage providers to
tailor our products to meet the needs of our members.
And, we have the track record to prove it — with a
real estate portfolio of more than $243 million!
Our Mortgage Center uses the latest technology to streamline the application and approval
process, plus offers other useful features to help you
understand your options, estimate payments and
compare rates and terms. You can even view your
loan status and track the entire process online.
If applying online does not appeal to you or
you have questions about which product is best for
you, we still have the same dedicated Mortgage
Center team ready to answer your questions.
Certain exceptions may apply for jumbo loans or property types. Property
insurance is required. All loans subject to credit approval. Rates, terms and
programs are subject to change without notice. NMLS #626590.
You Have Questions. We Have Answers.
Buying a home or refinancing an existing mortgage is not an easy feat. It requires time, patience and knowledge.
At CEFCU, our Mortgage Center team is equipped with information
and experience. Here are a few common questions we often receive.
What does the mortgage loan
process entail? After you apply for a
loan, CEFCU will send you applicable
disclosures so you have a chance to read
through the important facts related to
the loan. The next step is to tell the
Credit Union that you want to proceed with the mortgage
application. We verify the information you’ve provided on
your loan application and review your credit report. We will
request documentation to verify assets and income. Your new
home, or existing home if you are refinancing, will be reviewed
by ordering an appraisal, title report and flood certification.
At least three days before closing you’ll get your official
Closing Disclosure that sums up the terms of your loan and gives
you details about fees and other costs you pay at closing. An
escrow agent will gather all the legal documents, close the loan,
and handle the money involved for your purchase or refinance.
Is a CEFCU mortgage loan
assumable? No, the person buying
your property cannot assume your loan.
What is an escrow or impound
account? An escrow account (sometimes called an impound account) is set
up by CEFCU to pay certain property related expenses on
your behalf like property taxes and homeowner’s insurance.
Because bills for taxes and insurance can be large, many
homeowners prefer to pay them in monthly installments along
with their mortgage payment. Lenders may require that you
pay your taxes and insurance using escrow, so they make sure
that the bills get paid and the property is not at risk. Sometimes
escrow accounts may be required by law. Your property taxes
and insurance premiums can change from year to year, so your
escrow payment and your total monthly payment will change
accordingly.
Q&A
Why does CEFCU offer 10,15, 20, 30 and 40-year loan
terms? Borrowers have different needs. Some borrowers want
shorter term loans with higher payments to pay the loan off and
enjoy peace of mind with equity. Other borrowers want to
stretch the loan to decrease monthly payments. By providing
multiple term options, borrowers have smarter solutions to
mortgage needs.
Can I pay off my loan faster than the stated term?
Yes, and you’ll save on finance charges. You can pay off your
loan faster by making larger payments or making more than
12 full payments a year.
Is there a pre-payment penalty? No, there are no prepayment penalties or early payoff fees with any of our loans.
How long does it take to fund a CEFCU mortgage loan?
Although processing times vary, typically it takes around four
to six weeks to close a loan from its application to closing.
However, a purchase preapproval or refinance preliminary
approval is issued within 48 hours.
Can you “roll in” closing costs to purchase a home or
refinance an existing mortgage in the loan amount?
On a purchase, it is not possible to include the costs in the
loan amount. The buyer must bring this money to closing
along with their down payment. For a refinance, yes, it is
customary to include the closing costs in the loan amount.
The loan amount is raised slightly to “roll in” the costs.
Want a 2016 CEFCU calendar, but out of the area? Call 800/592-3328 and request a calendar be mailed.
Did You Know?
˜
LA CANADA
OFFICE
528 Foothill Blvd.
P.O. Box 11001
La Cañada Flintridge, CA 91012-6001
800/592-3328 • 818/952-4444
FAX 818/952-4382
Hours: 9 a.m.-4 p.m. M-F
Drive Up: 8:30 a.m.-4:45 p.m. M-Th
8:30 a.m.-5:15 p.m. F
EXTERNAL ACCOUNT FUNDS TRANSFER allows you to easily transfer money online
to or from your accounts at other financial institutions — for FREE!
In most cases, outbound transfers (from your CEFCU account into your account at
another financial institution) requested before 3 p.m. PST are available at your other institution
as soon as the next business day. Outbound transfers have a $20,000 limit per day. Inbound
transfers (from your other financial institution into your CEFCU account) are typically
credited to your CEFCU account within 3-4 business days and have a $10,000 limit per day.
To set-up your accounts, log in to your CEFCU account via eBranch at www.cefcu.org,
then select the “Accounts” tab and choose the “External Accounts” option. Managing
your money was never so easy.
Some restrictions may apply to incoming and outgoing transfers. Lower dollar limits apply when transfers are made via our Mobile Access
smartphone app. Be sure to check with your other financial institutions for eligibility regarding transfers depending on your account types.
JPL OFFICE
4800 Oak Grove Dr., Bldg. 291
Pasadena, CA 91109
818/354-3280
FAX 818/393-4308
Hours: 9 a.m.-4 p.m. M-Th
8:30 a.m.-4 p.m. F
FINANCIAL UPDATE
As of November 30, 2015
Assets..................................................................................................................................................................
Shares..................................................................................................................................................................
Loans...................................................................................................................................................................
Member Accounts............................................................................................................................................
LOAN RATES & TERMS
CAMPUS OFFICE
Annual
Percentage
Rate (APR)
1200 E. California Blvd.
Pasadena, CA 91125
M/S 100-63
626/395-6300
FAX 626/568-9536
Hours: 9 a.m.-4 p.m. M-Th
8:30 a.m.-4 p.m. F
Type of Loan
WEBSITE
Share Secured Loan (Variable).................................................................................
www.cefcu.org
CREDIT UNION
OFFICIALS
BOARD OF DIRECTORS
Dlorah Gonzales, Chair
John Patterson, Vice Chairman
Mike Miranda, Secretary
Rich Harris, Treasurer
Willis Chapman, Director
Gary Gray, Director
Ann Martin, Director
Richard O’Toole, Director
Steve Proia, Director
SUPERVISORY COMMITTEE
Laurice Balian, Chair
Walt Boyd, Member
Theresa Slowskei, Member
$1,741,268,963
$1,235,916,644
$ 355,544,871
35,295
Approximate
Maximum
Term
PERSONAL LOANS
Personal Line of Credit (Variable)...........................................................................
MasterCard® (Variable).................................................................................................
Short Term Personal Loan.......................................................................................
10.25%
9.25%
9.00%
10.00%
10.50%
1.90%
Open End
Open End
24 months
36 months
48 months
Open End
1.45%^
1.85%^
2.85%^
3.85%
36 months
60 months
84 months
60 months
3.99%
4.99%
60 months
60 months
7.25%
9.00%
120 months
84 months
VEHICLE LOANS
New/Pre-Owned Autos — Purchase and Refinance*
100% Financing (Current & prior 5 years)................................................................
100% Financing (Current & prior 5 years)................................................................
100% Financing (Current & prior 5 years)................................................................
80% of Retail Blue Book (6 years & older)...............................................................
New/Pre-Owned Motorcycles*
80% Financing...................................................................................................................
100% Financing ................................................................................................................
New/Pre-Owned RVs*
100% Financing........................................................................................................
80% Financing (6 years & older)................................................................................
* Financing includes purchase price or Retail Blue Book value plus tax, license, documentation fees, mechanical breakdown protection,
GAP, and extended warranty.
^ Includes 1% rate discount for payment by Automatic Transfer. Lower rate or refinancing option does not apply to current CEFCU loans
or any vehicles that have been financed by CEFCU in the past 12 months.
REAL ESTATE LOANS
First Trust Deed............................................................... Visit us online at www.cefcu.org or call 800/592-3328, x404
Second Trust Deed
Primary/Secondary Residence (Fixed)............................................................... 4.95%
180 months
Rental Property (Fixed)......................................................................................... 9.75%
120 months
Home Equity Line of Credit (Variable)................................................................. 3.75%
Open End
10-Year Interest Only HELOC (Variable)............................................................ 3.75%
120 months
Caltech Employees Federal Credit Union publishes this reference guide as a service to our members. It is designed
to be used for general information and is not meant to be a full disclosure. Rates and terms are those in effect at
time of printing, and are subject to change without notice. For applications or detailed information, please call
the Credit Union today. Equal Housing Lender. Equal Opportunity Lender. Effective Jan. 1, 2016.
SAVE THE DATE
Tuesday, February 16, 5:30 PM
Annual Meeting
Beckman Institute on the
Caltech campus.
Holidays:
Martin Luther King, Jr. Day, Monday, Jan. 18 • Presidents’ Day, Monday, Feb. 15