review - SIU Credit Union

CU
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Volume 23
Page 1
Prequalify to Move Into New House
Page 2
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Need to Know - Youth Week
President’s Report
Mobile App Updated
Page 3
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VISA eZCardInfo Access
Home Buying Seminar
New Vice Presidents
Page 4
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APRIL 2014
Prequalify to Move Into New House
In this issue...
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ISSUE 2
SIU CU Investment Services
Branch Locations
Mark Your Calendar
Apr 24 - Blood Drive - Carbondale
Apr 20-26 - Youth Week
May 8 - Home Buying Seminar
May 15 - Super Shredder - Metropolis
May 26 - Memorial Day - CLOSED
Jul 4 - Independence Day - CLOSED
Get Connected with
SIU Credit Union
You may hear the terms preapproval and
prequalification as you prepare to buy a
house. These procedures are not the same,
although many people confuse them.
Prequalification simply involves a rough
calculation of the mortgage payment you
can afford. Your SIU Credit Union lender
can help you with this. Why is it helpful?
It lets you know from the start how much
home you can afford so you don’t waste
your time, or a real estate agent’s, window
shopping in the wrong price ranges. And,
it makes it possible for you to move quickly
when you find the “perfect” house so you
avoid disappointments.
Preapproval means you’re essentially
good to go. You formally apply for a mortgage and pay an application fee. The
lender determines that you are eligible for
a mortgage of a certain amount. So why is
it called preapproval, rather than approval? That’s because, before making a final
commitment to you, the lender must verify
your information regarding employment
and salary. Also, the lender needs to see
a professional appraisal of the house you
select to be sure its value is at least equal
to the selling price.
Bear in mind that the lender can calculate
how much you qualify for, but that is not
necessarily what you can afford. It might
be more or perhaps less. Are you counting
on continuing overtime income, or two fulltime paychecks, to make your house payments? Are you expecting to be “house
poor” for at least a few years while your
income and other obligations grow into a
house payment? Are you planning to buy
less than you might be able to afford so
you can achieve other priorities, such as
going back to school? Only you can answer those kinds of questions.
Thanks to automation in today’s mortgage
lending, we usually can give you a preapproval in a short time. Talk with your SIU
Credit Union lender for details.
Copyright 2014 Credit Union National Association Inc. Information subject to change without notice. For use with members of
a single credit union. All other rights reserved.
Want to be the first to know about
news and special promotions from SIU
Credit Union? Like us on Facebook, follow us on Twitter, or check out our blog
at http://www.siucu.org/blog/ to stay
up to date.
Mission Statement
Building
lifelong
ships by delivering
financial solutions.
www.siucu.org relationpersonalized
3.25%
APR*
800-449-7301www.siucu.org
1
NEED
TO KNOW
Youth Can Catch the
$ave Wave This April
Kowabunga!
This April youth
will be riding the $ave
Wave into SIU
CU. Whether
they’ve surfed
or not, youth
love digging
their toes in
the sand, playing with beach balls,
and jumping in the waves. Kids will
have the opportunity to visit SIU
Credit Union to get tips on how to
save.
Like surfers, young savers need tools
and techniques to improve their skills.
And we’re here to help youth start
on the path to healthy savings habits. During the week of April 20-26, we
will celebrate National Credit Union
Youth Week™. This year’s theme,
“Catch the $ave Wave™,” highlights
tips and resources available at the
credit union to boost good habits
and “hang ten” on the save wave.
Through lots of practice, young surfer
savers will learn the secret of riding
a gnarly wave that will help them
achieve big-time savings.
So stop by SIU CU and get in on the
action at our Youth Week events:
Coloring Contest (ages 12 & under)
Let your child’s inner artist come
out! Pick up a coloring sheet at any
branch location or download one
from our website after April 1. Return
colored sheet for a chance to win
$25 to be deposited into their Bailey
Bobcat Account.
Web Scavenger Hunt (ages 13 - 17)
Get searching online and learn more
about SIU CU and your money! Pick
up clues from any branch or visit our
website, www.siucu.org, then hunt
for answers online. Return completed form to any branch for a chance
to win $25 to be deposited into their
Jr. Executives Account.
Bring your saving surfers into SIU
Credit Union, and we’ll show them
how to grab some air and carve
through the save wave.
2
2013 Chairman & President’s Report
Our philosophy
for the past 75
years has been
“We’re
Working
For You” and it
will
remain
our
focus as we move
forward. With this
in mind, our goal is
to provide services
Dennis Schaefer
that will improve
President & CEO
our member’s lives. We are pleased to report that your Credit
Union performed very well financially in
2013 as the economy continued to struggle
for the fifth straight year.
SIU CU’s financial results were outstanding
and we successfully completed several
projects aimed at making your Credit
Union experience more convenient. In
2013, Assets grew 9.32% to $278,162,105,
Loans grew 10.01% to $161,889,993, and
Membership grew to 39,910, a healthy
increase of 9.85% for the year. Our approach to our members can
readily be seen by providing financing for
our members: 4,662 consumer loans ($55.4
million), 131 mortgage loans ($11.9 million),
31 business loans ($4.1 million) and $4.7
million in student loans.
When it comes to our community we
believe in being an active participant
in community activities. During 2013 we
assisted in a variety of causes including:
Southern Illinois Heart Walk, American
Cancer Society Relay for Life, Southern
Illinois Hospice, Lifesavers, free financial
seminars, scholarships and free shred days.
During 2013, SIU CU made great strides
in technology. Our redesigned website
was launched in February to be more
visually appealing as well as easier to use. The addition of the AskAuto Mobile App
enhances the auto buying experience by
placing vehicle information and values
at your fingertips. The addition of LP
Online mortgage applications streamlines
your home buying and mortgage loan
experience. We have also added selfservice coin machines at three locations to
better serve members at a lower cost than
those provided at local retailers. With every
improvement in our delivery channels,
we are committed to ensuring that the
technology is safe and that your financial
security remains intact.
During the past year we also remodeled
our Corporate and Tech facilities to
accommodate future growth so that we
can continue to provide the best service
possible.
We would also like to welcome the
members of SEE CU into the SIU CU family
through our merger on April 1, 2013. The
members in the Harrisburg area can look
forward to a new branch facility in 2014 that
will have additional features (Drive-up Teller
Lanes, Drive-up ATM, etc.) to enhance their
CU experience.
We know that you have many choices
when it comes to financial institutions and
are honored that you have chosen SIU
Credit Union. On behalf of the Board,
Management and Staff at SIU Credit Union,
we want to Thank You for your continued
trust and support. At SIU Credit Union,
“We’re Working For You.”
Mobile Banking App Update Now Available
Have you updated your Smartphone or
Tablet with the most recent version of our
Mobile App? The SIUCU Mobile App allows
you to manage your accounts wherever
you are!
Our mobile app is designed with a tabletfirst approach and unified look across all
devices. As always, you can:
• Check balances
• View pending items
• View history
• View, approve, or cancel transactions
• Transfer funds
• View and create secure messages
New features include:
• Threaded messaging
• Enhanced transaction workflows
• Updated location services
*SIUCU Mobile Banking only available to SIUCU members enrolled
in Online Banking. Please visit www.siucu.org for details.
www.siucu.org
Did You Know?
If you have a VISA
Credit Card with SIU
Credit Union, you can
now easily access your
credit card information through our online
banking website. Just login to your online banking account
at www.siucu.org. Click on Visa Account
Access under the Accounts menu, select
your credit card number and you will automatically be logged into eZCardInfo.
eZCardInfo is a Web-based application
that allows you to view statements, review
information and make payments on the
enrolled credit card(s). You can see personal information, including your name
and billing address. Credit card account
information is also provided, including your
credit limit, payment due, current transactions and up to 12 months of credit card
statements.
Along with the basic features mentioned
above, there is no charge for the use of this
service. Members of SIU Credit Union can
access this service anywhere at their convenience 24 hours a day, 7 days a week.
Questions? Give our Card Services department a call at 618-457-3595.
TRANSFER your
Credit Card Balance.
Bag
the Savings
2.9
introductory
%
APR*
FOR 15 MONTHS
NO BALANCE TRANSFER FEE
*Annual Percentage Rate. Rates, term and conditions are
subject to change without notice. Offer subject to credit
approval. Introductory rate of 2.9% APR is good on balance
transfers for 15 months. Rate applies only on balance transfers. After the promotional period ends, the standard APR for
purchases will be applied to all remaining balance transfer
amounts. Standard APR ranges between 7.9% - 16.9%. Credit
card approval and standard APR depends on creditworthiness and other qualifications. Apply for Visa Credit Card
online at www.siucu.org or visit any branch location. Membership required. Federally insured by NCUA. Offer begins
January 1, 2014 and ends September 30, 2014, but could end
at anytime without notice. Call 618-457-3595 for details.
HHHHHHHHHHHHH
FREE Home Buying 101 Seminar
JOIN US!
Date and Time:
Thursday, May 8, 2014
Program - 6:00pm to 7:30pm
Q&A - 7:30pm to 8:00pm
Location:
SIU Credit Union - Data Center
(Across the street from branch)
400 N. Giant City Road
Carbondale, IL 62902
swer questions about real estate loans
and the home buying process.
Seminar Overview:
• Can I afford to buy a home?
• The Steps to Mortgage Approval
• What a home inspection is all about
• What are closing costs
• What financing programs are available
• And a lot more!
As a special thank you for attending our
Home Buying 101 Seminar, you will be entered into a raffle to receive a coupon for
a $150 discount on your mortgage closing costs.
Buying a home is a big step. Whether
you’re looking to purchase your first
home, wishing to upgrade your residnece or buying real estate for your investment portfolio, you owe it to yourself to
have all your questions answered at our Refreshments will be served.
Home Buying 101 Seminar.
Seating is limited.
This is a free seminar with a panel of ex- Please RSVP by May 6 to 618-549-8621
perienced industry experts ready to an- (Lindsey) or email marketing@siucu.org
www.siucu.org NEW
POSITIONS
SIU Credit Union would like to introduce their new Vice Presidents to
the community of Southern Illinois.
Please welcome Jarred Lewis and
Kim Babington into their new roles as
part of the SIU Credit Union staff.
Jarred Lewis of Carterville has recently joined the staff at SIU Credit
Union as the new Vice President of
Operations. Lewis has more than 20
years experience in management
and has worked in financial services
for the last 7 years. “I am very excited to be the new Vice
President of
Operations“,
s a i d
L e w i s ,
“and look
forward
to working
for such a
great company
and
wonderns
peratio
ful group of
VP of O ewis
L
Jarred
people!” Lewis
replaces
Kim
Babington,
who left the position to serve as SIU
Credit Union’s Vice President of Business Development
Kim Babington now serves as the
Vice President of Business Development at SIU Credit Union. Babington
has been with the credit union for 5
years, previously serving as the Vice
President of Operations. In her new
role, Babington will focus on
maintaining
relations h i p s
with SIU
Credit
Union’s
b u s i ness partners
and
community leaders,
while offerent
velopm
ing financial
ess De n
in
s
u
B
f
VP o
abingto
literacy semiKim B
nars to local
school and
organizations. Congratulations go out to Jarred
and Kim for their continued hard
work and dedication towards making SIU CU a premier financial institution in Southern Illinois.
3
A Message from
SIU CU Investment Services
Scott McClatchey, CFP
Custodial Accounts: A Way to Transfer Wealth
Setting up a custodial account can be
a savvy move for adults who want to gift
their assets and help their children become
financially independent. They are simpler
to set up than trusts. But there are many
considerations -- and consequences -- to
weigh before opening an account. Here
are some key points to keep in mind.
UGMA and UTMA
The two types of custodial accounts you
can use to gift assets to your youngster are
called a Uniform Gift to Minors Act (UGMA)
or Uniform Transfers to Minors Act (UTMA).
Which one you use will depend on your
state of residence. Most states (including Illinois) -- with the exception of Vermont and
South Carolina -- have phased out UGMA
accounts and now only offer UTMA accounts. UTMA accounts allow the donor
to gift most security types, including bank
deposits, individual securities, mutual funds,
ETFs, and real estate. UGMA accounts limit
gifts to bank deposits, individual securities,
and insurance policies.
• There are no contribution limits. Parents, grandparents, other relatives,
and even non-related adults can
contribute any amount to an UGMA/
UTMA at any time. Note that the annual federal gift tax exclusion is currently $14,000 per year ($28,000 for
married couples). Gifts up to this limit
do not reduce the federal gift tax exemption.
• The assets gifted are irrevocable.
Once you establish an UGMA or
UTMA, the assets you gift cannot be
retrieved. Parents can set themselves
up as the account’s custodian(s), but
any money they take from the account can only be used for the benefit of the custodial child. Note that
basic “parental obligations,” such as
food, clothing, shelter, and medical
care cannot be considered as viable
expenses to be deducted from the
account.
• Taxes are due -- potentially for both
you and your child. Some parents
may initially find custodial accounts
appealing to help them reduce their
tax burden. But it’s not that simple.
The first $1,000 of unearned income is
tax exempt from the minor child. The
second $1,000 of unearned income is
taxable at the child’s tax rate, which
could trigger the need for you to file a
separate tax return for your child. Any
amounts over $2,000 are taxable at either the child’s or the adult’s tax rate,
4
whichever is higher. Note that state
income taxes are also due, where applicable.
• Your child will eventually gain complete control. Once your child reaches the age of trust termination recognized by your state of residence
(usually 18 or 21, with Illinois being 21),
he or she will have full access to the
funds in the account. Be warned that
your child could have different priorities for the assets in the account than
you do. Money that parents had earmarked as paying for college tuition
could instead be used to purchase a
sports car or fund a suspect business
venture.
Financial Aid Considerations
For financial aid purposes, custodial assets are considered the assets of the student, which is less desirable in terms of receiving financial aid to help fund college
expenses. If the assets in the account could
jeopardize your child’s chances of receiving financial aid, speak to your tax and/or
financial professional. One of your options
could involve liquidating the UGMA/UTMA
and establishing a 529 account.
Before making any decisions about establishing a custodial account, be sure to talk to your tax and financial professionals.
This communication is not intended to be tax advice and should
not be treated as such. Each individual’s tax situation is different.
You should contact your tax professional to discuss your personal
situation.
Scott McClatchey provides investment and
retirement planning services to SIU Credit Union
members through a partnership with Alliance
Investment Planning Group. A CERTIFIED
FINANCIAL PLANNERTM, Scott keeps regular
office hours from 9:00 to 1:00 on Tuesdays at the
Carbondale East branch and is also available
by appointment. Call 618-549-8632 to set up an
appointment with Scott.
© 2014 Wealth Management Systems Inc. All rights reserved..
BRANCHIONS
LOCAT
Carbondale
1217 West Main Street
Lobby Hours
Mon-Thurs
9:00 am - 5:00 pm
Friday
9:00 am - 6:00 pm
Drive Up Hours
Mon-Thurs
7:30 am - 5:00 pm
Friday
7:30 am - 6:00 pm
Saturday
8:00 am - 1:00 pm
395 N. Giant City Road
Lobby Hours
Mon-Thurs
9:00 am - 5:00 pm
Friday
9:00 am - 6:00 pm
Saturday
9:00 am - 1:00 pm
Drive Up Hours
Mon-Thurs
7:30 am - 5:00 pm
Friday
7:30 am - 6:00 pm
Saturday
8:00 am - 1:00 pm
Energy
300 S. Pershing
Lobby Hours
Mon-Fri
Drive Up Hours
Mon-Thurs
Friday
Marion
2809 Outer Drive
Lobby Hours
Mon-Thurs
Friday
Saturday
Drive Up Hours
Mon-Thurs
Friday
Saturday
9:00 am - 5:00 pm
8:00 am - 5:00 pm
8:00 am - 6:00 pm
9:00 am - 5:00 pm
9:00 am - 6:00 pm
9:00 am - 1:00 pm
7:30 am - 5:00 pm
7:30 am - 6:00 pm
8:00 am - 1:00 pm
Metropolis
704 East 5th Street, Suite 1
Lobby Hours
Mon-Fri
9:00 am - 5:00 pm
Drive Up Hours
Mon-Fri
9:00 am - 5:00 pm
Harrisburg
540 N. Commercial, Suite 700
Lobby Hours
Mon-Fri
9:00 am - 5:00 pm
Mailing Address
P.O. Box 2888
Carbondale, IL 62902
Phone Numbers
Local
Toll Free
Q-Phone
618-457-3595
800-449-7301
800-455-0169
Federally insured by NCUA
www.siucu.org