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The Nissan Rogue – A Buyers Guide and Breakdown

The Nissan Rogue at a Glance:

Vehicle type: AWD, FWD, 5-seater SUV

Base price: $26,700

Engine/transmission combo: 1.5 liter, VC-turbo, 3-cylinder direct engine hooked up to an Xtronic CVT

Power: 201 horsepower @5,600 rpm
EPA fuel economy: 30/37 mpg

12 Steps to Financial Wellness-Step 4: Have the Money Talk with Your Partner

You’ve tracked your spending, created a budget, worked on ridding yourself of debt, and are well on your way to a financially secure life. Now you’re ready for step four, in which you’ll have the money talk with your partner.

Talking finances with your partner may not be your idea of a shared romantic moment, but communicating openly about how you manage your money is a crucial part of having an honest and trusting relationship. It’s fairly common knowledge that arguing about money is the leading cause of divorce in the U.S., and no one wants to be the next statistic. Unfortunately, though, people often grow defensive when discussing the ways they choose to spend their money. How, then, can two partners have a calm, productive discussion about money?

Here are six tips we’ve compiled to help guide you in this super-important conversation.

Plan the discussion in advance

It’s never a good idea to bring up a potentially explosive topic without warning. Instead, broach the topic to your partner a few days before you want to have the “Big Money Talk” and ask if you can have an open discussion about money sometime soon. This way, you’ll each have time to prepare the details you’d like to talk about, and you’ll both be ready to focus on the conversation without distractions.

Start with a vision

Instead of starting the conversation by bringing up a time your partner overspent or wondering aloud why your better half doesn’t seem to be saving enough for the future, start with a vision you can both share. For example, you can talk about how wonderful it would be to take a luxury vacation to the Cayman Islands, or how you’d love to start saving for a home. This way, you are communicating a shared dream and putting a positive spin on your money talk, which will set the tone for the rest of the conversation.

Listen carefully to your partner

You may be the more responsible, or the more detail-oriented partner, but it’s still important to listen carefully to what your partner has to say. Your partner will have their own ideas about money management, and you may be surprised at the insights they have to share into your own spending habits or expensive vices.

Talk openly about sharing expenses and savings

At a certain point in your relationship, you may decide to share expenses, split them evenly and have each partner cover different expenses, and/or to pool your savings. Whether you’ve already reached that level with your partner or you plan to bring up the topic now, be sure to talk openly about the way you feel so you have a better chance of avoiding future resentment. For example, if you earn more than your partner, should you be splitting expenses evenly? Can one partner take additional financial responsibilities, such as paying the bills, in lieu of contributing an equal amount of income to the pot? If one partner goes over budget, will they be responsible for patching up the difference by contributing more money? All of these questions, and more, are important to discuss up front to help prevent future blowups and/or hurt feelings.

At this time, consider linking one of your accounts or opening a shared account at SRI Federal Credit Union. We’ve got convenient checking and saving accounts to suit every preference. Just stop by and ask how we can help.

Consider having a slush fund

Sharing expenses and a budget can be liberating in a partnership, but it can also feel constricting. Sometimes, you just want to splurge without having to explain the purchase to your partner. You may also want to spend money on a surprise gift for your partner without them knowing you’ve just dropped a large sum of money on an expensive purchase. Having a slush fund, or money set aside for your personal “just for fun” spending, can help you maintain a sense of independence and keep some of your purchases private. You can keep this fund in a separate checking account under your name at SRI Federal Credit Union.

Set up a weekly or bi-weekly time to talk money

No, you don’t need to have the Big Money Talk every week, but it is a good idea to touch base about finances once a week, or once every two weeks. You can talk about recent purchases, big expenses that are coming up soon, surprise bills and more. Setting aside time to talk about money will keep the stressful money arguments out of your everyday conversations.

You did it! You had the money talk with your partner, and you are closer than ever. Be sure to stick to your commitments and to bring up any money issues that may arise during your regular money talks for continued harmonious collaboration about all financial matters.

Posted in Accounts, Financial Literacy, Hello World, Loans

We are #1 in “Return of the member” (ROM)!

Credit unions pride themselves on offering superior products, services, and experiences. But quantifying member value is tricky. That’s why more than two decades ago, Callahan & Associates developed the Return of The Member (ROM) calculation. ROM considers three core credit union functions:

Posted in Accounts, Hello World, Loans

The Best SUVs 1/3: The Subaru Outback 2022

The Subaru Outback at a Glance:

Vehicle type: AWD, 5-seater SUV
Base price: $27,145
Engine type: Gas
Power: 260 hp@5600 rpm
Transmission: Continuously variable-speed (CVT) automatic
Fuel efficiency: 22 mpg/city; 26 mpg/highway

Posted in Hello World, Loans

Is it a Good Idea to Open a HELOC Now?

If you’re looking for a large sum of money to use for a home improvement project, or the economic devastation of COVID-19 has left you in desperate need of cash, consider tapping into your home’s equity. One great way to do this is by opening a home equity line of credit, or a HELOC. Let’s take a closer look at HELOCs and why they can be an excellent option for cash-strapped homeowners in today’s financial climate.

What is a HELOC?

A HELOC is a revolving credit line allowing homeowners to borrow money against the equity of their home. The HELOC is like a second mortgage on a home; if the borrower owns the entire home, the HELOC is a primary mortgage.

Given that a HELOC is a line of credit and not a fixed loan, borrowers can withdraw money from the HELOC as needed rather than borrowing one lump sum. This allows for more freedom than a loan and is especially beneficial for borrowers who don’t know exactly how much money they’ll ultimately need to fund their venture.

Borrowers withdraw funds (aka “draws” or “advances”) from the HELOC during a set amount of time that is known as the “draw period,” which generally lasts 10 years. Some lenders place restrictions on HELOCs and require borrowers to withdraw a minimum amount of money each time they make a draw, regardless of need. Other restrictions include the requirements to keep a fixed amount of money outstanding, or to withdraw a specific sum when the HELOC is first established. [At SRI Federal Credit Union, we allow borrowers to ….]

How do I repay my HELOC?

Repayment of HELOCs varies, but is usually very flexible.

Many lenders collect interest-only payments during the draw period, with principal payments being strictly optional. Others require ongoing monthly payment toward both principal and interest.

When the draw period ends, some lenders will allow borrowers to renew the credit line and continue withdrawing money. Other lenders require borrowers to pay back the entire balance due, also known as a “balloon payment.” Still others allow borrowers to pay back the loan in monthly installments over another set amount of time, known as the “repayment period.” Repayment periods are generous, lasting as long as 20 years.

How can borrowers spend the money?

While home improvement projects are popular uses for HELOCs, borrowers are free to spend the money however they please. Some other uses for HELOCs include debt consolidation, funding a wedding, adoption, dream vacation or the launch of a new business.

Is everyone eligible for a HELOC?

Like every loan and line of credit, HELOCs have eligibility requirements, which help lenders determine the applicant’s financial wellness and responsibility. Most notably, the borrower must have a minimal amount of equity in the home.

Lender requirements vary, but most homeowners will be eligible for a HELOC with a debt-to-income ratio that is 40% or less, a credit score of 620 or higher, and a home assessment that stands at a minimum of 15% more than what is owed.

How much can I borrow with a HELOC?

HELOC amounts vary along with three criteria: the value of your home, the percentage of that value the lender allows you to borrow against and the outstanding amount on an existing mortgage.

To illustrate, if you have a $300,000 home with a mortgage balance of $175,000 and your lender allows you to borrow against 85% of your home’s value, multiply your home’s value by 85%, or 0.85. This will give you $255,000. Subtract the amount you still owe on your mortgage ($175,000), and you’ll have the maximum amount you can borrow using a HELOC, which is $80,000.

What are the disadvantages of a HELOC?
A HELOC is secured by your home’s equity, which places your home at risk of foreclosure if the HELOC is not repaid. Before opening a HELOC, it’s a good idea to run the numbers to get an idea of what your monthly payments will look like and whether you can easily afford to meet them.

Also, many lenders require the full payment of the HELOC after the draw period is over. This can prove to be challenging for many borrowers.

Finally, if you don’t plan to stay in your home for long, a HELOC may not be the right choice for you. When you sell your home, you’ll need to pay off the full balance of the HELOC. You may also need to pay a cancellation fee to the lender.

A HELOC can be a great option now

HELOCs have variable interest rates, which means the interest on the loan can fluctuate over the life of the loan, sometimes dramatically. This variable is based on a publicly available index, such as the U.S. Treasury Bill rate, and will rise or fall along with this index, though lenders will also add a margin of a few percentage points of their own.

The fallout of COVID-19 may impact the economy for months, or years, to come; however, there is a silver lining among the rising unemployment rates and bankrupt businesses: historically low-interest rates. The average APR for fixed 30-year mortgages has hovered at the low 3% for months now, and experts predict it will continue falling. The low rates make it an excellent time to take out a HELOC with manageable payback terms.

The economic uncertainty the pandemic has generated also makes it prime time to have extra cash available for any need that may arise.

Are you looking to tap into your home’s equity with a HELOC? Call, click, or stop by SRI Federal Credit Union today to get started. Our favorable rates, generous eligibility requirements, and easy terms make an SRI Federal Credit Union HELOC a great choice.

For more detailed information on our HELOC products please click HERE.

Posted in Hello World, Loans

‘Tis the season to shop until you drop-or until you go broke. But you don’t have to overspend.

There’s no need to rack up a huge credit card bill or go into debt just to cover your holiday expenses. Enjoy a stress-free season by keeping your spending in check with these six tips:

1. Create a detailed list of all your expenses

Don’t leap into your holiday shopping armed with nothing but a credit card. Before you hit the mall or start browsing, sit down and draw up a complete list of every holiday expense you can anticipate. Include all gifts, holiday décor, travel expenses, charitable donations and food costs. Try to keep this list as trim as possible by cutting out any non-essentials and using stuff you may already have in storage from previous years. Bonus points for any homemade gifts!

2. Determine how much money you can spend

Once you have all of your expenses written out, work on finding a magic number that will cover everything on your list and that you can realistically afford. Ideally, this money should come from funds you’ve set aside just for this purpose.

3. Divide and conquer

Next, assign specific amounts of money in your budget for each expense category and for every person on your gift list. For example, you can decide to spend $300 on your preteen daughter’s gifts and to donate $100 to charity this season. Again, make sure your numbers will work from both a financial and practical perspective.

4. Track as you shop

You’re ready to hit the mall! As you shop, keep a careful account of exactly how much money you’ve spent for each person and in each expense category. It’s best to use cash or a debit card when shopping and to review your budget often to make sure you’re staying on track. This way, you’ll know how much you’re spending and you won’t be hit by awful “Santa shock” come January when you need to pay those credit card bills.

To make this job easier, use an app designed for this purpose. A common favorite is one called Santa’s Bag. The app allows you to set a budget for each person on your list and then makes tracking the amount you spend super simple. It will even warn you when you’re nearing your preset spending limit or when you’ve gone over budget.

5. Shop smartly and spend less

Keep your spending to a minimum by following these hacks:

Use shopping apps, like the Coupons App and Shopular, to get your favorite retailers’ best deals and coupons delivered right to your phone.
Follow the 24-hour rule. Before purchasing anything on the expensive side, wait 24 hours. Sometimes, after sleeping on it, you’ll find that you don’t need to buy that pricey gift after all. Or, you might find the same item somewhere else at a lower price.
Shop online on Tuesday morning. Research shows this time of the week is when you’ll find the hottest online deals.
Shop with a friend. Take advantage of BOGO sales by splitting the cost of a single item with a friend and each of you taking one item home.
Shop late. Everyone likes to get an early start on holiday shopping, but prices actually drop in the weeks leading up to Christmas as retailers seek to clear out their holiday inventory.

6. Let SRI Federal Credit Union help

If you’re having trouble covering your holiday expenses, or you want to get a head start on next year’s costs, let SRI Federal Credit Union help! Here are three ways we can take the financial stress out of the holiday season:

Skip-a-Payment. We get it. The holidays are crazy expensive. That’s why we allow qualifying members to skip one payment on a loan [or credit card] this time of year without hurting their credit or defaulting on their loan. It’s extra breathing room, just when you need it most! Apply for a Skip-a-Payment here.
Personal Loan. If you can’t come up with the funds you need for the holidays, consider taking out an SRI Federal Credit Union Personal Loan. Our fantastic terms and affordable rates make it a no-brainer!

Don’t let financial stress ruin your holiday cheer this year. Follow our tips to keep your spending down, and stop by SRI Federal Credit Union to see how we can help!

Posted in Hello World, Loans

Why You Need to Be Financially Fit

Individual Americans spend hundreds of dollars a year and at least as many hours on keeping themselves physically fit — but too many people neglect their financial health. Just like physical health, being financially fit is crucial to your wellbeing, your future and your quality of life.

Here’s why being financially fit is so important and how you can overcome common barriers to achieving financial wellness.

Financial wellness: a ripple effect

Being financially fit is about more than just having enough money in your account to cover your expenses and put away something for tomorrow. Managing money responsibly will affect many aspects of your life:

Marriage. According to a recent study by AARP, financial problems are the second leading cause for divorce in the country. Money brings resentment and arguments into a marriage. In a study reviewing over 740 instances of marital conflict between 100 couples, money was found to be the most common topic couples argued about.
Mental health. Money stress can severely affect your mental health, causing depression, restlessness, anxiety and more.
Physical health. Stressing over finances can also directly impact your physical health, leading to recurring symptoms like headaches, fatigue, upset stomach, insomnia, high blood pressure and an increased risk of heart disease and stroke.
Work life. Being bogged down by money worries can make it difficult to focus while at work, which can bring down productivity levels and hamper career growth. In addition, prospective employers tend to review the financial wellness of new hires as part of their background checks; high rates of debt and a poor credit score can cost an employee a new job.
Parenting. Managing money irresponsibly can mean not having sufficient funds to pay for a child’s education, private lessons, medical needs and more.

What are the leading causes of money stress?

According to a survey by Credit Wise®, 73% of Americans rank money issues as the number one stressor in their lives. Here are the top causes for financial stress:

High-interest debt
Insufficient savings
Medical bills
Living paycheck to paycheck
Lack of retirement planning

Stressing over money is never fun. Stressing over money, when any of the above applies to you, takes on its own form of angst by adding a level of long-term anxiety. It takes time, sometimes years, to undo the damage of any of these stressors — but it can be done!

Barriers to financial wellness and how to overcome them

We’re convinced: being financially fit is super-important. But what happens now? Why are 80% of Americans in debt? Why do only 39% of Americans have enough saved up to get them through a $1,000 emergency?

Unfortunately, while many people may understand that financial fitness is crucial to their wellbeing, there are several barriers that make it difficult to follow through on their convictions.

First, many lack the basic financial knowledge necessary to responsibly manage their money. Second, many people mistakenly believe that budgeting, saving and being more mindful of how they manage their money are too time-consuming and tedious. Finally, some people may have fallen so deeply into debt, they’ve begun believing they will never be capable of ever pulling themselves out.

Here are some simple steps you can take today to help you achieve and maintain financial wellness:

Get educated. There is no shortage of financial literacy available to the interested consumer, from financial literacy blogs to personal finance books, podcasts, online classes and so much more. Learning how money works, the power of a long-term investment and how much you’re really paying each time you swipe that high-interest credit card can help you make better choices.
Have the money talk with your partner. Whether you’ve only been sharing expenses for half a year or you’ve been married for more than a decade, it’s important to be on the same financial page as your partner. Talk openly and honestly, being careful not to be judgmental in any way, and discuss your individual and shared long-term and short-term money goals. Then come up with a plan for how you intend to reach them together.
Pay all bills on time. If you can’t take aggressive steps toward paying down debt just yet, be sure to make the minimum payment on each credit card bill each month.
Create a budget. Giving every dollar a destination makes it easier to spend mindfully and cut down on extraneous expenses.
Start saving. There’s no such thing as a sum of money that’s too small to put into savings. Every dollar counts, and once you get the ball rolling, you’ll be motivated to pack on the savings until they really grow.

You give your abs a great workout each day — now it’s time to get those money muscles into shape! Follow the tips outlined above and be sure to talk to our lending officers to see how we can help you save money. You may be overpaying on loans you currently have and would benefit from refinancing them over to us. Look at our balance transfer program, pay off your current credit card debt faster than you thought was possible!

Posted in Accounts, Hello World, Loans

Did You Know that We Offer RV loans?

If you’re thinking of road-tripping your next getaway, think RVs. Recreational vehicles and their close cousin, campervans, are growing increasingly popular as more families hit the road for a true American adventure that’s easier on the wallet and heavy on the fun. When purchasing an RV, you can go all out with a fully loaded luxury vehicle, or go the less costly route by opting for a campervan, also called a Class B motorhome. The best part is that our current New and Used RV Loan rates are 5.99% APR both up to 180-month term (15 years)!

If you’re still not convinced, here are seven reasons to buy an RV or a campervan:

1. Save money

With a means of transportation and a place to stay all rolled into one, an RV helps you save significantly on your vacation costs. Plus, when you travel with an on-the-go kitchen, you can stock up on staples before heading out to cut down on the money you’ll spend feeding your family while on the road. In fact, despite the cost of fuel, a 2018 study conducted by the CBRE Hotels Advisory Group found that RV vacations were anywhere from 27-61% less expensive than conventional getaways.

2. Privacy and comfort

Why fight for legroom on a crowded airplane when you can travel in a vehicle that gives you plenty of space to stretch your legs? Move around as much as you’d like (as long as you’re not in the driver’s seat), enjoy a private bathroom, and catch a few winks in the sleeping area, all while traveling to your destination. No unpacking and repacking the vehicle when you stop at hotels along the way or sleeping with your face pressed to the window while stopped at rest areas. What more could you ask for while traveling?

3. Increased flexibility

When you travel with your own means of transportation and a place to stay while on your vacation, there’s no need to be locked into specific dates for your getaway. Instead of working around the cheapest flights and hotel stays, you can come and go as you please and vacation on the schedule that works best for your family.

4. Explore more

Traveling by RV will give you the opportunity to take in the sights and sounds of each place you’ll pass through. You’ll enjoy every bit of picturesque scenery on your travels and have the leisure of stopping to watch a glorious sunset or a passing herd of deer.

5. Bring your pets along

No need to arrange pet sitters or to keep your furry friend in a carrier under an airline seat as your plane wings its way across the skies. When you travel by RV, you can bring your pets along and keep them nearly as comfortable as they’d be while at home. Plus, you’ll save on the cost of pet care while you’re gone, or footing the cost of an extra airline seat.

6. Tax benefits

In many states, owning an RV can mean enjoying significant tax benefits:

The homeowner’s deduction – if you claim your RV as your primary residence, you may be able to take the homeowner tax deduction for your vehicle.
Sales tax deduction – in many states, the sales tax you paid on the RV is tax-deductible for the year the RV was purchased.
Interest deduction – you may be able to deduct the interest you pay on your RV loan from your taxes.
Business tax deduction – you may be able to claim this deduction if you work from your RV.

Be sure to check with your accountant or tax advisor to see which of these tax benefits applies to you.

7. RV campgrounds are everywhere

You’ll find public, private, and government-owned campgrounds near major attractions all around the country. Fees can be as low as $30 a night, or as high as $150 for upscale resorts with amenities. Look up RV parks near your vacation destination here.

If you’re ready to take the plunge and purchase an RV or a campervan, look no further than SRI FCU! Our RV loans have affordable interest rates, reasonable payback terms, and easy eligibility requirements for qualifying members. Call, click or stop by SRI FCU today to take the first steps on the road trip of a lifetime!

Your Turn: Apply here!

Posted in Hello World, Loans

Deciphering Financial Aid Award Letters

You’ve received your college acceptance letters – congratulations! If you’ve been accepted to multiple schools, one of the biggest determining factors for your final choice may be the out-of-pocket cost for each option. Along with your acceptance letters, you should receive an award letter outlining the financial aid for which you are eligible at each college.

IMPORTANT DEFINITIONS:
Award Letter – An offer sent from a college or university to the student that details how much financial support the student is eligible for. The award letter is sent following the student’s submission of the Free Application for Federal Student Aid (FAFSA) and application to attend a college or university.

Cost of Attendance (COA) – A figure provided by college financial aid offices that estimates the total costs of attending that particular school for a period of one year. Included in the estimate are expenses such as tuition, room and board, books and supplies, personal expenses and transportation. Keep in mind that some of these expenses are not set in stone! For example, your costs may be less if you opt to live in a double dorm room versus a single room; select a smaller meal plan; purchase used books, or do not park a car on campus.

Financial Aid – Your award letter provides a list of the aid for which you qualify at each school. You will let the school know which pieces of your financial aid package you wish to accept. (Hint: take the free money first!)

Types of Financial Aid Offered (not all are available to every student):

• Scholarships and Grants (FREE money for college!)
• Federal Direct Loans
• Federal Direct PLUS Loan
• Federal Work Study Program

Comparing Costs – Unfortunately, there is no standard layout for an award letter, so you will need to carefully look at each offer and be sure you are comparing apples to apples. What type of dorm room or meal plan does each school include in their COA? Do both include the cost of books? Are miscellaneous expenses or other fees broken down and labeled? If you’re not sure about any of the numbers, reach out to the school’s financial aid office for clarification.

Can I appeal the decision for my financial aid package?
Yes! You can always reach out to the financial aid office to discuss your award package, especially if your family’s situation has changed. The following situations can be taken into consideration:
• Recent unemployment of family member(s)
• Medical, dental, or nursing care expenses not covered by health insurance
• Changes in the family’s income and/or assets
• Disability/death or divorce
• Homeless youth
• Parents incarcerated

Need more information about paying for college?
You can also schedule a one-on-one consultation with our College Counselor! Send your questions to scholarhelp@studentchoice.org or visit our College Counselor page to access a submission form and more resources. You can also apply online here.

Posted in Hello World, Loans

We Are Here To Help

Amid ongoing concerns about the Coronavirus COVID-19, we want to reach out and share a few of the ways we are here to serve you during this time:

If you’ve been impacted by COVID-19 and need our support, we’re here to help. Send a message through online banking, contact us or call us at 1-800-9863669 to talk to one of our staff members for assistance. They will be happy to go over all your available options, such as Emergency loans, credit line increases, Special Student Loan Forbearance and Skip-A-Payments.