ABCs of Money Management

Enhanced Consumer Protection - New Credit Card Law Changes
Have you taken a look at your credit card bill lately? Since February 2010, credit card companies have had to follow new rules that affect your balance, your interest rate, and your monthly bill. Here’s a quick look at these consumer-friendly changes:

Clearer communication. No more surprise changes to your account terms. Now, your credit card issuer must notify you at least 45 days before increasing your interest rate, changing your fees such as annual fees or late fees, or making any other significant change.

Black-and-white payoff terms. Your bill now includes a table explaining exactly how long it will take–and how much you’ll pay in interest–to pay off your balance by making only the minimum monthly payments. You’ll also see how much you would need to pay each month to reduce the balance to zero in just three years. Th is information can be a powerful pay-down motivator.

Higher interest, faster pay-down. When you pay more than your minimum monthly payment, the credit card company must now apply the extra payment to the highest-interest portion of your balance.

Protection from fees. Your credit card company can no longer charge you more than $25 for a late payment unless you’ve made more than one late payment in the previous six months (then, the fee limit is $35). You also can’t be charged an “inactive account” fee for not using a card, or more than one fee for a single violation of your cardholder agreement (such as an over-the-limit charge or a late payment).

Learn more about the protections these new credit card rules offer by visiting federalreserve.gov/consumerinfo. And if you’re ready to lose an old high-interest card in favor of a friendlier option, stop by your Credit Union office to speak with one of our representatives. We’ll help you find the option that fits your family’s budget and helps you pay down unwanted debts.

Penny-Wise Tips to Save this Spring
Looking for ways to grow your bank account this spring? Keep more money in your pocket with these seasonal saving tips.
Shop and compare. Which supermarket has the best prices this week on bread, broccoli, or other products you use? Find deals from hundreds of local stores in one place at www.moneysavingmom.com/store_deals. Then look for printable coupons at coupons.com to shrink your grocery bill even more.

Spruce up for less. Instead of expensive, chemical-loaded cleaning products, try making your own homemade cleansers using baking soda, white vinegar, and other household staples. You’ll spend just pennies a batch, and you’ll have the peace of mind of knowing just what goes into them. Find “recipes” (including one for homemade laundry detergent!) at eartheasy.com.
Save on sporting goods. Equipping your family for another season of baseball, soccer, or Ultimate Frisbee? Save big by buying high-quality secondhand equipment instead of brand-new gear. If you have unused or outgrown items, you can exchange them for credit at playitagainsports.com or other locally-owned stores near you.

Save on the house and car you already have. With interest rates remaining low, now may be the time to refi nance your mortgage or auto loan. A fixed rate or lower adjustable rate can mean hundreds of dollars in savings every year. Call us today to see how we can help.

Debit vs. Credit… Does it Really Matter?
It’s time to pay for your purchase at your local grocery store and you hand the clerk your debit/check card. “Debit or credit?” asks the clerk. Most consumers say, “It doesn’t matter, either is fi ne,” but there is actually a difference – to you.
Debit – When you opt to process a transaction as “debit,” your purchase is processed through the ATM Network, and you must use your personal identification number (PIN). You can request cash back with your purchase, and this transaction is immediately charged to your Credit Union account.

Credit – If you choose “credit” when checking out, you’ll be asked for a signature. Many consumers assume that this type of transaction is billed through a credit card account, when actually it is immediately processed through your Credit Union checking account.

A “Credit” to Your Card
Both of these options carry benefi ts for debit card holders, but what many do not know is that when you choose “credit,” you help yourself, the Credit Union, and by extension, your community. Here’s how it works:

• Buyer Protection: VISA® insures transactions processed through its system, providing you with buyer protections and rights far greater than your store receipt allows.
• Lower Operational Costs: VISA® transactions are more effi  cient and less costly than ATM transactions, allowing your Credit Union to develop and off er more to their members in new products and services. 
• Added Security: Finally, when you select “credit,” you must sign for your purchase, and the cashier may request to see your identification. Not only are your purchases more secure, but so is your identity.

So, the next time you pull out your Credit Union debit card to pay, and are asked “Debit or credit?” You’ll know the answer: Credit!

Membership for College Students Makes Sense
From textbooks to bus passes, meal plans to late-night pizzas, college students have plenty of everyday expenses to manage. Dealing with these fi nancial responsibilities now will help your son or daughter prepare for bigger challenges in the future–like repaying those student loans. Get your college-bound students on the right track to wise money management by helping them open their own checking accounts.

Here are just a few of the reasons why a Credit Union checking account may be the right choice for your college student:
Send money–fast! Most forms of financial aid, including federal grants, scholarships, and loans, can be deposited directly into a Credit Union checking account. And, by linking your child’s account to your own, you can easily transfer money to him or her if there’s ever an emergency (like running out of laundry change).
Monitor spending with online banking. Make sure critical bills–like tuition and housing–are paid on-time with easy-to-use online banking.
Skip the steep fees. With ATM-sharing between thousands of credit unions nationwide, your son or daughter can avoid steep surcharges when withdrawing cash.

The ABCs of Money Management: Teaching Kids to Value Their Dollars
From TV ads to online marketing campaigns, and from the cool kids in the lunchroom to the best friend who has just scored a new video game, your child is surrounded by pressure to buy, buy, buy. A new pair of jeans. Tickets to see a favorite band. A double-bacon cheeseburger and fries. With so many opportunities to spend money, it’s easy for kids to run through an allowance of any size in no time at all... or to pester parents endlessly with requests for more stuff.

The lessons your child learns now about money and spending will help shape his or her financial choices for a lifetime. How can you help your kids develop healthy attitudes about money? Try these tips for a solid start.

Let them make choices. Financial experts recommend giving children a regular allowance as soon as they’re old enough to count their own money. A couple of dollars a week is plenty to start–but being responsible for their own income, and some of their own expenses, will go a long way toward teaching them to budget, save, and make wise buying choices. Let your kids spend their allowance any way they please, or you can require them to set a certain amount aside for savings. Discuss these decisions with your children and invite their input.

Set savings goals. Is your child longing for an expensive trip to an amusement park, a special piece of clothing, or a top-dollar LEGO set? Divide the item’s cost into a certain number of weeks or months and help your child see how much of her allowance will need to be saved to afford the item in that length of time. Then comes the hard part; stand back and let her make those savings decisions on her own. Let her succeed (or fail) to make that goal without your constant reminding.

Show them the real world. When children hear that your paycheck totals $1500, $3000, or more, they’re easily overwhelmed by the power of that big-sounding number. They have no real way of understanding all the expenses that amount must cover. Try this: Have your child use money from a game or create pretend money. Use the money to show him the list of bills–from mortgage to groceries–that need to be paid. Have him count out the cash required for each expense, then have him count the much-reduced amount that remains.

Reward thrifty living. Coupons and rebates can save your family a signifi cant amount of money. But if you don’t have time or energy to clip and sort for yourself, suggest to your children that they take charge. Remind them that you have veto power over the special off ers your family uses, then promise them a portion–perhaps half–of the savings earned through their work.

“Funny” Money - How to Spot a Scam and Protect Yourself from Fraud
What could be better than opening your mail and finding a check for thousands of dollars? Unsolicited mail with seemingly valid checks has been showing up in increasing numbers around the U.S. in the past year. But those checks are not only fake – they also could cost you hundreds of dollars. Th at has led federal agencies to issue alerts about them.

We’ve seen mail that says you have unclaimed lottery winnings or have been chosen for a mystery shopping assignment, perhaps after posting your resume or auctioning a product online. The enclosed check bears the name and address of a real business or fi nancial institution that has no role in the scam, and may be labeled as a cashier’s check or money order. But any phone number could be answered by a scammer posing as an employee of the business or bank.

You’re told to deposit the check and send part of the proceeds to a third party for a reason that sounds legitimate, such as paying taxes on your winnings. Th e upshot? Weeks later, your bank tells you the check is bogus and demands that you return the amount you’ve withdrawn. Of course, the money you’ve sent the third party, often in Canada, has disappeared. Never deposit a check if it requires you to return money to the sender or a third party. If you’ve been scammed, there’s generally no way to get your money back, but you can file a report with the Federal Trade Commission (www.ftc.gov), your local consumer protection agency, or the postal authorities.
http://www.fraud.org/ tips/internet/fakecheck.htm.
Source: www.consumerreports.com

Summer Fun Starts Here
Summertime, and the living is easy... until the bills start rolling in from charging those hotel rooms, water park tickets, and at home projects to your credit card. But avoiding high interest debts doesn’t mean having to skip your summer plans, either. With a personal loan from the Credit Union, you can afford to take that trip, send your kids to that longed for camp, or tackle that home improvement project at last.

Designed with your needs in mind, our personal loans combine affordable interest rates and member friendly service. Stop by today to find out how our loan representatives can help make your family’s summer dreams come true.

Make an eStatement
Consider how your banking habits can go green! eStatements are convenient, earth-friendly, and good for your wallet! Every month, the financial industry uses unimaginable amounts of paper, printing, envelopes, and postage on mailing paper statements to consumers. These statements are an important communication between United Poles Federal Credit Union and our members, and by making the choice to receive your statement electronically, you can actually increase the security of your accounts while reducing your (and our) carbon footprint. Here are just some of the many benefits of eStatements:

Less Paper, Less Carbon
As more and more members opt for eStatements, our carbon footprint is lowered. Your statements are available online with top Internet security, and even if you choose to print them at home for your files, you’ll be making a significant impact by eliminating factory printing, envelope usage, and fuel used in the delivery of paper statements.

Identity Theft Protection
• Choosing eStatements provides security that paper statements don’t. No worries about mail being intercepted and viewed by unwelcome eyes – your online statement is password protected. You also won’t have to think about shredding your financial documents; by switching to eStatements, your statement history is always available online.

Streamlined Home & Business Finances
• Every time your eStatement is issued, you can download the information to your home fi nancial software such as Quicken. This makes reconciling expenses quick and easy, and can help you keep your budgeting goals!

Cost Savings to your CreditUnion; Better Rates and ExpandedServices for Members
• By opting into eStatement delivery, you make a real difference to your community. As the Credit Union reduces operating expenses, we are able to expand our products, deliver better rates, and offer new services to our members – that means YOU!

Signing up for eStatements is easy. Simply visit www.unitedpolesfcu.com or stop by our branch office for more information. We’ll even help get you signed up and give you a tour of how to best use this state-of-the-art financial tool.
So, make a statement with your financial decisions – choose eStatements!

UNITED POLES FEDERAL CREDIT UNION
412 New Brunswick Avenue
Perth Amboy, NJ 08861
tel: 732-442-5648
fax: 732-442-1443

NEW ADDRESS:
1161 W Saint Georges Avenue
Linden, NJ 07036
tel: 908-523-0008
fax: 908-523-1790

www.UnitedPolesFCU.com
1-800-333-7713