Perfect for teens trying to build credit for the first time, (with a little help from their parents) and great for rebuilding credit. Savings Secured Loans are the perfect loan option to increase your credit no matter where you're starting from. As the name implies, you secure your loan with savings you already have at America's Credit Union.
Secured loans require collateral. When you purchase a vehicle with an Auto Loan, the vehicle is the collateral for the loan. Your home is collateral when you get a Mortgage. A Savings Secured Loan means your collateral is money you have in savings. You can use funds in your Savings Account or Certificate of Deposit to secure the loan.
These can be great loan options for teenagers to start building their credit with little risk!
Savings Secured Loans offer a lower fixed-rate than a Personal Loan because they have collateral. This makes them a better choice for building or repairing credit. Your monthly payment won't change and you'll be paying a lower interest rate while your credit improves.
It’s essential that you have good budgeting habits to increase your savings. Whether you’re budgeting and saving for a one-time event like a wedding, saving for a major life change like having a baby, or getting better at managing daily spending and saving in general, this eBook will help!
Full of budget templates and tips about creating a budget and tricks for sticking to it, this guide is essential for your future saving goals. With some organization and a good plan, you’ll be adding deposits to your Savings Account regularly.
If you’re not familiar with the 52 Week Savings Challenge it’s a relatively easy way to add to your Savings Account over the course of a year.
On the first week put $1 in your Savings Account and leave it there for the whole year. On the second week put $2 in your Savings Account. Continue this pattern so on the 52nd week you’re depositing $52 into your Savings Account. At the end of the year, you will have saved $1,378 plus interest! For other variations of this savings plan check out our blog post Three Ways to Make the 52 Week Savings Challenge Work for You.
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