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In the Community
5 Money Mistakes & 5 Easy Fixes
Spring Clean Your Finances
Home Equity Loan vs. HELOC
Teaching Your Children About Money
Get Cash Back For Your Home
Holiday Closings and Contact Info
The summer is always a very busy time of year.
I know that our local schools worked hard during the spring to give students everything they need to be successful in the future. Our employees have spent hundreds of hours in recent months participating in events across the many school districts we serve. I have had the privilege of volunteering at several of these school events. Here’s some of the highlights:
After multiple conversations with the leadership team at Chaffey Joint Union High School District I was lucky to be able to pilot a 4-part financial literacy series with about 90 students at Etiwanda High School. The program took part over 4 weeks and included conversations around the financial services industry, budgeting, credit scores, loans, savings and retirement. I had a great time interacting with the students about such important topics and received some great feedback to improve the program. When asked what information was most valuable, one student commented, “The most valuable information is where he explained how the credit works, and how the credit score will affect my future purchases. As well as how to get a good credit score.”
I look forward to improving the information and
working with more students next year.
I was also able to participate with the Rowland Unified School District Certification Program to judge presentations from Seniors. These students put in a full year of work around some amazing topics and presented their results and lessons learned to a panel of judges. I was nothing short of amazed at the professionalism of each student that presented. The use of technology in presenting the information was also very impressive.
Finally, on Friday, May 18, Chaffey FCU was able to host our first Bite of Reality financial simulation at Ontario High School. A group of 17 volunteers from the credit union put around 80 OHS seniors through a 90-minute program designed to help students get an example of being an adult. I can’t thank the leadership from
CJUHSD and Ontario High School enough for supporting the program. The first event was a great success and
I look forward to Chaffey FCU hosting many more in
As you can see our Community Engagement Activities at Chaffey are really ramping up. The Board of Directors and employees are excited about these activities and we look forward to finding more ways to positively impact our members and communities.
Along with the Community Engagement successes, we recently achieved another major milestone. In June we converted from 2 card processing vendors to 1 new vendor. This was a major conversion for our debit and credit card carrying members. There were some disruptions for our employees and members, and I do not take those disruptions lightly. However, I am happy to announce that Chaffey FCU is already seeing significant benefits from improving this technology. The positive outcomes from this conversion will benefit Chaffey FCU members for years to come. We improved internal efficiencies but the biggest gains will be in the form of more robust communication with our members and improved analytics to protect our members from the increasing risks of fraud.
I hope each and every one of you is having
a great Summer and as always, Thank You
for your membership at Chaffey Federal
Chief Executive Officer
SUMMER 2018 | www.chaffey.com
News for Members of
Chaffey Federal Credit Union
MARK YOUR CALENDAR
Medicare 101 Seminar
Medicare 101 Seminar
West Covina Branch
Foothill Family Shelter houses homeless adults
and children, providing transitional as well as permanent housing. Their mission is to help individuals acquire the skills needed
to be successful, build self-esteem, and maintain
a home and job.
made in matching donations by Chaffey FCU
raised by Chaffey FCU staff and members for Foothill Family Shelter
included Career Days, Principal for a Day, Business Pathways Programs, Dr. Seuss Reading Days, Judging FBLA Events, and more
donated by members
of community service by
Chaffey FCU employees in Q1
in total donations to Foothill Family Shelter
This June, we held an Estate Planning Seminar at both our West Covina and Upland branches, presented by Forrest F. Wolfe, attorney and counselor at law. Between the two branches, we had 58 members in attendance. One of our goals as a credit union is to ensure the financial well-being of our members and their families, and this seminar addressed preparing financially for death. It’s not always something you want to think about, but it is necessary to prepare for in order to help and support your family after you’re gone.
Thank you to everyone who showed up and made this event a success! If you missed this seminar, don’t worry – we will be hosting it again in November.
“60% of Americans have not protected their loved ones by having an estate plan prepared. Establishing a Living Trust rather than just a Will may save your family many months or years of waiting, and may save your estate tens of thousands of dollars through its ability to avoid probate!”
Forrest F. Wolfe, Attorney & Counselor at Law*
Law Offices of Forrest F. Wolfe in Ontario, California
*Certified Specialist: Estate Planning, Trust & Probate Law
The State Bar of California Board of Legal Specialization
It’s scary but true – just a few financial mishaps here and there can add up to a lot of lost cash. Check out these five common money mistakes and follow the advice to help spot money leaks and boost your bottom line.
Money Mistake #1:
Being financially vague
Not knowing how much is in your savings and checking accounts, how much you owe on credit cards, and where your money is going leaves you without a master plan for getting the things you want in life.
The fix? Simply set up a system (try www.mint.com) for tracking all your accounts and maintain it weekly. Think of how much you could save on late fees, insufficient funds fees and all the other expenses of not having your finances in order!
Money Mistake #2:
Waiting to save
It sounds surprising, but someone who opens a retirement account in their 20s can end up with twice as much money as someone who starts one in their 30s.
The fix? Start saving NOW. It’s simple – just follow the Law of Ten Cents, which states to take ten cents of every dollar you earn and SAVE IT. Living on 90% of your income is easier than you think, and you’ll soon be on your way to building a very nice nest egg. You could also join your company’s 401(k) plan or open your own IRA (Individual Retirement Account) at Chaffey FCU.
Money Mistake #3:
Paying off debts in the wrong order
Bigger balances on things like student loans and mortgages can seem overwhelming, but it’s the smaller credit card bills that can really hurt you.
The fix? Pay off the card whose balance is closest to its limit (having balances close to your limit lowers your credit score), then start chipping away on the card with the highest interest rate. Also, refinance big-ticket balances (mortgage, etc.) to make payments a little more manageable.
Money Mistake #4:
Failing to negotiate
When entering the workforce or switching jobs, many people fail to negotiate a high enough starting salary – which can add up to thousands of lost dollars over a lifetime.
The fix? Know what you’re worth by checking a website like www.salary.com. Don’t be shy when asking for more money. Employers expect to negotiate salary when hiring new employees. And don’t stop negotiating there; you can negotiate almost anything! From cars, furniture, rent, credit card rates, hotel room and airfare rates, and even prices at garage sales – the list is endless!
Money Mistake #5:
If you MUST have things BEFORE you have money to cover them, you’ve fallen prey to the great American debt trap. Just look at interest charges – debt isn’t cheap.
The fix? Good things come to those who wait. We’ve all heard it before, and it’s true! If you can wait until later and put money away for whatever purchase you have in mind, you won’t have to use credit cards with high interest rates – and you’ll have no debt!
Spring Clean Your
Create a filing system.
Divide your paperwork into categories such as bills, pay stubs, receipts, insurance and healthcare. Put everything in chronological order and file new items as soon as you get them to avoid a paper pileup. Keep important documents such as deeds and birth certificates in a safe or safe deposit box.
Streamline your banking.
Sign up for direct deposit, switch to automatic online bill pay and sign up for e-statements to reduce paper waste. Shred year-old bank statements, expired warranties, old Social Security statements and tax documents that are over seven years old.
Consolidate your debt.
Consider rolling all your high-interest payments into one low-rate personal loan or credit card. Create a payment strategy to lower your debt, and focus on paying off loans with the highest interest rates first.
Organize your accounts.
Close old accounts, and consider bringing everything under one roof
at Chaffey. Move old 401(k) accounts into the one at your current job, or roll them to a self-directed IRA. Increase your 401(k) savings so
that at a minimum you are saving enough to earn a full match from your employer.
Plan your estate.
Update or create your will. It’s an easy and inexpensive process that guarantees the correct people receive your estate upon your passing.
Get life insurance.
If you aren’t yet protected, now is the time to choose a life insurance policy. The coverage is an important part of your financial plan as it protects your loved ones by covering debts and expenses should you pass unexpectedly.
When every day is busy, it’s hard to find time for a thorough financial cleanup. But the reality is that messy finances may hurt your family’s financial well-being in the form of missed payments, overdrawn accounts and overlooked savings opportunities.
By de-cluttering your accounts and organizing your finances, you’ll be able to take control of your budget and make the most of your money.
So roll up your sleeves, dust off your statements and follow these tips for finances that sparkle:
With the equity you’ve built up in your home over the years, you could be sitting on a lot of money! When you’re ready to put your home’s equity to work, you may be wondering which option is best for you – a home equity loan or a home equity line of credit (HELOC).
One of the most common misconceptions is that home equity loans and HELOCs can only be used for home improvements. These loans can be used for a variety of needs, including consolidating high-interest debt, financing a college education, buying a new car or taking a dream vacation.
Choosing the loan option that’s right for you starts with an understanding of equity. Equity is the difference between the value of your home and the remaining unpaid principal balance of your mortgage. For example, a home worth $250,000 with a principal balance of $100,000 remaining has $150,000 in equity.
So what’s the difference between a home equity loan and a HELOC? A home equity loan is a one-time loan for a fixed dollar amount, at a fixed interest rate, with a fixed term of repayment. This type of loan has a pre-determined monthly repayment amount and an amortization schedule for up to 20 years. Home equity loans are great for specific, one-time purchases like a car or a home remodeling project.
A home equity line of credit – also called a HELOC – is a variable-rate loan that can be drawn down, either all at once or at different times. You can borrow up to the credit line maximum, but you’ll only pay interest on the funds you use. For example, if you’re approved for a $50,000 equity line but only borrow $15,000 right now, you are only charged interest on the $15,000. Once you have repaid the amount borrowed, your credit line is fully renewed and available for borrowing again. Most HELOCs feature a 15-year draw period followed by a 20-year maturity. HELOCs are a smart way to pay for recurring expenses like college tuition.
HOME EQUITY LINE OF CREDIT
A Chaffey home loan specialist can help you determine whether a home equity loan or line of credit is the best option for you. For more information about home equity loans and lines of credit, visit www.chaffey.com
or stop by today!
HOME EQUITY LOAN
What’s the difference?
Teaching Your Children About Money
Nearly half of Americans couldn't cover a $400 emergency expense, according to a recent Federal Reserve report. More than half of reported households have less than one month's income in savings, and many people have no savings at all.
With these scary statistics in mind, it makes more sense than ever to teach your children the value of smart money management. By instilling good spending and saving habits from a young age, you can ensure your children have the financial skills needed to navigate everyday situations in adulthood.
Get started with these simple activity ideas:
LESSON: Identifying Money (Ages 2-3)
Play store to understand the basics of commerce. With close supervision, help your toddler identify and use coins to "buy" items in your home.
LESSON: Delaying Gratification (Ages 4-5)
Use jars labeled "Spending," "Giving" and "Saving," and divide dollars between the jars whenever your child receives money. Spending is for small purchases, giving for charitable causes and saving for expensive items.
LESSON: Making Choices (Ages 6-8)
Include your child in decision-making. When shopping, explain why you chose the generic brand or bulk item. Discuss needs versus wants. Let your child experience financial choices by handing over a few dollars and asking him or her to choose which item to buy.
LESSON: Growing Money (Ages 9-12)
Start introducing complex ideas such as interest, investments and the time value of money. Have your child set longer-term goals and set a budget to reach them. Use investor calculators to see how savings can grow over time.
You can get money back when you buy or sell a home with the Chaffey Buyer’s Edge Program! We’ve partnered with experienced real estate professionals to offer Chaffey members a way to save money when they’re ready to buy or sell a new home. Members enrolled in the Chaffey Buyer’s Edge Program will have the opportunity to receive commission rebates up to 25% at the time of closing. Here’s some examples.
Get Cash Back for Your Home!
• Sale of existing home
• Agent Commission (3%)
• Purchase price of new home
• Agent Commission (3%)
• 25% Member Rebate
Ready to enroll?
Mortgage Loan Department today!
Program subject to change.
All rebates subject to
limitations, lender guidelines,
and other requirements.
• Sale price of home
• Agent Commission (3%)
• 20% Member Rebate
Sale and Purchase Transaction
Monday, September 3
Monday, October 8
Phone: (909) 986-4552 or (626) 968-9329
Fax: (909) 949-3840
Mail: P.O. Box 700, Upland, CA 91785
Chat online at www.chaffey.com
Branch and Chat hours:
Tuesday - Thursday: 9am-5pm
Saturday: 9am-1pm (West Covina and
Rancho Cucamonga only)
Branch & ATM Locations:
1024 W. Foothill Blvd., Upland
Rancho Cucamonga Branch
9679 Baseline Rd., Rancho Cucamonga
West Covina Branch
2333 S. Azusa Ave., West Covina
Additional ATM Locations:
The Village @ Indian Hill
1460 E. Holt Ave., Entrance Door #3, Pomona
Claremont Colleges / Honnold/Mudd Library
800 N. Dartmouth Ave., Claremont
Pomona Valley Hospital
1798 N. Garey Ave., Pomona
Walnut Valley Unified School District
880 S. Lemon Ave., Walnut
Chaffey College – Rancho Campus Administration Building
5885 Haven Ave., Rancho Cucamonga
Please visit www.chaffey.com for complete branch information and business hours.
Information in this newsletter is subject to change. Visit www.chaffey.com for current
rates and information. All loans subject to