America Saves Club
- Why isn’t there a minimum deposit required to open the account?Our goal with this special savings account is to encourage our members to save automatically. No immediate deposits or transfers will be allowed into the account by an AFFCU representative or through CyberMAT Online Banking, MAT Phone Banking, or the Go AFFCU mobile banking app when opening. Any deposits made into the account must be done through an automatic deposit or transfer.
- What happens if I deposit more than $1,000 in a calendar month?The monthly excess will be directed to your primary share account.
Automobile Considerations
Bill Pay
- How do I sign up for bill pay?You must first sign up for CyberMAT. Through CyberMAT, you sign up for Bill Pay. Sign up for Bill Pay and Pay Bills by clicking on Pay Bills. You will need to disable your popup blockers to use Bill Pay as it appears in a different window, or you can hold down the Ctrl key while clicking on the Bill Pay link.
- Is there a fee for Bill Pay?No. Bill pay is free, although there are some options on Bill Pay that have a fee, such as express payments and PopMoney. The fee will always be disclosed up front and you will be given terms and conditions which you must accept.
- What accounts can I use to pay bills from?Bills can be paid from Checking or Money Market Accounts. Bills cannot be paid from the Savings Account.
- Can I put a stop on payments?Stop payments can be placed on certain Bill Pay checks (but not all) for the normal $29.00 fee. Check with a Member Contact Center Support Specialist to see if a stop payment can be placed. Once processed, you cannot stop an electronic payment and would need to work with the merchant to get the funds back.
- When can a stop payment be placed with no fee?If a stop payment is placed at least 10 days after the scheduled payment due date OR if there was an error by Check Free, then no stop payment fee will be charged.
- Can I sign up for bill pay on the Mobile App?No. You can pay bills using the Go AFFCU mobile app, however, you'll have to sign up for bill pay from a desktop or laptop device.
- Can I use bill pay through the Mobile App?Yes. Pay your bills online and view recent payments instantly through the Go AFFCU mobile app.
- How do I cancel the Bill Pay service?Log into the Bill Pay service through CyberMAT. Click on your 'Profile' tab. Select the 'Cancel Service' button and press OK.
Budgeting
- How long should I keep copies of my tax returns?Generally, you should keep your tax returns and supporting information (i.e., receipts, W-2 forms, bank statements) for six to seven years. The IRS has three years to audit a return, or two years after you have paid the tax, whichever is later. However, if income was under-reported by at least 25 percent, the IRS can look back six years, and there is no time limit for fraudulent tax returns.
- How can I figure out my net worth?
To figure out your net worth, add up the current value of all of your assets, then add up the current amount of all of your liabilities. Subtract your total liabilities from your total assets. The amount you end up with is your net worth. Assets can include cash, checking accounts, certificates of deposit (CDs), mutual funds, stocks, bonds, IRAs, 401(k) plans, automobiles, and real estate. Liabilities can include debt from credit cards, student loans, mortgages, home equity loans, 401(k) loans, and car loans.
If you are married, take this a step further. List your assets and liabilities under the name of the owner, so you can then calculate net worth values for you, your spouse, and the two of you as a couple.
The first step in the financial planning process should be to calculate your net worth. Once you determine your net worth, you will know exactly what you have and what you owe, enabling you to begin mapping out your financial future. Keep in mind that your net worth constantly changes. As a result, you should calculate your net worth annually and make adjustments as needed to ensure that you are meeting your financial goals.
- How much money should I keep in a savings account for emergencies?Without an adequate emergency fund, a period of crisis could be financially devastating. Many financial professionals suggest that you set aside three to six months' worth of living expenses for emergencies. The actual amount, however, should be based on your individual circumstances. Do you have a mortgage? Do you have short-term and long-term disability protection? Other factors you need to consider include job security, your health and income. Be sure to review your cash reserve periodically. Since personal and financial circumstances often change, you'll want to make sure your cash reserve fits your current needs/situation.
- How can I reduce my spending?To reduce your spending, you first need to know where your money goes. Start out by keeping track of all of your expenses for a month. None are too small or insignificant: the daily newspaper, coffee on the way to work, an extra gallon of milk, that burger at the fast-food outlet. Next, categorize the expenses so you can see what you spend and where you spend it. Be sure to factor into your monthly expenses a prorated portion of the annual cost of your irregular expenses (e.g., clothes, gifts, car maintenance, insurance premiums). Expenses generally fall into two categories. Essential expenses are ones you can't avoid (e.g., rent, utilities, groceries, car insurance). Discretionary expenses are ones you choose to incur (e.g., eating out, entertainment, gifts, cigarettes, videos). Discretionary expenses are the ones over which you will have the most control. Do you buy a lot of books? Try the library instead. Take coffee or lunch to work rather than buy it once you get there. Limit eating out to once a week rather than twice. Quit smoking, or at least begin to cut back on the number of packs you smoke each week. Although essential expenses are fixed, there may be ways to reduce them. Make sure you shut off the lights and TV when you leave the room. E-mail your distant friends and relatives rather than call them long-distance. Change the oil in your car on a regular basis to avoid more costly repairs due to neglect. Review your insurance policies: Can you save on your premiums by taking a nonsmoker discount or increasing your deductibles? Clip the grocery store coupons, always shop from a list, and avoid the impulse items at the end of the aisles. Pick a realistic goal for your monthly spending reduction and try not to make too many changes all at once. To see how big a difference this can make, do the math. If you start by committing to reduce your spending by $2 a day, that's $730 a year! Set the saved money aside, perhaps in a savings account for your planned vacation, or use it for a specific purpose, such as reducing debt faster.
- Should I invest my extra cash or use it to pay off debt?
To answer this question, you must decide how your money can work best for you. Compare the money you might earn on other investments with the money you would pay on your debt. If you would earn less on investments than you would pay on debts, you should pay off debt.
Let's assume that you have $1,000 in a savings account that earns an annual rate of return of 4 percent. Meanwhile, your credit card balance of $1,000 incurs annual interest at a rate of 19 percent. Your savings account thus earns $40, while your credit card costs $190. Your annual net loss is 15 percent, or $150, the difference between what you earned on the savings account and what you paid in interest on the credit card balance. It's even worse when you consider the tax effect. The interest on the savings account is taxable, and you have to use after-tax dollars to pay your credit card bill.
In the above example, it would be best to use your extra cash to pay down the high-interest debt balance. The same principle would apply if you were to invest your extra cash in a certificate of deposit (CD), mutual fund, or other investment.
Note: All investing involves risk, including the possible loss of principal, and there is no guarantee that any investment strategy will be successful.
Cash Reserve
- How can I figure out my net worth?
To figure out your net worth, add up the current value of all of your assets, then add up the current amount of all of your liabilities. Subtract your total liabilities from your total assets. The amount you end up with is your net worth. Assets can include cash, checking accounts, certificates of deposit (CDs), mutual funds, stocks, bonds, IRAs, 401(k) plans, automobiles, and real estate. Liabilities can include debt from credit cards, student loans, mortgages, home equity loans, 401(k) loans, and car loans.
If you are married, take this a step further. List your assets and liabilities under the name of the owner, so you can then calculate net worth values for you, your spouse, and the two of you as a couple.
The first step in the financial planning process should be to calculate your net worth. Once you determine your net worth, you will know exactly what you have and what you owe, enabling you to begin mapping out your financial future. Keep in mind that your net worth constantly changes. As a result, you should calculate your net worth annually and make adjustments as needed to ensure that you are meeting your financial goals.
- How much money should I keep in a savings account for emergencies?Without an adequate emergency fund, a period of crisis could be financially devastating. Many financial professionals suggest that you set aside three to six months' worth of living expenses for emergencies. The actual amount, however, should be based on your individual circumstances. Do you have a mortgage? Do you have short-term and long-term disability protection? Other factors you need to consider include job security, your health and income. Be sure to review your cash reserve periodically. Since personal and financial circumstances often change, you'll want to make sure your cash reserve fits your current needs/situation.
- How can I reduce my spending?To reduce your spending, you first need to know where your money goes. Start out by keeping track of all of your expenses for a month. None are too small or insignificant: the daily newspaper, coffee on the way to work, an extra gallon of milk, that burger at the fast-food outlet. Next, categorize the expenses so you can see what you spend and where you spend it. Be sure to factor into your monthly expenses a prorated portion of the annual cost of your irregular expenses (e.g., clothes, gifts, car maintenance, insurance premiums). Expenses generally fall into two categories. Essential expenses are ones you can't avoid (e.g., rent, utilities, groceries, car insurance). Discretionary expenses are ones you choose to incur (e.g., eating out, entertainment, gifts, cigarettes, videos). Discretionary expenses are the ones over which you will have the most control. Do you buy a lot of books? Try the library instead. Take coffee or lunch to work rather than buy it once you get there. Limit eating out to once a week rather than twice. Quit smoking, or at least begin to cut back on the number of packs you smoke each week. Although essential expenses are fixed, there may be ways to reduce them. Make sure you shut off the lights and TV when you leave the room. E-mail your distant friends and relatives rather than call them long-distance. Change the oil in your car on a regular basis to avoid more costly repairs due to neglect. Review your insurance policies: Can you save on your premiums by taking a nonsmoker discount or increasing your deductibles? Clip the grocery store coupons, always shop from a list, and avoid the impulse items at the end of the aisles. Pick a realistic goal for your monthly spending reduction and try not to make too many changes all at once. To see how big a difference this can make, do the math. If you start by committing to reduce your spending by $2 a day, that's $730 a year! Set the saved money aside, perhaps in a savings account for your planned vacation, or use it for a specific purpose, such as reducing debt faster.
- Should I invest my extra cash or use it to pay off debt?
To answer this question, you must decide how your money can work best for you. Compare the money you might earn on other investments with the money you would pay on your debt. If you would earn less on investments than you would pay on debts, you should pay off debt.
Let's assume that you have $1,000 in a savings account that earns an annual rate of return of 4 percent. Meanwhile, your credit card balance of $1,000 incurs annual interest at a rate of 19 percent. Your savings account thus earns $40, while your credit card costs $190. Your annual net loss is 15 percent, or $150, the difference between what you earned on the savings account and what you paid in interest on the credit card balance. It's even worse when you consider the tax effect. The interest on the savings account is taxable, and you have to use after-tax dollars to pay your credit card bill.
In the above example, it would be best to use your extra cash to pay down the high-interest debt balance. The same principle would apply if you were to invest your extra cash in a certificate of deposit (CD), mutual fund, or other investment.
Note: All investing involves risk, including the possible loss of principal, and there is no guarantee that any investment strategy will be successful.
Coindexter Club
- What are the requirements to open a Coindexter Kids Club savings account?Requirements:
- The child must be eligible to join the credit union and be between the ages of 0-12 years old.
- The child must have a parent or legal guardian named as joint on the account. If legal guardian, guardianship papers must be provided. Two forms of identification is required for both the minor and parent/legal guardian.
- What is the minimum deposit to open a Coindexter Kids Club savings account?The Coindexter Kids Club savings accounts can be opened with just $5.00.
- How do I open a Coindexter Kids Club savings account?The application process is simple and can be completed in two easy steps!
- Step 1: If you're new to the credit union, Open an Account Today.
- Step 2: Send us two Forms of Identification for the minor and two Forms of Identification for the parent/legal guardian. Choose from: Social Security Number and Card, Student ID, Texas State ID, Driver's License, Passport or Birth Certificate. Scan and email your forms of identification to memberservices@airforcefcu.com.
- Do I need to have a parent on the Coindexter Kids Club savings account?Yes, you must have a parent or legal guardian named as joint on the account. If there is a legal guardian, guardianship papers will be required.
- What happens to my child's Coindexter Kids Club savings account when they turn 13?When a Coindexter Kids Club member turns 13 years of age, the system will automatically convert the account to a JetSpace savings account.
- Am I eligible for a debit card with a Coindexter Kids Club savings account?No, the Coindexter Kids Club savings account is not eligible for a debit card.
- How will my child get their statements?Quarterly statements are generated unless there are certain ACH or ATM transactions on the account. Then, statements will be provided either by mail or emailed monthly. You can request to receive your child's statements on a monthly basis regardless of the types of transactions made.
- Can a beneficiary be added to my child's Coindexter Kids Club savings account?No. Minor accounts are not allowed a POD on the account until the member is of legal age.
Credit Card Rewards
- Do I need to sign up for the CU Rewards program?No. AFFCU Visa Platinum Credit Card members do not need to sign up - it's automatic! All you have to do is use your cards to pay for everyday purchases and recurring bills, and earn points to redeem for merchandise or travel at CURewards.com.
- How do I earn points?Earn one point for every one dollar spent on your AFFCU Visa Platinum Credit Card.
- How do I know how many points I’ve earned?Log into your AFFCU CU Rewards account. Once logged in, you will be taken to your account homepage. In the top navigation bar, on the far right side, you will be able to view your points balance.
- Where do I go to redeem my points?Log into your AFFCU CU Rewards account. Once logged in, you will be taken to your account homepage. In the top navigation bar, on the far right side, you will be able to view your 'points balance'.
Click on your 'points balance'. Here you will be taken to the Redemption page, where you can redeem your points. - Will my points ever expire?Yes. Points will expire after five years. The year in which they are earned will be deemed the first year and will expire on December 31 of the fifth year. E.G. Points earned in August 2018 will expire on December 31, 2022.
- What if I'm not interested in the merchandise or travel rewards?No worries. We also have retail gift cards available, so you can choose the reward that's absolutely perfect for you.
- Can I use my points after I close my credit card?No. You must use your points before closing your AFFCU Visa Platinum Credit Card.
- Are there any other rules or restrictions for redeeming my points?Accounts must be open and in good standing (not canceled or terminated by either party; not delinquent, over limit, or otherwise not available to use for charges) at time of redemption. Awards are not available when a cardholder is in default under the card agreement. AFFCU reserved the right to suspend the cardholder's participation in the program until the account is in good standing. Points are forfeited if/when the card account is closed for any reason.
Credit Cards
Debt Management
- Am I liable for my spouse's debts?The general rule is that spouses are not responsible for each other's debts, but there are exceptions. Many states will hold both spouses responsible for a debt incurred by one spouse if the debt constituted a family expense (e.g., child care or groceries). In addition, community property states will hold one spouse responsible for the other's debts because both spouses have equal rights to each other's income. Also, you are both responsible for any debt that you have in both names (e.g., mortgage, home equity loan, credit card).
- Can I buy a house even though I declared bankruptcy?
Believe it or not, there is financial life after bankruptcy. It will take some effort on your part, but you can rebuild your credit with careful budgeting and record keeping.
A bankruptcy is a red flag that makes lenders leery, and it will stay on your credit report for 10 years. If you have a history of bad credit (e.g., a bankruptcy and numerous late payments) and don't take steps to repair it, most lenders won't take on the risk of giving you credit. If you find a lender willing to give you credit, you can expect a high interest rate (e.g., twice the going market rate). However, if you work to improve your credit rating by obtaining a line of credit and making all of your payments on time, for example, you may be able to obtain the financing you need to buy a home.
Remember that lenders want to see good credit histories. Therefore, it's important to begin establishing good credit as soon as possible. Many people believe that the way to fix a bad credit problem is to pay for everything in cash. Although this is a good way to get out of debt and control your spending, it won't help you get a mortgage. When you pay cash, you're not establishing credit. Thus, lenders have no way of gauging whether you're a good or bad credit risk.
Consider beginning your journey back to creditworthiness by obtaining a low-interest credit card. Be sure to make your payments on time, every month. If you can't get a traditional credit card, ask about a secured credit card that operates much like an ATM debit card. Here, your credit limit is based on the amount you deposit in your account. For example, if you deposit $500 in the account, you'll have a credit limit of $500. If high credit limits are what landed you in your current financial troubles, a secured card can help you stay on track by keeping you on a short leash. In a short time, you may be able to prove to lenders that you're creditworthy.
For more information, contact your local consumer credit counselor.
- Do I need to provide credit information on my auto insurance application?
When you apply for an auto insurance policy, don't be surprised to find questions about your credit on the insurance company's application. In addition to the other information you provide, the company may use your credit information as part of its applicant-screening process. But are insurance companies being too nosy and intrusive when they request your credit information? Perhaps. Many lawmakers, consumer rights groups, and others certainly think so. However, many companies claim that they really need this information to properly evaluate your insurance application.
Believe it or not, there may actually be some truth to that. Statistics do show a link between a person's credit history and driving record. In other words, drivers with poor credit generally file more auto insurance claims than drivers with sound credit. How do you explain this connection? According to insurers, careless or irresponsible individuals tend to be that way in all areas of their lives, including both driving and finances. Based on this trend, an insurer may actually charge you a higher premium (or even deny you coverage) if you have shaky credit. Your credit information can also give an insurer a good idea of how likely you are to pay your premiums on time.
Insurers generally must follow specific guidelines when considering an applicant's credit history. Contact your state's insurance department if you have questions about the regulation of credit-based insurance scoring in your state.
- How can I correct errors on my credit report?
Under the Fair Credit Reporting Act, you have the right to have any incorrect or misleading information removed from your credit report. If an error appears on your credit report, you should contact the credit bureau and request a re-investigation of the disputed information. If the error is not removed, you have the right to add a 100-word consumer statement to your credit bureau file to explain your side of the story. The three major credit reporting agencies are Experian, Trans Union, and Equifax. You can contact these agencies by phone, by mail, or through their websites.
Keep in mind that since mistakes do occur in credit reporting, you should check your credit report once a year as part of your financial planning process. Also, the more common your name is (e.g., John Smith), the more likely you are to have someone else's information added to your report.
- How can I pay off my credit card debt?
Certainly the best way to pay off your credit card debt is with a single payment. If you can find the money to pay off all your credit card debt, you'll get back on solid financial ground quickly and without paying additional interest.
The next-best method is to pay off the card with the highest interest rate first. You'll want to pay as much as you can to that account and then send the minimum payment due to each of the other accounts. When you've paid off one card, start paying on the card with the next highest interest rate. Focusing on one card at a time gives you clear financial goals, minimizes your interest expense, and creates a sense of satisfaction.
If available, you can use a home equity loan to pay off credit card debt. The interest on home equity loans is typically lower than credit card rates and is usually tax deductible. This can be an effective repayment method if you can handle it with discipline. However, these loans can be as easy to abuse as credit cards, particularly if you have a line of credit. Also, you run the risk of paying down the home equity loan at the same time you're running up more debt on your newly cleared credit cards. Remember, your home equity loan, unlike credit cards, will be secured by a lien on your home. If you can't make your payments, you'll be in default, and the lender can foreclose on your home.
A less aggressive way to pay off your debt is to transfer your balances to lower-rate accounts. Known as credit card surfing, this method works until you run out of lower-interest opportunities. However, it does allow you to reduce interest fees and pay more against your existing balance.
It's always best to control new spending and pay more than the required minimum payment whenever possible. Invariably, these cover little more than the finance charges. You continue to carry the bulk of your balance forward for many years without actually reducing that balance. Ideally, charging only what you can afford to pay off each month gives you the best benefits of a credit card and few of the drawbacks.
- How can I repair my poor credit?
Your first step in repairing poor credit should be to obtain a copy of your credit report. The three major credit reporting agencies are Experian, Trans Union, and Equifax. You can obtain a copy of your report by contacting these agencies by phone, by mail, or through their websites. Check the report carefully for any errors and make sure that all the information contained in the report is correct.
Next, you can try mitigating the impact of any derogatory credit you may have on your credit report by adding positive account information to your credit file. Start by contacting creditors with whom you have a good credit relationship and give them permission to release your account information to credit reporting agencies. You should then contact the credit reporting agencies and provide them with the names and telephone numbers of the creditors with whom you have good credit. For a small fee, most credit reporting agencies will call your creditors and add the positive account information to your file.
Another option is to go directly to your creditors and try to clear your credit record. If your poor credit resulted from circumstances that were beyond your control (e.g., hospitalization, layoff), and you have reconciled your account since that time, you may be able to convince your creditors to upgrade your rating.
If you have bad debts that are current, you may be able to negotiate away poor credit by agreeing to pay off your debts over a period of time. Contact your creditors and propose a deal in which you will agree to a reasonable repayment schedule if they agree to upgrade your status with the credit bureau.
You can also add a statement to your credit report that tells your side of the story. You have the right to include a 100-word statement in your credit file. The statement should list any extenuating circumstances that could possibly mitigate the negative credit information in your credit report. Perhaps you were hospitalized for a period of time and were unable to pay your bills, or maybe you were laid off from your job. If your credit history shows that you typically pay your bills on time, this statement could help to explain an isolated instance or period of derogatory credit.
Finally, you can always choose to wait out your credit problems. With some minor exceptions, derogatory credit will be purged from your credit report within seven years. However, if you can show income stability and prompt payment patterns, your situation will improve within one to three years. Keep in mind that you should avoid incurring any more derogatory credit while you try to repair your poor credit. If you do incur derogatory credit, the seven-year clock resets and starts ticking again!
- How do I get a copy of my credit report?
You are entitled to a free copy of your credit report every 12 months from each of the three nationwide credit reporting agencies: Experian,TransUnion, and Equifax. You are also entitled to a free report if:
- A company has taken adverse action against you, such as denying you credit, insurance, or employment (you must request a copy within 60 days of the adverse action)
- You're unemployed and plan to look for a job within the next 60 days
- You receive welfare benefits
- Your report is inaccurate because of fraud, including identity theft
Visit www.annualcreditreport.com for more information.
- I am behind on my mortgage payments. Will my lender begin foreclosure proceedings?
When you buy a home using a mortgage loan, your home becomes collateral for the loan. If you do not repay the mortgage loan as agreed, your lender has the right to take your property and sell it to satisfy the debt, also known as foreclosure.
Whether or not your lender will begin foreclosure proceedings depends on exactly how far behind you are on your mortgage payments. If you are only a month or two behind on payments, your lender will not likely begin foreclosure proceedings. Typically, a lender will not file for foreclosure unless the lender is absolutely certain that the borrower is defaulting on the loan.
It is important to remember, however, that late mortgage payments can damage your credit rating. If you are more than 30 days late on a mortgage payment, it will appear on your credit report and can remain there for up to seven years. In addition, most lenders will charge a late fee if you miss the due date for your mortgage payment.
If you are in a situation that will impact your ability to make timely payments (e.g., you or your spouse has become disabled), you should seek advice on how to deal with your creditors rather than wait until you are at risk of losing your home.
- I can't pay my bills. Should I declare bankruptcy?
If you're unable to meet your financial obligations, you should investigate a number of options before considering bankruptcy. If your income has been reduced (e.g., because of illness or unemployment), you might consider cutting down on your monthly expenses, taking advantage of unemployment and public assistance, and liquidating assets. Another option is to restructure your debts. Debt restructuring involves negotiating new repayment terms with creditors so you can meet your monthly expenses and pay off your debts within a reasonable amount of time.
You should consider hiring a professional credit counselor to assist you in restructuring your debts. Professional credit counselors will contact your creditors and attempt to negotiate affordable repayment terms for you. If you can't afford to hire a credit counselor, you may find help at your local Consumer Credit Counseling Service (CCCS) office or other nonprofit credit counseling service. These nonprofit companies provide basically the same services as a professional credit counselor but at little or no cost to you. Hiring a credit counselor now will help you even if you decide to declare bankruptcy later, because you may need to submit a certificate to the bankruptcy court that states you've received a briefing from an approved credit counselor in the six-month period prior to filing.
If you decide that bankruptcy is your only option, you may file for personal bankruptcy under Chapter 7 or Chapter 13. Chapter 7 bankruptcy can remove obligations to repay certain outstanding debts but requires you to liquidate certain assets and use the proceeds to pay creditors. You can only file under Chapter 7 if you pass an income eligibility test. Otherwise, you must file under Chapter 13 for relief, which institutes a payment plan to repay creditors over a three- or five-year period. A bankruptcy attorney can help you sort out your options.
- I've finally paid off my credit cards. Should I close the accounts or leave them open with zero balances?
It's a good idea to close redundant or unused accounts you do not consider necessary. Here are a few reasons why:
- If credit is easily available, you may be tempted to use it. Any impulsive purchases could quickly mount up and result in serious debt problems.
- Open accounts may be used fraudulently if your account numbers are stolen or your cards are lost.
- You may have to pay annual fees for the cards even if you don't use them.
- Whether used or not, open accounts may create trouble when you apply for other credit such as mortgages or loans. Lenders commonly review your credit history and may see you as a credit risk if you have multiple open accounts with a large amount of available credit. Potentially, you could still use them and build up unacceptable levels of debt.
It's best to cut up and return to the issuer any cards you don't want. Refuse to accept renewal cards you don't plan to use. You'll want to contact each card issuer to determine specific account closing requirements. Ask for a confirmation letter of the closing and check that it is listed on your credit report as having been "closed at the customer's request."
- Should I refinance my home mortgage?
Mortgage refinancing refers to the process of taking out a new home mortgage and using some or all of the proceeds to pay off an existing mortgage on your home. The main purpose of refinancing is to obtain a lower interest rate or lower your monthly payments by extending the term of your loan. Remember that if you extend the term of the loan, you will reduce your monthly mortgage, but you will end up paying more total interest over the years.
If you do refinance your home mortgage, you want to make sure that your monthly savings from refinancing will pay back the costs that are associated with refinancing while you are still living in your home. If you move before your refinancing has paid for itself, you really won't be saving any money. You can determine how long it will take for you to pay off the refinancing by dividing the cost of refinancing (points, closing costs, and private mortgage insurance) by the amount you will save each month from refinancing. Alternatively, you can eliminate the problem if you can find a no-point, no-closing-cost mortgage.
Generally, there are two types of mortgage refinancing: no cash-out refinancing and cash-out refinancing. No cash-out refinancing occurs when the amount of the new loan does not exceed the mortgage debt that you currently owe. Typically, you can borrow up to 95 percent of your home's appraised value with this type of refinancing.
Cash-out refinancing occurs when you borrow more than you owe on your current mortgage. You are generally limited to borrowing no more than 75 to 80 percent of your home's appraised value with cash-out refinancing. You can use the excess proceeds in any way you wish. Most people use this type of refinancing to pay off other outstanding loans, since the interest rate they pay on the extra cash they borrow will usually be less than the interest rate on the debt that they pay off (e.g., car loans, credit cards). Also, mortgage interest is typically tax deductible, while consumer debt is not. This strategy is useful if you use it to reduce your debt payments and you do not start charging items on your credit card again.
- What's the difference between a home equity line of credit and a second mortgage?
A home equity loan is a loan that is secured by your home. If you repay the loan as agreed, your lender will discharge the mortgage. If you do not repay the loan as agreed, your lender can foreclose on your home to satisfy the debt. Generally, the amount that you can borrow is limited to 80 percent of the equity in your home, although in some situations this amount may be higher. The actual amount of the loan will also depend on your income, credit history, and the market value of your home. The two distinct types of home equity loans are the home equity line of credit (HELOC) and the closed-end home equity loan, often referred to as a second mortgage.
A HELOC, which is the more popular loan, is structured as a revolving line of credit. You can borrow as much as you need, whenever you need it, by writing a check as long as your total borrowing does not exceed your credit limit. Because it is a line of credit, you make payments only on the amount you have actually borrowed, not the full amount available. Borrowers will usually set up a HELOC so that it is available for unexpected expenses. It may also be beneficial to use your home equity loan to purchase a car or pay your child's college tuition, since the interest is generally tax deductible.
A closed-end home equity loan, or second mortgage, is a loan for a fixed amount of money that must be repaid over a fixed term, just like your original mortgage. Borrowers typically use closed-end home equity loans to pay for a single large expense, such as a major home improvement or college tuition.
- What's the difference between Chapter 7 and Chapter 13 bankruptcy?
A Chapter 7 bankruptcy is often referred to as a liquidation bankruptcy. In Chapter 7 proceedings, you do not pay anything to unsecured creditors included in your bankruptcy petition unless the court requires a liquidation sale of your nonexempt assets. (Nonexempt assets are those not protected from forced liquidation by either federal or state statutes. For example, under the federal statutes each individual is allowed to exempt, among other things, $25,150 for real estate used as a primary residence, $4,000 for a vehicle, the right to state or federal benefits, and domestic support benefits (as of April 1, 2019). If you own assets that are nonexempt, you may be required to liquidate them. The court would then distribute the proceeds from the sale to your unsecured creditors as partial satisfaction of the debts you owe. Any remaining unpaid debt would then be discharged (with some exceptions), and you would no longer be held responsible for it. You can only file under Chapter 7 if you pass an income eligibility test. Otherwise, you must file under Chapter 13 for relief.
Often known as a "wage-earner's plan," a Chapter 13 bankruptcy does not require liquidation of nonexempt assets to satisfy your creditors. Instead, you pay some or all of your unsecured debt back through the court over a three- or five-year period. The percentage of unsecured debt you are required to repay must be at least equal to what your creditors would receive in a Chapter 7 bankruptcy. If you successfully complete the court-ordered repayment schedule, any unpaid unsecured debt is then discharged (with some exceptions).
If you wish to forestall and ultimately prevent foreclosure on real property (e.g., your home), you should seek to do so through Chapter 13. Although a Chapter 7 petition delays foreclosure, it does not prevent it without liquidation of the property to satisfy the mortgage debt. In Chapter 13, you may be given the opportunity to catch up in full on a mortgage arrearage as part of the court-approved repayment plan. If you do so, the foreclosure is prevented and the mortgage is brought up to date.
- What's the Homestead Act?The federal Homestead Act, which was enacted in 1862, offered free 160-acre parcels of land to early settlers, or "homesteaders." Although this act was repealed in 1977, many states have enacted their own homestead laws. Some states use their homestead laws to encourage property ownership in certain areas by selling the property at a nominal price or offering special tax relief to buyers. Other states have homestead laws that protect your home against judgments and creditors. Consult a real estate broker or attorney to find out whether your state has enacted homestead laws and, if so, how you can take advantage of them.
- Will debt consolidation hurt or help my credit rating?Debt consolidation can lead to an improvement in your credit rating by making your debt easier to manage. Sometimes, debt consolidation means taking a loan at a lower interest rate to pay off several smaller loans at higher interest rates. Making one payment instead of many may help you keep your debt under better control, make it easier for you to make timely payments, and thus improve your credit rating. Although managing your debt will improve your credit record in the long run, consolidation can have a more immediate impact. For example, if you have 10 accounts in default on your credit report, your lenders will consider you a bad credit risk. But if you can pay off those accounts with a consolidation loan, you have eliminated the problem. Your new credit report will now show that you cured the defaults and retired the debts. And you have only one open account--your consolidation loan. As long as you stay current on the consolidation loan payments, your credit rating will be viewed more favorably than before. Remember, your goal is to manage your debt by making your payments more affordable. You can do this by lowering your interest rate or increasing the number of months you have to pay off the debt. There is no point in consolidating if you don't achieve one or both of these goals--you'll want to be sure you can afford the consolidation loan and make the payments. Otherwise, you'll end up back where you started. Although debt consolidation has its advantages, you must recognize that by extending the time to pay off your debt, you will ultimately be paying more in interest charges. Also, once you get a consolidation loan, you should consider closing some of your credit card accounts so that you can't simply run up your bills again.
- How can I lower the interest rate on my credit card?
One way is to call your existing lender and try to negotiate a lower rate. Often, the threat of losing a customer and the associated income from your finance charges can inspire a card company to accept a lower interest rate and keep the relationship. Negotiation is most effective if you have a stable payment history with the company.
If your present card company won't negotiate, you can transfer your existing balance to a new lender with a lower rate. Be careful, however, that it isn't a teaser rate that's offered for a few months and then will be raised higher than your existing rate. Ask for a clear accounting of what the rate applies to (e.g., balance transfers, new purchases, cash advances), as well as all other card limitations and penalties. Find out if there is a transaction fee before you agree to the transfer.
Keep in mind that lenders are making it increasingly difficult to continuously "surf" for low credit card rates. Some card companies now restrict balance transfers during a set time (e.g., a year) after you sign up. If you try to transfer to another card during that period, you may be retroactively charged a higher rate.
- How can I get credit if I have no credit history?
It's the old catch-22. You cannot establish a credit history without having credit, and you cannot get credit without a credit history. But if you work at it, this problem can be overcome. While you create a history, be sure your efforts will be reported to the credit bureaus.
Use the credit history of a family member or friend to leverage yourself into credit in your own name. If you are added as a joint party or authorized user to another person's credit card, the lender may report the account's payment history on your credit report.
If you have a checking account, ask your bank for overdraft protection (or cash reserve) privileges. With this feature added to your account, you can create credit by writing a check for an amount greater than the balance in your account (but not greater than the limit of your cash reserve line!). Alternatively, ask the bank for a small personal loan. As you repay these debts, you establish a credit history. Make sure the bank reports that history to the credit bureaus.
Secured credit cards are also a good way to get started. Your credit line is secured by your deposit in the bank, minimizing the creditor's risk. For example, if you deposit $500 in the bank, you get a credit card with a maximum limit of $500. As you use the card and make payments, you establish a credit history. These cards have high interest rates, but your goal is only to charge what you can afford to repay. As you repay the debt, you establish a repayment pattern seen by other creditors.
You may also want to see if you qualify for a retail/department store charge card or gas card. Because these cards have lower credit limits and may be used only with the companies that issue them, the lending guidelines may be more liberal than those for major credit cards.
If you still have difficulty obtaining credit in your own name, consider a collateralized or cosigned loan. With a collateralized loan, the item you pledge as collateral (such as a car) minimizes the risk to the credit grantor. With a cosigned loan, your cosigner is equally liable for the balance. Spreading the responsibility for repayment in this fashion minimizes the lender's risk. Successful repayment of these types of loans can then be used to establish your own credit history.
- I get a lot of credit card offers. How can I tell which one is best?
Start by carefully reading the advertisement or application you've seen or received. It may seem like a lot of jargon, but that fine print contains important information about terms and costs. Here are three points to consider when comparing credit card offers:
Annual percentage rate (APR): What interest rate will apply to outstanding balances? If you plan to carry a balance, it's especially important to choose a card that has a low APR. But don't be fooled by a low introductory rate. It may apply for only a few months, and only to balance transfers, not new purchases. It's essential to understand what rate will apply once the introductory period is over.
Find out, too, if the APR will change over time. If the rate is variable, you can expect it to go up or down periodically because it's tied to an index (often the prime rate) that changes. If the rate is fixed, it won't fluctuate, but that doesn't mean it will stay the same forever. A credit card issuer can change your rate at any time, as long as you're given written notice 45 days in advance of the rate change. And find out what will happen to your APR if you make a late payment. Some card issuers send your rate skyrocketing if you pay your bill late. However, a creditor can only increase the rate on an existing balance if the account is 60 days past due. What's more, the rate must be returned to what it was at the time of the increase once you've made six months of timely payments.
Grace period: How long will you have to pay your balance in full before interest starts accruing? If you plan to pay off your balance every month, you'll want to look for a card that offers a relatively long grace period (e.g., 25 to 30 days).
Fees: What fees will apply? If you plan to pay off your balance every month, avoid signing up for a card that has an annual fee. If you plan to carry a balance, it may be worth paying a fee if the interest rate is low enough. And watch out for hidden transaction costs. Compare the fees you'll be charged for transferring your balance, using your card to get a cash advance, exceeding your credit limit, or paying your bill late.
Finally, even if you've carefully read through the offer, you may still have questions. If so, call the credit card issuer before signing an application.
Digital Wallet
- Do purchases made with my Digital Wallet qualify for Cash Rewards?Yes, your Digital Wallet purchases will still earn Cash Rewards when using your AFFCU Debit Card.
- Can the same card be loaded on two different phones?Yes. If you and the other account holder share a card, you each can add the card to your Digital Wallet.
- Do I need to activate my physical card before I add it to my Digital Wallet?Yes. Only cards that have been activated will be successfully added to your mobile device.
- Do I need to update my Digital Wallet when my card is reissued with a new expiration date?Yes, it is important to update your Digital Wallet with any changes made to your AFFCU Card.
- Am I able to opt-out of Digital Wallet at any time?Yes, you can add or remove your AFFCU Card from your device at any time.
- Can I use my Digital Wallet to withdraw money from an AFFCU ATM or ITM?You cannot use your Digital Wallet at an ATM or ITM. Digital Wallet is intended for purchases.
- Is Digital Wallet Free?Yes, there is no charge to use Digital Wallet services; however, depending on your data plan, message and data rates may apply.
- What happens if my AFFCU Card is lost or stolen?Contact us immediately. We will cancel your card. You should remove your card from your Digital Wallet. When you receive a replacement card, you will need to load it back into your Digital Wallet.
- What if my device is lost or stolen?Device manufactures may have tools to help you remotely locate, lock or remove personal information from your device. Your smartphone or smartwatch may also have added security features, such as Fingerprint ID, Facial Recognition and passcodes to prevent fraudulent transactions.
- What if I get a new device?Be sure to do a factory reset on your old device to ensure your personal information isn’t compromised. Then, add your AFFCU Card into your new device’s Digital Wallet.
- How do I know where I can use my Digital Wallet?Digital Wallet is accepted at most places you already shop. Look for the contactless payment symbol at checkout or ask your cashier.
- What if my transaction is declined?If your transaction has been declined, call us so we can review your transactions and account.
- Do I need the AFFCU Mobile App to use my Digital Wallet?No, you don’t need to have the AFFCU Mobile App on your device to use Digital Wallet. However, the AFFCU Mobile App is great tool to help you view transactions, check your balance and deposit funds.
eStatements
- Do I need a computer to receive eStatements?No, all you need is an email address. View your eStatements on the Go AFFCU mobile app if a computer is not available to use.
- Can I change my email address at any time?Yes, log in to CyberMAT, click on the eStatements tab. Under 'Settings' there is a place to change your email address.
- Can I get both eStatements and paper statements?No, you can have one or the other.
- How do I sign up for eStatements?It’s as simple as 1, 2, 3…
- Simply login to your account via CyberMAT Online Banking and click on the Documents tab;
- Then click on eStatements (it’s in the blue menu bar under the tabs);
- At the next window prompt, enter your email address (where you want to receive your eStatements) and click the ‘I agree’ button and you’re done!
- How do I sign on to CyberMAT Online Banking?At the top of the page, click ’not registered? ’ or click here and follow the instructions.
- Am I required to change to eStatements?No, you are not required to switch to electronic statements. However, we highly encourage you to switch, because it is safer and more secure, and you avoid the $3.00 fee.
- How much is the paper statements fee?Members who receive a paper statement will be charged a monthly fee of $3.00 per paper statement, on the first of each month.
- How do I know if I’m already signed up for eStatements?There are two ways you can know if you are enrolled:
- If you receive a monthly email from AFFCU with your eStatements link;
- When you login to your account via CyberMAT and:
- Click on the Documents tab;
- Click on the eStatements option (in the blue menu bar under the tabs);
- If you are taken to the eStatements portal you’re good to go! If not, you can then switch to eStatements.
- How does managing my finances electronically benefit me?When you manage your finances electronically is good for the environment and good for you. There are many benefits to going green:
- Safe and Secure: About 85% of Identity Theft cases are due to paper transactions, lost checkbooks and stolen bills, statements and check payments1. Security of your information is our priority.
- Saves you Money: members receiving online statements and making payments electronically can maintain tighter control over accounts and save more money:
- The costs of postage and check stock add up to more than $100 per year, members can save by making payments electronically, instead of by paper check.
- eStatements are free and you get no paper statement fee!
- Members receiving eStatements are more likely to discover fraud attempts and prevent hundreds of dollars in losses.
- By getting a larger portion of our membership to switch to electronic statements, we can save thousands of dollars, which will then be returned to our members in the form of better rates and higher dividends!
- Saves you Time: the average member saves 2.5 minutes per bill when paying electronically instead of with a check and saves over 10 min per bill when going to each individual website to pay utilities and services online.2
- Do I need to have any special software to view eStatements?You need to have Adobe Acrobat Reader installed in your computer. This software is free. You can download it here.
Financial Services
- Should I pay cash for a car or finance it?
The least expensive way to buy a car is to pay cash for it, because with cash, you can buy only what you can afford, and you avoid paying the finance charges associated with a car loan. Nonetheless, the reality is that you may not be able to afford to pay cash for a new car. If you buy a used car with your cash, you may be saving the purchase price and the interest payments. However, you run the risk of the potentially higher cost of repairs, and you could also be buying someone else's car problems.
Conversely, financing your car allows you to pay off other debts with your cash. For example, suppose you have credit card debts charging interest at the rate of 18 percent and you can get a car loan at the rate of 10 percent. Here, it makes good financial sense to use your cash to pay off the debt with the highest interest rate and then take out a car loan at a lower interest rate.
- How much will my monthly car payment be?If you're financing all or some part of your new car's cost, and you want to calculate your monthly payment in advance, you will need to know the amount you are financing, the interest rate, and the loan term (i.e., the number of months to full repayment). If you decide to lease a car, it is a little more difficult to estimate the monthly payment because it's based on the car's expected depreciation over the lease term. That amount varies, depending on the make and model of the automobile. In either case, to get a better idea of what your monthly payment will be you can consult one of the many online financial calculators that are available on the Internet.
- Should I buy a home or continue renting?
Most people face this question at some time in their lives. Buying a home is part of the American dream. It's also one of the biggest financial investments you'll ever make.
One of the main advantages of buying a home is that you build equity in your property. For example, if you paid rent at $1,000 per month for 10 years, you would have spent $120,000 on rent and have nothing to show for it. However, if you had purchased your home and made $1,000-per-month mortgage payments for 10 years, you would have paid off a sizable portion of your mortgage. And if you decided to sell your home, you might make a profit.
Before buying a house, remember that your lending institution will want proof that you have money saved for the down payment and closing costs. If your savings won't cover these costs, you should probably continue to rent for the short term while establishing an ambitious savings plan.
Even though buying allows you to accumulate a valuable asset, renting also has advantages. You may spend less time doing maintenance than if you owned the home, and you could relocate to another home more easily. In addition, you would probably pay less per month for rent than you would for a typical mortgage payment. This would leave you with more money to spend on whatever you choose.
Remember, it's not easy to buy and own a home. Many people continue to rent throughout their lives. But if you decide to buy a home, start saving now so that someday you will own the home of your dreams.
- Should I buy or lease a car?There is no definitive answer--you must determine which option works best for you. Use these simple guidelines to help you decide. How long will you keep the car? Leases typically run two to four years. If you like the idea of driving a new car every few years, consider leasing. If you prefer to keep a car until you drive it into the ground, or like the idea of ownership because it gives you equity in the car, consider buying. How large of a monthly payment can you afford? When you buy a car, your payments are based on the total purchase price of that car. Compare this with leasing, where your payments are based on the car's expected decrease in value over the term of the lease (its depreciation). The lease payments may be low enough to put you behind the wheel of your dream car, without the need to worry about a down payment. Usually, you will only need to come up with your first payment and a security deposit to secure a lease. How will you treat the car? Analyze your driving habits. A typical lease will include 12,000 to 15,000 miles per year. If you exceed this amount, you may have to pay extra (e.g., $0.15 per mile) at the end of your lease. Therefore, if you travel great distances for work or intend to take any cross-country trips, buying may be the better option. Also, consider your surroundings. Most lease agreements allow only normal wear and tear. If you know you are tough on your car, or if you live in a neighborhood with only on-street parking, a lease may not be right for you. Remember, if you lease a car, you must pay for any non-warranty repairs (e.g., a dent in the door), but those repairs benefit the leasing agency, not you. When you buy a car, it's yours to do with as you please--you decide if the dent in the door gets fixed.
- I get a lot of credit card offers. How can I tell which one is best?
Start by carefully reading the advertisement or application you've seen or received. It may seem like a lot of jargon, but that fine print contains important information about terms and costs. Here are three points to consider when comparing credit card offers:
Annual percentage rate (APR): What interest rate will apply to outstanding balances? If you plan to carry a balance, it's especially important to choose a card that has a low APR. But don't be fooled by a low introductory rate. It may apply for only a few months, and only to balance transfers, not new purchases. It's essential to understand what rate will apply once the introductory period is over.
Find out, too, if the APR will change over time. If the rate is variable, you can expect it to go up or down periodically because it's tied to an index (often the prime rate) that changes. If the rate is fixed, it won't fluctuate, but that doesn't mean it will stay the same forever. A credit card issuer can change your rate at any time, as long as you're given written notice 45 days in advance of the rate change. And find out what will happen to your APR if you make a late payment. Some card issuers send your rate skyrocketing if you pay your bill late. However, a creditor can only increase the rate on an existing balance if the account is 60 days past due. What's more, the rate must be returned to what it was at the time of the increase once you've made six months of timely payments.
Grace period: How long will you have to pay your balance in full before interest starts accruing? If you plan to pay off your balance every month, you'll want to look for a card that offers a relatively long grace period (e.g., 25 to 30 days).
Fees: What fees will apply? If you plan to pay off your balance every month, avoid signing up for a card that has an annual fee. If you plan to carry a balance, it may be worth paying a fee if the interest rate is low enough. And watch out for hidden transaction costs. Compare the fees you'll be charged for transferring your balance, using your card to get a cash advance, exceeding your credit limit, or paying your bill late.
Finally, even if you've carefully read through the offer, you may still have questions. If so, call the credit card issuer before signing an application.
- Are my student loan payments tax deductible?
Your actual student loan payments aren't deductible, but the interest portion might be, thanks to the student loan interest deduction. In 2020, the maximum deduction is $2,500. You don't need to itemize to claim this deduction.
To qualify, you must meet a few requirements:
First, the student loan on which you're paying interest must be one that you incurred to pay college expenses when you were at least a half-time student. This requirement excludes part-time adult learners or other nontraditional students.
Second, you must meet income limits. In 2020, to take the full student loan interest deduction, single filers must have a modified adjusted gross income (MAGI) below $70,000 and joint filers below $140,000. A partial deduction is available for single filers with an MAGI between $70,000 and $85,000 and joint filers with a MAGI between $140,000 and $170,000.
Third, if you are claimed as a dependent on someone else's return, you can't take the deduction. If you are a dependent and your parent borrows money to pay for your college tuition, he or she may claim the student loan interest deduction.
You should receive Form 1098-E from your lender showing the total amount of interest you paid for the year. If not, contact your lender to request this information.
For more information on the student loan interest deduction, see IRS Publication 970.
- How will I ever pay off my student loans?
Repaying student loans is an important financial obligation. But doing so can take many years of dedication and sacrifice.
First, understand your repayment terms, specifically the current term of your loan and the interest rate. Can you get a lower interest rate if the loan amount is automatically debited from your checking account each month?
If you find yourself in financial difficulty and have federal student loans, the federal government offers several income-driven repayment programs (IBR) to certain borrowers that tie your monthly loan payments to the amount of your discretionary income and family size, with all debt being forgiven after a certain number of on-time payments. Research more to see if you qualify. As an alternative, you might consider an extended repayment plan or a graduated repayment plan. With an extended repayment plan, the loan term is extended more than ten years which will lower your monthly payment, but you'll pay more interest over the life of the loan. With a graduated repayment plan, your monthly payments will start off lower, but then they will increase over time as your income hopefully increases and you are better able to afford the higher payments.
If these choices aren't available to you, you must find a way to budget for your student loan payments. Review your household income and expenses. Can you reduce your spending on entertainment, luxuries, and discretionary items and use these saved funds to pay your student loans? You are always permitted to prepay the principal of student loans, partially or in full, without penalty.
If you have several loans, would consolidating your loans make the payment schedule easier? Check with your current lender to see what options you might have.
Are you in a position to take on a second, part-time job? The income from this job could be used to reduce your student loan indebtedness. Can you devote a tax refund, gift money, or inheritance to principal prepayment? Even infrequent payments of this sort will ultimately reduce your loan balance and save you both time (repaying the debt) and money (the interest on the debt).
And finally, consider your job. You may be surprised to discover that some or all of your indebtedness can be forgiven if you are employed in certain public-service sectors, teach in teacher-shortage areas, or go into the Peace Corps.
- Can I refinance my student loans?
Yes, but only with a private loan. There is no federal refinancing option for student loans, meaning that you can't refinance federal or private student loans into a federal loan. However, you may be able to refinance your federal student loans and/or private loans into a new private loan. Generally, when you refinance a loan your interest rate may decrease, depending in part on market rates and your credit score. A lower interest rate is typically the main reason why borrowers attempt to refinance their loans. An online calculator can show you how much interest you'll pay over the life of the loan at different interest rates.
Keep in mind that if you refinance your student loans, your old loans will go away and you will be bound by the terms and conditions of your new private loan. If you had federal student loans, this means you will lose any income-based repayment options that might have been available to you because private loans generally don't offer this type of repayment option.
If you have federal student loans and you don't want to lose any potential repayment options, or if you can't find a suitable private loan to refinance, you might consider another option: federal loan consolidation. The federal government specifically offers a consolidation loan tailored to student loan borrowers. Loan consolidation is different from loan refinancing, even though under both options you replace your old loans with a new loan. With federal loan consolidation, your interest rate will not decrease, but you will have a single lender (the U.S. Department of Education) and a single monthly payment. To be eligible for federal loan consolidation, you must have at least one federal student loan in repayment, grace period, deferment, or default status. The interest rate on a federal consolidation loan is fixed for the life of the loan and based on the weighted average of the interest rates of the loans being consolidated, rounded up to the nearest one-eighth of a percent (0.125%), with a maximum rate of 8.25%.
Borrowers who opt for a federal consolidation loan can choose from various repayment options to pay their new consolidation loan, including income-based repayment, extended repayment, and graduated repayment. If you choose the refinancing route instead and replace your federal loans with a new private loan, keep in mind that you won't be able to consolidate the loan back into a federal student loan to get these repayment options.
Finally, you might consider other refinancing options, such as a home equity loan or a loan against your 401(k) plan. However, you should carefully explore the advantages and disadvantages of these options before pursuing them.
- How can I protect myself against identity theft?
The chance that someone will assume your identity to open fraudulent bank or credit accounts is increasing as thieves become more sophisticated. The best way to protect yourself is to try to prevent this from happening in the first place. Here are some ideas:
- Make a list of all of your credit cards, even those you don't carry in your wallet. Include account numbers and the names and emergency phone numbers of each issuer. Store this in a secure place that's quickly accessible to you. Don't keep it in your wallet!
- If possible, don't let your credit card out of your sight when you use it to pay for a store or restaurant purchase.
- Don't carry your birth certificate or Social Security card in your wallet.
- Install a locked mailbox to prevent mail theft. Call your credit card company or bank immediately if your statement doesn't show up on time.
- When dining out, keep your purse or wallet secure. Leaving it on the table when you go to the salad bar is a no-no.
- Use drive-through ATMs if possible. If you can't, use ATMs inside stores or in well-lit, well-trafficked areas. Never let anyone see you type in your personal identification number, and don't write it on your ATM card.
- Shred pre-approved credit card or loan applications, and those checks your credit card company mails you, before you throw them in the trash.
- Check your bank statements as soon as you receive them, and order a copy of your credit report at least once a year. Check it over for signs of fraudulent activity.
- If you live in a state that uses Social Security numbers on your driver's license, ask for a randomly assigned number.
- Don't give out your Social Security, credit card, or bank account number to anyone who calls you. Give them out only when you have initiated the call.
- If you are concerned about a potential scam, call the local police.
If your wallet or personal identification is stolen, don't wait. Minimize potential damage by calling the police and other parties such as your credit card companies, your bank, and the three major credit bureaus (Experian (888) 397-3742, Equifax (800) 685-1111, and Trans Union (800) 680-7289). Ask each credit bureau to place a fraud alert on your credit report to alert creditors that your financial information is or may be compromised.
- Should my partner and I buy a house together even though we're not married?
If you want to buy a home with your partner, you may be able to qualify for a larger mortgage than if one partner alone applied for the loan.
However, be aware that unmarried partners have some unique considerations that married couples don't have. The laws dealing with the distribution of property when a couple splits up or a partner dies are few and vague when the couple is not married. So it's crucial for unmarried partners to have a detailed written agreement regarding their respective ownership interests in the property and their intentions for distribution of the property if either partner should die or if the relationship ends. Both partners should also keep thorough and accurate records of their respective contributions.
You and your partner can own the property in one of many ways, including:
- Joint tenants with rights of survivorship
- Tenants in common
- Individually in one of your names
- In trust
Joint tenancy with rights of survivorship means that when one partner dies, the surviving partner automatically owns the entire property, bypassing the probate process. This way of owning property may make it more difficult to sell your share of the property without your partner's consent. However, it may also offer creditor protection because neither partner owns a separate share; instead, both own equal rights in the entire property.
As tenants in common, you and your partner each can leave your portion of the property to whomever you choose in your wills. Creditors of tenants in common may have an easier time attaching the property than if it were owned jointly with rights of survivorship.
You and your partner may decide that only one of you will own the property. However, if you choose individual ownership, beware. The person named on the deed will be able to sell the property without the consent or even the knowledge of the other partner.
You can also choose to own the property in trust, with the trust agreement spelling out the rights and obligations of each partner.
You'll want to get advice from an experienced attorney on all of the ownership options available to you and your partner.
- Is student loan interest deductible?
You may be able to deduct all or part of the student loan interest you've paid during the year, assuming you meet the requirements. You may be able to deduct up to $2,500 each year from your gross income if you've paid interest on a qualified education loan for qualified higher education expenses during the year.
To be eligible for the deduction, your modified adjusted gross income (MAGI) must fall below a threshold figure. For 2020, the deduction begins to phase out as your MAGI exceeds $70,000 if you're single or $140,000 if you're married and file jointly. It phases out completely when your MAGI exceeds $85,000 ($170,000 for married persons filing jointly). These amounts are indexed for inflation. No deduction is allowed if your filing status is married filing separately.
Generally, a qualified education loan is a debt you incur to pay qualified higher education (undergraduate and graduate) expenses for yourself, your spouse, or a dependent at an eligible educational institution in a program that leads to a degree. The IRS provides specific requirements regarding the definitions of both an eligible educational institution and qualified higher education expenses. To qualify for the deduction, you must have been enrolled in the institution at least half-time at the time of the loan.
If you are claimed as a dependent, you may not take the deduction. If you are a dependent and your parent borrows money to pay for your college tuition, he or she may claim the student loan interest deduction.
For additional details, see IRS Publication 970 and/or consult a tax professional.
- How long am I covered under my parents' health insurance policies?According to provisions of the Patient Protection and Affordable Care Act of 2010, whether you live at home or are away at college, you're eligible to be covered under your parents' health plan until you're 26 years old. Ask your parents to check the policy for the details. Many students take advantage of health insurance plans offered by their colleges because such plans are relatively inexpensive and the services are close at hand. Whether you're covered by your parents or your school, you're likely to be on your own after you graduate. If you're working, check any health insurance options your employer offers. If you're not working or your employer offers no health benefits, consider purchasing short-term health insurance (if available) or catastrophic coverage, or look into your options under COBRA if you recently left a job.
- Do I need to insure a car that's worth only a few hundred dollars?
A standard auto insurance policy protects you from liability, property damage, and medical payment claims. Most states require car owners to purchase some level of liability and medical payments coverage (e.g., personal injury protection), while collision and other-than-collision (also known as comprehensive) coverage, which provide protection for damage to your car, remain optional.
If you still owe money on your car, the financing company may require you to keep this optional coverage. But if you own your car, you may want to consider skipping the optional coverage altogether, since the deductible and premiums you'll pay may amount to more than what your car is actually worth.
- Which is better, an HMO or a PPO?
The question really is, which type is better for you? If you're able to choose between a health maintenance organization (HMO) and a preferred provider organization (PPO), you'll need to evaluate the coverage that each offers and determine which one best suits your needs. Although both HMOs and PPOs are types of managed care systems, each manages health care differently.
HMO members have to pick a primary care physician (PCP), who provides general medical care and referrals to specialists. Both the PCP and any specialists you see must belong to the HMO network. The PCP must approve your request to see a specialist. PPO members aren't required to choose a PCP and can see a specialist without a referral.
Out-of-network care (except for emergency care in some situations) is generally not covered by an HMO. A PPO won't require you to receive care within the network, but you'll save money if you do. For instance, the PPO may reimburse 90 percent of your health-care bill if you saw a doctor within the network, but only 70 percent of your bill if you saw a doctor outside the network.
HMO members usually pay a small co-payment for care (e.g., $10), but aren't required to meet an annual deductible. If you belong to a PPO, you may have to meet a deductible (especially for hospitalization) and pay a larger co-payment (e.g., $20) than an HMO member when you receive care.
So what it boils down to is flexibility versus cost. If you routinely need to see specialists, travel a lot, or are willing to pay more to see whatever health-care provider you choose, then a PPO might be the right choice. But if saving money on health care is your main concern and you're not worried about access to specialists of your choice, consider joining an HMO.
- I don't own a car, but occasionally I borrow my friend's. Do I need my own auto insurance policy?
Your friend's auto insurance policy should cover you if you get into an accident. But if you want additional liability protection, you have the option of buying a non-owners policy that covers liability, medical payments, and uninsured/underinsured motorist coverage. This would give you added protection in case you cause an accident.
You should discuss this insurance question with your friend and find out how much coverage he or she carries. Is the coverage just the required minimums, or has he or she purchased higher amounts of coverage?
- I'm buying my first car. What should I look for in an insurance company?
You should look for a company that has been selling auto insurance for a number of years and has a strong reputation in the industry. You can learn a lot about different companies simply by talking to people you know and trust. How satisfied have your friends, family members, and coworkers been with their insurance companies' level of customer service and handling of claims? A company's reputation for paying claims in a timely manner will be very important when you have an accident, theft, or other loss. Word-of-mouth references will help you narrow down the field to the most service-oriented companies.
There are several other issues to consider when shopping for an insurance company. For example, is the insurer financially stable? This is important because you want to be certain that the company you choose will be around for a long time and have no trouble paying its claims. A number of independent firms rate insurance companies based on their financial strength and other factors. Of course, you also want to make sure that a company can provide the auto insurance coverage you need at a good price. Premiums for the same coverage often vary widely among companies, so it pays to shop around. You should also find out what discounts and optional coverages are available from each insurer.
In most cases, your best bet is to work with a good insurance agent or broker. One of these professionals will help you find a reputable company that can meet your coverage needs without straining your budget. However, be aware that you may be able to save money by buying auto insurance from a company that sells policies directly to consumers. If you choose this path, a variety of on-line and print resources are available that you can use to research companies and coverages. You can also contact your state insurance department for information on different companies.
- How do I determine how much renters insurance I need?
Renters insurance typically provides coverage for losses to your personal property, along with some level of liability protection. Most insurance companies have minimum policy amounts for personal property (e.g., $15,000, $30,000), so if you have relatively few possessions or if you don't own many expensive items, that may just be enough coverage for you. To be sure, though, you should take an inventory of your personal property--things can really add up. Estimate how much it would cost if you had to replace everything you owned in your apartment all at once.
As for liability protection, the standard coverage amount is usually around $100,000. The amount of liability coverage you should have depends on the assets you would like to protect (e.g., car, investments). Call your insurance agent for a quote--you'll be surprised at how inexpensive renters insurance can be.
- I'm having trouble paying my student loans. What should I do?
The first thing you need to do is to make your lender aware of your situation. Confronting the problem is probably the most beneficial thing you can do.
If you are having financial difficulties or are otherwise unable to pay your student loans, you can temporarily postpone your loan repayment by requesting either a deferment or a forbearance from your lender. Although they are often seen as the same, deferment and forbearance are different options.
With a deferment, your lender grants you a reprieve from your loan payments based on a specific condition such as unemployment, a temporary disability, a return to school, or a similar situation. Your lender can tell you which conditions qualify for deferment. In most cases, the federal government pays the interest on your loan so the balance does not increase during the deferred period.
With a forbearance, your lender grants you — at its discretion — permission to reduce or stop your loan payment for a period of time. Interest continues to accrue on your loan, and you'll still have to pay off both the accrued interest and the loan when you resume your payments. Although a deferment is preferable, a forbearance is often easier to get because it's not governed by the type of your loan or the date you obtained it.
A deferment and forbearance are usually granted for a six-month period. But there is usually a limit to the number of times they are granted during the course of your loan. You'll need to apply for them with the appropriate form from your lender. You may also need to reapply periodically to maintain your eligibility.
Another option if you are having trouble repaying your student loans is to investigate different repayment options. The standard ten-year repayment plan is not your only option. For example, under an extended repayment plan option, you extend the number of years you have to repay your loan. The result is a lower monthly payment, which might help you out of a financial jam now. However, keep in mind that you will pay more interest over the life of the loan due to the longer term. Or, consider one of the federal government's income-driven repayment programs, or IBR. Under these programs, monthly student loan payments are based on discretionary income and family size, and borrowers can have their remaining debt forgiven after a certain number of on-time payments.
Finally, you can try to have your student loans permanently canceled. This means that you don't have to repay them at all; the loans are permanently removed from your financial obligations. However, cancellations don't come easily. They are usually granted based on a specific condition, such as the borrower's death or permanent disability, or based on certain types of employment, such as teaching in needy areas. Contact your lender to see what the rules are for loan cancellation.
If you fail to pay, you'll be in default on your student loans. Nonpayment can have a negative impact on your credit score, and the government can garnish your wages and intercept your tax refund for repayment of federal loans.
- What is an income-driven repayment plan for student loans?
The federal government offers several income-driven repayment plans for borrowers with federal student loans. Under these plans, a borrower's monthly student loan payments are calculated based on his or her discretionary income and family size, which are verified and updated each year. Borrowers must qualify for these plans — enrollment is not automatic. The main plans are:
- Pay As You Earn (PAYE)
- Revised Pay As You Earn (REPAYE)
- Income-based repayment (IBR)
- Income contingent repayment (ICR)
These programs are open to borrowers with federal Direct Stafford Loans (subsidized or unsubsidized), Graduate PLUS Loans, and Consolidation Loans. (Note that the calculation of "discretionary income" differs among programs.)
Under Pay As You Earn (PAYE), borrowers who obtained their loans on or after July 1, 2007 and meet income guidelines will generally pay 10% of their discretionary income to their monthly loan payment, with any remaining debt forgiven after 20 years of timely payments.
Under Revised Pay As You Earn (REPAYE), borrowers who obtained their loans at any time and meet income guidelines will generally pay 10% of their discretionary income to their monthly loan payment, with any remaining debt forgiven after 20 years of timely payments for undergraduate borrowers and 25 years of timely payments for graduate school borrowers.
Under Income-Based Repayment (IBR), borrowers who obtained their loans on or after July 1, 2014 and meet income guidelines will generally pay 10% of their discretionary income to their monthly loan payment, with any remaining debt forgiven after 20 years of timely payments (borrowers who obtained their loans before July 1, 2014 will generally pay 15% of their discretionary income for 25 years before the remaining balance is forgiven.)
Under Income Contingent Repayment (ICR), borrowers who meet income guidelines will generally pay 20% of their discretionary income toward their monthly loan payment, with any remaining debt forgiven after 25 years of timely payments.
Under any of these programs, borrowers in certain public interest jobs may be able to have their loans forgiven after 10 years under the federal Public Service Loan Forgiveness (PSLF) Program.
For more information about any of these programs, including income guidelines, visit the Department of Education's student aid website at studentaid.ed.gov.
- I'm looking for a job. How can I tell if an employer is offering a good insurance benefit package?
Ultimately, an employer is offering a good insurance benefit package if it's one that appeals to you and meets your needs. But here are some specific things you might look for.
Perhaps the most important piece is the health insurance offered. You'll want coverage that adequately meets your medical needs. Hopefully, it will also allow you to continue seeing your current doctors and health-care providers. A complete package would offer dental, vision, and prescription drug coverage as well. And don't forget to find out how much you'll pay for health insurance--ideally, the employer will pay all or most of the premium cost for a single person.
Most large employers offer some group life insurance coverage. A basic package would provide term insurance coverage on your life in an amount at least equal to your annual salary. A more generous package would provide coverage for your spouse, domestic partner, or children, and would allow you to purchase low-cost supplemental life insurance.
If you get sick or injured and can't work, disability insurance replaces a portion of your income. Many employers offer short-term disability insurance that covers you for up to two years, but a good benefit package will also include long-term disability coverage. Again, the best package is one for which the employer pays all or most of the insurance premium.
Finally, a good benefit package might also offer you the chance to buy other types of coverage (e.g., long-term care or auto insurance) at group rates.
Group disability premiums are based on your age, sex, occupation and the amount of potential lost income you are trying to protect.
The cost of group life insurance depend on factors such as age, amount of insurance purchased, and may require a health questionnaire and/or a medical exam.
- Will Social Security be around for me?
With the news full of reports about Social Security's uncertain future, you might wonder whether you will ever benefit from the Social Security taxes you pay. Although this popular social insurance program faces financial challenges, and some reform is certainly likely, Social Security is not only likely to be there for you in the future, it's there for you right now.
Social Security is not just for retirees. The program also provides valuable protection to younger people. For example, if you become disabled at any age and can no longer work, you may be eligible to receive Social Security disability benefits. If you have a family, your spouse and children may also be eligible to receive certain types of benefits based on your earnings record, including survivor benefits.
The fiscal challenges that Social Security faces are due in part to shifts in demographics. Social Security is a pay-as-you-go system. Taxes collected from workers, self-employed individuals, and employers are deposited into the Social Security trust funds and invested in securities guaranteed by the federal government. These funds are then used to pay today's Social Security benefits. Over the coming years, there will be fewer workers paying Social Security taxes and trust fund (OASI) reserves will need to be used to make up the shortfall in payroll tax revenue. Once OASI reserves are depleted (which is projected to occur in 2035), payroll tax revenue alone should still be sufficient to pay about 77% of scheduled benefits, even if no changes are made.1 However, many proposals to reform Social Security are on the table. With most Americans dependent on Social Security, it's likely that action will be taken.
Keep in mind, too, that Social Security was never meant to be the only source of income for people in retirement. You'll want to save for retirement on your own, and start as soon as possible, even if retirement is many years away.
You can find out more about potential benefits by checking your Social Security Statement. To access your statement, sign up for a my Social Security account at the Social Security Administration's website, ssa.gov. Your statement contains a detailed record of your earnings, as well as estimates of retirement, survivor, and disability benefits. If you're not registered for an online account and are not yet receiving benefits, you'll receive a statement in the mail every year, starting at age 60.
1 Social Security Administration, 2019 OASDI Trustees Report
- I'm currently on my parent's health plan. What do I do when I turn 26?
Under the Affordable Care Act, young adults up to age 26 are eligible for dependent coverage under a parent's health plan. Once you reach the age of 26, you are no longer eligible for dependent coverage unless the health plan offering dependent coverage or your state of residence specifically extends that coverage to dependents beyond age 26.
If you lose coverage under your parent's plan, you may qualify for special enrollment through your employer's plan or your spouse's health plan in another employer plan for which you are eligible (including health coverage through your job or your spouse's job). You generally must enroll within 30 days from the date you are no longer covered as a dependent.
If you're covered by your parent's Health Insurance Marketplace plan, you may qualify for individual coverage through the Marketplace during a special enrollment period. This special enrollment period extends up to 60 days before and 60 days after your birthday. If you apply for coverage through the Health Insurance Marketplace, you may qualify for premium tax credits and other savings based on your own income.
You may also have other options including student health insurance if you're attending school. And remember, you always have the option to find your own health insurance plan before age 26. Keep in mind that you are required to have minimum essential health coverage. If you don't, you must pay a fee for any month that you didn't have health insurance when you file your federal income tax return, unless you qualify for an exemption.
- What is the difference between a W-2 form and a W-4 form?
You probably know that Forms W-2 and W-4 are related to income taxes. And chances are you've filled out a W-4 form at least once and have received a W-2 form from your employer every year. But do you really understand the purpose each form serves?
Simply put, your employer uses the W-2 form to report to you and the IRS both the wages you earned and the taxes that were withheld during the year. You need to submit this form, along with your tax return, when it's time to file and pay your taxes. The W-2 form also reports other data, including information on dependent care benefits, retirement plan contributions, and other employee benefit information.
Your employer is required to fill out the W-2 form and give it to you no later than January 31 following the end of each tax year. You should expect to receive three copies of the completed W-2 form from your employer to use for your records as well as federal and state tax filing purposes. Your employer will also send a copy to the Social Security Administration by the end of February annually.
The W-4 form is used to determine the amount of income tax that your employer should withhold from your regular pay. Typically, you complete this form when you start work with a new employer. You will also want to fill out a new W-4 when your personal or financial situation changes to ensure that the proper amount of income tax is withheld from your paycheck.
You can learn more about these tax forms by visiting irs.gov.
Home Improvement
- Can I purchase supplies ahead of time?No work may begin or supplies purchased prior to the loan funding.
- What if I didn’t want to get a contractor and wanted to do the repairs myself?A licensed contractor is required. You cannot perform the work without one.
- What if I am a licensed contractor? Will I be able to do the improvements myself?Yes. If you are a licensed contractor, you can perform the work as you would any other project as long as you act independent of the project.
- Do I have to set up an escrow account?No escrow account is required.
Homeownership
Identity Theft and Consumer Protection
IRA Share Certificate
JetSpace Club
- Is there a minimum deposit to open a JetSpace Teen Club savings account?The JetSpace Teen Club savings accounts can be opened with just $5.00.
- Am I eligible for a debit card with a JetSpace Teen Club savings account?No, the JetSpace Teen Club savings account is not eligible for a debit card. But if you add a Youth checking account, you will become eligible for a debit card.
- Is courtesy pay offered on the JetSpace Teen Club savings account?No, courtesy pay is not offered to anyone under the age of 18.
- Can a beneficiary be added to my JetSpace Teen Club savings account?No. Youth accounts are not allowed a POD on the JetSpace Teen Club savings account until the member is of legal age.
- Am I eligible for a loan or credit card if I have a JetSpace Teen Club savings account?No. You have to be at least 18 years of age to be eligible for a loan or credit card with the credit union.
- Can I use CyberMAT online banking and live chat?Yes. All JetSpace Teen Club savings account holders will have access to these services.
- How will my statements be sent?Quarterly statements are generated unless there are certain ACH or ATM transactions on the account. Then, statements will be provided either by mail or email monthly. You can request to receive your statements on a monthly basis regardless of the types of transactions made.
Mobile App
- Can I find contact information within the Go AFFCU mobile app?You'll be able to quickly access important contact information, including phone, fax numbers and more. You can also get mailing or email addresses you need to contact the credit union.
- Can I deposit checks with the Go AFFCU mobile app?In order to qualify for Mobile Deposit you must meet all the following: Your checking account must be opened for at least 30 days. Also, you’ll need to be registered for Home Banking and signed up for e-statements with a current and valid e-mail address. The account must be in good standing, including being current on all loans with AFFCU. View the full Mobile Deposit Terms of Agreement.
- Does the Go AFFCU mobile app offer live chat?Yes! Talk with a credit union representative through live chat for quick answers and assistance. Live Chat is available during Member Contact Center hours.
- Do you offer a search tool within the Go AFFCU mobile app?Yes, we do! You'll be able to access a powerful search in the palm of your hand. Use the keyword search tool to quickly find your balances, deposits, account summary and more.
- Who can I contact for support on the mobile app?A: Download the new AFFCU mobile app on the App Store or get it on Google Play today! For more information, please contact us by phone 210-673-5610, toll-free at 800-227-5328 or email us at memberservices@airforcefcu.com.
Mortgage
- How are your home loans handled?Our home loans are handled in partnership with Member Home Loan, a top-rated lending company.
Online Banking (CyberMAT)
- I don’t remember my username. What should I do?Once you have registered, you can reset your username by clicking on the “Forgot Username?” link on the login screen of CyberMAT. You will be asked to answer some questions and then an email will be sent to your registered email account with more instructions. After you have completed this process you will be allowed to reset your username and log into the system.
- I don’t remember my password. What should I do?Once you have registered, you can reset your password by clicking on the “Forgot Password?” link on the login screen of CyberMAT. You will be asked to answer some questions, and then an email will be sent to your registered email account with more instructions. After you have completed this process, you will be allowed to reset your password and log into the system.
- I don’t remember my username, password, or security questions and answers. What should I do?You will have to contact AFFCU in order to have your account reset. The best time to contact AFFCU to handle your request is Monday through Friday, 8:00 AM to 5:00 PM CST, or Saturday, 9:00 AM to 1:00 PM CST . After your account has been reset, you will be allowed to re-register your account for CyberMAT.
- I haven’t logged in for several months and now I am unable to log in. What should I do?You must log into your CyberMAT account at least once every 120 days or your enrollment in CyberMAT will be considered inactive and you will need to re-register for the service. Please follow the links to complete the registration process.
Personal Loan
- How much can I borrow for a personal loan?We offer a range of personal loans from $500 to $25,000 so you can find one that fits your circumstances.
- How do I apply for a loan?You can apply online, call us free at 800.227.5328 or visit one of our branches.
Platinum Credit Card
- How can I pay my monthly credit card bill?There are five ways to pay your monthly credit card bill?
- In person at an AFFCU branch (link to ATM & Locations page)
- By phone at 800-227-5328 or 210-673-5610
- In Online Banking
- In Mobile Banking
- By mail
- What will be my minimum monthly payment?2.5% of the balance or $10.00; whichever is greater.
- How do I view my credit card balance?There are five easy ways to view your monthly statement:
- In Online Banking
- In Mobile Banking
- In an AFFCU branch (link to ATM & Locations page)
- At 800-637-7728 and follow the voice prompts
- In your electronic statement or mailed paper statement
- Does my credit card charge a foreign-transaction fee?Yes, when traveling abroad, there is a Visa International Service Fee, that is 1% of the transaction amount.
- Is there a late payment fee?Yes. It can be up to $37.00, but no greater than the minimum payment amount.
- What security protections does this card have?We're glad you asked. Security is of utmost importance to us. Each of our cards comes with:
- EMV Technology—this chip-enabled security provides an extra layer of security when used in a chip card reader.
- Verified by Visa—a free, simple-to-use service that confirms your identity with an extra password when you make an online purchase.
- Zero Liability Protection—you won’t be held responsible for unauthorized charges made with your card or account information.
Popmoney-Activity
- What are the different payment statuses?
Below is a list of all the possible payment statuses and their definitions:
On Hold: The payment was placed on hold because the sender failed verification when attempting to schedule the payment. Please call 210-673-5610 to remove the hold.
Pending:
If this is a payment you sent, the recipient was notified of this payment. The funds will be withdrawn from your account the next day.
If this is a payment you received, the payment is being processed and the funds will be deposited into your account within three business days.
In Progress:
If this is a payment you sent, the recipient was notified of this payment and the payment is being processed.
If this is a payment you received, the funds are being processed and will be deposited into your account within three business days.
Failed: A payment may fail due to one of the following reasons:
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- The recipient is unable to validate access to the mobile phone as provided by the sender.
- The funds could not be deposited into the account provided by the recipient.
- There are insufficient funds in the account to cover the amount of the payment.
Stopped: The sender stopped the payment after the send date. The funds are returned to the sender's account.
Expired: The recipient has ten days from the send date to provide instructions on how to deposit the payment. After the payment expires, the funds are returned to the senders account.
Completed: The payment has successfully been deposited into the recipient's account.
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- Why did my transaction fail?
A payment may fail due to one of the following reasons:
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- The recipient is unable to validate access to the mobile phone as provided by the sender.
- The funds could not be deposited into the account provided by the recipient.
- There are insufficient funds in the account to cover the amount of the payment.
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- Can I stop a payment after the send date?
You can stop a payment any time after the send date if the payment has not been deposited into the recipient's account. To stop a payment, go to Activity and click the Stop Payment button. You will not see the Stop Payment button if the option is no longer available.
- Where do I view and edit future–dated payments and recurring payment plans?
To view or edit future-dated payments and recurring payment plans, click on the Scheduled Payments tab.
Popmoney-Contacts
- What is the difference between adding a contact's email address or account?The information you provide on a contact determines how the payment you send to them will be processed and how he/she will be notified. Email address: your contact will receive an email with instructions on how to direct the payment into his or her account. Account information (routing and account number): the money will be directly deposited into your contact's account. You will also have the option to send an email to the contact.
- Why are my contacts' email addresses, accounts suspended or on hold?
For your protection, your contacts' email addresses, accounts in Popmoney may be placed on hold or suspended for various reasons. For example, if you fail verification when attempting to send money to them, this would result in a hold. Please call 210-673-5610, ask for the Deposit Administration Department, to remove a hold or suspension.
Popmoney-Payments-Alerts
- Why don't I see a payment that I'm expecting?
If you are expecting a payment and you do not see it in your Incoming Payments, this is most likely because you have not added the email address or mobile number to which the payment was sent. Have you added this email address or mobile number? If not, go to Preferences to add and verify it. Once you are done, you will be able to see the payment immediately.
- When will the funds be available in my account after I deposit the payment?
Click Activity to view the estimated date when the funds will be available. All payments are available within 3 business days, though some may be available sooner depending on delivery speed and the date that the payment was sent.
- Why am I asked to verify my mobile number to deposit a payment sent to my email address?
As a security precaution, the sender provided your mobile number when they scheduled the payment. You need to verify access to this mobile number in order to confirm your identity and receive the funds.
- If the sender has provided the wrong mobile number, or I cannot receive text message at this phone, what should I do?
Please call the sender to edit the mobile number. The sender can edit the mobile number by clicking Activity and editing the transaction.
Do not attempt to deposit this payment! The funds will be returned to the sender if you are unable to verify access to the mobile number.
- What is Automatic Deposit?
Automatic Deposit is the easiest and fastest way to receive money. It allows you to designate one account into which payments from all participating financial institutions will be automatically deposited. After selecting this option, there is nothing more for you to do. You will be notified of incoming payments by email or text message, and all payments will be sent into your selected account. You can edit automatic deposit settings in Preferences.
- Why didn't Automatic Deposit work for an incoming payment?
There are two reasons why automatic deposit may not work for incoming payments:
First, the payment might not have been sent to an email address or mobile number in your profile. You can click Preferences to add and verify additional email addresses or mobile numbers.
Second, as an extra security precaution, the sender is sometimes required to provide your mobile number when they schedule a payment. You need to verify access to this mobile number in order to receive the payment.
- What happens when a payment someone sent me expires?
You have ten days from the send date to deposit a payment. When a payment expires, the funds are returned to the sender. After a payment expires, you will have to contact your sender to request another payment if you still wish to receive the funds.
Popmoney-Preferences
- What is a primary email address?
Your primary email address will be used for all communications between Popmoney and you.
- Why would I want to add multiple email addresses or mobile numbers that I own?
By adding multiple email addresses or mobile numbers, you can choose to receive payments made to any of them. For example, this is helpful for individuals who have separate email addresses or mobile numbers for personal friends and work colleagues.
- What is Automatic Deposit?
Automatic Deposit is the easiest and fastest way to receive money. It allows you to designate one account into which payments from all participating financial institutions will be automatically deposited. After selecting this option, there is nothing more for you to do. You will be notified of incoming payments by email or text message, and all payments will be sent into your selected account. You can edit automatic deposit settings in Preferences.
- Why is there an exception to my Automatic Deposit Setting?
You can access Popmoney at multiple locations. If you have enabled automatic deposit for the same email address or mobile number at more than one location, then the most recent automatic deposit setting will be in effect, overriding any previous automatic deposit settings associated with that particular email address or mobile number.
Popmoney-Registration
- What is Popmoney?
Popmoney is an innovative personal payment service offered by leading financial institutions that eliminates the hassles of checks and cash. Now, sending and receiving money is as easy as emailing and texting. And you don't need a new account to send or receive money. Just use your current bank/financial institution account.
- How does Popmoney work?
Sending Money
To send money, log in to your online banking account and look for Popmoney.
Send money to anyone using their email address or account information.
You will be notified when the transaction is completed.
Receiving Money
When someone sends money to you, you will receive an email or text message.
If your financial institution offers Popmoney, you can log in to your account and direct the funds there. If your financial institution does not offer Popmoney, you can provide your account information at Popmoney.com, and your money will be sent to that account.
If you do not provide your account information, the payment will be automatically returned to the sender's account.
Money sent directly to an account will be automatically deposited. No action is required by the recipient.
- What can I use Popmoney for?
Popmoney is easy and convenient for you and the people you send money to. They can simply receive the money into their bank account online.
The following are just a few of the convenient ways that you can use Popmoney:
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- Send money to your child at college
- Send a gift to family and friends
- Reimburse friends for that fun outing
- Pay your babysitter or your lawn care service
- Pay rent to your landlord or roommates
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- Do I need to verify my email address and phone number?
Verification of your email address and phone number may be required for security reasons. Entering the correct verification codes ensures that you have access to your email and phone. You may also be asked to verify your mobile phone in the future to send and receive payments.
Popmoney-Requesting-Money
- What are the different ways I can request money from someone?You can request money to someone using his/her: Email address: your contact will receive an email with instructions on how to pay the request. Mobile number: a text message will be sent to the recipient on your behalf with instructions on how to pay the request.
- When will I receive the funds?
3 business days after the recipient of the request makes a payment. The money will be deposited to the account you selected when sending the request.
- Why do I have limits on my requests?
For your protection, limits have been created on how many requests and value of requests can be sent during various time periods. Please click the Icon next to the Amounts field to view your available limits.
- Can I request money from multiple contacts at a time?
Yes. You can request money from multiple contacts by entering their phone numbers or email address in the "From" field. You can also request or specify different amounts from different people in the same request.
- Do I pay a fee if my request is not paid?
No. Fee will be deducted only if you receive a payment. No fee will be charged if the request is not paid.
- Why am I asked to enter a message to the contact?
A personal message gives the contact the confidence that he/she is receiving the request from someone they know. It is also an opportunity for you to communicate the purpose of the request to the contact.
- Can I cancel a request?
Yes, you may cancel a request as long as your contact has not initiated the payment. You will not see the button to "cancel" after your contact has paid the request.
Popmoney-Requests-Invoices
- Where can I find Received Requests and Invoices?
All unpaid money requests and invoices are listed in your To Do List in the Overview tab.
- Is there a fee for paying a request or invoice?
There is no fee for paying a request or invoice.
- Can I pay an amount different from what is requested?
This depends on the type of request that you have received. If the requestor is seeking a fixed amount, you will not be able to change it. If the requestor agreed to accept a partial payment, you will be able to change the payment amount on the payment screen. Please note that you can only pay an amount equal or less than the amount requested. You cannot pay more than the requested amount. Once you make a payment on the request, the request will be closed. You can view this payment in your Activity.
- I do not see any amount for the request. What do I do?
The requestor has decided to let you choose the amount you would like to pay. However, the maximum amount you can pay may be subject to maximum transaction limits.
- I have paid the request, but the requestor is saying he has not received the money. Should I pay again?
It takes 3 business days for the requestor's account to be credited, after you have made the payment. The requestor can check the status of the payment by going to the Activity section of Popmoney.
- What do I do if I do not want to pay the request?
You have the option to reject the request. Click on the details of the received request and select the reject option. You have the option to send a message to the requester when you reject the request. Note that if you do not take any action, the request will eventually expire (typically in 30 days).
- I am no longer able to see a request I received. Where can I find it?
All requests expire within a specified time (typically 30 days) and will disappear from your list. If you did not pay earlier and would like to pay, the requestor will have to send a new request.
- I have already paid the invoice via check. What do I do?
If an invoice is paid outside of the payment service (e.g., via paper check or bill pay), you can manually mark the invoice as paid. This will move the invoice from 'unpaid' to 'paid' which will be reflected in the Activity section within Popmoney.
- I received a Popmoney notification requesting money to my email or mobile. However, I do not see the request in my To Do List. What do I do?
If you do not see a Request or Invoice that you are expecting, this is most likely because you have not added the email address or mobile number to which the request was sent. Have you added this email address or mobile number? If not, go to Preferences to add and verify it. Once you are done, you will be able to see the request immediately.
Popmoney-Scheduled-Payments
- What are the different scheduled payment statuses?
Below is a list of all the possible scheduled payment or payment plan statuses and their definitions:
Active: The payment plan has been scheduled. It will be processed per your instructions when the send date arrives.
Cancelled: The payment or payment plan was cancelled by the sender.
On Hold: The payment or payment plan was placed on hold because the sender failed verification when attempting to schedule it. Please call 210-673-5610 to remove the hold.
Pending: The payment has been scheduled. It will be processed according to your instructions when the send date arrives.
- Can I edit or cancel a future–dated payment?
Yes, you can edit or cancel a future-dated payment any time before the send date. You can only edit certain fields, which include Send Date, Amount, Subject Line, Personal Message, and My Notes.
You can also stop a payment any time after the send date if the payment has not been deposited into the recipient's account. To stop a payment, go to Activity and click the Stop Payment button. You will not see the Stop Payment button if the option is no longer available.
- Can I edit or cancel a recurring payment plan?
Yes, you can edit or cancel the next payment any time before the send date or the entire recurring payment plan at any time. For the next payment, you can edit the Send Date, Amount, Subject Line, and Personal Message, without affecting the rest of the plan. For the entire recurring payment plan, you can edit the same fields as well as the Frequency and Duration.
Popmoney-Sending-Money
- What are the different ways I can send money to someone?You can send money to someone using their email address, mobile number or account information: Email address: your contact will receive an email with instructions on how to direct the payment into his or her account. Mobile number: a text message will be sent to the recipient on your behalf with instructions on how to direct the payment into his or her account. You may want to tell your contact that standard message and data rates may apply. Account information (routing and account number): the money will be deposited directly into your contact's account. You will also have the option to send an email to your contact.
- When will the recipient receive the funds?
This depends on the delivery option selected by the sender. If the sender has selected 3-Day or Standard delivery then the recipient will receive the funds 3 business days after accepting the payment. If the sender has selected Next Day or Express delivery then the recipient will receive the funds 1 business days after accepting the payment.
If the sender does not have an option to select a delivery speed, funds will normally be available to the recipient on the next business day if you are sending money to someone who has used Popmoney and has selected the Automatic Deposit option. Funds will also be available on the next business day if you have provided your contact's account information.
In some cases, like when you have exceeded payment limits, the funds will be available in three business days
- When will funds be deducted from my account?
If you make a payment before 7:00 p.m. Pacific time on a business day, the funds will be debited from your account on the same day. You should see the transaction on your financial institution statement the following day.
If you make a payment after 7:00 p.m. Pacific time or on a non-business day, the funds will be debited from your account on the next business day.
- Why do I have limits on my payments?
For your protection, limits have been created on how much money and how many payments can be sent during various time periods. You can click the help icon next to the Amounts field to view your available limits.
- Can I send money internationally?
No, currently you can only use Popmoney to send money within the United States. If you send a payment to your contact's email or mobile, your contact will be required to provide a US bank account to receive the funds. Otherwise, the payment cannot be processed and the funds will be returned to your bank account.
- Why am I asked to enter a message to the contact?
A personal message helps to give your contact confidence that they are receiving a payment from someone they know. It is also your opportunity to communicate the purpose of the payment.
- What are the fees for sending money?
The fees, if any, are shown when you select a delivery option.
- Can I cancel a payment?
Yes, you may cancel a payment any time before or on the send date. Your contact will be notified if you cancel a payment after a payment notification has been sent.
- How do I add a contact?
There are two ways to add a contact:
Click on the Contacts tab and click on the Add Contact button. Enter the required fields and click Save.
Click on the Add New Contact link in the drop-down list that appears when you click on the To field. Enter the required fields on the popup window and click Save.
- Can I create a payment with a future date?
Yes, Popmoney allows you to schedule one time or recurring future payments. See sections "Scheduled Payments" below.
Redi-Credit
- How much can I qualify for?The minimum amount is $300. The maximum amount is $25,000.
- Can I choose the amount of the advance or is it a set amount?The minimum advance is $50.00, and you cannot exceed the limit of your loan.
- How can I figure out what my payment is?The payment is calculated at 3% of the outstanding balance.
- What is the minimum monthly payment?The minimum monthly payment is $10.
- Is a payment required each month?Yes, a payment is required is month.
- What if I want to make a large payment, will I still have to make a monthly payment?A minimum payment is due each month regardless of how large the previous payment made was.
- What if I want to pay several months in advance?Unfortunately, a minimum monthly payment is due. However, you can set up a bill payment or an automatic transfer to take the payments out of a designated account for the months you want to pay in advance.
- How does the credit union come up with the rates for Redi-Credit?The interest rate is a variable rate which is indexed to the Wall Street Journal Prime Rate plus 4%. It is published on Bankrate's website on the last day of June and December of each year.
- Do I need to provide proof of income?Proof of income is required if you are under 21 or if specified on your approval.
- Can I get checks for my Redi-Credit loan?Yes. You can order a book of 25 checks with any branch FSR or Member Contact Center staff.
Routing Number
- What is AFFCU's checking account routing number?AFFCU's routing number is 314085504.
- How do I find my routing number?Your routing number is the first set of numbers printed on the bottom of your checking account checks, on the left side. If you do not have checks, you can find AFFCU's routing number on goaffcu.com or by clicking here.
- What is a routing number?A routing number is a unique 9-digit number assigned to a bank or credit union.
- Why do I need a routing number?In order to send and receive money from other financial institutions, banks and credit unions use a routing number to determine where money is supposed to go. Routing numbers are commonly used for direct deposit, automatic bill payments, check processing and wire transfers.
Student Reloadable Cards
- Where can I find more information about fees for Student Reloadable Visa® Cards?The following forms outline the fees for Student Reloadable Visa® Cards:
- How do I order a Student Reloadable VISA® Card?STEP 1. You can order a Student Reloadable VISA® Card online by clicking here.
STEP 2. On the website, click on the "Order Yours Today!" button in the banner ad. Or click on the "Order" tab at the top of the page.
STEP 3. You will be directed to the "Sign Up - Getting Started" online form page. Fill in the text boxes on each of the 5 step pages. Click "Submit" - and you're done! The card will be shipped to you at the billing address you've provided. If you choose free First Class Shipping, the card will take 5-7 business days to arrive in the mail.
There are alternative options for ordering a Student Reloadable VISA® Card. You can choose to instead order a card by calling 866.901.8090 or you can visit your nearest local AFFCU branch who will be able to assist you through this process. - Can a card be instant issued in an AFFCU branch?No, a card cannot be instant issued in a branch.
- Are there requirements I need to meet to order a card?The card can be purchased online by members only for their children's use. The child must be at least 13 years of age, and members are required to provide their child's social security number to order the card. The first step is registering yourself, after which you can purchase card(s). Be sure to log in to your account if you choose to order more cards for additional children in the future, so they will all be linked under the same account.
- How long does it take to get the card?The card will take 5-7 business days to arrive. It will be mailed to the billing address you've provided, which can be whatever address you enter for the child. Express shipping is available for $25.00 per card.
- How do I activate my Student Reloadable VISA® Card and obtain my PIN?You can activate your card by logging into MyAccount and clicking on the Activate Card button, or by calling the customer support number listed on the back of your card. On the website, choose Change PIN to choose your PIN. Over the phone, an assigned PIN will be automatically spoken after your card is activated and you'll be given the opportunity to select a new PIN if you choose.
- How does the Student Reloadable VISA® Card work?It's a reloadable prepaid Visa® debit card, which means you can spend up to the value placed on the card anywhere Visa debit cards are accepted. You can shop in stores, online, over the phone, and by mail order. You can get cash at ATM's worldwide. Each time you make a purchase, the amount of that purchase is automatically deducted from the card.
- How do I know the balance on my Student Reloadable VISA® Card?You can check the balance at the website, by contacting your local branch, or by calling customer support at 1.866.901.8090. Since a merchant may not be able to tell how much money is on the card, keeping track of your balance is a sure way to know how much you have to spend.
- Where can my Student Reloadable VISA® Card be used?Your card can be used to make purchases at millions of Visa debit locations worldwide. It can also be used to obtain cash at ATMs worldwide.
- How do I add funds to my child's card through the IVR (phone system)?1. To reload a card on the IVR, call 866-901-8090. 2. Enter the 16 digit card number you wish to add funds to. 3. When asked if your name is on the card, choose option 2 for no. 4. Enter the last 4 digits of your social security number (not the child's). Choose option 5 (you must already have a funding account registered on the website). 5. Choose option 1 to fund from your existing funding account. Follow the prompts.
- Can I purchase a Student Reloadable VISA® Card as a gift?No, they cannot be given as a gift. You can purchase the card for you child's general purpose use.
- Is there a fee when I travel to another country?Yes, the fee is 1% of the transaction amount.
- What should I do if the card is lost or stolen?Lost/stolen cards can be reported using the phone number of 866-901-8090 or to the AFFCU Deposit Admin Department. Cards that need to be replaced due to damage, but are not lost or stolen, will need to be handled by the AFFCU Deposit Admin Department.
Visa ® Gift Cards
- Do I need to register the card before it can be used?Yes. Click here to register your card. It's easy!
- How do I check the card balance?You can easily check the balance once you've registered your card. Simply click here and log in to your account.
Youth Checking
- Do I have to have a JetSpace Club savings account in order to open a Youth checking account?Yes. You must have a JetSpace Club savings account open in order to open a Youth checking account.
- Are there qualifications required to open a Youth checking account?Yes. You must complete and pass 3 educational courses in CyberMAT online banking. Once you have passed all 3 course exams, you can either step into a branch or contact the credit union to open your Youth Checking account.
- Is there a minimum deposit to open a Youth checking account?Yes. The minimum deposit to open a Youth checking account is $25. After that, you will not need to maintain a minimum balance to keep the account open.
- Is there a monthly service fee for a Youth checking account?No, there is not a monthly service fee for a Youth checking account.
- Is courtesy pay offered on the Youth checking account?No. Courtesy pay is not offered for anyone under the age of 18.
- Can I get a debit card with the Youth checking account?Yes, both the primary and joint owners can have a debit card.
- Can I order checks with the Youth checking account?Yes, you can order checks if you have a Youth checking account. The price will vary depending on the style and quantity of checks ordered.
- What happens to my Youth checking account when I turn 18 years of age?When you turn 18, your JetSpace Checking account will automatically convert to a Value Checking. A letter will be mailed with the option to convert your account to a premium checking account.
- Now that I have a Youth checking account, can I open up additional checking accounts?No. Once you turn 18 years old, your Youth checking account will automatically convert to a Value checking account. At that time, you can choose to upgrade to a premium checking account or apply to open additional checking accounts.
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