You Can Get A Better Mortgage At A Credit Union

According to common sense and conventional wisdom, in order to find the greatest deals on mortgage loans you have to go to a mortgage broker. These brokers truly do offer a diverse assortment of options. However, there is one kind of loan that many mortgage brokers neglect to talk about, and that's the credit union mortgage.

Credit unions seem to have a number of important advantages over the vast majority of lenders. One distinct advantage credit unions have over other lenders is that they tend to operate on a much smaller scale and focus mostly on comparatively low-risk loans. As a result, credit unions haven't suffered nearly as much as their competitors during the subprime crisis.

However, the greatest benefit of credit unions is the fact that they do not operate for profit. They are organizations within the community whose entire existence is for the mutual betterment of their clientele. As a result, credit unions are able to loan their customers money for mortgages or auto loans at far lower rates.

And credit unions are quite easy to join as well. All you have to do to become a member is pay a low introductory fee. You will also be required to prove that you own a business, and work or live in the general vicinity of the credit union you wish to join.

Over the past year, local credit unions have witnessed massive increases in membership. More importantly, they are among the few financial organizations to have actually sold more home mortgages this year than in the course of the previous ones. Within a distressed economy, potential clients are drawn to the amazingly low interest rates on their mortgages, specifically ARM's. Additionally, credit unions, not unlike local banks, have endured the subprime crisis far better than most financial organizations, and this certainly attracts new members.

A vast majority of credit unions offer insurance policies as well. Life insurance allows eligible borrowers with qualified loans enjoy the extra security that this member pay insurance provides. That means, should you die unexpectedly, your loans will be fully paid off.

Another policy they offer is disability insurance. Having this insurance on your loans means that if you ever become disabled, your loan payments will continue to be paid, up to the policy limit, during your entire period of being unemployed.

They also offer joint credit disability and joint credit life. These are both available to help protect both you and a co-signer named on the application for the loan. It is an excellent way to increase protection if each one of you is legally responsible for the loan.

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