Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Why Is Secured Loan A Good Option

21. November 2019 Administrator Blog (0)
A loan that is backed up by any collateral is known as a ‘Secured Loan’. Collateral can be in the form of a financial asset owned by the borrower such as a house, car, precious jewelry, commercial property, etc.

Reasons for which secured loans are considered an effective way to borrow money from Credit Unions are:

  • Rate Of Interest: Credit unions offer secured loans at competitive interest rates. Secured loans typically have fixed interest rates so, a borrower’s monthly payments remain consistent in spite of changes in market trends.
  • Bigger Loan Amount: The borrowers can apply loan for a larger amount provided collateral is satisfactory. This makes a secured loan apt for large investments such as purchasing a new or used car.
  • Improves Credit: These loans help borrowers with low credit ratings to improve the same over time. As a borrower repays a secured loan according to the schedule set out by the loan officer, a positive track record is established and the credit score improves. A secured loan also improves credit score by lowering your credit utilization ratio.
  • Flexible Terms: Those who borrow secured loans enjoy flexible terms of repayment as per the options offered by the credit union. The term of the loan can be set to match the financial circumstances of the borrower. These loan term may range from a few years to a longer stretch.

Greater Central Texas Federal Credit Union offers secured loans to its members. In order to be a member of the credit union; the applicant should live, work or worship within the area of Bell County, west of I-35. The credit union provides secured loans at competitive interest rates. The loan can be used to buy new or used cars. The credit union members are also offered the option to apply for the loan online. The loan officers assist the applicants in understanding the loan process to help them choose suitable loan amount and terms. To know more about why secured loan is a good option, visit 3305 E. Elms Rd., Killeen, TX – 76542. You can also call at: (254) 690 – 2274.

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GCTFCU Blog | Things To Know When Applying For A Secured Loan
Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Things To Know When Applying For A Secured Loan

23. October 2019 Administrator Blog (0)



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GCTFCU Blog | Ways To Get Out Of Debt
Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Ways To Get Out Of Debt

21. May 2019 Administrator Blog (0)
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GCTFCU Blog | Credit Union Terms
Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Credit Union Terms

16. April 2019 Administrator Blog (0)
A credit union is a financial cooperative that is created, owned and operated by its members. It provides credit at competitive rates in addition to a plethora of financial services to its members.

Following is a list of some terms that are commonly used in credit unions:

  • Account Agreement: The agreement that determines membership eligibility, conditions for share accounts and other banking operations.
  • Accrued Interest: Interest that is due but has not yet been paid to an account holder of a share account. It can also be due interest that has not yet been paid to the credit union by borrower of a loan.
  • Adjustable-Rate Mortgage: A mortgage without a fixed interest rate. The rate fluctuates on the basis of market conditions such as index rate.
  • Annual Percentage Rate: Percentage indicating the cost of credit on a yearly basis.
  • Annual Percentage Yield: A percentage indicating the total amount of interest paid on a share account. The amount is based on the interest rate and frequency of compounding for the year.
  • Annuity: Life insurance contract sold by brokers, insurance companies and other institutions as retirement investment.
  • Automatic Bill Payment:  An automated system for an account holder to pay recurring bills.
  • Available Credit: The remaining amount of funds in a line of credit or account that a member can borrow.
  • Closing Costs: Expenses incurred by sellers and buyers when transferring the ownership of property.
  • Collateral: Assets offered by a borrower for securing a loan or some other form of credit.
  • Drawer: A person/entity who writes a check or draft asking the drawee to pay another.
  • Drawee: The credit union or financial institution expected to pay a check or draft that is presented for payment.
  • Escrow: The act of holding money or documents by a neutral third party prior to closing the property.
  • Foreclosure: Legal process of selling property and using the proceeds for covering a mortgage debt.
  • Open-End Credit: A credit agreement allowing members to borrow against pre-approved credit line for purchasing goods and services.
  • Overdraft: When the amount in an account falls short of the amount being withdrawn from a checking account or share draft account.
  • Payee: A person or organization to whom a check, draft or note is made payable.
  • Payoff: Complete repayment of a loan.
  • Share Draft Account: Checking accounts are called share draft accounts by credit unions. They are transaction accounts.
  • Uncollected Funds: A part of a deposit balance that is due to be collected by the depository financial institution.
For more information, visit Greater Central Texas Federal Credit Union at 3305 E. Elms Rd., Killeen, TX-76542 or call at (254) 690 – 2274.

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