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

How Do Credit Unions Work

Credit unions are financial cooperatives comprising of members who pool their money which is further used to provide loans, financial products and services, and demand deposits to one another. The income generated by a credit union is used for various projects and services that are in interest of community and members of the union.
On the surface, credit unions have many similarities with other financial institutions, but they greatly differ in their working. To understand the working of credit unions, let’s look at the following points:
  • They are owned by their members. Anyone who opens an account with a credit union, albeit a small one, becomes a partial owner. So, every member has an equal right to vote for the leadership position of the union. However, to become a member, one needs to qualify. For this:
    • You should live, work or worship in a particular city or area,
    • Be a member of a certain group e.g. the same college, armed forces, a church, etc.
  • You will have to fill out an application form, prove your eligibility, provide the name of a relative, employer or organization you work for and personal information such as your place of residence and work.
  • Thereafter you will have to choose the financial services you are interested in.
  • Once you are eligible for being a member of the credit union, the next requirement is to open an account with it.
  • Credit unions are federally insured or protected by National Credit Union Share Insurance Fund (NCUSIF).
  • They consist of an upper management body which formulates strategies, makes policies and so on. This board generally comprises of elected volunteers.
  • Service precedes profitability in credit unions and this is the reason for which they offer competitive rates for their services and products.
  • Most credit unions offer savings and loan accounts to their members along with other additional products and services.
  • Credit unions provide services such as Checking Accounts, ATM Cards, Credit Cards, Auto Loans, Payroll Deduction, Direct Deposit, Notary Service, Mastercard Cash Advance, On-Line Access, Mastercard Gift Cards, Wire Transfer, ACH Origination, Bill Pay etc.
You can become a member of Greater Central Texas Federal Credit Union to avail the services offered. For more information, visit at 3305 E Elms Road, Killeen, TX 76542. You can also call at (254) 690 – 2274.

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GCTFCU Blog | Tips To Reduce Your Monthly Auto Loan Payment
Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Tips To Reduce Your Monthly Auto Loan Payment

If you are planning to finance your next vehicle, it’s a smart idea to consider various options to lower your repayment options. Factors such as the make of the vehicle, total loan amount, existing interest rates, your credit rating etc. play a major role in determining the loan repayment you may have to pay to your credit union. It is also important to note that interest rates for used cars are usually higher as opposed to a new one.

The following tips can help to reduce your monthly auto loan payments:

  • Refinance your loan: The term ‘refinancing’ means to repay your current loan by taking another loan which has lower interest rates. It helps to bring down your monthly payments and allow you to pay off the loan amount in a less period of time, thus making the whole procedure convenient.
  • Extend loan payment term: The longer your loan payment period, the lesser monthly installment amount you will have to pay. Carefully assess your existing loan repayment ability and see if you need to extend the term.
  • Save for down payment: When you think about making an auto purchase, make sure you plan much in advance so you can save up for the down payment. The higher the down payment, lower will be the monthly payouts.
  • Strengthen your credit rating: If your credit rating is strong, it is highly possible that you will get the lowest possible interest rates. This is because a good credit rating assures that the lender will receive timely repayments. Hence, it minimizes the risk for the lender which, in turn, lowers your overall monthly auto loan payment.
  • Shop around: Just as you shop around for your car, make sure you request quotes from at least three credit unions to compare their terms and conditions. Evaluate the interest rates and flexibility in repayments offered by them. Only after careful comparison must you finalize a lender that offers the most affordable auto loan plan.
We, at Greater Central Texas Federal Credit Union, offer low interest auto loan to the clients in Killeen, TX. Our staff will guide you through the different options available as well as assist in the submission of loan application. For more information about the auto loans offered, you can call us at (254) 690 – 2274 or visit our office at 3305 E Elms Rd, Killeen, TX 76542.
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