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

Credit Union For Affordable Home Loans

Getting a home loan is a big financial decision, which requires one to consider many important factors. It is advisable to consider credit union for a home loan, as it is a not-for-profit organization. A credit union provides home loans to its members at low interest rates. It also offers various others benefits for people trying to purchase a home.

Here are some of the benefits of taking home loans from a credit union:

  • Low interest rates: Being a non- profit organization, a credit union is not liable to pay taxes to the federal or state government. Therefore, these are capable to lend loans at a low interest rate. Thus, borrowers are able to lower their monthly home mortgage payments.
  • Low fees: The loan processing fees charged by a credit union is affordable. Where on one hand initial loan fee charged is less, on the other hand, checks and electronic transactions are usually offered free of cost.
  • Control of account holders: Members of a credit union are also its part owners, thus, having complete control over its operations. They have a right to vote on important matters that may affect their financial obligations such as terms of home loan rates and other related activities.
  • Increased flexibility: Credit unions are willing to lend financial aid to its members even if they do not have a higher income. The loan policies are also flexible enough to accommodate the specific needs of an applicant or if they are facing temporary financial issues.
  • Benefits to lower income groups: Borrowers in lower income groups can also be granted membership in credit unions. One can look for the packages that suit them best by reviewing its rates, cost of the loan, adjustability of its cost and its mortgage term.
  • Fewer complications: The procedure of getting a home loan from credit unions is simple and involves fewer complications. There are barely any rules or provisions to be followed, thus making the whole procedure convenient for its members. Usually, the loan application gets approval within a few days, after the documents are verified.
  • Courteous staff: The staff at a credit union is friendly and assists the members in their tasks. They are also more approachable and pay personal attention of the needs to the members.
Thus, credit unions are highly consumer oriented and provide more flexible and affordable home loans to its members.
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GCTFCU Blog | Ways To Increase Your Eligibility For Home Loan
Greater Central Texas Federal Credit Union,
3305 E Elms Road
Killeen, TX 76542
Telephone: 254-690-2274
www.gctfcu.net

Ways To Increase Your Eligibility For Home Loan

Purchasing a home is usually the biggest investment that one makes in a lifetime. Being approved for a home loan can make the process of owning a home quicker and easier. However, there are various criteria and conditions that you must fulfill to qualify for a loan. A credit union is a good option to apply for a home loan as you can be provided instant loan approvals at very low interest rates. By following certain tips you can increase your eligibility for being approved for a home loan.  

Here are some points that you must consider:

Relaxing the loan repayment tenure

Relaxed loan repayment tenure increases the home loan eligibility of the borrower. This is due to the reasonable interest rate and lower EMI, which makes the lender more confident about the loan repayment.

Paying off outstanding loans

Before applying for a home loan, it is advisable to pay off any other outstanding loans. Borrowers with negligible outstanding loans and good payback history are given priority. However if it is not feasible to pay back the whole outstanding loan amount you can consider providing information about the remaining loan amount. A strong financial background assists in getting approved for a loan.

Clubbing of income

A higher income improves the eligibility of getting approved for a home loan. A family can consider clubbing of income of two or three members to improve eligibility.

Considering step up loans

Step up loans give the option of paying back the total amount in two ways. The first half of the amount is payable at a lower interest rate while the remaining amount can be paid over a period of time at a higher interest rate. Due to the easier payback terms in the first repayment period, eligibility for the home loan also increases. Borrowers applying for home loan can consider these loans for better home loan eligibility.

Consider perks in addition to salary

When applying for a home loan, you can improve your eligibility by providing proof of perks in addition to your salary. It can be income from a part time job, rental income, performance appraisals and bonuses etc.

By following these tips you can increase your home loan eligibility and the chance to own a home. We, at Greater Central Texas Federal Credit Union, offer affordable and convenient home loans to the people of Killeen, TX. For more details, you can call us at (254) 690 – 2274.
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