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Matadors Community Credit Union may collect the following information from users of our website. To see how this information is used, click here to go to our privacy page. Information we may collect: IP address, browsing history, search history, products and services considered, geolocation data, and information about your interaction with our website, application or advertisement. If you complete an online form, we may also collect your name, e-mail address, physical address or phone number that you provide to us.

PHONE SCAM WARNING! PLEASE READ:

Over the past few days, we have received reports of fraudulent activity affecting MCCU members.  

The scam involves a phone call from a scammer spoofing a MCCU phone number (it will look like it is coming from MCCU). The scammer states they are calling to confirm debit card transactions on the member's account (they have been referencing Walmart, but it could be any merchant).  The scammer then proceeds to try to obtain online banking login credentials, PINs, and SSN information.  This activity is fraudulent!

Do not ever give out your Debit Card number, PINs or passwords!  MCCU or our Fraud Monitoring vendor may call to validate a transaction, but will never ask you to provide us your PINs, passwords or other sensitive account information as a form of verification.

If you receive a phone call such as this, please report it to us immediately at 818-993-6328!

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FAQs About Share Secured Loans
FAQs About Share Secured Loans2/8/2018

african american couple sitting at desk with financial advisorWondering about share secured loans? Here’s all you need to know about this unique product that can provide a low interest rate plus credit building and repair:

1.) What are share secured loans?

Share secured loans allow you to borrow against your own savings, using it as collateral. Instead of liquidating your account to make a purchase, thus losing out on all dividends and an emergency safety net, you borrow against that sum while your money stays in the account.

2.) How does it work?

Your credit union will place a hold on the amount you want to borrow against. When you apply for the loan, you’ll be granted the amount you requested in the form of a check or a deposit into your share account. You can make payments on the loan through an automatic withdrawal from your account, via direct deposit or by sending in a monthly check.

3.) Who would benefit from a share secured loan?

Borrowers with damaged or no credit, who may not otherwise qualify for a loan, stand to gain the most from these loans. Since there is no risk to the lender, most credit unions grant instant approval of a share secured loan without requesting a credit report.

4.) When will the funds I am using as collateral be available for me to use again?

The availability of these funds varies by credit union. Some credit unions will release these funds in predetermined amounts as you make your monthly payments on the loan. Others will not allow you to access the frozen portion of your savings account until you’ve paid up the entire loan. At MCCU, we'll give you access to your funds once your loan is paid in full.

5.) What are some advantages of a share secured loan?

  • Inexpensive. Interest rates on share secured loans at MCCU are 3% above the dividend rate on your savings or Certificate account.
  • Convenient. You can usually get on-the-spot approval for a share secured loan. Once you’ve been approved, you can use the money in any way you’d like.
  • Improve your credit score. While the actual loan won’t improve your credit rating much, you can use the money you’ve borrowed to pay off outstanding loans and increase your credit score.
  • Low requirements. There is generally no credit check when applying for a share secured loan.

6.) What are the disadvantages of a share secured loan?

  • Increased risk to the borrower. When your own money is used as collateral, it’s your money at risk of being lost.
  • Less credit reward. Since they pose no risk to the lender and usually don’t require a credit report, your loan will not affect your credit score much.
  • Interest fees. If you are choosing between liquidating a savings account and borrowing against it, it may be cheaper to empty your account as it won’t cost you anything.

 

Your Turn: Have you ever taken out a share secured loan? Share your experience with us in the comments!



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