Loan Rates
| Page Table of Contents |
|---|
| Risk Based Loan Rates |
| New/Used Vehicle Loans |
| Personal/Unsecured Loans |
| Credit Line Mortgages and Other Loans |
Risk Based Loan Rates
The Board of Directors of Tri-Town Teachers Federal Credit Union changed its lending policy effective Monday, April 3, 2006 and has implemented a Risk Based Loam Policy for all our loans. This makes our policy consistent with our Credit Card loan policy which was implemented in October of 2005.
This new Risk Based Loan Policy rewards our members who maintain good credit ratings by providing excellent loan rates. At the same time it recognizes the risk of providing loans to individuals who have less than stellar credit and requires higher interest rates based on lower credit categories. We have established five (5) credit categories or "grades" with correspondingly higher interest rates as the members' credit score declines. This pricing arrangement has been implemented by most financial institutions because it more accurately reflects the risks of lending and shifts higher costs of borrowing to people who have demonstrated that they are not handling their finances as well as they should by not paying bills on time.
Rates will be established based on your individual credit rating at the time the loan is requested. Any questions should be directed to John Coniglio or David Ritch at the Credit Union.
New/Used Vehicle or share secured Loan Rates
| Credit Score | Grade | 36 MONTHS | 48 MONTHS |
60 MONTHS |
72 MONTHS (New Car Only over $20,000) |
|---|---|---|---|---|---|
| 700+ | A | 4.99% | 5.49% | 5.79% | 6.79% |
| 640-699 | B | 5.49% | 5.99% | 6.29% | 7.29% |
| 600-639 | C | 6.49% | 6.99% | 7.29% | 8.29% |
| 550-599 | D | 7.99% | 8.49% | 8.79% | 9.79% |
| Below 550 | E | 9.99% | 10.49% | 10.79% | 11.79% |
Personal/Unsecured Loans*
Loans under $5,000, max term is 3 years.
Loans from $5,001 to $7,500, max term is 4 years.
Loans over $7,501
to $15,000, max
term is 5 years.
Loans over $ 7,500 require a qualified cosigner
Personal Loan Rates
| Credit Score | Grade | 12 MONTHS | 24 MONTHS |
36 MONTHS |
48-60 MONTHS |
|---|---|---|---|---|---|
| 700+ | A | 7.90% | 8.90% | 9.90% | 10.90% |
| 640-699 | B | 8.40% | 9.40% | 10.40% | 11.40% |
| 600-639 | C | 9.40% | 10.40% | 11.40% | 12.40% |
| 550-599 | D | 10.90% | 11.90% | 12.90% | 13.90% |
| Below 550 | E | 12.90% | 13.90% | 14.90% | 15.90% |
Credit Line Mortgages and Other Loans*
| Credit Line Mortgage | 6.12% |
Variable rate subject to change quarterly |
| Share Draft Line of Credit | 15.0% |
Overdraft protection |
Fixed Rate Home Equity loans--Rates as low as 5.25% (See Mortgages for details)
* Loan Rates Are Subject to Change Without Notice
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