The foundation to building a solid financial future. Start earning today while you save for tomorrow.

• Members 17 and under earn a higher dividend rate with our Head Start Savings Accounts.
• Members 17 and older will open a Regular Savings Account.

Learn how to manage your money right from the start.

• No Minimum balance, No Monthly fee.
• A WCTFCU Visa Debit Card
  • Download our fraud protection app for your card. Monitor spending habits and track purchases.
• Free Mobile and Online banking for easy access to manage your accounts.
  • Set up Account Alerts to know when money is moving in and out.
• Mobile Check Deposit
• Direct deposit for your first paycheck
• eStatements (online copies of your monthly statements)

Empower your Financial Wellness:

Understand how to effectively use a checking account.

For the next phase of your financial life

• Scholarship opportunities are available every spring for WCTFCU Members who are graduating High School seniors.
• Student Loans for Undergrads and Graduates
• Questions about how to finance College? Get the answers here.
• Financial Wellness for College. We have partnered with iGrad to offer financial education tools to help you navigate how to responsibly pay for school and manage your money.

Empower your Financial Wellness:

Online Learning Module:

Understanding how Credit Cards work.

VIDEO SHORTS

BUDGETING:

 VIDEO SHORT - Avoiding Scams

• As a reminder, the Credit Union will never contact you and ask you to provide your online banking password, codeword or six-digit code. Don’t respond to emails or text messages that request this information. If you have any doubt, call us at 203.758.9500.
• Keep your software and virus protection up to date on your computer and devices.
• Create strong passwords. Don't use the same password for online banking that you use for other accounts.
•  Set up online banking so you can easily monitor your account and be alert to a discrepancy.
• Set-up Account Alerts within Online Banking to manage your accounts.
• Keep your contact information updated, including all phone numbers and your email address. It is vital we can reach you to validate suspicious transactions.
• Review your credit report often. Get your free credit report through our partnership with SavvyMoney. In online and mobile banking.
• Ignore emails from senders you don’t know.
• Monitor your Debit Card purchases and possible fraud with the CardValet App
• Monitor and protect your Credit Card with the SecurLock Equip Mobile App.
• Remember to contact us in advance, when you plan to travel so your cards won’t get locked.
• Shred documents containing personal or financial information before discarding them.
• Don’t respond to texts or phone calls from random numbers.
• Don’t click on any links from texts or emails you randomly receive.

Phishing: Scammers use email or text messages to send fraudulent requests to try to steal your passwords, account numbers, or Social Security numbers.

Protect Yourself from Phishing Attempts:

1. Use security software on your computer. Have it update automatically.
2. Protect your cell phone by setting updates to run automatically to offer protection against potential threats.
3. Use multi-factor authentication on your accounts if available.
4. Back up your data regularly to an external hard drive or in the cloud. Back up your phone too.

Vishing is the fraudulent practice of making phone calls or leaving voice messages claiming to be from a reputable company to encourage individuals to reveal personal information, such as bank details and credit card numbers.

Consumers may be sent a voice or text message with transaction details and requesting they confirm this information. When they respond, they may be questioned for account details, or they may be asked to call back a number to provide account information.

Recommendations:

1. Never give out personal information over the phone if you haven’t initiated the call.
2. Verify phone numbers before you call a company.
3. Don’t answer calls from unknown phone numbers.
4. Always verify who you are talking to.

Gift Card Scams

This type of fraud is when a scammer asks you to pay for something with a gift card.
You can be asked to purchase gift cards to pay a bill, a debt, fees, taxes or even to claim a prize.
You should always say no.
To learn more, watch this Gift Card Scam video from the Federal Trade Commission.

VIDEO SHORT: Protect Yourself Online

Choose a unique login
Avoid using your birthdate, address or Social Security number. Use different passwords for other sites.

Keep your login private
Do not share it.

Check your balance often
Check the balance of your online account on a regular basis.

Update your software
Make sure your computer or laptop is protected with a good security software program and antivirus software.

Secure your internet connection
If you have a wireless network at home, activate the security settings on your router to prevent outsiders from accessing your network.

Avoid public computers
Avoid accessing your online banking account from a public computer. If you need to, do not leave it unattended and always log out right after you've finished your banking session.

VIDEO:  Avoid Identity Theft

Keep these tips in mind to keep your personal information safe.

• Keep your Social Security card and passport in a safe place. Do not carry them with you unless absolutely necessary.
• Limit the amount of identifying information, including credit cards, you carry.
• Shred all financial information, such as unsolicited loan applications and account statements.
• Do not give out information by phone, unless you initiated the call or know the person.
• Pay attention to billing cycles and review monthly statements.
• Report lost or stolen checks to your credit union immediately.
• Closely guard your ATM Personal Identification Number (PIN) and shred ATM receipts.
• Learn what to do if your Identity is stolen.

You can find Wi-Fi almost anywhere these days. Identity thieves can steal your information whenever you have an internet-enabled device in public. Be alert.

• Having the latest security software, operating system, web browser and apps can help protect you from malware and other threats you may encounter when using Wi-Fi.
• Do not assume that the Wi-Fi connection is secure. Many hotspots do not encrypt the information you send on the Wi-Fi network.
• Do not log in to accounts especially financial accounts, when using public wireless networks.
• Do not log on to sites that do not seem legitimate. Clues for this could include the URL being misspelled or not matching the name that you were given by the place of business.
• Be wary of free Wi-Fi connections. It is not uncommon for cybercriminals to set up a Wi-Fi network called “Free Wi-Fi” in airports, hotels and other public places. A cellular connection is generally safer than a Wi-Fi connection.
• Consider turning off features on your computer or mobile devices that allow you to automatically connect to Wi-Fi.

WCTFCU has partnered with SavvyMoney to offer Credit Union Members free access to their credit score, credit report, personalized money saving offers, tips on how to improve your score and more!

This free credit reporting tool can be accessed through online and mobile banking.

Learn More about SavvyMoney

A credit score is a three-digit number calculated to indicate your credit worthiness. The higher the score, the more credit worthy you are to a lender.

A credit score is calculated from information in your credit report and considers whether you have been making on-time payments, your revolving debt use, length of your payment history, as well as other factors.

It is important to know that your score does not take your age, income, employment, marital status, or your bank account balances into account.

Credit reports are composed of the credit-related data a credit reporting company has gathered about consumers from different sources. Credit reports include records of mortgage payments, credit card balances, credit card payments, auto loan payments and credit inquiries. It may also include accounts that have gone into collections, public records, and other information from government sources.

Credit reports include the following about your debt accounts:

• A list of companies that have given you credit or loans
• The total amount for each loan or credit limit for each credit card
• How often you paid your credit or loans on time, and the amount you have paid

Credit reports may also include:

• Companies that, upon receiving a loan application from you, have seen your credit report to evaluate your credit worthiness in the last 2 years
• Your address(es)
• Your employers
• Other details of public record

VIDEO SHORT:  Boost Your Credit Score

There are several ways to improve your credit score. Here is some general advice:

• Pay your bills on time. How promptly you pay your bills has the strongest influence on your credit score.
• Apply for credit only when you need it. Do not open too many accounts too frequently. And avoid opening multiple accounts within a short time span.
• Keep your outstanding balances low. A good rule of thumb? Keep balances below 30 percent of the credit limit on each of your revolving accounts.
• Reduce your total debt. It is not necessarily bad to owe some money. But it is not good to owe too much money. Consider paying down some of your outstanding loans.
• Build up a credit history. Maintaining a timely payment history for a mix of accounts (e.g. credit cards, auto, mortgage) over a longer period can improve your score.

Click on the booklet cover below for smart money tips on creating a strong financial foundation!

Here are a few tips to guide you on the road to success.

LEARN THE LINGO:

Auto Buying & Financing Terms

• Annual Percentage Rate: Commonly abbreviated as APR, this is the interest rate on a loan. It is also sometimes referred to as a finance rate.
• Dealer Incentives: These are special offers designed to encourage consumers to purchase a vehicle. Common incentives include cash rebates and low APR financing.
• Down Payment: This is the portion of money that you pay up front for a vehicle purchase.
• Monroney Sticker: This is the price tag sticker found on the windows of new cars. This document lists vehicle information such as the base price and standard features.
• MSRP: This acronym stands for Manufacturer’s Suggested Retail Price. It is the amount that is listed as the base price on vehicles’ Monroney stickers.
• Rebate: Designed to increase new-vehicle sales, rebates may be offered in the form of a price reduction or as a refund by mail upon completion of the sale.
• Term: This refers to a loan's length of time.
• VIN: A VIN (vehicle identification number) is a unique, 17-character code that identifies each specific motor vehicle in the United States.

Know the True Cost of Car Ownership

Trying to determine how much you can afford to spend on your vehicle purchase? When doing your calculations and reviewing your budget, keep in mind that the cost of car ownership goes far beyond a vehicle’s sticker price. Additional expenses include:

• Purchasing Fees: These include your taxes, tags and title, and can average around $1,000.
• Finance Charges: If you take out a loan to pay for your car, you’ll have to make monthly payments plus interest to pay it back.
• Insurance: Young and inexperienced drivers can be expensive to insure. Annual insurance cost averages range from $1,000 to $3,000.
• Maintenance and Repairs: The more you drive, the more upkeep your car will need, including oil changes and new tires. There are miscellaneous costs to consider as well, like parking fees and car washes.
• Fuel: Annual fuel costs can average close to $1,000 or more, depending on your car’s fuel efficiency and how much you drive.
• Depreciation: It’s the largest cost of owning a car. In five years, your car will be worth about 65% less than when you bought it.

Take the Wheel & Drive Home a Deal

When you’re ready to move forward with your purchase, follow these steps to help create a positive and affordable outcome.

• Know your credit score.
• Get pre-approved for financing. With a pre-approved loan, you know your maximum spending limit giving you negotiating power at the dealership.
• Do your Research: Informed shoppers are smart shoppers. Assess your needs. Do your homework on new and used car models and prices.
• Watch for Add-ons. Before signing the final contract, ask the dealer to explain each item. If there are charges you’re not comfortable with, don’t be afraid to point them out.

Becoming a homeowner is a major decision, whether it is your first or forever home. Understanding these key steps will prepare you for the home-buying journey and help provide you peace of mind during the process.

Know Your Credit Score

The first step is to check your credit report to see where your credit stands and if anything needs to be addressed to improve it.

You can get your free credit report through your credit union by enrolling in SavvyMoney within online banking.

Your credit score will largely determine the terms of your mortgage. If your credit score is lower than you’d like due to missed payments or maxed-out credit cards, it’s in your best interest to put off purchasing a home until your credit score rises.

Organize Your Finances

Once you know your credit score, you need to take an honest look at your monthly income versus expenses and identify areas to save money, consolidate or do without.

Account for everything that your money goes to, including utilities, food, car payments and maintenance, student loan debt, clothing, childcare and kid’s activities, entertainment, retirement savings and any other areas.

Determine How Much Home You Can Afford

After organizing your finances and determining how much of your income can reasonably go toward your monthly mortgage payment, it’s time to calculate how much of a home you can afford.

Realize that there will also be up-front costs such as money needed for a down payment, closing costs and moving expenses and possibly new furnishings.

Save for added expenses

Buying a home usually requires saving money for a down payment, closing costs, moving expenses, new household utilities, new furnishings to name a few. Other things to consider are the costs for home inspections, upgrades to your new home, homeowner’s association costs (if any) and related costs.

Keep in mind it’s also good practice to have an emergency fund that can cover up to 6 months of living expenses, on top of all these other costs.

Financing Options

VIDEO SHORT:  What is a Mortgage?

Before beginning your house hunt, it’s a good idea to get pre-qualified or pre-approved for a mortgage. Doing so will give you an idea how much you can afford to spend so you won’t waste your time looking at houses that are out of your price range. Keep in mind, though, that pre-qualifications and pre-approvals are two very different things:

• Getting PRE-QUALIFIED simply means that a lender has provided you with an estimate of the mortgage amount you will likely qualify for. If you choose to purchase a home, you will still have to go through the actual mortgage application process at that time.
• Getting PRE-APPROVED requires you to provide a lender with paperwork so they can verify your income, credit, etc. If that lender does decide to pre-approve you for a mortgage, it essentially means you are guaranteed to get a loan up to a specified amount (assuming no major financial changes occur) for a limited period of time.

When It Comes To Mortgages, One Size Does Not Fit All.

Numerous options and programs exist with different terms, features and benefits to suit various buyers. Be a well-informed consumer by familiarizing yourself with these common mortgage types:

Conventional/Fixed- Rate Mortgage:

A fixed-rate mortgage features an interest rate that remains constant throughout the term of the loan. Most fixed-rate mortgages come with a term of either 15 or 30 years.

Adjustable-Rate Mortgage (ARM):

Adjustable-rate mortgages typically start with a lower rate than fixed-rate mortgages, but after a few years the rate can begin to rise and will fluctuate periodically.

VA (Veterans Affairs) Loans:

VA loans offer up to 100% financing for military members and their families.

FHA (Federal Housing Administration) Loans:

FHA loans can help buyers receive financing even if they may not otherwise qualify for a mortgage. The FHA insures the lender for the mortgage amount – removing the risk associated with the borrower.

USDA (United States Department of Agriculture) Rural Development Loans:

These loans are available to rural residents who meet certain requirements, including the inability to be approved for traditional financing.

Balloon Loans:

A balloon loan is a mortgage in which a larger-than-normal outstanding balance must be paid at the end of the term.

Interest-Only Loans:

These loans offer borrowers a period of time when they pay interest only on their mortgage. (During the interest-only term, the borrower does not build any equity.) Once the interest-only term ends, the borrower starts to pay off the principal as well.

VIDEO SHORT:  Things to Consider when House Hunting

Select a Real Estate agent who thoroughly understands your housing needs such as type of home design, location, and price range. A good agent should be able to advocate hard for your offer during negotiations with the seller.

Learn more about the Credit Union’s Mortgage program and how we can help you reach your home buying goal!

Investing early and often is a key factor when it comes to retirement planning. While it may be tempting to put off saving, research shows that beginning to invest in your twenties gives you the best retirement prospects later in life.

Start investing early. If you started investing $100 per month from age 25 to 35 and you earned an average of 5% per year. You’ll end up with way more at retirement age than if you started at age 35 and invested that same $100 a month all the way from age 35 to 60.

VIDEO SHORT: Dollar Cost Averaging

Dollar cost averaging is a strategy that can make it easier to deal with uncertain markets by making purchases automatic. It also supports an investor's effort to invest regularly.

Instead of investing a lump sum all at once, you can invest a smaller consistent amount at set intervals, like once a month, once a paycheck or every Tuesday.

This will average out your cost, so you can stop worrying about day-to-day fluctuations in your investment, and look at the big picture!

Concentrated Risk

The more concentrated your investments are in a certain company, market segment or asset class, the higher your risk of steep losses.

Instead, you want to build a diversified investment portfolio that spans different companies and industries, and includes a variety of different assets like stocks, bonds, index funds, real estate and more.

VIDEO SHORT:  Concentration Risk

Plan for your future.

The earlier you start planning for your retirement, the better.

Meet with a financial planner to map out your strategy for a successful financial future.

WCTFCU Members can make an appointment to meet with a financial advisor at Egidio Lennon Wealth Management LLC. Call today for a free, no obligation personal consultation.

• A credit limit is the total amount of money that can be charged to a credit card, including purchases, interest charges and fees. Keep tabs on how much room you have, and never max out your cards.
• In order to build up a good credit history, you want to be using 30% or less of your total credit. Keeping your utilization rate low will also help prevent your credit card debt from piling up faster than you can pay it off.
• Avoid maxing out your credit cards. Did you know that if your total utilization across all cards goes over 30%, it’s likely to hurt your credit score?

VIDEO SHORT: Leave Some Room

• When you have a credit card, it can be tempting to spend, spend, spend! Realize that it is a loan and you have to pay back every purchase you make. Try to save up ahead of time so you have the money set aside to pay the bill in full when it comes.
• The key to a successful relationship with your credit card is to pay it in full, and on time In addition, make sure to allow extra time for your payment to process!

VIDEO SHORT: Pay in Full On-Time

It’s important to check your credit card statement every month. A credit card statement is a summary of how you've used your card for a billing period. It's important to read your statement carefully to spot any unauthorized charges or billing errors.

VIDEO SHORT: Review Your Statement

With a little guidance and some elbow grease, your debt doesn’t have to define you. A debt-free future is possible.

Need a better strategy to pay off debt?

It helps to look at your monthly budget and make a debt repayment plan. If you can, pay more than the monthly minimum to pay down your principal balance quicker, and if you receive any financial windfalls, use them to pay off debt rather than treating them as spending money.

Just don’t touch your emergency fund. Without it, one bad turn could make your debt problems even worse.

VIDEO SHORT: Don't Give Up on your Debt

Snowball vs. Avalanche Method

There are two popular methods used to paying down debt. The Snowball method pays off the lowest balance first, then moves on to the next lowest balance until you’re out of debt.

The Avalanche method starts with the balance that has the highest interest rate, then moves on to the next highest rate until you pay everything off.

The Avalanche method will save you more money in the long run, but it really comes down to which strategy will motivate you to reach the goal of being debt-free!

VIDEO SHORT: Snowball vs. Avalanche Method

Debt Consolidation

If you are carrying expensive consumer debt including credit card balances and high-interest loans, you may consider a consolidation loan.

This is a form of debt refinancing that entails taking out one loan to pay off other smaller loans.

By consolidating your debt, you pack a bunch of smaller debts into one loan with a lower interest rate and only one payment. This will save you money and help you get back on the path to being debt-free.