Lending Season is upon us…It appears that smart affordable loan choices are the order of the day in 2014. Debt-to-incomes fell to its lowest level in 33 years. Consumers are ready to borrow again which should be a huge driver for spending and growth in the future.
When deciding to borrow money, be sure to make smart decisions all around financially:
- Avoid predatory lenders that charge ridiculous interest rates.
- Use a debit card rather than a credit card. A debit card is money deducted from your checking, however a Credit Card is revolving loan and revolving debt.
- Partner with a legitimate financial institution like a Kelly Community Federal Credit Union. Credit unions offer affordable loans with better rates and better terms.
- Only borrow the equity in your home for Improvements or College funding. – It’s tax deductible.
- As a last resort, a consolidation loan should only be for a short-term and secured from a legitimate lender that offers a fair interest rate.
Even as a lender of first resort, Kelly Community prefers you save first and borrow second.