FreedomCU.org | 215.612.5900 | Fall 2024

As we reflect on 2024, I am pleased to share that our credit union has enjoyed another successful year financially. Your trust and continued loyalty have been the foundation of our success, and for that, I extend my deepest gratitude on behalf of our entire team.

However, to sustain this momentum and continue thriving, we need your help in growing our membership base. We believe that the strength of our credit union lies in the individuals we serve, and there is no better ambassador than you, our valued members. We kindly ask for your support in referring your friends, family, and colleagues to join our credit union. Your referrals are essential to our growth, allowing us to offer even better products and services to all members.

One of our main initiatives this coming year will be to grow our membership base and we will rely heavily on our Refer a Member program. This program not only rewards you for your referrals but also brings more people into our credit union, extending the number of individuals who can benefit from the exceptional financial products and services that we offer.

In addition to our focus on membership growth, we are excited to announce the rollout of our new Consumer Lending application process. This enhanced platform allows you to easily apply for loans, and it offers a unique feature to help you refinance existing debt from other financial institutions at a lower cost. We are committed to offering competitive loan rates and providing an exceptional member experience. This new tool is just one way we are delivering on that promise.

As we look at the broader economic landscape, we recognize the ongoing uncertainties and challenges we all face. The potential for interest rate reductions in the near future, however, could present opportunities for our members. We are closely monitoring these developments to ensure we continue to provide the best possible financial solutions to our members.

Finally, I want to express my heartfelt thanks for your continued loyalty and commitment to your credit union. Without you, we wouldn't exist. Together, we will continue to build a stronger and more vibrant credit union that supports each other’s financial well-being.

Thank you for being an integral part of our success.

Sincerely,

John F. King

President/CEO

The First Time Home Buyers Program offers up to 100% Financing, no money down and no PMI!

Click here to learn more about the program

The easiest way to update your contact information is through Online Banking or Mobile Banking. In Online Banking, select your name in the top right corner and then select "Settings". Information can be updated by selecting "Edit" next to the field you wish to change under "Profile". In Mobile Banking, select "More" and then "Profile". Information can be updated by selecting "Edit" next to the field you wish to update.

Click here to log in to Online Banking

Balance Inquiry Fees

A Balance Inquiry fee may be incurred when you utilize any ATM to check the balance in your account. You can avoid this fee by using either our Online/Mobile Banking platform or Telephone Teller to check your balance.

Surcharge Fees

A Surcharge fee is a fee charged by an ATM owner from another financial institution for the use of their ATM. You can avoid this fee by using Freedom Credit Union ATM's or any ATM within our Co-Op Network. To find an ATM near you, use our ATM Locator here.

PIN-based Transaction Fees

We incur a higher cost per transaction for pin-based transactions. Pin-based transactions include both transactions conducted at ATM machines that are not owned by us, as well as purchases made at Point-of-Sale terminals. We give all members 10 free pin-based transactions per month. After 10 transactions, the cost is passed on to our members. To avoid this type of fee, use Freedom Credit Union ATM's. In addition, when making purchases with your Debit card, select Credit instead of Debit. This will often prompt you to sign for a transaction rather than inputting your PIN. Processing your transactions in this manner will not count towards your 10 free transactions and will help you avoid fees. In addition, processing your transaction as Credit rather than Debit will offer you additional protections through Visa®. Please note, regardless of your selection of Credit or Debit, funds will still come out of your savings or checking account at the Credit Union.



As always, if you have any questions regarding your account, please do not hesitate to reach out to us. As your member-owned financial cooperative, we strive to keep all expenses low so that we may keep the fees we charge to members low as well.

Buy Now, Pay Later: The Cost of Convenience

“Buy Now, Pay Later" (BNPL) services have become increasingly popular, offering a tempting alternative to credit cards. A 2022 report from the Consumer Financial Protection Bureau found that from 2019 to 2021, the number of BNPL loans originated in the U.S. by the five lenders it surveyed grew from 16.8 million to 180 million, highlighting how appealing these services are to consumers. 

The Allure of BNPL

Services like Affirm, Afterpay, and Klarna allow you to buy what you want now and pay for it over time; no need to wait for your next paycheck or save up for months. Add to that an interest-free option and this feels like a no-brainer, especially when budgets are tight. With BNPL, you can spread that $200 coffee table over four payments of $50, making it easier to fit into your monthly budget. It’s convenient, quick, and feels like a smart financial move, but it’s important to understand the fine print.

The Hidden Costs

• Falling Behind on Payments: According to LendingTree, nearly half of BNPL users (47%) have paid late on one of these loans at some point, up from 40% in 2023. When this happens, you can be hit with late fees, which can quickly add up and make the total cost of your purchase higher than expected.
• Impact on Credit Score: Some BNPL providers report your payment history to credit bureaus, which means missed payments could hurt your credit. (On the flip side, regular on-time payments may not necessarily help your credit score, as not all BNPL services report positive payment history.)
• Risk of Overdrawing Funds: When you sign up for a BNPL service, you often have to give them access to your checking account for automatic payments. If you forget about a payment or spend more than you expected, the BNPL provider can still withdraw funds from your account. This could lead to an overdrawn account, resulting in additional overdraft fees from your bank or credit union.
• Debt Accumulation: Because BNPL makes it so easy to purchase now and pay later, it can encourage overspending. You might be more likely to buy things you don’t really need, simply because the payments feel manageable. This can lead to debt accumulation, making it harder to reach your financial goals.

Finding Balance

How can you enjoy the convenience of BNPL without falling into financial traps? The key is to use these services wisely. Treat BNPL like any other form of credit. Ask yourself if you can afford the payments without stretching your budget. Avoid using BNPL for impulse purchases, and always read the fine print to understand any potential fees or penalties.

If you find yourself struggling with BNPL payments, don’t hesitate to reach out for support. Ask your financial institution what resources they can provide when it comes to helping manage your payments. You can also connect with our trusted nonprofit partner GreenPath Financial Wellness. Their certified financial experts can help you stay aligned with your budget and financial goals. 

In the Community

Security and Fraud Awareness

Imposter Scams

Imposter scams are a type of fraud in which a scammer pretends to be someone that you know or trust. They trick you into sending them money. Scammers may impersonate a family member, a friend, a government employee, or even an employee from your Credit Union. They make false claims and ask that you take specific action to resolve an urgent issue. The scammers are successful when you share confidential information or comply with their payment requests.

Protect yourself and your financial assets by staying alert. Watch out for these red flags so that you do not become victim to an imposter scam.

• Phone calls from friends or family that are of an urgent nature
• Claims of winning a sweepstakes
• Threats of penalties, fines or even arrest
• Emails or text messages containing links
• Calls from company representatives claiming to be "Fraud Representatives" of that company

Educate yourself and your loved ones with these Resources below.

Freedom Credit Union's Financial Fraud & Identity Theft

Freedom Credit Union's Financial Fraud Blog

Fraud Resource Center

Consumer Assistance Center

Rates

Click HERE to review our most current Share and Loan rates.

CD & IRA RATES

DEPOSIT RATES

LOAN RATES

Board of Directors

Dr. Christopher McGinley, Chairman

George Madden, Vice Chairman

Charles M. Whiting, Secretary

Matthew Lentz, Treasurer

Wade Birchfield, Member

Vincent W. Rutland, Member

Marie E. Sejda, Member

Steven J. Turco, Member

President/CEO

John F. King

Credit Committee

John F. King, Chairman

Rick MacLeod, Secretary

Karin Colon, Member

*APY = Annual Percentage Yield. A minimum deposit of $500 ($250 for Youth CD - 25 or younger) is required to open a CD. Rates are accurate since 09/19/24. Dividends are calculated by the actual daily balance method which applies a daily periodic rate to the balance in the CD each day. The Dividend Rate and APY at time of purchase are fixed and will be in effect for the term of the CD. Fees may reduce earnings. Terms and rates are subject to change without notice. For rates and fees, see our Rate and Fee Schedule. Regulations prohibit payment in excess of available earnings. Penalty required for early withdrawal.

**APY = Annual Percentage Yield. Dividends on IRA, Savings, Club, and Checking Accounts are computed monthly on average daily balances of $5 or more and posted monthly. The Money Market Account Tier 2 has a variable rate which will be greater than our regular savings rate, and subject to daily adjustments. Dividends will be paid monthly on the average daily balance, based upon the current tier level rate. Fees may reduce earnings. Regulations prohibit payment in excess of available earnings. The rate listed is accurate as of the last dividend declaration date. Rates subject to change without notice and may change after account is opened.



***APR = Annual Percentage Rate. See additional disclosures below for each loan type listed.

VISA®: Rates accurate as of 4/24/24. The total maximum unsecured debt per member is $30,000. Terms and rates are subject to change without notice. For Credit Cards, an eligible co-borrower will be required unless the Cardholder has independent means of repaying any credit extended. The interest rate that you receive will be based on your credit history.

Auto: Terms up to 84 months. Loan amount must be $5,000 or greater. You must meet employment and/or income requirements to qualify for a loan. The interest rate you receive will be based on your credit history, loan term, and age of the vehicle. APR will not be less than 4.74% or greater than 18%. For example, a loan amount of $20,000 at 4.74% APR for 60 months would be a monthly payment of $375.75. Satisfactory vehicle insurance required. Your actual loan amount will be limited based on the value of the specific vehicle that you are financing. Only passenger vehicles are eligible, no recreational vehicles. Existing Freedom loans are not eligible for refinancing. Credit Union membership eligibility requirements apply. Loan term cannot be less than 6 months or greater than 84 months. Rates are subject to change without notice.

Home Equity: Annual Percentage Rate (APR) applies to Loan-to-Value (LTV) less than or equal to 80%. APR will not be less than 4.75% or greater than 8.00%. The interest rate you receive will be based on your credit history. Hazard Insurance is required. For loans over $150,000, Title Insurance is required. Loan subject to final approval. Terms and rates subject to change without notice and apply to loans in the 2nd lien position. Rates effective as of 05/07/24.

Personal: Rates and terms are subject to change and may vary based on creditworthiness and qualifications. All loans subject to approval.

FreedomCU.org | 215.612.5900

Federally Insured by NCUA | Equal Housing Opportunity