The Built for Better Banking Newsletter - May 2023

Union State Bank News & Events

Finance Forum:

HELOC vs.

Home Equity Loan

When homeowners need access to funds, home equity is a valuable financial resource. Two popular options for leveraging home equity are a Home Equity Line of Credit (HELOC) and a Home Equity Loan. While both options tap into the equity built in a property, they differ significantly in structure, repayment terms, and potential benefits for borrowers.

The choice between a HELOC and a home equity loan depends on the borrower's specific circumstances. To provide insight into the matter, Kandis Gray, Union State Bank’s Director of Mortgage Processing and Servicing, has weighed in on the pros and cons of each option.

Be Aware of

Unaffiliated

Direct Mail

Be aware of direct mailings from companies unaffiliated with Union State Bank being received by some of our customers that mention our bank by name. Any personal information printed in these letters was obtained through publicly sourced outlets and not provided by Union State Bank.

At this time Union State Bank has not verified the legitimacy of the unaffiliated companies and are not claiming the letters are fraudulent or related to any ongoing scams. However, we want to alert you of this situation and provide you with the necessary information to make an informed decision should you choose to do business with one of these companies.

Treasury Management, A Modern Day Adventure?

Treasury management, what is it? The term ‘treasury management’ may bring images to mind of a pirate captain burying their chest. While treasury management may not be as exciting as a swashbuckling adventure, it may be just as profitable.

Modern treasury management solutions are essential for businesses of all sizes to manage their finances efficiently. These products are offered by financial institutions to help businesses streamline their cash management processes and improve their financial operations. Union State Bank has a wide variety of treasury management products and services that can be combined to create a unique offering for a business, regardless of size.

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Online Security Tip: Money Mule Scams

Here’s how they work:

Money mule scams typically begin when a criminal reaches out to a potential victim through various channels such as job offers, sweepstakes winnings, or even through online relationships. They may present themselves as legitimate businesses or individuals in need of financial assistance.

The scammers convince the victim to receive funds, often by sending them a check or transferring money to their bank account. The victim is instructed to send a portion or the entirety of those funds to a third party, usually using wire transfers or gift cards.

Scammers may utilize counterfeit checks or fraudulent funds to deceive victims. Initially, the deposited funds may appear to clear in the victim's account. Unfortunately, once the bank identifies the fraudulent nature of the funds, the victim becomes responsible for repaying the bank. Additionally, victims who engage in the transfer of stolen money, even unknowingly, risk being implicated in money laundering or other criminal offenses.

Here’s what you can do:

Exercise caution when receiving unexpected job offers, sweepstakes notifications, or requests for money transfers from individuals or organizations you are unfamiliar with.
If you receive a request to transfer funds, independently verify the legitimacy of the sender and the transaction.
If you encounter a potential money mule scam or believe you have been targeted, promptly report the incident to your local law enforcement agency and financial institution.

For additional information about online scams and cybercrime visit our website: https://www.myunionstate.bank/services/mobile-and-online-banking/online-security-tips