Our low-interest Share Secured loan is designed to help you establish or rebuild credit by borrowing against an amount in your savings with an established repayment plan.
Features and benefits
When to use this loan
- A young member is getting started in their adult life and needs to establish installment debt on their credit history. Job time often prevents a financial institution from considering unsecured credit, so we offer a Share Secured Loan to develop credit history and a lending relationship with the credit union.
- A member applies for a Share Secured Visa. After a review of the application, the loan officer determines the member would also benefit from new installment debt on their credit history. A Share Secured Loan can be offered with no additional financial investment from the member.
- Parents are seeking a loan to purchase a vehicle for their child. If the request doesn’t fit our lending guidelines for an auto loan or unsecured lending, but the parents have offsetting funds in their savings, a Share Secured Loan can be offered using the funds in the parents’ account to establish a contractual obligation for repayment and help the child build credit.
- A Member plans to make a large cash purchase but would like to guarantee they’ll pay back their savings over time and isn’t interested in a high-interest unsecured loan. A Share Secured Loan can be used as a way to structure future savings growth so they can achieve this goal.