Succeed with your finances! If you have no credit or “less-than-perfect” credit, our Credit Builder Loan is just right for you! Credit builder loans are small loans, made by Monmouth Federal Credit Union, designed to help credit union members establish or boost a credit profile. Learn what your credit score should be.
What does our Credit Builder Loan do?
- Build or rebuilds your credit rating with the credit bureaus
- Helps you build savings while you borrow
- Offers short terms to help build credit quickly
- Gives you a low fixed rate for building credit
How does our Credit Builder Loan work?
- the amount you borrow is deposited into a Monmouth FCU share savings account that you cannot touch until the loan is repaid.
- You make regular payments on the loan.
- As you repay on time, you establish a positive payment history that we report to the credit bureaus.*
- Based on those reports, your credit history and credit score improves over time.
- A higher credit score translates into better rates on future loans. It can also have a positive impact obtaining insurance and certain jobs that consider credit history.
- When you finish repaying the loan, you’ll have the full balance in the Monmouth FCU Savings Account, including dividends, to use as you please – for a down payment, education, home improvements, anything.
Credit Builder Loan Features
- Loan amounts from $500 to $3,000
- Terms from 12 to 24 Months
- Loan funds in the Monmouth FCU Share Savings account earn dividends at the published dividend rate for this account
- Loan interest rate is fixed at 8.35% Annual Percentage Rate (APR)
Example loan payment schedule – A $1,000 Credit Builder Loan with an APR of 8.35% for 12 months has an approximate monthly payment of $87.16.
Apply for our Credit Builder Loan
Don’t wait any longer to start rebuilding your credit in 2016! Our Credit Builder Loan will help you get there!
Call Charlene in Monmouth at (207) 933-2667 or Sarah in Greene at (207) 946-2463