THEC MPASS

A quarterly newsletter to point our members in the right direction: Inform, Educate, and Promote NorthPark’s �nancial services

to improve the quality of our members’ lives.

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APRIL 2016 EDITION

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Pay Your Loan Online

Apply for a NorthPark Visa and we'll refund your next online payment. Let us see how much we can save you on your credit card payments!

They Grow Up So Fast

Talk to Jeremy Fagain, NorthPark’s Financial Advisor, about a 529 College Savings Plan. Did you know? With the Indiana plan you get a 20% state tax credit (max $5,000 contribution).

Get our 30-day loan for only $3 per $100 borrowed. It’s simple, fast and there’s no credit check!

Running Out Stinks

Pay Your Loan Online

Apply for a NorthPark Visa and we'll refund your next online payment. Let us see how much we can save you on your credit card payments!

Get The Rate You Want

Get the CD of your choice now (must be greater than 36 months). When rates rise you can bump up your rate 1x during the CD term!

We’ve been polling our members to see how we’re doing. So far this year, 72% of our members are promoting NorthPark and would recommend us to friends and family.

Survey Says...

Due to increased electronic services and low Saturday transaction volume, we will be closed on Saturdays e�ective April 16.

Lebanon lobby will remain open till 6pm on Fridays. Zionsville will close at 5pm.

New Hours

You may have heard the controversy a few years back with Wal-Mart trying to make it impossible to choose pen (so you sign) instead of using your pin (your 4-digit debit card #). What's it all about?

If you use a pen the merchant pays the fee, if you use your 4-digit pin your financial institution pays. Not only that, but if you use a pen your purchase is covered by Visa. Use your 4-digit pin and you could be stuck. And lastly, using a pen keeps costs down for you and NorthPark.

When using your debit card, swipe and sign!

Pen Or Pin? Does It Matter?

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Think About This Before You Put It On House MoneyCNN.com

During the housing bust, many homeowners were cut off from a popular source of funds: their homes. But as home prices recover, more people have been able to tap their home's equity to pay for renovations, consolidate debts or help pay for other big ticket items.

Home equity lines of credit were up 27% in 2014, according to financial services company Experian and consulting firm Oliver Wyman. And more people are expected to follow suit. But does that mean a home equity loan or home equity line of credit (HELOC) is right for you? Here are five things you need to consider.

1. RatesIn recent years, mortgage rates have hovered near historic lows -- with nearly 9 million borrowers getting 30-year fixed mortgages at or below 4%, according to CoreLogic. Before rates rise, now is a perfect time to borrow against your home. Lock in a low rate!

2. CostsThe price you'll pay upfront to get a home equity loan or HELOC is far cheaper than refinancing. That's because many lenders make you go through the full underwriting process when you refinance -- and they charge all the fees that go along with that process, too.

3. TimeWhen you take out a home equity loan or HELOC, you keep making your payments on the same payment schedule. When you refinance a loan, however, the clock resets.

4. PurposeThe best reason to take out a home equity loan is when it has some positive impact on your finances. Using it to pay for a renovation that adds value to your property, for example, or to pay for an advanced degree that can increase your earning power.Of course, there are times when borrowing against your home doesn't make sense. It can be foolish to tap your home's equity for nonessential spending, for example. Using home equity to buy a Mercedes, pay for a luxury vacation or make some other discretionary purchase can be a foolish move. The money will be gone and you will be paying off the debt for years to come. Drain-ing your home of equity can also put you on the road to foreclosure. Run into unexpected expenses and there's one less source of funds to tap.

5.Tax Bene�tsJust like first mortgages, certain home equity loans and HELOCs are eligible for the home mortgage interest deduction. Talk to your tax advisor or accountant for more information.

Branch LocationsZionsville (Drive-Up)5965 West Technology Center DriveIndianapolis, IN 46278

Visit our website for our updated fee schedule e�ective May 1, 2016. A paper copy is available upon request.

Your credit score affects almost every part of your financial life, from employment to insurance rates to whether or not you qualify for that mortgage. At its most basic, a credit score is a measure of how big a risk you are, as a consumer. The higher your score, presumably, the more likely you are to pay your debts back—the lower your score, the more likely you are to default.

So what information is being used to come up with that number? Here’s the breakdown of a FICO score, which is the credit score most widely used by financial institutions to make credit decisions:

Payment History: 35%By far, the biggest chunk of your score is based on whether you pay your bills on time. The later you are on bills, the bigger the ding to your score. Do you have an account that’s gone to collections? No good.

Amounts Owed: 30%There are many things that go into this part of your score, but one of the most important is how much credit you’re using compared to how much credit you have overall, or your credit utilization.

Length of Credit History: 15%Typically, the longer your credit history, the higher your score. Some people make the mistake of cutting up (and canceling) old cards they aren’t using anymore, and that can impact your score since it shortens your credit history and lowers the average age of your accounts.

Credit Mix: 10%Managing more than one kind of debt will likely help your score, since it shows that you can handle different accounts responsibly. For instance, a mix of credit cards and installment loans that you’re paying on time will generally leave you in good standing. On the flip side, having no credit cards will affect your score negatively, since there’s no proof of how well you can manage them.

New Credit: 10%Ironically enough, although creditors like to see you using credit responsibly, opening a new account can pull down your score temporarily. And opening multiple accounts in a short time frame will take it even lower, since that suggests that you need money in a hurry.

There’s a difference between opening a new account and having a lender do a credit inquiry—as might happen when you’re applying for a car loan or mortgage. If you apply with multiple car or mortgage lenders in quick succession, those inquiries are generally treated as one inquiry overall. And although one inquiry or new credit application might drop your score temporarily, it shouldn’t drop significantly.

What Goes Into A Credit Score?

Lebanon (Drive-Up)450 S. Lebanon StreetLebanon, IN 46052

DAS (Walk-Up, Limited Site Access)9330 Zionsville RoadIndianapolis, IN 46268