Based on the California Usury Laws, there are no minimum or maximum interest rates on personal (also called consumer) loans. However, when considering personal loans in this state, the State Constitution allows parties to contract for interest on a loan primarily for personal, family or household purposes at a rate not exceeding 10% per year.* Additionally, the National Credit Union Administration has an interest rate ceiling of 18% on consumer loans. Time payment contracts (for example: retail installment contracts and revolving accounts) are not generally regarded as loans. The usury laws normally do not apply to them. There are no limits on finance charges for the purchase of personal, family and household goods or services at this time. Some banks take the position that the charge for third party credit cards (Visa,® MasterCard,® American Express,® etc.) are not subject to these limitations. Since there are exceptions and the penalties for violating usury laws are severe, individuals making loans for which there are interest charges should contact an attorney for further guidance. Thanks, Michael D. Lee Member Education Manager Golden 1 Credit Union (916)732-2906 *Information collected is from the Office of the Attorney General for the State of California. More details can be found at www.ag.ca.gov   [less]

A secured credit card is a great way to start building credit. The money in your savings account is placed on hold as collateral. This convenient card is a low-cost way to build or re-establish your credit history. In fact, some credit unions allow you to earn dividends on these funds used as collateral in your savings account. You can often get started with a secured credit card line of credit for as little as $250.  [less]

A term-share certificate account is a deposit account that allows a credit union member to lock in an interest rate for a specific time period, generally from as little as three months to as long as five years. Many term-savings accounts have a minimum deposit, typically $1,000 or more. The account is federally insured up to $100,000 by the NCUA.  [less]

By refinancing into a fixed-rate mortgage you will know the exact payment amount for the life of the mortgage. Therefore, you can budget for your payment each month with confidence that it will not change. Also, you may be able to lock in a relatively-low interest rate that will not be subject to rate adjustments in the future.  [less]

Banks are financial institutions owned by shareholders. A bank's customers are not owners of the bank (unless a bank customer also owns stock in the bank). The stock could be publicly traded on the stock market or non-publicly traded privately held stock. Any bank profits after expenses, capital and other requirements could potentially be paid out as dividends only to shareholders. Banks are federally insured by the Federal Deposit Insurance Corporation (FDIC). Credit unions are owned by their customers, also known as members. Every dollar on deposit at a credit union is called a share. These shares or dollars belong to the members, and grant them ownership in the credit union. Interest paid on these shares is called dividends. Credit unions are federally insured by the National Credit Union Administration (NCUA).   [less]