Rated 5 out of
PATRIOTS FAN # 21 from
A positive way to build credit scoresThank you for having this available. I took out two small, one year credit builder loans in the last two years. When I applied for the first credit builder loan, I had a "ZERO" score. I had paid for everything with cash. Now in two short years, I have built a somewhat decent credit score.I was approved for an unsecured credit card in July and another just on Friday. Thank you to all of the DCU Staff.
Date published: 2015-11-09
Rated 5 out of
best financial experience to dateI have gotten the best financial experience ever. Am so grateful to dcu for making this experience a reality
Date published: 2014-10-19
Rated 5 out of
almost paid offI received the loan to pay off my High Rate credit cards. The payment plan was manageable, and the skip payment worked great for Christmas, and I'll have it payed off Soon.....
Date published: 2011-05-23
Rated 4 out of
Very HelpfulGreat way to build your credit and great customer service.
Date published: 2017-05-03
Rated 1 out of
Needs ClarificationBetter clarification is needed, as this is the same loan product as the savings secured loan. While reviewing my options the secured loan states there is a “pledge” while the credit builder does not. The credit builder loan implies that DCU will provide a loan in the amount you requested, not to exceed the 3k, and will deposit and hold these funds in a savings account. Once the loan has been paid in full the funds would be released for the member to use. The only difference between the loan products are the terms, rates, and amounts requested. In my opinion, the consumer is much better off with the secured loan as you will have a much lower interest rate.
This is off the DCU website.
Credit Builder Loan Overview
The Credit Builder Loan is specifically designed to help you build or rebuild your credit history as you build up to $3,000 in savings plus dividends. Here's how it works...
• The amount you borrow is deposited into a DCU savings account that you cannot touch until the loan is repaid.
Savings-Secured Loan Details
• Preserve your hard-earned savings – It can take a long time to build up your savings and a short time to spend it. With Savings-Secured Loans, you can use your savings as collateral, borrow at economical rates, and keep your savings intact. While pledged as collateral, your savings continues to earn competitive dividends.
• Borrow against your DCU Savings Account balance – Rates on loans secured by a DCU Savings Account are a flat rate. Borrow as little as $200 and borrow for as long as 10 years.
Are you borrowing against your own money in your savings account or are you given an actual loan?
I am confused. When reading everything over it sounds like the money in the savings account is the collateral for the loan. Is the money given to you as a loan or do YOU have to put up the money in your savings as collateral and then borrow an additional amount that builds your credit?
Asked by: Stephanie
With the credit builder loan they provide the money to you but you cannot use it, it will be held in a savings acct until pd off then you get the money, on a savings secured loan you have your money in savings and use that as the security for the loan so the rates are better.
Answered by: Mommy2-3withd
Date published: 2017-07-29
Is it possible to get the credit builder loan if you do not have any established credit?
Say if you are 18 and have absolutely no credit.
Asked by: arianar
I'm sure u can. But call DCU. They r very helpful. Be wise. Use self control w/ credit cards. Learn from me. Don't go out and max them out. Try to pay off each month. When I was in early 20's, I was foolish. Ruined my credit. Now in mid 50's, I have a somewhat decent score. Getting it by starting with opening a DCU account & credit builder loan with direct deposit from my paycheck and autopay from savings to the loan. When I joined I had a zero score. I had paid everything with cash. Not a way to establish credit. Best Wishes.
Answered by: PATRIOTS FAN # 21
Date published: 2016-01-09
Can my son have a credit builder loan using my home as equity
My son needs about $1000. for expenses at college. I would like him to have a loan in his name to build credit. Can he use my home equity to loan against to get a lower rate
Asked by: Geo
If you wish to apply for a Home Equity Loan against your home for the $1,000 needed and list your son as a co-borrower to assist him in building credit, that option is available. Please give us a call at 800/328-8797 option 3 to proceed with applying.
Answered by: DCU Staff
Date published: 2013-10-23
Can the credit builder loan be paid off early?
If I needed the loan paid off before 12 months, is that possible?
Also, If I signed up for a 24 month term, could I pay it early in like 15 months if I wanted?
Asked by: Kate
You should be able to pay it off early, but be aware that they pull two hard inquiries on your Equifax credit report. One for opening your savings account and another for applying for the loan even if it is secured.
Answered by: TRW
Date published: 2016-03-03
If I have a credit score in the upper 400's, would I be approve of this offer, since it's purpose is to build my credit?
Asked by: Shaker
You will need to apply in order for a Loan Officer to review your request and determine your eligibility.