Author: Compass Community Credit Union

Are you having to make sure you’re at work every payday to get your paycheck? Do you race to the credit union and spend your lunch hour depositing it into your account? Then you should definitely consider getting Direct Deposit.

Never miss getting your paycheck on payday again

August 5, 2019May 2, 2020

Simply put, Direct Deposit makes sure you receive your paycheck every payday, even if you’re not physically at work. It doesn’t matter if it’s because of bad weather, an emergency, you’re out sick, taking a vacation, or you’re working from home; with Direct Deposit your paycheck is automatically deposited into your account on payday — no matter what! Plus, with Direct Deposit, there’s no risk of ever losing a paycheck.

Another advantage of Direct Deposit? You can start using your funds right away. You’ll have your money payday morning, regardless of the time your employer normally hands out the paper paychecks.

With Direct Deposit you can also split up your paycheck between different accounts. For instance, you could divide your check between your checking account, savings account, and retirement fund which could help you improve your ability to save money. That is what we in the banking business call the “pay yourself first” financial strategy. It helps you avoid the temptation to spend money that you’ve originally planned on setting aside.

Finally, Direct Deposit is more environmentally friendly than paper checks and it offers better protection from identity theft, which can be a risk if your paycheck is lost or stolen.

So, stop waiting around for your paycheck every payday and ask your employer if they offer Direct Deposit. Then you can spend your lunch hour actually eating lunch instead of racing to the credit union.

Poor or no credit? Here’s a way to fix it that you probably never thought of.

June 17, 2019May 2, 2020

If you have poor or no credit, don’t feel bad. Because you’re not alone. According to Experian, a credit reporting agency, 68 million people in the US are in the same boat.

The good news is that since you’re a Compass Community Credit Union member, you already have an easy way to start building or rebuilding your credit score. It’s your Compass Savings account.

Simply take out a loan against the balance you have in your savings account. Make payments on the loan on time. And your credit score will start to reflect that in a positive way. Plus, you can use the money from the loan to help pay down any high interest credit card debt or catch up on other bills that you may not be paying on time.

But while taking out a loan against your Compass Savings Account is a really easy way to start improving your credit, it’s not the only step you can take. Here are a few other tips we recommend you try:

• Pay all your bills on time — including your utility and cell phone bills
• Pay off debt and keep balances low on credit cards
• Don’t close unused credit cards unless they charge you annual fees

Remember, having a good credit score can help you qualify for better interest rates and terms when borrowing money, buying a car, or applying for a mortgage. It’s also used by landlords when you apply to rent. And it might even influence your smartphone lease and your life or car insurance rates.

If you’d like to learn more about taking out a loan against your Compass Savings Account, stop by your local branch. A Compass representative will be happy to tell you more.

Waiting for sales isn’t the only way to save on big purchases.

June 3, 2019May 2, 2020

When it’s time to make a big purchase like a new TV, computer, furniture, appliances, or yard equipment, most people wait for a sale to buy them.

And that’s a great way to save money. But then they’ll put their purchase on a credit card and make monthly payments. Or even worse, they’ll take out a loan.

So why is that so bad? Because what you probably don’t realize is that by paying for your purchase with monthly payments with a credit card or loan, the interest you pay will completely eliminate any of the savings you got from the sale. Or worse, make you end up paying even more.

To avoid making this costly mistake, try planning ahead when you want to make any big purchase. And start putting extra money aside every month until you have enough to pay for the item in cash.

You can earn interest on it by putting that extra money in your Compass CCU savings account. Plus, making direct deposits from your paycheck will make it even easier to save. Once you have the amount you need to make that purchase, then it’s time to start looking for the sales. It’s the best way to ensure that you’ll never pay more than the sales price for anything.

Of course, if it’s an absolute emergency to make a purchase before you save up enough money to pay cash, you can put it on a credit card or ask us for a personal loan. Just make sure you pay it off right away or at least make more than the minimum payment every month. That way, you’ll save on some of those extra interest payments.