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August 15, 2024

What is Estate Planning? 

Estate Planning is simply the process of making it clearly known how you want your estate to be handled after you pass or if you’re incapacitated and unable to handle things on your own. The most common Estate Planning definition is — "the process of making plans for the management and transfer of your estate after your death, using a Will, Trust, insurance policies and/or other devices." Estate Planning has been around for many years, but it’s becoming increasingly more and more common.

When you become a member of SRP Federal Credit Union in Augusta, you can gain access to our estate plan program with Trust & Will. We have teamed up with Trust & Will to provide members with an easy and affordable way to create an estate plan online. Trust & Will is the leader in online estate planning and has helped over half a million families secure their legacies. Together, we're on a mission to help families protect their legacy and give their families peace of mind.

There are many parts of Estate Planning, but the first thing you must do is conduct a comprehensive review of your estate assets. Your estate is made up of all the property you own, including cars, jewelry, houses, investments, land, and more.

Who Needs an Estate Plan? 

Short answer: Everyone. It’s easy to try and convince ourselves that we don’t need an Estate Plan. But the reality is, we would all be better off if we were planning a little more for our future. You don’t need to be wealthy, or elderly or even have a specific amount in your bank account to justify the need for a valid Estate Plan. If you are over the age of 18, you should start thinking about creating a plan.

Even if you don’t have a lot of assets, your Estate Plan is a guarantee that everyone will know what your wishes are. Health directives and long-term healthcare wishes are perfect examples of this – if you were ever to become incapacitated and couldn’t make your wishes known, your Estate Plan will speak for you, so your loved ones don’t have to make unthinkable decisions or wonder what you would want.

What is the Difference Between a Will and a Trust? 

A Will lets you nominate guardians for kids and pets, designate where assets go, and specify final arrangements. A Trust can provide greater control over when and how your assets are distributed. Trusts are often used to minimize or avoid probate entirely. (Probate is a legal process to distribute a deceased person's estate; most people prefer to avoid it because of the cost and time required.)

While Wills and Trusts do have a lot of overlap, there are also several differences between the two. Ultimately, both are ways to say who will receive your assets. They just do it in different ways, and each has its own advantages and disadvantages.

One big difference between the two is in how and when they take effect. Wills don’t go into effect until you pass away, whereas a Trust is effective immediately upon signing and funding it.

It may be easier to think of a Will as a “simple” document. Wills allow you to:

• Name guardians for kids and pets
• Designate where your assets go
• Specify final arrangements

To support your estate planning needs, SRP Federal Credit Union has teamed up with Trust & Will to bring you an easy, affordable, and secure way to create an estate plan. Trust & Will, the leading online estate planning platform, has helped over half a million families in securing their legacies. As a valued member, you are eligible to receive a 20% discount on any estate plan with Trust & Will.

To learn more about the Trust & Will program, visit our website today.

This article is for informational purposes only. Membership required. Digital estate planning services are offered through Trust & Will. Trust & Will is not affiliated with SRP Federal Credit Union and may pay referral fees to SRP Federal Credit Union. Estate planning products are not insured by the NCUA or any Federal Government agency; are not a deposit of or guaranteed by SRP Federal Credit Union or any affiliate; and may lose value. SRP Federal Credit Union is not responsible for the service and does not endorse and/or guarantee legal services provided by any individual or firm. Trust & Will is offering 20% off the initial purchase of an estate plan. No promo code required; the discount is automatically applied at checkout to the initial purchase of a Will or Trust-based estate plan. Subsequent upgrades aren’t eligible for discount. Offers are subject to change and may have restrictions. Contact Trust & Will directly for complete information. SRP is federally insured by NCUA.

Article Credit: Trust & Will

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August 1, 2024

When you go to college, you’ll find freedom that you didn’t have before, such as living on your own. With that freedom comes the need to balance studying, class, extracurricular activities, work, finances, housework, and more.

Learning how to plan for college expenses can give you a leg up over others in your situation. With SRP Federal Credit Union’s Elements of Money program, we can help you answer questions about college expenses and off-campus living before you embark on that adventure.

Here’s how to make the transition to apartment living as smooth as possible:

1. Choose roommates carefully.
   Constant parties can make for a distracting and unhealthy living environment, along with the potential for property damage or expensive tickets. If you live with roommates, be upfront in discussing schedules, chores, party habits, bills, and house rules to set an open tone for the living situation and avoid potential conflict.

2. Find affordable rent.
   Search sites like Rent.com, Apartments.com, and ForRent.com, and check campus housing resources for recommended apartments or realty companies.

3. Review the lease carefully before signing.
   To avoid a lease that isn’t forgiving, or getting hit with hidden fees, read it carefully and in its entirety. Pay attention to parking and pet policies, lease termination policy, trash removal, maintenance services, and monthly fees.

4. Follow a move-in inspection checklist.
   If anything is damaged or missing upon move-in, write it down and photograph so you do not get charged for damages when you move out.

5. Furnish for free.
   Acquire furniture from the previous tenants or take advantage of thrift store finds. The best time to scavenge is right after finals, particularly spring, or right before fall move-in. Using Craigslist and Facebook Marketplace are also great ways to find free or very cheap furniture. Use your best judgment when it comes to safety. If possible, take a parent or friend with you when visiting a seller’s home, and for the sale of smaller items, meet in a public place.

6. Pay rent and bills on time.
   Late bills accumulate fees, ding your credit, and damage your relationship with your landlord. Set up auto-payments if possible or write due dates on the calendar. If you are collecting money from roommates to pay bills, start doing so at least a week before the due date to ensure the bill is paid on time.

7. Get renters insurance.
   It’s a nominal cost and could save you thousands in the event of a fire, flood, theft, or other unexpected event.

8. Learn to grocery shop and cook.
   The average college student spends more than $800 a year eating out. Keep a well-stocked pantry and freezer to stretch your grocery budget, and a solid base to incorporate fresh produce as often as possible. Meal planning and meal prep is a good way to get the most out of ingredients, money and time.
   
   If you need help budgeting and managing your personal finances, SRP’s Financial Counselors are here to help. Our counselors have extensive training and are certified to extend financial counseling services. They can assist you by helping you understand financial principles, create financial goals and strategies to achieve them, and so much more. Through our in-person, individual assistance, they will help you chart a path to achieving financial wellness through financial counseling and education.

9. Maintain a cleaning schedule.
   Your workload will be busy, but you should make sure you find time to maintain tidiness. You are responsible for keeping your place clean, and it can seem daunting since there is more to clean in an apartment or rental house than a dorm. You don’t need to vacuum every day. Make a list of what needs to be cleaned regularly over what could be cleaned on a weekly or monthly basis. Make sure you include things like wiping down countertops, taking out garbage, and cleaning out the fridge. Whether you live alone or have a roommate, create a cleaning routine, and stick to it!

10. Have fun!
    Make friends, have fun, and enjoy your new place. By establishing a budget, practicing good spending habits, and avoiding debt, your transition to off-campus living can be smooth and worry free.

If you need any help with your finances while transition to your off campus living, SRP Federal Credit Union is by your side. Don’t hesitate to get in touch with us by calling or visiting one of our locations.

This article is for informational purposes only. Membership required. SRP is federally insured by NCUA.

Article Credits: CUNA

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July 1, 2024

Few of us can imagine going a day without using our cellphones. For many people, it’s become their preferred method of communicating and doing business. Scammers take advantage of our reliance on cellphones and use them to trick us into giving them our personal information. It’s important to be aware of the kinds of scams they use.

One common scam is phishing. Thieves “phish” by sending emails or text messages claiming to be from authentic organizations, like credit unions, to get you to reveal your private information.

These phishing scams can come in two forms: vishing or smishing attacks. Both aim to trick people into revealing their Social Security numbers, credit union account numbers, personal identification numbers (PINs), passwords, etc. Usually, the messages use scare-tactics to make you panic and act quickly. For example, they will say your account will be terminated unless you act immediately.

The term “vishing” comes from “voice” plus “phishing” This involves the fraudster claiming to be from a company or financial institution, calling you and requiring that you provide or confirm personal information. For example, they might send a recording informing you that your credit card has been used illegally. You are asked to call an 800 number and confirm account details. The consumer's answers are saved and later used to commit identity theft.

The term “smishing” comes from “SMS” plus “phishing” (SMS stands for “short message service,” or text messaging). In smishing, the thief attempts to get your information by sending a text message instead of calling.

A common smishing ploy goes like this: You receive a text message, seemingly from your credit union, stating that your account has been closed. To reactivate it, you're told to click on a link they provide. When you do, you're asked to enter your account number and PIN. The link may also install malware to your phone.

It’s important that you never click on the links or call phone numbers listed in messages from unexpected or unfamiliar sources. The best protection against either vishing or smishing comes down to a simple strategy: Don't respond.

If it's a vishing scam, refuse to answer questions and hang up. If it's a smishing attack, don't do what the text message instructs you to do. If the scammer claims to be from SRP Federal Credit Union, call us immediately to let us know. Then block the number on your phone.

Remember, SRP Federal Credit Union will never ask you for personal information over the phone or by e-mail. We already have this information. If you’re unsure if the message is legitimately from us, simply call us directly at (803) 278-4851 to ask.

This article is for informational purposes only. Membership required. SRP is federally insured by NCUA.

Article Credits: CUNA

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June 14, 2024

In your household, does one person handle all the finances? Who pays all the bills, files the joint taxes, deals with insurance matters, and knows where all the important papers are saved?

What happens if that person becomes ill and can’t take care of these tasks?

At SRP Federal Credit Union, our members come first. We understand the importance of keeping everyone in the family informed of finances. Here are a few steps to help get all the adults in the family up to speed and involved:

Step 1: Have a family budget meeting

Sit down with your spouse, partner, or adult children and talk about spending habits and savings. Go over your combined incomes and total expenses, including the amount spent on groceries, mortgage, insurances, entertainment, kids, etc. Review all your debts together, including credit cards, medical bills, and student loans. This will help you understand where you currently stand financially as a family. If you or your spouse have a written budget in place, make sure both of you agree with and follow it. If there isn’t a budget in place, this is an excellent opportunity to create one together.

Step 2: Review your retirement accounts

This is your financial future, too; it’s important that you know how much you both are contributing to your retirement accounts and what the current balances are. You should know where your accounts are held and how to access them. Make sure everyone knows where important financial documents are kept, physically or digitally.

You should visit your financial planning advisor at SRP so they can go over and explain your current accounts. It’s also a great time to review the beneficiaries on your accounts.

Step 3: Understand you insurance coverages

Know what is covered by all your insurance plans, including life, health, home, and auto. Make sure you know who to contact to file a claim and what your deductibles and co-pays are for each policy.

Tips for Staying Involved:

Once all the adults in your family understand your current finances, it’s important to continue staying involved. Start having monthly budget meetings with your spouse, partner, or adult child to review current spending and planned expenses for next month.

Feel free to meet with one of SRP’s financial counselors. Our counselors have extensive training and are certified to extend financial counseling services. They can assist you by helping you understand financial principles, create financial goals and strategies to achieve them, and so much more. In addition, our counselors work with people of all ages, so they can help every member of your family be financially conscious.

Become a member of SRP today!

Getting involved in managing your family finances enables you to feel more empowered and ready to handle any unexpected life events that come your family’s way.

With SRP Federal Credit Union by your side, you can be sure that we’ll help your family every step of the way. If you have an immediate need we can help you with, don't hesitate to get in touch with us. Become a member today!

This article is for informational purposes only. Membership required. SRP is federally insured by NCUA.

Article Credits: CUNA

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Buying your first house is an exciting time, but it can be a little scary as well. If you are in the market for a home or have already found your dream home, you need to know how to financially navigate to reach your goal. SRP Federal Credit Union in the Augusta area has been making loans for over 60 years, so we need to talk if you're considering buying a home. With competitive rates, flexible terms, and unparalleled service, you'll be in the home of your dreams in no time.

To minimize your anxiety, the following will help you prepare for your first meeting with a loan officer.

Know your credit report

Go to annualcreditreport.com and get your credit report from all three of the reporting agencies. You get one free report a year. Your credit score can make a huge difference in how much you qualify to borrow and the interest rate you’ll pay.

If you find errors on your report, correct them. That won't happen overnight, so the sooner you clean it up, the better you’ll be.

If the facts are accurate but your credit history could be better, expect to spend at least 6 to 12 months cleaning it up by paying down debt.

Here's how much of a difference it makes: On a $150,000 30-year fixed-rate (3.85% annual percentage rate) mortgage, with an excellent score of 760 or higher, your monthly payment would be $703, and you'd pay $103,033 in total interest. But a credit score of 620 would cost $846 a month (5.4% APR) and rack up $154,407 in total interest payments.

Know what other documents will be useful

You'll need several other records when you talk to your lender:

• W-2 forms – from the past two years.
• Paystubs – your two most recent ones.
• Financial account statements – for the past 3 months.
• Lines of credit – anything that wasn’t opened with your credit union.
• Information about vehicles you own – make, model, and resale value
• Auto-loan account information – account numbers and statements
• Credit card account information – numbers and types of cards, balances, and minimum payments
• Other loan account information – include student loans and personal loans
• Gifts – If any money for your down payment was given to you, identify how much and where it came from. Have a document ready showing that it's a gift and not a loan.

Some of this information may be available online. When you call to make an appointment, ask what papers you should bring.

Know what you can afford

The elements that come into play are your income and its stability, how much you have for a down payment, and how much debt you have.

Maybe you have heard the 28 / 36 guideline. This means:

• Your total monthly housing commitment—mortgage principal and interest, property taxes, and homeowners’ insurance—should be no more than 28% of your gross monthly income (income before taxes and other deductions. So, if your gross monthly income is $3,000, the monthly house payment should be $840 or less.
   
• Your total debt—meaning house payments plus student loans, car loans, and credit cards—should be no more than 36% of your gross monthly income. That means if your gross monthly income is $3,000, all monthly debt payments should not go over $1,080.

If you would like to determine your financial stability further, don’t hesitate to speak to one of SRP’s Financial Counselors. Our Certified Financial Counselors are here to help you solve your money issues and take control of your finances.

Our counselors have extensive training and are certified to extend financial counseling services. They can assist you by helping you understand financial principles, create financial goals and strategies to achieve them, and so much more.

Down Payment and Closing Costs

You'll have to come up with a down payment from 5% to 20% on a conventional home loan—or from $7,500 to $30,000 on a $150,000 house.

In addition, be prepared for these expenses:

• Closing costs for title search, appraisal fee, loan origination fee, and more
• Utility hook-up charges
• Prepayment of taxes, interest, and property insurance
• Moving expenses

Your credit union lender can help you calculate what you need and how much you want to keep on hand for the inevitable expenses that arise after you buy a house.

Become a member of SRP today

If you are interested in purchasing your first home, SRP is the perfect place to start. SRP Federal Credit Union is here to help make the dream of homeownership a reality. Don’t hesitate to get in touch with us today.

This article is for informational purposes only. All loans subject to approval and rate may vary depending on individual’s credit history and other factors. Refinancing restrictions apply. All Credit Union loan programs, rates, terms, and conditions are subject to change at any time without notice. Membership required. SRP is federally insured by NCUA. NMLS #612441.

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Gift cards are extremely popular, to give as well as to get. They’re a convenient way to treat someone to a meal at their favorite restaurant, purchase an item of their own choosing at a favorite store, or simply to give them cash to use anywhere the card is accepted. Unfortunately, scammers also love gift cards and have come up with creative ways to convince you to purchase cards for them.

In 2021, consumers reported over $148 million lost to gift card scammers. Many consumers reported being contacted by the IRS, Social Security, and power companies who told them they were liable for penalties. Others say they were contacted by Amazon or Apple to pay to continue service. Some say they were contacted by law enforcement and told to pay a fee to avoid a warrant.

In most cases, the scammer attempts to scare or alarm you, claiming something terrible will happen if you don’t pay them immediately. They want you to act quickly so you don’t have time to think it through or to check into the issue further.

You are told payment must be made using a gift card instead of a check or online payment. You don’t need to mail the card; just simply tell them the serial and personal identification numbers on the back.

Here are a few more scenarios gift card scammers use:

Relative in distress – You receive a call from someone claiming to be a loved one, usually a grandchild. They tell you they have had an accident, or they are stuck in a foreign country unable to get home. They ask you to send money immediately using a gift or a prepaid card.

Clergy members – They claim they are raising money for a worthy cause. They contact you by phone, text, or email, ask you to purchase gift cards, and give them the numbers.

Resale or auction sites – Once you have shown interest in an item, the scammer will offer a discount if you buy it with a gift card. You give them the number and never get the item you purchased.

Be suspicious if a government agency, legitimate company, or loved one asks you to pay them with a gift card. If you’re unsure, contact the agency or company using their official website, not a number provided in the questionable message. If it’s someone who claims to be a relative, contact the immediate family and ask them to verify that a payment is needed.

SRP Security Guidance

If you are a member of SRP Federal Credit Union in the Augusta area, be aware that the company will NEVER solicit you for personal information via email, text, or telephone. If you require assistance, please send a secure message by using the Message Center in SRP Online or SRP Mobile.

In addition to gift card scams, we have a multitude of other online security tips at SRP that will help you defend yourself against harmful phishing scams.

• Make sure you log out of your accounts each time you leave them, especially when using public computers.
• Delete emails from unknown senders with nonsensical information, subject line typos, or suspicious links.
• Only send personal and account information through secure messaging, such as on SRP Online. Never share this information using email.

Visit the SRP Security Guidance page on our website to learn more about how SRP can help you keep your accounts safe.

Visit SRP Today

Like cash, once a gift card is handed over to someone, it’s very hard to get the money back. You are not protected from fraud like you are with major credit cards.

If you are contacted by anyone insisting that a payment must be made with a gift card, it’s very likely a scammer.

At SRP, we exist to serve our members and make the communities we serve better. Protecting our members from gift card scams and credit card fraud is extremely important to us. If you have any questions about gift card scams or have an immediate need we can help you with, don’t hesitate to get in touch with us or visit one of our many locations throughout the CSRA.

https://www.aarp.org/money/scams-fraud/info-2019/gift-card.html

https://consumer.ftc.gov/articles/gift-card-scams

Article provided by CUNA

This article is for informational purposes only. Membership required.

SRP is federally insured by NCUA.

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Most of us assume we'll retire at some point. Some couples plan to retire together, but other times it makes more sense to stagger retirement dates. Having one spouse work longer often can help maximize retirement income or preserve health insurance.

Other times retirement has less to do with finances and more to do with personal satisfaction. And sometimes it's not really a choice. One spouse might leave the work force because of illness, injury, or unexpected job loss, but the other can't always follow immediately.

Money Matters

Retirement timing usually boils down to dollars: Couples plan to retire when they've got enough money to maintain the kind of lifestyle they want for as long as they expect to live. That number will be different for everyone, and how much couples need to save varies widely based on their ages, debts, lifestyles, and where they live.

At SRP Federal Credit Union in the CSRA, we can help you save for retirement with savings accounts that earn you monthly dividends with no minimum balance. We also offer share certificates at competitive dividend rates. This account requires a minimum deposit of $500.00, the funds to remain on deposit for seven days or more, and carries a penalty for early withdrawal.

Concerns About Health Insurance

Health insurance is another reason some couples stagger retirement. Medicare doesn't kick in until an individual reaches age 65. Very few companies offer health insurance to retirees. That means folks retiring before they qualify for Medicare must pay for their own coverage—and it’s not cheap. According to Health Markets, an individual retiring before age 65 can expect to pay upward of $438 per month ($5,256 a year) for single-only coverage. If both spouses retire, that price tag doubles. Even if a couple can afford the premiums, a significant health issue could motivate one spouse to work longer if it meant better coverage or more continuity in care.

At SRP in Augusta, our certified financial counselors can help you solve your money issues and take control of your finances. Our counselors have extensive training and are certified to extend financial counseling services. They can assist you by helping you understand financial principles, create financial goals and strategies to achieve them, and so much more. Through our in-person, individual assistance, they will help you chart a path to achieving financial wellness through financial counseling and education.

Become a Member of SRP Today

Long before leaving the workforce, spouses should discuss how they wish to live in their retirement. This will determine how much money they will need for retirement and how long they must work to get there.

At SRP Federal Credit Union, our financial counselors are here to help you get well on your way to retirement. In addition to offering individual assistance, our counselors also work with groups virtually and in person, teaching financial literacy to all ages free of charge.

Don’t hesitate to get in touch with us today to get started on your retirement planning.

Article provided by CUNA

This article is for informational purposes only. Membership required. SRP is federally insured by NCUA.

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At SRP Federal Credit Union, we understand the importance of financial literacy for teens. We are dedicated to equipping young individuals with the knowledge and skills needed to make wise financial decisions.

We offer programs that cover a range of topics that are essential for building a strong foundation in personal finance.

Elements of Money®

If you’re a teen between 13 to 17 years old, you may have financial questions, and SRP offers the Elements of Money® website to our teen members to help answer those questions.

Learn how to plan for college expenses. Interested in buying a car? Find out how much driving a car can cost. Can you get a credit card? Find out.

There are articles on matters that are important to you, plus podcasts, quizzes, videos, and more. Are you more into social media and contests? Elements of Money® has it all.

SRP Financial Counselors

SRP’s Certified Financial Counselors are here to help you solve your money issues and take control of your finances. They can also teach your teens the fundamentals of budgeting, including setting financial goals, tracking income and expenses, and creating a realistic spending plan.

By understanding the concept of budgeting, they will be able to manage their money effectively and develop a habit of saving.

Our counselors have extensive training and are certified to extend financial counseling services. Through our in-person, individual assistance, they will help you chart a path to achieving financial wellness through financial counseling and education.

Our counselors also work with groups virtually and in person, teaching financial literacy to all ages free of charge.

Choose the Right Credit Union for Your Teen

Choosing the right financial institution for your teen can be difficult with so many options available to you. Your goal should be to find an institution that serves you and not the other way around.

At SRP, we exist to serve our member owners. Since our founding, we have always been dedicated to our members. The members are the heart of our credit union and the sole reason for our existence.

Today, we serve as the financial institution for over 195,000 members; we continue to provide sound savings programs, checking accounts, competitive loan options, and a variety of other convenient services tailored to fit our members' needs. Everything your teen will need financially, we can supply.

Visit SRP for Your Teens

Financial literacy is important for teenagers to learn to prepare themselves for adulthood. At SRP, we have numerous educational opportunities for young people to learn.

We are eager to serve you at one of our many convenient locations. Don’t hesitate to get in touch with us today.

Article Credits: CUNA

This article is for informational purposes only. Membership required. SRP is federally insured by NCUA.