Park Community Federal Credit Union Blog

We’re moving the blog!

Team Park — Tue, 01 Jun 2010 19:53:22 +0000

From now on, all new posts will be available at http://blog.parkcommunity.com/. If you have this page bookmarked, please be sure to update your bookmark as well. Thanks for reading!

-Park Community Staff

Summer is Here and School is Out!

Wes May — Fri, 28 May 2010 21:02:16 +0000

Although most colleges have been out for several weeks now, most gradeschools are now closing (or getting ready to close) for the summer. The academic pressure is off, and it’s time to relax, have fun, and celebrate right? That may be fine for the first few days, but as most students figure out, that can get boring pretty quickly. Here are some ideas that may help you fill your time and your savings account this summer.

Summer Job
There are several summer jobs that are merely seasonal, such as life guard, snowcone booth, and landscaping positions. These jobs are ideal for those old enough to work during the summer because each year will require a hiring frenzy to be adequately staffed. Those who aren’t young enough to get a summer job can do extra chores around the house, neighborhood, or even their parents’ workplace if the situation allows. It may not sound like a fun way to spend your summer, but your mind will change when you get your monthly statement from your financial institution and find the numbers growing at an escalated rate.

Outdoor Fun!
Camping, fishing, hiking, canoeing, tennis, baseball, and even golf are excellent inexpensive ways to enjoy the great outdoors. If you’re not old enough to do some of these activities, talk to your parents! Perhaps they’ll be glad to help you put up a tent in the back yard or take you fishing. There *are* many more outdoor things to do, so you can sit down and make a list of outdoor activities you like or even ones you’ve never done and want to try. If you do spend time outdoors during the summer, please remember to wear sunscreen and stay hydrated!

Volunteer Work
This is especially important for those attending high school. Did you know that most scholarship applications have a place where you can list your volunteer work? It’s looked at as having a good sense of responsibility toward your community. Plus, you get a great feeling for having something to make a difference in the lives of others. You may not get paid for it now, but if it means that you have a better shot at getting a discounted or even free college education, it couldn’t hurt.

There are plenty of productive ways to spend your summer without having to shell out big bucks. You can even make some cash in the process. Just remember that staying indoors too much can be unhealthy as it promotes anti-social tendencies. And for those of you with summer jobs, keep saving! You never know what expenses may come out of the woodwork. Have a great Memorial Day weekend, by the way!

Learn Healthy Financial Habits Early!

Wes May — Fri, 21 May 2010 20:15:07 +0000

As young adults leave high school diploma in hand and college bound, they get their first taste of adult life. Rent, tuition, books, food, possibly even car payments are just a few new bills that may add up in a student’s life. The resulting need for money during a already-strenuous time may cause financial irresponsibility that could take years to absolve themselves from. That being the case, here are some financial guidelines to live by as a college student!

Use Credit Wisely
Your credit is essentially a guideline for lenders. The more responsible you appear to be with money coupled with how much money you make allows lenders to trust you with higher spending limits. Credit card companies know that students don’t have established credit and will often target students by offering higher limits than the students need. This way, credit card companies can maximize the amount of interest they can earn. Using credit is sometimes a necessity, and under normal circumstances, may be fiscally healthy. Obviously, you may not have thousands of dollars to purchase a car, but the structured monthly payments that allow y ou to drive a car meets your needs and allows you to build a good credit history. Until a young adult can understand credit and what it means to them, parents are urged to discourage spending too much on credit cards, or to intentionally impose a low limit. Small mistakes are much easier to overcome and affect your credit less.

Student Loans
An excellent source of funding for higher education, student loans can be your best friend… but are also your nagging worst enemy when you graduate. To keep your repayment costs to a minimum once you graduate, try not to overborrow for things like food and partying. This mistake can seem like a good idea now, but you will be accruing interest on every penny you borrow for years to come. Also, repaying your student loans on time once you graduate will help you build credit. Some lenders even give discounts and reductions for punctual payments or even accepting automatic payments. Finally, if you work in a public or non-profit institution such as teaching at a public school or working for a charitable organization, you may qualify to have some or even all of your student loans forgiven. Talk to your financial advisor at your college if you are unsure whether you have a chance for qualifying.

Feeling Hunted During Tax Season?
Taxes are a necessary part of life. Most (if not all) employers will deduct money from your paycheck so that you don’t end up owing Uncle Sam money every April. Students usually have finals going on around this time and put their taxes on the back burner… usually thinking “I don’t make enough for it to matter” or something similar. That kind of thinking can land a student into some trouble as fines can rack up and eat away at the tax refund you might have received had you been punctual with your return. Also, reporting accurate information on your taxes is very important. Tax evasion is considered a felony. If you are convicted, it will be a huge smudge on your permanent record.

Build a Nest Egg
Being one step ahead of the game plays a major role in a successful academic career. Not only are studying, reading, and doing homework ways to accomplish this, but saving money is one that most students overlook. If you have the opportunity as a student to save even a fraction of each paycheck, it will add up before you know it. The what-ifs are endless when it comes to how it will save you. What happens if your car breaks down. Do you have the luxury to be able to call your parents and ask for emergency funds? What happens if you drop your laptop and crack the screen only to regret not having purchased that protection plan? It’s always better to be safe than sorry.

So to review, build good credit, use credit cards wisely, be aware of the stipulations that come with student loans, observe the tax deadline more seriously, and put back some money if there’s any possibility. All of these tips may seem like common sense, but they’re just the tip of the iceberg. For more tips, visit your local Park Community branch and speak with one of our financial advisors. They’re there for you! Also, members have FREE access to financial counseling right over the phone with Accel.

Stress and Money Go Hand in Hand

Wes May — Fri, 14 May 2010 20:37:52 +0000

Money is one of the single most stressful things we as humans have in our lives. Whether it’s because we have too little of it or because we’re paranoid that we’re going to lose what all we have, money tends to keep us on edge. There are ways of reducing the amount of stress, however.

Keep up your physical health
Stress and depression have similar symptoms in the fact that they tempt us to make unhealthy decisions that can affect our energy, metabolism, and can even cause weight gain. Lethargy, insomnia, and eating disorders are common with high levels of stress. If you notice any of these symptoms during financially stressful situations, the best thing to do is to make every effort to resume a normal physically healthy lifestyle complete with vitamin-rich foods and regular exercise. Friends can be of great help with this, as they can help with keeping your confidence and motivation up.

Don’t ignore the problem; face it!
Ignoring problems, especially ones that have to do with finances, can have a negative impact not only on your stress, but on your credit as well. Taking a deep breath and facing the problem rather than running from it will give you the confidence and courage to resolve the issue and will also allow you to have closure on the matter. Even if you have to open up to a family member or friend at first, getting it off your chest instead of internalizing your financial stress will ensure that you can better cope with it.

Substance crutches - bad idea!
Alcohol, tobacco, drugs, prescription medication, or anything else that can give you temporary relief from the mental anguish experienced during stress can lead to unhealthy addictions and even death. In fact, alcohol is a depressant, which will actually make you feel worse once you are sober. There are much healthier and much more satisfying methods of dealing with financial stress. If you feel you could be at risk for or already have an substance addiction, please contact the National Drug Abuse hotline at 1-800-662-HELP (1-800-662-4357).

Distractions are…well…distracting
Finding other things to think about than your financial situations will give you a mental/emotional break. Perhaps you could watch an engrossing movie or even spend some leisure time with some friends. It’s true that this will not solve the problem; however, stress can impede your judgment and keep you from making rational decisions. The breaks that allow you to function normally will be valuable in dealing with the stress at a later time. Just be careful not to fall into a rut of procrastination that leads to avoiding the problem entirely.

If you have any questions or concerns about your finances and are a Park Community member, we’re here to help! Call 800/626.2870 or visit your local branch today! Also, visit our parkcommunity.com site, where you can sign up for Accel financial counseling at no cost to you as a member!

Scholarships: Not Limited to High School Seniors

Wes May — Fri, 07 May 2010 18:58:07 +0000

It’s the time of year that every high school senior dreams of. It’s also the time in their life when they’ll face the toughest decisions they likely have ever been faced with, even if it’s the decision of whether or not to attend college. Higher education is the most important foundation for a young person to have when starting a career, so more young adults are going to college these days. That being the case, money is the primary factor involved with what school you go to, what degree you want to challenge yourself to attain, and even how often you can order out for pizza (hello freshman 15!) Scholarships, grants, and financial aid are usually the way to go, unless of course there are parents with enough capital to finance your education. As that’s not usually the case, it’s in a young adult’s best interest to get all the free money they can.

Some simple tips to ensure that you get serious consideration for scholarships start with what you can list on the scholarship applications themselves. Applications will usually ask for grades, class rank, and even things you wouldn’t suspect, such as community involvement, special skills/talents, and work history. Clearly, waiting until your senior year before working on what you’ll be putting on an application is a bad idea, so start early! You can do community-involved volunteer work, participate in Boy/Girl Scouts of America, or pretty much anything you can think of that suggests that you’re an active member of your community. Any involvement that shows personal leadership is also an excellent point to make. Another tip is to fill out every single application you are eligible for. You may have a tired wrist from writing so much; however, the idea that you may never have to pay a student loan payment upon graduation is certainly a great motivator to endure a bit of inconvenience. Finally, take initiative. Don’t let your parents search for scholarships or even fill out applications for you. The sense of pride and self-reliance you’ll get is just a small step into a larger world of freedom and responsibility.

Did you know that you can apply for a scholarship given away annually by Park Community? That’s right; we also give away a $2,000 scholarship to one exceptional student every year. Just check out our scholarship page! That just goes to show that it pays to be a good student!

Extended Warranties… Not Just From Dealerships?

Wes May — Fri, 30 Apr 2010 20:53:48 +0000

It’s true! Even though the dealership will offer you an extended warranty, what most people don’t know is that you can purchase an extended warranty from most banks and credit unions that you finance through. Park Community even offers fine extended warranty packages for new and used autos with rates that are quite competitive.

Why should I finance through a financial institution?
Some dealerships offer an “in-house” extended warranty, meaning that particular dealership honors the warranty, does the warranty work themselves, and charges it off. This is somewhat risky, because you as a consumer could be stuck with a useless warranty if the dealership goes out of business. A financial institution’s extended warranty is usually honored at any certified mechanic (including the extended warranty packages Park Community offers), meaning that there’s not even the hassle of finding someone in-network as there is with health insurance. The ability to trust the person you take your car to is probably at the top of your list of priorities, so this aspect is perfect!

New? New to you? No problem!
Many used dealerships offer very limited warranties on used vehicles. Sometimes, they won’t even offer you an extended warranty. Used vehicles are likely where you need a warranty the most, because you will likely have no idea how the vehicle was driven before you acquire it. Financial institutions such as Park Community offer extended warranties on used automobiles as well as new. With that kind of used vehicle coverage, you can have an umbrella over your savings account’s head if the “when it rains, it pours” saying turns out to be true in your case.

If you would like more information regarding the extended warranties we offer, contact Sharon Waddell at 502/815.1147 or 800/626.2870 x1147.

Derby is upon us!

Team Park — Fri, 23 Apr 2010 20:52:33 +0000

While perusing through articles, forums, etc to bring our readers the latest and greatest information that your credit union can provide, I stumbled upon this article by someone who has obviously been to the infield several times. Being that a good chunk of Louisvillians attend the Kentucky Derby, I thought this would be relevant. Click here to read

Speaking of derby, Park Community is once again participating in the bed race on Monday, April 26. Come on out to Broadbent Arena and join in the festivities! Check out kdf.org for times as well as information regarding other events that you can bring the whole family to!

Have a safe and fun time during this derby season!

Expensive Habits Die Hard

Wes May — Fri, 16 Apr 2010 20:04:37 +0000

Let’s face it; the economy for the last few years has been as close to a depression that we’ve seen for at least a couple of generations. Most Americans have felt the effects; however, we still spend money on things we never use, shouldn’t use, and/or would be better off without.

Tobacco
First and foremost, cigarettes, cigars, and pretty much any way tobacco can be “enjoyed” is harmful to at least yourself, if not others around you. Most larger cities have put their foot down on smoking in public places because of this… and for good reason. However, aside from all the health issues, cigarette smoking is expensive. Smoking 2 packs a day will now cost you around $50 per week. That’s $200 a month, which is more than utility bills for some. If nothing else can make you quit, think of the financial hardship that will be lifted from not having to buy tobacco products.

Ignoring Fuel Efficiency
With fuel costs on the rise, fuel efficiency is about to take another big role in our lives. With that being the case, what’s the number one way to ignore how efficient your car is on fuel economy? In short, it’s speeding. Keeping your foot on the accelerator is a sure way to use more fuel than you need in most instances. For example, I can’t tell you how many times I see people stay the same speed almost all the way up to a stoplight that’s already red and then have to apply the brakes aggressively to come to a stop before reaching the intersection. By doing this, you’re not only wasting fuel to maintain your current speed longer, you’re wasting away your brakes and adding to the wear and tear cost of your vehicle. Taking your foot off the accelerator when you see an upcoming light turn red will not affect the time it takes for you to reach your final destination (as you’d have to stop either way), so it’s really a win-win scenario when you think about it.

Indoor/Outdoor Services
You’d be surprised at how many people actually pay contractors to do their landscaping, clean their carpets, detail their automobiles, etc. Granted that there are some situations that can warrant one or more of these services, most people can perform these services themselves, saving potentially thousands of dollars a year. Even in special situations, such as severe outdoor allergies, you may be able to find a neighborhood teenager that will mow your lawn at a deep discount compared to a professional landscaping company.

Gym Memberships
We all sign up for a gym with good intentions of maintaining a healthy lifestyle. The reality is that we sometimes spend as much as a couple of dollars a day for a gym membership that we never take advantage of. That’s a major money trap that can contribute to you scratching your head and saying “where does the money go?!” If you can keep a calendar or an organizer that can remind you to go to the gym, that could be a good way to get back in the practice. Setting your cell phone’s daily alarm is another good reminder. If you aren’t feeling as motivated as you used to be, it might be time for you to explore the possibility of revoking your membership.

Going Out For Lunch
Okay, I’m guilty for this in the worst way. Every single day I find myself grabbing a sub, some chicken nuggets, or even the occasional lunch fajitas at the nearest dine-in Mexican restaurant. While there are ways to minimize your lunch costs when you go out (lunch specials, daily deals, meal of the day, dollar menus, etc), it’s still almost always going to be more expensive to get in the car, drive to the restaurant, pay that much for food, and drive back than it is to bring your lunch with you. Also, bringing in items like cans of soup and instant noodles means you don’t even have to risk someone grabbing your lunch out of the break room refrigerator.

“It Was On Sale”
Sales tend to draw us in like bug zappers, except they’re actually money zappers. I don’t know how many times I found myself pulling out my credit card to pay for something I had no intention of buying before I learned it was on sale. Sales also have us purchasing larger quantities. I’m sure everyone has seen “BOGO” or “buy one get one” sales. The important thing to remember is that whether it’s on sale or not, if you don’t need it and are going through a period of financial hardship, it’s not worth the added stress once you get your credit card bill that month.

There are many ways to cut back your spending, but perhaps these suggestions will allow you to reflect on your own situation and plan out a new budget that keeps money in your bank account so you can save up for the things that really matter or even that which is unexpected. If you are a Park Community member, you can take advantage of the friendly financial counselors at Accel with absolutely no cost to you.

Inexpensive Entertainment + Update!

Wes May — Fri, 09 Apr 2010 20:16:41 +0000

If you’re an avid reader of this blog (to those who are, THANK YOU!), you may have noticed a new feature just added today. From now on, we will be categorizing each post so you can find that which interests you rather than sifting through posts that may not even pertain to you or your situation. I hope it helps you!

On another note, we often don’t realize how much we spend at clubs, bars, concerts, etc until the smoke clears and we look at our account or wallet the next day. Sometimes, people hesitate or don’t want to look because they know they’ve been financially irresponsible. So if your plans include hitting up the bars with friends this weekend, just remember that you DO have options that are inexpensive. Check out this link. I know for a fact that at least Louisville (where I reside) offers many of these ideas. Even if you’re old enough to drive but aren’t 21 yet, now is a good time to grow accustomed to finding evening/weekend entertainment that is fun AND financially responsible.

First Time Home buyer Tax Credits At Its End

Wes May — Fri, 02 Apr 2010 15:16:46 +0000

If you’ve been in the market for a new home for the first time, you’ve probably been swamped by a tantelizing offer by the government that boasts up to $8,000 in your pocket in the form of tax credits. Well, that offer runs out at the end of this month. Taken from irs.gov, “Under the new law, an eligible taxpayer must buy, or enter into a binding contract to buy, a principal residence on or before April 30, 2010 and close on the home by June 30, 2010. For qualifying purchases in 2010, taxpayers have the option of claiming the credit on either their 2009 or 2010 return.”

Time is running out for you to take advantage of this awesome credit, and we’re here to help! Starting April 1, Park Community will be offering a no closing cost promotion to qualified home buyers! That, along with the tax credit promotion, makes this month a great time to take the plunge and move yourself into a new home. Ask one of our financial service representatives or call 800/626.2870 for details.

If you’re not in the market for a new home, keep in mind that our new and used auto loan rates have bottomed out as well as our motorcycle loan rates! Check out our loan rates page here.

Apply for your chance to win!
As a bonus, if you come to a branch and apply for a home, auto, or motorcycle loan during the month of April, mention this blog article and you’ll be put in a drawing! Apply for an auto or motorcyle loan, and you’ll be in the drawing to win a $50 gas card. Apply for a home loan, and you’ll be put in a drawing for a $50 home supply store gift card. Apply for both, and you’ll be put in both drawings. Just remember to mention this blog post, as this offer is limited to only our blog readers.