Greater Alliance Federal Credit Union Believes In ‘The People Helping The People’ With COVID Relief Loan Offer
With so many people out of work and struggling to make ends meet, Greater Alliance Federal Credit Union announced a new fixed loan to help in these difficult times.
COVID Relief Loan offers up to $ 2,500 at a fixed rate, starting at 6.99% APR1 according to Sheryline Ingersoll, director of marketing for Greater Alliance.
And here’s the best part: Consumers can choose not to make any payments for 90 days, giving them time to get back on their feet.
“We understand that right now there are many people in need,” said Ingersoll. “We just want to help people cover their expenses, whether it’s paying rent or buying groceries. Our philosophy is that people help people. ”
This special quick turnaround loan is only for people who have been affected by the novel coronavirus. This includes losing a job due to the pandemic, reduced work hours, quarantine or illness from COVID-19, and caring for a sick family member.
To be eligible, borrowers must be U.S. citizens or permanent residents and live, work, own a business, attend school, volunteer, or worship in Bergen or Passaic counties. They must also have been a member of a credit union for at least 30 days. It is easy to become a member. Consumers can simply connect online to https://www.greateralliance.org/apply/ and open a savings account of at least $ 25.
For consumers unaffected by the virus or for people who need more funds, Greater Alliance also offers personal loans of up to $ 30,000 for qualified borrowers. With a rate as low as 10.24% APR2, borrowers can choose from different terms, ranging from 24 to 84 months, with no prepayment penalties. No collateral, such as a house, is required.
“We have increased the limit from $ 20,000 to $ 30,000 to help people with greater financial need,” said Ingersoll. “It’s a great way to consolidate debt from high interest credit cards or other loans. With this, you have a low fixed monthly payment, instead of paying different interest rates on different credit cards. ”
Ingersoll notes that the personal loan is a much better option than taking a credit card advance, which typically has transaction fees of 3% to 5% and interest rates as high as 25%.
She also cautions consumers to be wary of “payday loans,” which are typically very short term – around two weeks – and carry incredibly high fees. These loans, banned or heavily regulated, typically involve the borrower writing a post-dated check and the payday lender keeping the check until the borrower’s next pay period. The typical annual percentage rate, that is, the rate borrowers pay, averages 400%.
“The personal loan is much more profitable than a cash advance loan,” noted Ingersoll.
COVID and personal loans can be applied for online, with all documents signed electronically using DocuSign. The funds are then deposited directly into a credit union account.
“Applying for these loans can be done online,” Ingersoll said. “You don’t have to go to a branch. ”
People can choose to visit one of the Greater Alliance branches in Paramus and Hackensack to collect a check. The Paterson branch is currently closed as it does not have a drive-thru service. The other two branches operate with drive-thru.
Greater Alliance also offers debt protection on both loans. If a borrower is unable to repay the loan, the plan will cover any balance owed. The cost of the protection plan varies depending on the amount borrowed and the terms of the loan.
In addition, members of the Greater Alliance can receive free financial advice through GreenPath Financial Wellness. Offering comprehensive training and exceptional service, GreenPath helps credit union members with everything from budgeting to paying down debt.
Established in 1937, the Greater Alliance Federal Credit Union was originally a way for teachers to save money and manage their finances. Over the years it has grown to serve the communities of Bergen and Passaic counties and continues to be a strong and stable credit union.
Credit unions are non-profit financial institutions that generally offer lower interest rates on loans and higher interest rates on deposits.
“The profits we make go to our members in the form of lower loan rates and higher deposit rates,” Ingersoll said. “Once you are a member of the credit union, you are a life member. Each member of the credit union has equal stake and one vote, regardless of how much money a member has on deposit. In a credit union, each client is both a member and an owner. ”
The Greater Alliance is also an active member of the community, with its foundation supporting a variety of causes throughout the year including providing scholarships, participating in the annual Breast Cancer Walk and, right now, collecting donations for overwhelmed food banks.
Learn more and apply to www.greateralliance.org/ or call (201) 599-5500.
- APR = annual percentage rate. Loan term of 24 months, which would result in 24 monthly payments of $ 4.92 per $ 100 borrowed for eligible applicants at 6.99% APR. All borrowers must have or open savings and are required to maintain a minimum balance of $ 100 in their personal savings account to avoid a monthly fee of $ 15. A full credit check will be required for all borrowers. All advertised rates and conditions are subject to individual qualifying factors and are subject to change without notice.
- APR = annual percentage rate. The 10.24% rate refers to eligible individuals based on their creditworthiness. ALL borrowers must have or open savings and are required to maintain a minimum balance of $ 100 in their personal savings account to avoid fees. A full credit check will be required for all borrowers. All advertised rates are subject to individual qualifying factors and subject to change without notice.