Six Rules for Managing Credit Card Debt

If you want to be the master of your credit card debt load, follow these key rules: 

1. Take inventory. How many credit cards do you have? What's the balance and minimum monthly payment on each? What's the total balance? If it is more than you thought or can afford, then it is time to cut down.

2. Check out the cost of your credit cards. What is the interest rate on each card? What is the annual fee? Does your card offer a grace period? If the card does not have a grace period, or if you carry over a balance, or take a cash advance, then you are usually charged interest right away.

3. Get one low-fee or lower-interest card and use it wisely. Make DoverPhila Federal Credit Union your first stop when starting your search. Check to see if you can transfer existing debt from your various credit cards to your new lower-interest credit card.

4. Make the largest monthly payment you can afford. Even though you may not be able to pay your balance in full, paying the monthly minimum may do little more than cover the accrued interest.

5. Watch out for "teaser rates." Your mailbox may be brimming with unsolicited credit card offers that promise attractive low-interest rates. But if you read the fine print, you will see that after six months or so the issuer may double the low introductory rate. 

6. If you get in over your head, do not bury it in the sand. If you are having trouble making your monthly payments, then contact your creditors before they contact you. If you are already screening calls from bill collectors or refusing to open your mail, then you need help. 

Contact Fred Weingarth at DoverPhila Federal Credit Union. He can help you get your finances back on track.

Avoid the Payday Lending Trap

Here is the scenario: you are in a financial bind and need some quick cash. You saw payday loan stores all over town and think “maybe I should try that…” 

Do not fall into that trap! Getting a loan with a payday lender could send you down a deep hole that may take years to get out of.

Here is how payday lenders catch and hold consumers:
To receive cash, you write a check to them for the amount plus the finance charge – which the lender will cash the next time you get a paycheck. They will tell you finance charges range from $15 to $50 per $100, but they will not tell you exactly what the interest rate (or APR) is charged. Interest rates can run from 390 to 780%, and if your state does not cap the maximum cost then the rates can be even higher.

Here is the math to figure out what you end up paying by borrowing $400 from a payday lending store with a $50 finance charge and a 14-day term:

  • Divide the finance charge by the amount you are borrowing: $50/$400 = .125
  • Multiply the answer by the number of days in a year: .125 x 365 = 45.625
  • Divide the answer by the number of days in the term:  45.625/ 14 = 3.2589
  • Move the decimal point to the right two places. This is your APR: 325.89%

At the end of your 14-day term, you have to pay them $450. But if you cannot pay it off entirely then you will have to roll the balance over and pay another $50 fee, as well as interest charges. At the end of your second term, your balance is almost $600 and if you cannot pay that off entirely then you roll it over again. See how quickly your $400 loan can cost you thousands of dollars?

So what are some alternatives?

  • Ask your employer for an advance on your next paycheck.
  • Consider asking family members or friends for a short-term loan. 
  • If you were a military service member, then you may be eligible for short-term lending or emergency relief assistance. Contact Military OneSource at 800-342-9647, or visit www.militaryonesource.mil for information.
  • A personal loan through DoverPhila Federal Credit Union. We offer loans with low rates and flexible terms.
  • Open a low-cost, low-interest credit card through DoverPhila and use it only for emergencies.

No one wants to find themselves in a financial emergency, but there are much better options than turning to a payday lender. To find out more about payday lending and learn about safer ways to get quick cash, visit the Consumer Federation of America webpage www.paydayloaninfo.org/consumer-help.

If you want help getting control of your finances then visit DoverPhila Federal Credit Union. We are committed to helping our members gain financial well-being and offer one-on-one financial counseling as well as additional resources to help you take control of your finances. Contact Fred Weingarth at 330-364-8874 for more information.

Shop Smart and Save This Back-to-School Season

It is getting to be that time of year when most families are thinking about purchasing school supplies for the upcoming year. Back-to-school shopping is the second-largest consumer spending category after holiday shopping, according to statistics from the National Retail Federation and Research Now. An additional survey conducted by Deloitte found that 32 percent of families expected to spend more on school supplies this coming year because either their children needed more items, because materials were increasing in price, or because students needed more expensive supplies.

An increase in back-to-school expenses can be a strain on family budgets. In a 2016 survey conducted by the National Retail Federation, back-to-school spending climbed to 55 percent over the past 10 years with the average family spending $107.76. A family could end up spending an estimate of $674 on back-to-school shopping when including other expenses such as clothing, shoes, and electronics,

Despite rising costs, back-to-school shopping does not have to be a budget-buster. A little pre-planning and early shopping can help avoid extra spending. Nationally, 73 percent of back-to-school shoppers plan to shop a month to three weeks before the start of school.

Here are some ways to shop smart during the back-to-school season:

  • Timing Matters: Look for end-of-summer sales and tax-free holidays, especially on big ticket items. In Ohio, the tax-free holiday starts on Friday, August 4, 2017, at 12:00 a.m. and ends on Sunday, August 6, 2017, at 11:59 p.m. To learn more about this tax-free holiday weekend, visit the Ohio Department of Taxation website.
  • Plan Ahead: Before making new purchases, take an inventory of supplies already available around the house. From there, make a list of items still needed. Two-thirds of consumers are likely to buy more than what is on their list, so be sure to stick to a shopping plan.
  • Avoid Fancy Supplies: Instead of spending money on the brightest, shiniest, and glitteriest supplies with a licensed logo – which adds cost – create do-it-yourself art projects for kids to decorate their own supplies.
  • Use Technology to Find Deals: Let technology help save money by doing an online coupon search, monitor favorite stores’ website and social media accounts to get advance notice of sales, and sign up for coupon links.
  • Stock Up: If there are good deals for certain supplies that have an on-going need then stock up on those items in case something runs out, gets lost, or breaks.

To learn about credit unions and how they can help plan for the back-to-school season, visit www.aSmarterChoice.org.

DoverPhila to Host Annual Kids’ Club Day

Mark your calendars for DoverPhila Federal Credit Union’s annual DP’s Kids Club Day. The family-fun event is scheduled for Saturday, August 5th from 10:00 a.m. to 1:00 p.m. at the credit union’s main office on Fillmore Avenue in Dover.

This year, the credit union is partnering with area organizations such as 5th Day Aqua, Tuscarawas County YMCA, Tuscarawas County Public Library, and STEAM Centers to provide even more family fun. Area youth ages 12 and under will have the opportunity to interact with a 20-gallon marine touch tank that features aquatic life from American beaches; to stay active with agility ladders, hula hoops, and 9 Square in the Air; to read and check out books, sign up for programs, receive a library card, and play games with a mobile library; to tap into their creative juices with activities focused on science, technology, engineering, art, and math from a pop-up museum; to bounce their way through inflatables; and much, much more. This free event will also include take-home, goody bags and pizza along with half-hour drawings of prizes donated by local businesses and organizations.

Check out the DoverPhila Federal Credit Union Facebook page for more event information, updates, and sneak peeks of what else the credit union has planned.

The Best Time to Buy a Car

Did you know that shopping at the right time can boost your chances of getting a really good car deal? Dealerships and individual salespeople have quotas to meet, so purchasing a vehicle during the last few days of a month, in late summer and early fall, or even around a major holiday like Christmas can often be the best time to make deals. Potential buyers should even consider shopping after very bad weather—when the roads clear just after a snowstorm, for instance. Any time when few people are out and about is a good time to be shopping for a car.

As auto companies get ready for their annual new-model introduction, dealers are eager to get rid of the old models. Usually this type of model-year shopping works best in July, August, and early September ahead of the traditional Oct. 1 start of the model year. Also consider late December when almost everyone is at the mall rushing to finish holiday shopping.

Although picking the right time of year to go car shopping can potentially help you get the best deal, you should still be prepared with research and a pragmatic target price so you can make the most of your good timing.

Fortunately, the internet makes it easy to find once-elusive cost data that will tell you how ready a dealer is to deal on a given model. Websites like Kelley Blue Book (kbb.com), Edmunds.com, and MSN Autos (autos.msn.com) show the dealer cost or invoice price in addition to the list price or manufacturers’ suggested retail price (MSRP). Whenever you are shopping, always start negotiating from the invoice price, not the MSRP. Kelley Blue Book and Edmunds also show what typical consumers actually paid for a given model in your region based on your zip code. If you are shopping for a slow-selling model, you can aim for a deal near invoice price and sometimes even lower. Make sure you do not let the sales person bring the rebate into the negotiations. You are entitled to that from the manufacturer no matter what price you negotiate. 

Even if you get a great deal, do not forget the cardinal rule of car buying: Plan ahead for your financing. Get pre-approved auto financing from DoverPhila Federal Credit Union before you ever go car shopping.

Social Security in Your Lifetime – Maybe Not

By the year 2033, Social Security's reserve trust funds could be exhausted. Though people disagree about when the money will run dry and how to avoid it – it could happen in your lifetime. You can prepare for it by starting now.

IRAs (Individual Retirement Accounts) offer young workers the opportunity to potentially receive higher benefits than the current system can afford to pay. They also offer an opportunity to build a nest egg for retirement that the government cannot take away.

Invest regularly and you will be surprised at how the money grows due to compound interest. Consider contributing a portion of your paycheck in one kind of IRA called a Roth IRA.

For example, if you invest $25 a week in a Roth IRA until you retire (let's say in 50 years) and the money grows at 5%, when you retire you will have $290,644 in tax-free money. If it grows at 8%, you will have $869,583. You only contributed $65,000 to the total—the rest is due to compound interest.

Visit DoverPhila Federal Credit Union today to start planning and investing for your future.

Your Life Goals, Are Our Life Goals

If there’s ever a time that "millennials" need cooperatives, it's now. 

The last ten years have been quite transformational for this generation of young adults. Younger millennials just graduating college likely saw their parents lose jobs, benefits, and pensions while bank executives lost nothing. According to a study by Filene Research Institute, millennials make about as much (rather, as little) as previous generations, but factor in the average student loan debt of $27,000 and that take home pay is quickly eaten up. 

Despite that, millennials are principled and they maintain an optimistic outlook about their financial future with life goals and financial goals are entwined. If you are looking to firm up yours, a credit union – which is a not-for-profit financial cooperative that offers the same services as a bank – is a smarter choice. 

Here are some ways DoverPhila Federal Credit Union can help you achieve your life goals. 

If you value open membership without boundaries, DoverPhila is for you. 
When you opened your first bank account, did you have to deposit some ridiculous amount of money or risk getting hit with a $5 monthly fee? At the credit union, you only have to deposit a minimum of $5. That money is a "share" in the company instead of money that is invested in high-risk securities. Anyone who works, worships, or attends school in Tuscarawas County is eligible for membership. Once you become a member, we gladly extend our credit union membership perks to any member of your immediate family.

If you value cooperation instead of competition, a credit union is for you.
Why should you have to suffer because your bank does not have ATMs everywhere? A $4 fee here and there really adds up. You should not have to spend $24 to withdraw $20 – that’s a rip-off! Instead, grab your smart phone, download the Co-Op ATM app, and find a free ATM or shared branch to conduct your business. As everyone knows, life is a little better when you work together instead of making everything a competition. 

If you value education, training and information, a credit union is DEFINITELY for you.
We exist for the financial benefit of our members and to provide a level of service that meets our members’ financial needs. At DoverPhila Federal Credit Union, our members receive valuable services the moment they need them and more!

A credit union can help you affect change in your community and life. Whether it is an auto loan, a mortgage, a personal loan, or a credit card, credit unions are simply a smarter choice. Experience the DoverPhila difference today by stopping by any of our five locations.

DoverPhila Encourages Youth to Give a Hoot About Saving

Financial literacy is a crucial life skill for young people, but it is one that too few are learning. As a credit union, one of our founding principles is concern for community. We believe that financially-prepared kids is one way communities get stronger and that is why from April 17th – April 22nd, DoverPhila Federal Credit Union is celebrating National Credit Union Youth Week.

During the week-long savings event, DoverPhila will focus on teaching youth – ages 17 and under – to “give a hoot about saving” through deposits made to their Kids Club or cu$aver accounts. Participants will receive a 10% bonus up to $10 paid on all qualifying deposits. In addition to the saving bonus, DoverPhila Federal Credit Union is also awarding a $50 MasterCard® Gift Card to one cu$aver and one Kids Club member along with having a drawing for participants to win the Youth Week grand prize - an Amazon Fire tablet.

For a list of Youth Week rules and regulations, please click here or contact a DoverPhila member service representative.

Enhance Your Online Experience

Imagine that you’re on vacation in the Florida Keys and you come across the most angelic speed boat. It’s the boat you have been searching years for and it’s at an impeccable price. But of course, you’re on vacation – hundreds of miles away from your credit union. What do you do? Eric Peters, a member of DoverPhila Federal Credit Union, found himself in a similar situation a few weeks ago. His solution was simple – eDocuments.

eDocuments is the perfect banking solution for people on the go. It provides a secure and convenient way to digitally view and store newsletters, financial notices, tax documents, and other financial information without the paper clutter. You can even sign and submit loan documents* – just like Eric Peters did. 

Benefits of eDocuments

  • Environmentally friendly
  • No more sensitive account information routed through the mail
  • View new and old financial documents anytime, anywhere through On Line-On Time Home Banking™
  • Immediate availability – there’s no waiting on mail
  • Available for FREE to our members

Stop worrying about financial notices getting lost in the mail or falling into the wrong hands, and sign up for eDocuments. It’s quick, convenient, and perfect for people on the go.

To register, you just need to sign up for On Line-On Time™ Home Banking – it’s that easy! So what are you waiting for? Enhance your online, DoverPhila experience today!

*Documents needing a signature cannot be viewed through DoverPhila’s mobile banking app.

The RAIN Method for Buying a Car

The average cost of a new vehicle today is around $30,000. Whether you desire the shiny, brand-new ride or if you are content with a reliable used car, you still want to get the most for your money. The actual process of finding, researching, financing, and buying a car does not need to be scary or intimidating. In fact there is an effective technique for making the right purchase. It’s called RAIN. RAIN is an acronym for Research, Ask questions, Investigate or Inspect, and Negotiate.

Research
In this step, you use information from publications like Consumer Reports, Kelley Blue Book, and other resources to make sure the vehicle you are looking at is a wise choice and a reliable investment. You also need to use the buyer’s guide to find pricing of the vehicles you are looking at. It is easy to find the sticker or retail price, but your goal should be to find out the wholesale price which is the price the dealership paid minus any rebates, hold-backs, or incentives. The wholesale price is the price you will use to negotiate when the time is right. Also, make sure you research more than one vehicle option. Having interest in numerous car options at various dealerships will provide a larger arena for negotiating a price.

Ask
You should contact the insurance company and find out the rates you can expect with the vehicle you are looking at along with a quote from your insurance agent. There are a lot of costs associated with owning a vehicle and insurance is a major one. You should also ask the dealership for information regarding the average cost of upkeep. This information is critical as you examine the overall costs of the purchase you are going to make.

Investigate or Inspect
If you are considering a brand-new car, you should go to the dealership and investigate it. Be sure the salesperson knows that on this trip you plan to test drive only and that you are not ready to make a deal quite yet. This is your opportunity to get a feel for various car options. As you investigate your potential purchase, think about if each vehicle meets your needs, handles well, and if it will keep you happy in the long run.

If you are in search of a used vehicle, the inspection process is very important. Even if you have limited knowledge of automobiles, everyone can conduct a basic inspection. Check out the exterior and interior of your vehicle options. Make sure you take each car for a test drive so you can see how it handles, how it accelerates, and how it brakes. When your inspection is complete and if you are serious about purchasing one of the vehicles, take it to a certified mechanic for a full-car diagnostic. It may cost you $100, but it gives you a detailed report of the car’s condition along with a list of problem areas and the costs to fix those problems. Also, a full diagnostic will help with your last step of negotiating price. Remember to make sure you have more than one vehicle option – each from a different dealership. This will also help with negotiation.

Negotiate
For many, the negotiation process is intimidating. Everyone wants to get the best deal – including salespeople. A good way to take the pressure off of you is to inform each salesperson that you are interested in more than one vehicle at different dealerships and that the dealer with the best offer will get your business. Take all numbers that each dealership gives you and see which offer is the best.If you are not happy with the offers, share your thoughts on what you consider to be a fair price based on your research. If the dealer says no, move on. 

Purchasing a vehicle is probably going to be the second largest expenditure in your life. Being prepared is key to getting the best deal. Following these steps will help you tremendously. Always remember, DoverPhila Federal Credit Union can provide not only the best financial deal for you, but they can also provide support, guidance, and education. 

DoverPhila Continues to Give Back While Enhancing Products and Services

As another successful year comes to an end, DoverPhila Federal Credit Union continues to strive in the financial industry. This is apparent through its ability to give back to its members while also building community.

DoverPhila was able to give back $1.1 million to its members in the form of bonus dividends and interest rebates. It also continued its “people helping people” mindset through numerous sponsorships that included Union Hospital’s Run for Home half-marathon, United Way of Tuscarawas County’s Color Us United 2k and Rock ‘n Run 5k, East Central Ohio ESC’s Family Reading Festival, and Tuscarawas County Public Library Bookin’ It 5k Walk/Run. The credit union also donated to area organizations and community projects such as Friends of the Homeless of Tuscarawas County, Rainbow Connection, Tuscarawas Clinic for the Working Uninsured, Leader’s Edge Anti-Virus Youth Character Education program, New Philadelphia Rotary Club’s enhancement project for the pond at Tuscora Park, Trinity Hospital Twin City’s cardiac unit expansion, and many more.

Along with giving back to its members and community, DoverPhila also executed new services such as the EMV “chip” card through Elan Financial Services, mobile purchasing, mechanical breakdown insurance from Vision Warranty Corporation, and email marketing communications.

As 2017 begins, some key objectives for the year are to continue to improve both online and in-house lending processes, to expand mobile services, and to enhance member communications all while maintaining the safety and soundness of the credit union. 

DoverPhila Federal Credit Union is excited to welcome 2017 as it continues to serve and meet the needs of its members while building community.

DoverPhila Gives Back to the Community through Various Donations

DoverPhila Federal Credit Union has always strived to give back to its members, and that attitude is apparent with recent contributions made to area organizations.

The credit union donated $2,500 to Trinity Hospital Twin City in Dennison for equipment to aid in the expansion of its cardiac unit. Other donations include $400 to the New Philadelphia girls’ softball league and a $2,000 donation to Friends of the Homeless of Tuscarawas County. The monetary gift went towards new commercial refrigerating units for the shelter’s current 36-person facility.

DoverPhila Federal Credit Union has proudly been serving the financial needs of members who live, work, worship, or attend school in Tuscarawas County since 1953. It has offices in Dover, New Philadelphia, Newcomerstown, and Uhrichsville.

DoverPhila Supports 16th Annual Family Reading Festival

DoverPhila Federal Credit Union partnered with over thirty area organizations to support the 16th annual Family Reading Festival at New Towne Mall on Saturday, November 5th.

Hundreds of area students in preschool through 8th grade gathered for the event to participate in a variety of activities, contests, demonstrations, and educational programs that incorporated this year’s theme of “Every Hero has a Story” that went beyond the typical heroes with capes and focused on community heroes such as military, policer officers, firefighters, health care providers, teachers, and many more. Local authors along with favorite storybook characters and heroes also made an appearance for the annual event.

In addition to a variety of activities, over 1,400 books were given to children along with a free drawstring backpack. Donated items such as a Mini iPad, Nexus tablet, Leapfrog Reading System, gift baskets, and gift cards were given out as hourly door prizes. The event wrapped up with a costume contest that encouraged attendees to dress up as their favorite hero and a table-decoration competition for the schools that participated in the Family Reading Festival. The first place winner was Conotton Valley.

Visit the East Central Ohio ESC Facebook page to see pictures and to read more about the event.

​DoverPhila Federal Credit Union Collects Over $26,000 for United Way

DoverPhila Federal Credit Union collected over $26,000 for United Way through its annual in-house campaign involving corporate, employees, and credit union members.

The United Way campaign started on Monday, October 24th and concluded on Friday, November 4th. Credit union members who participated in the campaign received a pledge card that hung in the lobbies of each DoverPhila location. With members’ lobby pledge cards, credit union employees’ donations, and a corporate gift from DoverPhila Federal Credit Union, the annual campaign raised a total of $26,687.85 for United Way.

United Way is a local nonprofit organization with one goal in mind – improving the community. By partnering with area organizations, United Way can make this goal a reality. The monetary donations go towards providing a better future for area youth, creating a healthier community, and helping people in crisis.

For more information or to donate to United Way, call 330-343-7772 or visit www.tuscunitedway.org.

DoverPhila Partners with Rotary to Enhance the Pond at Tuscora Park

DoverPhila Federal Credit Union has partnered with the New Philadelphia Rotary Club to provide a $5,000 donation that will go towards a project to enhance the pond at Tuscora Park.

The monetary donation along with other donations from area organizations will go towards the construction of a boardwalk stretching 140 feet across the pond and features a gazebo and a plaza that are both handicap accessible. The construction’s design will provide a convenient seating area for visitors, shade for daytime comfort, and decorative lighting for evening enjoyment. The overall goal of the project is a more ideal park experience through an enhanced, scenic view of the pond and its wildlife.

New Philadelphia Rotary hopes to raise enough funds by the end of the year to start the project so the dedication can coincide with Tuscora Park’s 100th anniversary.

The Rotary carries out its Tuscora Park efforts through the nonprofit RTY, Inc., which is recognized as a tax-exempt organization under Internal Revenue Service rule 501(c)(3).

For more information about the project or about making a donation, send an email to information@newphiladelphiarotary.com or call Sam Hitchcock at 330-340-7910.

Exclusive, Limited-Time Discounts for DPFCU Members

Everyone is looking for ways to save money, and that is just what Love My Credit Union Rewards is all about. DoverPhila Federal Credit Union is excited to offer members exclusive discounts and benefits on products and services they use every day.

Credit union members have already saved nearly $2 billion with Love My Credit Union Rewards discounts. So along with lower loan rates and fewer fees, here are other ways members can save even more:

  • Now through December 31, 2016 receive a $200 reward card when a new account is activated with Sprint. Plus receive a 10% discount on select regularly priced Sprint monthly data service. This offer is valid in conjunction with other credit union and most Sprint National handset offers and promotions.
  • Save up to $15 on TurboTax federal products!
  • Get an exclusive smoke communicator and a $100 gift card with a new ADT monitored home security system.
  • Get trusted protection at true savings with TruStage Auto & Home Insurance Program.
  • Shop and get cash back at over 1,500 online retailers with Love to Shop.

All members at DoverPhila Federal Credit Union are eligible for these offers and discounts. Start saving today at www.LoveMyCreditUnion.org.

DoverPhila Sponsors 16th Annual Family Reading Festival

DoverPhila Federal Credit Union is partnering with dozens of area organizations to support the 16th Annual Family Reading Festival at New Towne Mall on Saturday, November 5th from 10:00 a.m. to 3:00 p.m.

This year’s theme “Every Hero has a Story,” goes beyond the typical heroes with capes and focuses on community heroes such as military, policer officers, firefighters, health care providers, teachers, and many more. Students in preschool through 8th grade will have the opportunity to participate in a variety of activities, contests, demonstrations, and educational programs that incorporate this idea. Local authors and favorite storybook characters and heroes will also make an appearance at the annual event.

There will be a free book for all participants and a drawstring backpack to the first 1,000 children along with hourly door prizes. The event will wrap up with a school competition for best table decorations. Visit the 2016 Family Reading Festival Facebook page for more information.

DoverPhila Wins Times-Reporter 2016 Readers’ Choice Awards

DoverPhila Federal Credit Union is pleased to announce that it has won first place in the Best Bank, Best Credit Union, and Best Mortgage Lender categories for the Times-Reporter 2016 Readers’ Choice Awards.

The bank category is one of The Times-Reporter’s largest categories for the Readers’ Choice Awards. There were over 3,250 individual votes this year and a total of 111,000 votes were counted in all categories. DoverPhila Federal Credit Union would like to thank everyone who voted in these categories.

 “We are truly grateful and excited to be a part of the Times-Reporter Readers’ Choice Awards. There are some excellent financial institutions serving this area so receiving the titles of Best Bank, Best Credit Union, and Best Mortgage Lender of 2016 means a lot to us,” said Jack Dooling, Chief Executive Office and President of DoverPhila Federal Credit Union.  “This credit union was formed over 60 years ago and our mission has always been to build community while providing the best financial services to our members. Knowing that our members believe that we are doing exactly that, gives us a sense of pride in the work we do.”

The annual Readers' Choice Awards celebrates the best businesses, organizations, people, and more through votes of area residents. The awards are put on by The Times-Reporter, a GateHouse Media Inc. publication that is published daily in New Philadelphia, Ohio. For more information, visit www.timesreporter.com.

DoverPhila has been proudly serving the financial needs of members who live, work, and attend church or school in Tuscarawas County since 1953. It has offices in Dover, New Philadelphia, Newcomerstown, and Uhrichsville.

Three Things to Know Before Purchasing a New Car

When purchasing a vehicle, there are many things to consider before taking the leap such as the pros and cons to buying new cars versus the pros and cons to buying used cars.

Before purchasing a vehicle, think about what the daily use of the vehicle will be, the amount of trunk space you will need, and how much seating space you should have. Make sure the options you are considering are practical reflections of how you will use the car. You may love the look of a larger vehicle, but do you have a need for that much seating? If you do not need that much space then that particular car may not be right for your daily commute and errands.

After you have considered the personal aspects of which car to purchase, move on to the less subjective parts of the process such as depreciation, cost-to-own, and affordability.

Depreciation
Most cars depreciate at about 15% per year. With new cars, there is about a 20% depreciation rate as soon as you drive off the lot. You should consider this before you decide to buy a new car, especially if you cannot afford a large down payment. Chances are you will be upside down on your car loan almost immediately if you’re financing the entire cost.

Cost-to-own
Consider the true cost to own the car you are considering. There are always costs when owning a vehicle such as insurance, fuel, maintenance, and more. Maintenance costs vary by manufacturer and model. Some manufacturers have better reputations than others when it comes to maintenance. Some new cars come with “free” maintenance plans for the first couple of years or for a certain number of miles.

Affordability
Shop around. Do not guide yourself solely by what the dealership is willing to lend you. People are often blindsided by an attractive low monthly payment that is usually tied to a super-long loan term – do not be fooled. Consider all aspects of financing so the total amount you are going to end up paying for that vehicle when it is all said and done is something that is affordable. That’s what matters.

Before you even step on the lot, visit DoverPhila Federal Credit Union. As a not-for-profit financial cooperative, we offer low loan rates and flexible terms that fit your lifestyle, and we are happy to explain the lending process and answer any questions you may have about loans.

DoverPhila Commits to Five-Year Pledge with Ohio’s First Latino Community Credit Union

DoverPhila Federal Credit Union has committed to a five-year deposit that will equal $249,000 to help fund Nueva Esperanza Community Credit Union (NECCU). The pledge will help NECCU continue to provide financial education to its members, resources for marketing purposes, and capital for loan growth.

Chartered in 2010, Nueva Esperanza Community Credit Union is the first Latino community credit union in the state of Ohio. Its office is located in Toledo’s Old South End community where over 35% of residents live below poverty level. In the past five years, it has grown to over 600 members and over $1 million in signature, automobile, and home equity loans. With a bilingual staff, it is able to reach across the language and literacy barriers to help Latino families establish credit, build capital, and have hope for a better financial future.

DoverPhila Federal Credit Union has proudly been serving the financial needs of members who live, work, and attend church or school in Tuscarawas County since 1953. It has offices in Dover, New Philadelphia, Newcomerstown, and Uhrichsville.