The Pulse (06-01-12)

June 1, 2012    ●    Volume 01, Issue 22

View 06-01-12 issue of The Pulse

Products & Services News
 

LSS helps members navigate the complexity of student loans

In 2011, total student loan debt surpassed total credit card debt for the first time. In fact, two-thirds of college seniors are graduating with an average student loan debt of more than $25,000. With Lutheran Social Services (LSS), credit unions can ensure that they have the tools and expertise to help members understand and payoff their student loans.

LSS Financial Counseling Service can offer expert coaching on all debts, including student loans. The first step is "know what you owe.” Financial counselors can help access both the federal portal and credit reports to see the big picture. It is especially important for families to understand the dangers of default, the special rules for private student loans, and which options for repayment are the best fit for their situation. The second step is "make a plan.”

One popular new option is IBR, or income-based repayment plan, which adjusts payments yearly based on income and family size. There are also options to bring loans out of default and even (more rarely) paths toward discharge or cancellation of student loan debt. The key is budget and debt counseling to make repayment plans realistic and in context.

To discover how your credit union can benefit from LSS financial wellness products and services, contact MnCUN Vice President – Network Service Corporation John Ferstl by email or (651) 288-5505.

CU Succeed helps credit unions survive the "Big Boom”

Over the next 10-20 years, Baby Boomers will pass $40 trillion to Generation Y. It is vital that credit unions develop youth programs and products today so that this money comes back to them in the future. CU Succeed can help credit unions survive the "Big Boom" by providing them resources to reach out to the next generation of credit union members.

CU Succeed offers two youth programs to credit unions:

• The Kirby Kangaroo Club educates kids about the importance of practicing good savings habits, as well as teaching the credit union difference.
• The Teens Financial Network guides teen members through financial milestones such as buying their first car, applying for a student loan, or budgeting for college. This comprehensive program provides both traditional and electronic marketing channels to successfully reach this group and maintain their membership throughout adulthood.

Check out CU Succeed today and discover how they can help you build the next generation of credit union members. For more information, contact MnCUN Vice President – Network Service Corporation John Ferstl by email or (651) 288-5505.