How to Pay Off Your Student Loans

Student loans provide the resources you need to build a better life, but the payments can drag down your finances for years. Fortunately, with some discipline and a detailed strategy, you can pay them off decades ahead of schedule. Here are a few ways to eliminate your debts as quickly as possible.

1. Make Extra Payments

Paying even an additional $100 per month can shave years off your repayment schedule. However, you may have to instruct the loan servicer to apply those payments to your current balance. Otherwise, they might put it toward next month’s bill, which wouldn’t help you get out of debt faster.

2. Understand the Loan Terms

If you have federal loans, you likely have a six-month grace period after graduation before payments are due. However, the repayment process will differ for private loans. They usually don’t have this grace period, and you may have to make payments while still in school. Understanding the terms of your student loans will help you avoid falling behind and accruing fees that could put you deeper into debt.

3. Consider Refinancing

Like many students, you may have outstanding balances from several different providers. Consolidating all the debts into one loan from a single credit union can yield lower interest rates and make keeping up with your payments easier. If you’ve recently graduated, don’t assume that the interest rate you received at the start of your school term is the best option available.

4. Sign Up for Automatic Payments

Automatic payments will help you keep up with due dates and could even help you save money. Many federal student loan services offer an interest rate deduction to borrowers who sign up for autopay. Even a quarter-point reduction in interest will leave you more to put toward the principle so you can get out of debt faster.

With hundreds of millions of dollars in assets and over 60,000 members across Hawaii, Hawaiian Financial Federal Credit Union is one of the leading financial institutions in the state, with a reputation for combining personalized service with technologically advanced personal banking solutions. To learn more about our mortgage loans and other services, follow us online or on Facebook, Twitter, and Instagram for news and updates. You can also call (808) 832-8700 on Oahu or toll-free at (800) 272-5255 with your questions.

How to Save and Earn with CDs

Are you looking for a way to invest some of your savings to earn more money?

A CD could be right for you.

Our Certificates of Deposit offer guaranteed returns on your money and they usually pay higher interest rates than regular savings accounts.

CDs differ from a regular savings account because they are timed deposits. With a CD, you can select from a variety of options and agree to leave your money in the CD for a fixed amount of time. During that period – which can range from a few months to a few years – your money will earn interest and keep growing until your CD reaches maturity.

At maturity, you’ll have the option to let your CD automatically renew for a new term, using the money to open a new CD for a different amount of time, or move the money to one of your other accounts.

It’s also good to know that your money is federally insured to the maximum allowable limits.

The amount you put into a CD should be money you likely won’t have to withdraw until the term ends. Often, the longer the term you choose, the higher your interest rate will be, and the more you can earn on your investment.

We want you to know that you can remove your money before the investment term ends, but also to be aware that there is an early withdrawal penalty.

CDs can be a sound way to save for future needs without putting your money in other risky investments that don’t offer this type of guaranteed return  which could actually lose value during difficult times.

Stop in or call one of our experts about our CDs and interest rates, and learn how your money is protected.

We’re here to help you find a savings plan that works best for you.

With hundreds of millions of dollars in assets and over 60,000 members across Hawaii, Hawaiian Financial Federal Credit Union is one of the leading financial institutions in the state, with a reputation for combining personalized service with technologically advanced personal banking solutions. To learn more about our mortgage loans and other services, follow us online or on Facebook, Twitter, and Instagram for news and updates. You can also call (808) 832-8700 on Oahu or toll-free at (800) 272-5255 with your questions.

Paying Back Student Loans?

Millions of people use student loans to help cover the costs of college, but it’s important to remember that these loans are borrowed money that must be repaid after graduation or leaving school.

Whether you have taken out federal or private loans for your education, you’ll be expected to repay the loan on time – and with interest.

Failure to make payments can negatively affect your credit score, which can have an impact when applying for future loans.

With a federal student loan, you have several options for repayment. Plans range from repayment of the loan over 10 years to payments that are based on your income.

With federal loans, you’ll also be able to switch payment plans, but you will need to work with your loan servicer on where to make payments and how much you’ll be paying.

Some amounts owed for federal student loans may also be forgiven based on your profession, such as teaching or public service. For more information about repaying federal student loans, loan forgiveness, and the types of loans available, visit studentaid.ed.gov.

If you take out a private loan from a financial institution, it’s important to understand the loan terms and repayment requirements. Be sure to know when your payments begin and to make all payments on time.

Evaluating all of your student loan options is the first step to ensuring you select a payment option that fits your financial situation.

With hundreds of millions of dollars in assets and over 60,000 members across Hawaii, Hawaiian Financial Federal Credit Union is one of the leading financial institutions in the state, with a reputation for combining personalized service with technologically advanced personal banking solutions. To learn more about our mortgage loans and other services, follow us online or on Facebook, Twitter, and Instagram for news and updates. You can also call (808) 832-8700 on Oahu or toll-free at (800) 272-5255 with your questions.

What is “Get Your House in Order” and Why It Matters to Me

Would you easily be able to locate your home insurance and last two years of your tax documents for a home loan application? If a dire emergency situation were to happen tomorrow, would your loved ones know where your important documents are, how to access them and what to do?

If you answered “no” to either of these questions, then you need to “Get Your House in Order,” and Hawaiian Financial Federal Credit Union wants to assist you in that process.

Be Well
Good holistic health involves leading a well-organized, efficient life. Besides finding important documents quickly, being consistently organized also helps with many other areas of good mental health, including reduced anxiety, improved sleep and better concentration.

Be Safe
Even though everyone should have a legal will or trust, 2 out of 3 people have not made one. A large proportion of inheritances are needlessly lost to lengthy probate, unnecessary taxation, creditors or bankruptcy.

Be Prepared
It’s never too soon, nor too late, to develop a solid plan to organize your life’s most important issues. The “Get Your House in Order” campaign helps you develop and follow through with that plan.

The Time is Now
Having important life-planning discussions with loved ones can be difficult. We created the Ho’okele Guidebook to help Hawaii’s ohana initiate and guide important family conversations and navigate the complexities of planning for the future.

Phase 1 focuses on the “Past”, assisting you in gathering and compiling your personal information and any important documents pertinent to you. This will be the first building block of organizing your legacy and helping others who may be called upon to assist you.

Phase 2 focuses on the “Present”, helping you document what you currently have and uncovering any gaps that need to be filled. The focus will be on your physical well-being, financial obligations and asset protection.

Phase 3 focuses on the “Future”, addressing life-planning documentation like organizing your asset accumulation, retirement funding, prepaid plans and beneficiary updates.

Finally, Phase 4 focuses on the “Miscellaneous” items, covering assorted topics such as active and sedentary lifestyles, love, marriage and divorce, as well as how they may affect your finances. 

All four phases will produce a new section for the Ho’okele Guidebook, and each segment will have corresponding downloadable worksheets.

Please contact us directly if you have any questions or would like assistance getting your financial house in order.  One of our helpful associates is looking forward to speaking with you!

With hundreds of millions of dollars in assets and over 60,000 members across Hawaii, Hawaiian Financial Federal Credit Union is one of the leading financial institutions in the state, with a reputation for combining personalized service with technologically advanced personal banking solutions. To learn more about our mortgage loans and other services, follow us online or on Facebook, Twitter, and Instagram for news and updates. You can also call (808) 832-8700 on Oahu or toll-free at (800) 272-5255 with your questions.