Saying “no” goes against the very nature of many credit unions. Yet, in some cases, the potential risk of saying “yes” stands in the way of what could otherwise become a long-term and mutually beneficial relationship.
To empower credit unions to say “yes” to credit card applicants, specifically, some of TMGFS’ partners are evolving their lending strategies. Community 1st Credit Union, for instance, has expanded its product mix to include a secured credit card product. The card, which comes with a low annual fee, works by allowing the cardmember to secure funds with his own cash deposit. That cash deposit becomes the credit line for that account. So, if a member is able to put $500 into the account, he can then charge up to $500 on his secured card.
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