How a personal loan can save you money
Did you know that a personal loan can help you save money? That’s right! With rates lower than credit cards, personal loans can be a great way to save money and improve cash flow.
Here are some ways a personal loan from Credit Union of Southern California (CU SoCal) can help you reach your financial goals.
Lower interest rates than credit cards
It can be tempting to make large purchases using a credit card, but you’ll ultimately pay more for your purchases due to the card’s high interest rate. Most personal loans have lower interest rates than credit cards, so you’ll save money in the long run.
Debt consolidation
Two of the best ways to use a personal loan are to pay off credit card debt and consolidate debt. If you have several credit cards with balances it can be hard to keep track of interest rates and payments. With a personal loan you can pay off credit cards or consolidate debt into a personal loan and make one monthly payment to cover the new loan at a lower interest rate.
Improve monthly cash flow
Reducing or eliminating debt with a personal loan frees up cash so you have more money that can be used to pay other expenses or save for retirement.
Improve your credit score
When you take out a personal loan and make monthly payments on time, your credit score will likely improve, due to an improved credit mix. The CU SoCal Credit Builder Loan is a type of personal loan created to help people improve their credit score quickly and easily.
CU SoCal personal loan features:
- Financing from $500 to $30,000
- No application fee
- No prepayment penalty
- No funding fee
