Proudly serving Tarboro, Rocky Mount, Greenville, and surrounding North Carolina areas, Telco Credit Union is a full service non-for-profit financial institution. We offer many services and products, including savings and checking accounts, loans, mortgages, and much more. We’re here to help with all your financial needs.
We offer many types of loans with competitive rates. What are loans, and how do they work? Loans are a popular method of borrowing money. Loans offer competitive interest rates with a predictable monthly payment. You must submit an application and receive approval from a lender to get a loan. Then, after you are approved, you’ll receive a lump sum of money based on the amount you’ve been approved to borrow. You’ll then repay the loan with interest in equal monthly installments for the length of the loan.
How does paying interest work? This is the cost of taking out a loan. Personal loans typically have a fixed and simple interest rate on the principal of the loan. You can calculate how much interest you’ll be paying over time by multiplying your loan principal by your annual interest rate and by the number of tears it’ll take to pay off the loan. Paying interest is part of your monthly payment.
So what’s the difference between a loan and a line of credit? A loan is an amount of money that you borrow from a lender for a specific length of time. A line of credit, on the other hand, is a borrowing limit extended to you. This means that funds are available to you up to a pre-assigned credit limit, and you’ll have the ability to reuse your line of credit as you repay. Your monthly payment will be based on the amount of the line you have outstanding.
How can you use a loan to consolidate debt? A personal loan is a great option to consolidate multiple debts into a single monthly payment. First off, identify all debts that you’d like to consolidate. Then, apply for the total sum or more. Once you’re approved, you can use your personal loan funds to pay off your higher interest debts and consolidate them into one loan with a single monthly payment. This is typically at a lower rate than multiple debts might be.
What’s the difference between interest rate and APR? The interest rate is the cost to borrow money from your line of credit. The Annual Percentage Rate (or APR) adds in some of the costs of getting the line of credit in addition to the interest. This includes lender fees.
When it comes to your finances, we want to provide you with the experiences you’re looking for. If you live or work in Tarboro, Rocky Mount, Greenville, or surrounding areas in North Carolina, check out Telco Credit Union and consider becoming a member.