Company does forms for Ultradata system; $250 per form per year. Tal Novak.
Oaktree
Fees
Research fees: $20/hour to $75/hour
Checks: couple of bucks a copy
Garnishment fee: $20
Subordination fees, when asked to subordinate a second: $50-$250 from Provo Postal. Freedom doesn’t charge it. Make the title company prepare the subordination. CUP charges $200.
$20 extension fee for skip-a-payment: Logan Cache Rich
St. Mark’s has stopped refunding overdraft fees. IBEW makes members take Balance questions when they refund overdrafts.
When to tell members enough is enough on overdrafts: FDIC has a statement, but NCUA does not.
Loan refinance fee: if you charge they may leave. Some add an amount ($100 or $50 or $20 on consumer or $200 for mortgage) onto the loan if the loan balance is not changed. For mortgages $200, or 1% of balance.
IBEW: $20 if they get the loan. NCUA told Prison Employees to start charging origination fees.
1 credit union charges a cash advance fee of $2.
Allow members to make loan payments on debit cards? People allow that--if they have card swiping machines. Half of the credit unions at the meeting do this.
Examiners told Kris at Prison CU that you can charge people a fee on a loan if they don’t have direct deposit.
Most credit unions pay the title fee on a new car loan, but one or two don’t.
What if the member doesn’t set up the direct deposit and automatic payment for a loan? Do they get the discount? How do you handle it? Write it up for the higher amount, and then also write up a subsequent action to handle the problem. Must send a change-of-terms notice. Meadow Gold requires that they are already on direct deposit. Freedom doesn’t do it.
ACH through SunCorp coming up--anyone know anything about that? Nothing yet.
Pulling credit reports--prices raised this year. What are you paying to pull credit reports?
NACM: National Association of Credit Managers: X free a month, then $15.
Experian: $2.30, under 3. Depends on what you add on to it. In-state $2.75, out of state $3.75.
On home banking, there is a requirement to make online banking more secure--MFA is not enough, anymore.
Layered security which continues throughout the session. Applies especially to transfers and bill pay. Business platforms.
Heather has guidance, will send.
Online banking provider should be working on this. Give them the guidance and ask what they are doing to make it compliant.
Collections: Greenflag: Education 1st used one year and it didn’t make a difference; several other credit unions are using them. Freedom likes it enough to renew once so far. “Love” is a little strong.
Do you have to let the examiners come when they want to? Heather will ask...
Disaster recovery:
Extended power outage
Go home
Generators (lined-up beforehand): line up people to call beforehand.
Old-fashioned land-line phones.
Can also get phone company to forward calls to cell phones.
Web page--can put the notice up on the web site.
Take phone numbers with you.
Freedom sends in positive balance file every day, less than $200 a month.
Daily limit on debit cards:
Freedom: Pin-based: $510
$200 on ATM; $1030 at Premier Services. $210 at Meadow Gold.
$1000 at Meadow Gold and Varian
Freedom: Signature-based: $3000, $500
CUP has no daily limit
If you change your daily limits, send a change-in-terms notice.
What are your top priorities for 2012?
Build capital. Make money.
Avoid merger.
Make loans at higher than 2.99%.
RV Loans
Short-term mortgage loans (5-year loans at attractive rates on excellent paper, no closing costs, done in-house; or 8-year and under; 3.5 to 4.5 %. No closing costs makes the difference. 70% or less LTV; amortize 25-30 years with 5-year call but with fees).
Marketing is leading to marketing at CUP; Balloon on auto loan.
Provo Postal is trying a payday type loan; 2-week loan: $10 per $100 financed. Meadow Gold has a similar program: must pay fee up front, then add amount of fee on loan, and eventually can turn it into a share-secured loan; forced-savings component; first two are $300 maximum; must have direct deposit.
Credit-rebuilder with a share-secured line of credit; can’t use money in the savings account to pay down the loan; lots of young people us that to repair credit.
Non-member deposits: pretty easy for federal credit unions--Ann B. at CUP can probably help with that! Take a look at the policy.
What do you do to prepare for an exam?
Fill in half of the sheet they ask for, then see if they ask for anything else. Maybe give them access to a dropbox share online, so that they have everthing already when they get there.
No longer make copies they ask for; put on flash drive instead.
Pull out last exam to make sure fixed everything they asked for.
Make sure all board member and management loans are in board meeting minutes, also charge-offs. Make sure minutes are all signed.
