Saturday, September 14, 2024

"SECU Is Not Serving Our "A-Paper" Borrowers"; We Must Have Risk-Based Lending!

 https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEjQqIXXKJb_7bcZVPTDzlTVxs0mGiA0rPyhm6NqJ6U9HhlFNqNzB7zRShCjO1EDp0-wX83C5qZ-uCt1CCn_zLWsdQiJdTdxL8rawjgFnYAI83E01oNliDcE5cqw7E7rGMlOK6Zs-LBwf4xY/s1600/calvin+n+hobbes.jpg ... that "reality" is not true!

The 4 incumbent-candidates helped introduce risk-based lending (RBL) at SECU, which unfairly overcharges the majority of SECU member-borrowers. These incumbents approved a 5-tier (A-B-C-D-E "tiers") interest rate surcharge system, which penalizes many long-time, loyal members who have always repaid their loans to the Credit Union.

Members who were profiled (the B-C-D-E folks) as "higher risk borrowers" solely by their credit scores were forced to pay much higher interest rates - despite their positive payment records with SECU. No thought was given to the members' record and relationship with the CU! As an SECU borrower, you ceased being a member and became just a number.

One of the chief reasons put forth by these incumbents for introducing RBL was that: "SECU Is Not Serving Our "A-Paper" Borrowers". Take a look at the actual profile of SECU borrowers just prior to RBL:  

  

     ... 247,000 "A-paper"borrowers just prior to RBL! 

Please also note the total balances owed by each "Tier" group:

1)  "A"- paper:  Total outstanding loan balances - $8.9 Billion       
2)  "B"- paper:  Total outstanding loan balances - $6.6 Billion
3)  "C"- paper:  Total outstanding loan balances - $5.7 Billion
4)  "D"- paper:  Total outstanding loan balances - $2.1 Billion
5)  "E"- paper:  Total outstanding loan balances - $0.3 Billion
 
... those 247,000 "A-paper" borrowers also owed the most on their SECU loans! 

✅ The 3 member-nominated board members elected in 2023 were able to make RBL less punitive by reducing the number of tiers and the severity of the overcharge. But they need more help!
 
              * Lets get back to reality and the truth at SECU!*
 
                 Vote for the member-nominated candidates:

                 ❋❋ Click here to vote now!

   Jean Blaine - Susie Ford - Julian Hawes - Kirby Parrish

 

... (see "BS meter" prior post).  

          Vote "All 4 in '24"!!! .

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