Powerlines
April 2010 APCO EMPLOYEES CREDIT UNION ISSUE 130
Here’s Your Chance To Refinance From Another Lender
Let Us Reduce The Rate & Monthly Payment On Your Auto, Truck, or Boat Loan!
We’d like to park our money in your score may cause a higher rate. Other than the
garage. And we’re proving it by giving you a guidelines, there are no catches. It’s just your
chance to refinance. Transfer your auto, truck chance to get a solid, low loan rate at your
or boat loan to your Credit Union from another Credit Union and save money as you go.
lender between now and May 28 and we’ll Now you’re wondering how to get started.
reduce your rate by 1.25% and lower your Simply call or stop by any of our offices and
monthly payment. one of our loan officers will go right to work to
Maybe you’re paying a higher rate through get you a lower rate. We’ll need a copy of the
another lender and you know you could do title, we’ll need to see the vehicle, and we’ll
better at today’s rates. Or maybe you just want need a payoff letter from your present lender to
the convenience of having your loan at the expedite the process. APCO loan officers like to
Credit Union. Whatever your reason, it’s obvi- say yes and our loan service is fast, conven-
ous that refinancing your loan at the Credit ient, and confidential.
Union with a lower rate and monthly payment We’ll also pay off your auto, truck or boat
is beneficial. loan regardless of the value listed in the
Here’s an example of how refinancing your vehicle guide book in most cases. This refi-
loan at your Credit Union will benefit you. If the nance special does not apply to existing loans.
present interest rate on your loan now is say, That’s all there is to it. This offer is to quali-
6.25% APR with a balance of $24,000 and extended warranties if you would like to fied borrowers and it is available for a limited
you’ve financed it for 60 months, your payment include any of these services on your loan. time. It’s your chance to refinance at your
should be around $467 per month on the prin- So, you’re interested in the refinance spe- Credit Union, so stop by or call and take advan-
cipal and interest. Bring that loan to us and cial but you’re wondering, what’s the catch? tage of this special offer.
we’ll reduce your rate to 5.0% APR with a There are some guidelines, but no catches.
monthly payment of $453. In this example, First, there is a floor rate of 4.5% APR for loans IN THIS ISSUE:
you’d save $14 per month on your payment up to 60 months that we will not go below and • STICK TO THE PLAN
and over $800 over the life of the loan. And a 4.9% APR floor rate for loans up to 72 • KEEP IT SIMPLE
that’s money that goes directly into your back months that finance at least $20,000. Of • NEW MAIN OFFICE UNDERWAY
pocket. As an additional bonus, your Credit course, the Credit Union makes loans to quali-
Union offers lower costs on insurance, GAP, and fied borrowers, and as always, a lower credit
Dividend News
Overdraft Protection “Opt-In” Requirements Coming Soon
The federal government is requiring all
U.S. financial institutions (us too) to have
members or customers wanting to continue
overdraft protection on their checking
account to “opt-in” by August of this year.
first time their debit card is rejected at a rest-
aurant, grocer, or other merchant and they do
not have cash to cover their purchase.
Many APCO members depend on their
overdraft protection. The Credit Union offering
2.02%
(2.00% NOMINAL RATE)
An excellent quarterly share
APY
Basically, if you would like for your Credit a safety net for its members, paying an over- account dividend of 2.02% APY
Union to continue paying overdrafts on your drawn item instead of rejecting it, and charg- was declared at the March meet-
APCO checking account, you must tell us so. ing the same $12 fee (most institutions ing of the Board of Directors. A
This is called opting in. charge a $35 fee) whether we pay it or return quarterly IRA Share Account divi-
Unfortunately, there seems to be some it, seems fair minded to us. dend of 2.27% APY was also
misinformation about the new regulation We are determining the best way (sign a declared. Christmas Club
being spread by the media. Some people form, call a toll free number, etc.) for APCO accounts paid a 1.51% APY
seem to think that overdraft fees are being members wanting to keep their overdraft dividend. Please see your state-
eliminated and that they will be able to con- privilege to opt in. Please watch your mailbox ment for actual dollar amount of
duct their checking account business as and future newsletters for how you will be dividends added to your account.
usual. This fantasy will bump into reality the able to opt in at your Credit Union.
APCO EMPLOYEES
CREDIT UNION
Main Office
1608 7th Avenue North
Access Your
Birmingham, AL 35203
Monday thru Friday 8:30 a.m. to 4:30 p.m.
APCO Account
205/257-3601
1-800-249-APCO
www.apcocu.org
Online 24/7
All branch offices listed below
2009 Annual Report www.apcocu.org
close from 1pm-2pm for lunch. The year 2009 was an outstanding year for
the growth and progress of your Credit Union.
Clanton Branch Most importantly it was a profitable year which Why go to the Credit Union when we
2030 7th Street South can bring the Credit Union to you? All you
205/280-8909 not only makes us much sounder financially,
Dothan Branch but it also assures that the Credit Union will be need is Internet access and you can start
2220 Montgomery Hwy. able to continue to pay excellent rates on banking online at your own pace and your
334/793-7226 deposits, charge low rates on loans and offer own place.
Hoover Branch new services as needed.
3133 Lorna Road Our nation’s economy continued in recession
205/823-7403 during 2009 which reduced our loan demand
Hueytown Branch and our yields from loans and investments. We
2901 Allison-Bonnett Drive
205/257-3905 started 2009 with the Federal Reserve Bank
Inverness Branch posting a Fed Funds rate of zero to 0.25% and
42 Inverness Center they closed out the year with the same rate.
205/992-5030 With investment rates lower than anytime in our
Jasper Branch memory, for us to be able to return a 2.0% divi-
706 20th Avenue East dend on share accounts for 2009 is amazing. Online Banking . . . Complete Convenience
205/221-4238 We did experience strong growth in 2009 Online banking is fast, flexible and free!
Mobile Branch with assets up by $138,000,366 and member
150 St. Joseph Street You’ll be able to check your balances,
251/694-2383 deposits up by $134,320,641, indicating the check your account activity and transfer
Montgomery Branch confidence our members have in their Credit
funds 24 hours a day, 7 days a week. Call
244 Dexter Avenue Union. We added 2134 share accounts in 2009
334/832-3822 and have 67,136 altogether. Our average share or stop by any of our offices for a MAP
Pelham Branch balance is $24,228 up by $1271 from 2008. application or complete the MAP form
301 Huntley Parkway We continue to manage the assets of your online at our website. Then mail it, fax it or
205/664-7421 credit union conservatively and we continue to drop it by and we’ll get you set up.
Trussville Branch receive the highest ratings from the rating
151 Main Street Online Bill Pay . . . Complete Control
205/661-2715 services, as well as from our regulators. Also
If you like the convenience of banking
Tuscaloosa Branch our “APCO” brand name received a rating in
the top ten nationally for credit unions over $1 online, you’ll like paying your bills online
630 15th Street
205/345-6550 billion in assets. too. No more stamps, no more worrying
Board of Directors The past year was the busiest ever for us as about lost mail. Just spend a minute or two
Mark Wilkinson . . . . . . . . . . . . Chairman we tackled a number of projects. We completed
Melinda Lopez . . . . . . . . Vice Chairman
setting up your account online, then get
Wendell W. Pate . . . . . . . . . . . Secretary the design of our new corporate headquarters ready to pay your bills with a quick click of
John Valekis . . . . . . . . . . . . . . Treasurer building, selected an architect and started con- your mouse. And you get all of this for a
William M. Bass . . . . . . . . . . . . . Director struction. After much study we decided to build
Billy Gober. . . . . . . . . . . . . . . . . Director a LEED certified building. We moved our Dothan flat fee of $1 per month. Why, that’s less
S.A. Marino . . . . . . . . . . . . . . . . Director than you’re spending on stamps now!
Edward C. Nesmith . . . . . . . . . . Director Branch into a new building, we opened our
Robert B. Roy . . . . . . . . . . . . . . Director thirteenth branch office in Tuscaloosa, and we APCO online banking and online bill pay
Roy Sims, Jr. . . . . . . . . . . . . . . . Director merged the CMA Credit Union into our credit is the better way to bank. Because you’re
Jack Wisdom . . . . . . . . . . . . . . . Director
union. busy living.
Credit Committee As I near the end of my career with the
Joe Shannon . . . . . . . . . . . . . Chairman
Credit Union, I would like to thank three direc-
$$$$
Larry D. Morgan . . . . . . . . . . . Secretary
Mary Linn Clark . . . . . . . . . . . . Member tors who were on the original Board that hired
Melinda Hurd . . . . . . . . . . . . . . Member me. They are Mr. Marino, Mr. Wisdom and Mr.
C. L. Little . . . . . . . . . . . . . . . . . Member Webster. Also from the original Board that are
Greg Shipp . . . . . . . . . . . . . . . . Member
Carlton Stephens . . . . . . . . . . . Member still living I would like to thank Mr. Sam Burke,
Mr. Paul Hopkins and Mr. Bill Mote. Also my
Supervisory Committee
Ann Wilkinson. . . . . . . . . . . Chairperson
Jim Moore . . . . . . . . . . . . . . . . . Member
thanks go to Mr. Charlie Little who has served
with me on the Credit Committee during my
FINANCIAL
Celia Yates . . . . . . . . . . . . . . . . Member
Larry D. Morgan
entire career. It has been a joy for me to work
and represent APCO Employees Credit Union
REPORT
President 2-28-10 2-28-09
V. Merrill Mann for the past 38 years as its President. In con-
clusion, I would like to thank each board and Assets $1,830,551,665 $1,699,065,823
Editor
committee member as well as our staff for Savings 1,639,639,875 1,511,147,554
their dedicated efforts. Most of all, I would like Loans 427,087,213 410,196,787
to thank each of you, our members, for letting
Members 60,591 58,784
us serve your financial needs.
“Focus On Your Finances”
Stick To The Plan
The first quarter of this year and all of last
year saw the stock markets swinging hundreds of
points a day in either direction. That roller coaster
Keep it
ride has tested even the most stoic of investors,
but those with a professionally prepared, long
term financial plan most likely have fared better
than most do-it-yourself investors.
Simple.
A financial plan can bolster your logic when
your emotions want to take over. Its greatest
strength lies right within its construction. Your
financial planner developed your plan based on
your own personal situation, including your goals,
your age, your assets and income, your liabilities, Low Rate • Cash Back • Good Choice
and your tolerance for risk. Has anything changed
about your personal situation as a result of the Your Credit Union has made it sim- We give you 1% cash back on all
market? If not, there’s no reason to change the ple for you by upgrading our credit purchases you make with your APCO
plan. card program to platinum. We invite Visa credit card - no matter how big or
That’s not to say that financial plans should be you to share in the rewards. small. No complicated air miles or gift
created in a vacuum, then shoved in a drawer and
dusted off in 10, 20 or 30 years when you retire. The APCO Platinum Visa has a low redemption programs. The APCO cash
Your financial planner will review your plan with rate of 10.9% APR. That’s a solid rate back feature is automatic, so all you
you at least annually and whenever you face a life for all your purchases, travel, and cash have to do is make our card your first
changing event, including birth of a child, an advances. And we don’t play games. choice everytime.
empty nest, divorce, retirement, illness or disabili- We don’t offer a low rate for a short Take it from us. There is simply no
ty, or the death of a spouse.
time, then increase it to whatever the better place to get a Visa credit card
Market swings make headlines because they
reflect change — one of journalism’s criteria for market will bear. And, we don’t charge than your Credit Union and no better
news making. As we’ve seen this year, daily a lot of excessive fees either. time than now. Call or stop by and
swings don’t necessarily reflect a trend of any Our rewards program is simple too. apply today.
significance. Trying to guess which way it will go
on any given day, week, month or even year is a
fool’s game that plays to your emotions.
Manage Your APCO Credit Card Online At www.ezcardinfo.com
Financial planning on the other hand plays to
your logic. As you reach milestones in your life,
you can look at your plan and say, “Ah, yes, my
planner talked about this, and we prepared for it.” Current Interest Rates
A financial plan and the counsel of your financial Through March 29, 2010
planner can give your logic the boost it needs to Deposit Accounts APY Loans APR
keep your emotions from running roughshod over Share Account . . . . . . . . . . . . . 2.02% Share . . . . . . . . . . . . . . . . . . . . . 4.00%
your goals. For more information on this and other Certificates New Car (100% of list) . . . . . . . 4.75%
financial topics or for a no cost consultation, call 30/45/60 Days . . . . . . . . . . . . 1.00% Up to 60 Mo. (finance at least $10,000) . . . . . 4.80%
Brad Kamman with Reliance Financial at 91 Days . . . . . . . . . . . . . . . . . 1.46% Up to 72 Mo. (finance at least $20,000) . . . . . 5.25%
205/328-2322 or toll free at 1-800-641-3870. 182 Days . . . . . . . . . . . . . . . . 1.61% Up to 84 Mo. (finance at least $30,000) . . . . . 5.85%
Securities offered through Securities America, Inc. Member NASD/SIPC. Advisory 366 Days . . . . . . . . . . . . . . . . 1.82% Used Car . . . . . . . . . . . . . . . . . . 5.20%
services offered through Securities America Advisors, Inc., an SEC registered invest- New Boat . . . . . . . . . . . . . . . . . . 5.25%
18 months . . . . . . . . . . . . . . . 1.92%
ment advisory firm. Not NCUA insured. No Credit Union guarantees. May lose value. New Motor Home . . . . . . . . . . . 5.50%
24 months . . . . . . . . . . . . . . . 2.02% Visa . . . . . . . . . . . . . . . . . . . . . 10.90%
30 months . . . . . . . . . . . . . . . 2.22% Real Estate
Home Improvement? 36 months . . . . . . . . . . . . . . . 2.53% Adjustable Rate Mortgage
37 months (step up) . . . . . . . . . . 2.48% 1st Mtg. (terms to 30 yr.) . . . . 3.00%*
It has been a long winter . . . and the old 48 months . . . . . . . . . . . . . . . 2.63% $415,000 is maximum on adjustable rate mtg.
homestead shows it. A leaky roof, peeling 60 months . . . . . . . . . . . . . . . 3.15% Fixed Rate Mortgage
paint, creaky deck, and on and on. Isn’t today IRA Share . . . . . . . . . . . . . . . . . 2.27% 1st Mtg. (up to 7 yr). . . . . . . . . 4.90%
a good time to arrange a low cost home IRA Certificate . . . . . Same rates as certificates 1st Mtg. (7 to 15 yr.) . . . . . . . . 5.00%
improvement loan at your Credit Union? above with maturities from 182 days to 60 months. 1st Mtg. (15 to 30 yr.) . . . . . . . 5.25%
A thoughtfully planned home improve- Christmas Club . . . . . . . . . . . . . 1.51% $275,000 is maximum on fixed rate mtg.
ment project is a good investment. It not only Chek-Plus . . . . . . . . . . . . . . . . . . .25% *Rate adjusts annually.
adds to the value of your home but it also (Avg. daily balance over $2000) . . . . . 1.26%
adds to the quality of your home life. And •Rates subject to change. Please call for quote.
remember, if you need financing for your •All loan rates quoted as annual percentage rates.
home improvement project, call or stop by •All savings rates quoted as annual percentage yields.
your Credit Union. We have low cost loans •A lower credit score may cause a higher loan rate.
and we’re here to help.
What Every APCO Cardholder Should Know About Disputing Transactions
When you use your credit or check card, statement date on which the error first respond to the chargeback. The merchant
you have certain protections as outlined in appears. To fulfill this requirement, you can can either accept the chargeback and issue
your card agreement, protections that allow send us a letter or you can complete a a credit for the disputed amount, or they can
you to dispute errors on your statement. To Notification of Dispute Transaction form deny the chargeback and submit documen-
help you dispute a credit or check card located at any of our offices. Your letter or tation to refute the claim. Fewer than 20
transaction, following is an overview of the form should include your name, account percent of all chargebacks that we process
process. number, amount of the error, and details are represented by the merchant.
First, some members believe that if there regarding the attempts you have made to If the merchant refutes the dispute, they
is a dispute (incorrect amount, charged resolve this dispute with the merchant. If “represent” the chargeback request to
twice, no merchandise, etc.) on a transac- possible, please include a copy of the sales APCO. Then we, on your behalf, have 45
tion, that somehow the Credit Union has that draft, sales contract, or service agreement. days in which to provide further documenta-
money and we can refund it to them imme- Once we have your written dispute infor- tion to support the chargeback claim. After
diately. We can not. The merchant has the mation, a dispute case will be opened and we obtain further information from you, your
money and there is a process established by reviewed for possible “chargeback” rights. A case will be reviewed to determine if ade-
VISA that must be followed to get the funds chargeback is the process that reverses a quate information is available to resubmit
returned. Visa regulations will not allow the transaction. We must prove that the mer- the case. This is called a “second” charge-
Credit Union to open a dispute case before chant has committed an authorization error, back.
our member has first tried to resolve the processing error, fraud, failed to honor can- The merchant again has 45 days to
problem with the merchant. cellation or returned item, or has not provid- respond. At this point the merchant can
To preserve cardholder rights, cardhold- ed the goods and services provided. either accept it and reimburse the disputed
ers must send written notification of a billing There are specific guidelines and criteria amount, or they can ask to arbitrate the
error to the card issuer within 60 days of the that must be met to chargeback (i.e., get case.
your money back) the transaction to the As you can see, there can be many steps
merchant. Our member service representa- involved in the dispute process, and the
tives will work with you to obtain the details process can take several months. Therefore,
and documentation. it is important that you keep all documenta-
When a merchant receives a chargeback tion in support of your billing error until the
request, they have 45 days in which to error has been resolved.
• A letter went out stating that APCO
New Main Office Building Construction Underway
Employees Credit Union will no longer pay
interest on Business Checking Accounts.
However, you will continue to earn divi-
dends quarterly on your Business Share
Account. If you are a Not-For-Profit
Organization and wish to continue receiv-
ing interest on checking, please send the
Credit Union a copy of your IRS Form 990.
• All Credit Union offices will be closed
Monday, May 31 in observance of
Memorial Day.
• Your Credit Union is rated 5 stars (superior)
by Bauer Financial, the highest rating pos-
sible by this well respected bank and cred-
it union rating service. Your Credit Union is New Main Office Rises at Corner of 8th Ave. North and 17th Street
rated superior in strength, safety and per-
formance.
Our new Main Office building is begin- said the new Main Office will feature a
• We’d like to help put you afloat. With our
ning to rise at the corner of 17th Street and “green” design, adding that it will be a
low rates on boat loans, now’s the time to
8th Avenue North in downtown Birmingham. Leadership in Energy and Environmental
finance your choice for fun in the sun.
The planned three story, 46,000 square foot Design (LEED) designated building. The new
• You have until April 15, 2010 to make IRA building will take up the half block between building will feature local and recycled
contributions for tax year 2009. Call or 16th and 17th Streets. The Credit Union’s materials, use natural light and other energy
stop by and talk with one of our IRA longtime Main Office at 1608 7th Avenue saving technologies, and be all electric.
experts today. North is next door to the new site, just a A completion date is projected in the first
• Vacation loans are available at your Credit block from Alabama Power’s Corporate quarter of 2011. Your Credit Union looks for-
Union. Make us your first stop before you Headquarters building. ward to serving its members even more
travel this summer. “We just keep growing and we had to efficiently in the future from our new Main
have more space”, said Larry Morgan, Office. We’ll keep you posted on the
• Please inform the Credit Union in writing President of the Credit Union. Mr. Morgan progress of the new building.
when your address changes.