Loans backed by your savings carry lower interest rates
It’s hard to get a job without experience—but how can you get experience without working at a job? The same Catch-22 occurs when you’re trying to establish credit: most lenders want to get a look at your existing credit record before they decide to give you access to their funds. Fortunately, share secured loans may help you out of this bind.
With a share secured loan, you can borrow money and use your Service Credit Union savings account as collateral. That means you’ll pay less interest than you would on other types of loans aimed at people who don’t have much of a credit record—all while you’re building up your credit.