Unsecured Loan Overview

What is a benefit of Personal Loans?

• Lower Interest

• Faster Turnaround

• No Need for Signature

• Easier to receive approval

Answer explanation

There are many benefits to an Unsecured Loan, one being that the turn around is much faster (typically less than 24 hours) since there is no collateral associated with it.

What is the best Credit Card option to recommend for someone who has no previous credit history?

• Low Rate Platinum

• Platinum Rewards

• First Time User Credit Card

• Shared Secured

Answer explanation

First Time User Credit Card is a good option for someone who has never had credit history before. While Shared Secured could be a good secondary option, this is typically for someone building/rebuilding existing credit. We would want to see if they qualify for an unsecured card first.

A member can qualify for a $500 SPLOC without having a previously existing SPLOC.

• True

• False

Answer explanation

A member must have a $150 or $250 SPLOC with positive pay history for 12 months prior to qualifying for a $500 SPLOC.

Where can I locate the interest rate for a Readyline of Credit?

• OneNote - Processes Tab

• Symitar - Specfile

• PartnerNet - Current Rate Sheet

• PartnerNet - Print on Demand

Answer explanation

It is best practice to pull up your Current Rate Sheet from PartnerNet daily, as rates can change often.

Why is it more difficult for members to qualify for an Unsecured Loan?

• Easier for debt to escalate

• Greater Risk to WPCU

• No Collateral Associated

• All of the Above

Answer explanation

Without collateral being associated to the loan, the credit union is at great risk for loss. Typically, our Underwriters will look at comparable credit history, ability to repay, and payment history (on credit report and with WPCU).

What is a good Credit Card option to recommend for a member that states they plan to do a balance transfer from higher interest cards?

• Platinum Rewards Credit Card

• Low Rate Platinum Credit Card

• First Time User Credit Card

• Shared Secured Credit Card

Answer explanation

If the member plans on holding a balance or transferring one over from higher interest credit cards, the Low Rate Platinum Credit Card is a good option for the member to pay down that balance.

Where can I find stipulations in a Loan Application?

• Task List

• Loan Comments

• Stipulation Box

• All of the above

Answer explanation

You can locate stipulations in the stipulation box under your Loan Comments Section. This pulls over to your Task List - as the member completes stipulations, the partner who verifies this completion will mark it off under the task list. Loan Comments will usually reiterate any stips.

What is a good Unsecured Product to recommend if the member is doing smaller improvements, but does not have the exact amount yet?

• Readyline of Credit

• Personal Loan

• Platinum Rewards Credit Card

• SPLOC

Answer explanation

A line of credit is a great option for a member if they are working on repairs or home improvements and are unsure of the full amount they will need. The limit will be available for them as they pay off the balance to re-advance as needed.

This type of product should always Instant Approve or Instant Decline

• Shared Secured Credit Card

• SPLOC

• Personal Loan

• First Time User Credit Card

Answer explanation

A SPLOC should always Instant Decision - if you are not receiving an instant decision, check out Membership Length in their Long Application. It may need edited.