When it comes to finding the right loans for your needs, a credit union can provide unique solutions to funding. If you want to secure the money you require without sinking further into debt, there are several advantages to taking out a line of credit rather than relying on traditional personal loans or credit cards.

3 Advantages of Lines of Credit from Credit Unions

1. Lower Interest Rates

Interest rates are on the rise, even if you have a stellar credit score. Though cards are convenient, the fees and interest rates can quickly add up, putting you in more debt than you bargained for. Lines of credit, on the other hand, have a much lower interest rate, letting you make the purchases you need without drastically increasing the amount you owe.

2. Higher Credit Limits

If you’re relying on a credit card to make all your purchases, you may reach your limit quicker than you anticipated. If you’re planning a large expenditure or need easy access to funds to support your business expenses during a tough time, a credit union’s line offers a higher limit. You’ll have more spending power when you need it most.

3. No Restrictions on Usage

Unfortunately, some loans have restrictions on how you can use the funds. When you receive a line of credit, there are no restrictions on how you spend the money. If you need to renovate your home or upgrade your business’s computers and equipment, you’ll be able to do so without receiving written consent or having to challenge the terms of the loan.

With hundreds of millions of dollars in assets and over 50,000 members across Hawaii, Hawaiian Tel Federal Credit Union is one of the leading financial institutions in the state, with a reputation for combining personalized service with technologically advanced personal banking solutions. Learn more about their broad array of services online, follow their Facebook, Twitter, and Instagram for news and updates, or call 832-8700 on Oahu or toll-free at (800) 272-5255 with any questions.