Make Banking Easier with Online Tools

Running errands to the local credit union has long been a time-consuming, yet necessary chore. Thanks to the onset of online and mobile banking tools, money management is now easier than ever. Many banking features are available from anywhere, allowing you to transfer funds from your couch or pay bills on your smartphone while waiting in line at the grocery store. Read on for an overview of the latest tools out there.

Who is Using Online and Mobile Banking Tools?

Mobile banking is a hot new trend quickly gaining popularity. A 2012 survey conducted by the Federal Reserve noted that nearly 28% of mobile phone users reported using mobile banking features during the previous 12 months. This represents a steady increase from the 21% who reported using mobile banking during the 2011 survey.

It may come as a surprise to many, but age does not seem to be much of a factor when it comes to mobile banking. The Federal Reserve survey noted the following mobile banking usage by age during the past 12 months:

• 21.5% — 18 to 29 year olds
• 26.9% — 30 to 44 year olds
• 27.2% — 45 to 59 year olds
• 24.4% — 60+ year olds

Mobile banking is not the only form of electronic banking on the rise. A 2013 survey by the Pew Research Center found that 51% of U.S. adults bank online, representing 61% of Internet users. More men than women use online banking, according to the research -- 63% to 58%. The online banking usage breakdown by age includes:

• 67% — 18 to 29 year olds
• 65% — 30 to 49 year olds
• 55% — 50 to 64 year olds
• 47% — 65+ year olds

This represents a steady growth rate from a 2010 survey by the think tank, revealing that 46% of U.S. adults, representing 58% of Internet users, said they bank online.

Both online and mobile banking users benefit from a wide-variety of tech savvy tools designed to simplify money management, including:

Mobile Banking Tools

For many people, banking from a smartphone is the ultimate in convenience. Mobile banking availability and features vary by financial institution, but are quickly gaining popularity. Popular features available through mobile apps and web browsers include the ability to check account balances, transfer funds, pay bills, deposit checks and find nearby ATMs and branch locations.

Online Banking Tools

Online banking has been around for a while, providing many customers with enough features to almost completely avoid the inside a financial institution. AltaOne and many other organizations offer a variety of features, including the ability to open new accounts online, conduct internal and external fund transfers, set up automatic bill pay, review your accounts 24/7 and set spending alerts.

Budgeting Tools

Online budgeting tools have made it easier than ever to manage your finances. To get started, all you have to do is create an account and these apps will aggregate your financial data, including loans, credit union accounts, credit cards balances, and more. Budgeting tools such as AltaOne's BudgetPro have features to help you track your expenses, showing you how much money you have in certain categories, so you can identify areas to cut back.

Loan Access

Skip the branch visit – you can apply for just about any kind of loan online at your credit union’s website. As long as you are a member, you can apply anytime, 24/7. Some credit unions even have online loan payment centers.

Final Word

If you are not already using online and mobile banking tools, now is the time to get started. The wide-variety of available services saves consumers a great deal of time and effort. Manage your money when and where it is most convenient for you.

Damaris Olaechea, NerdWallet

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Why Preapproved Auto Loans Make Sense

With so many credit unions and other financial institutions offering low auto loan rates, now is a great time to make that new car purchase you have been putting off. In addition, the minuscule auto loan rates are very tempting for those who may want to refinance their existing loan.

But before you go out to shop for your new ride, stop to think about your buying options. While going directly to the auto dealer seems to be the easiest route, the Consumer Financial Protection Bureau has warned consumers that dealer financing often results in higher interest rates. 

In addition, if you have ever experienced the sales pressure of the car dealer's financing department, you may want to consider a pre-approval from a credit union such as AltaOne. Auto loan pre-approvals from a credit union give the consumer greater negotiating leverage with the dealer, it speeds up the buying process and it will usually save a ton of money on the interest rate.

Check out the following pointers that will help you with the pre-approval and auto buying process:

1. Credit check Smart consumers obtain a credit history on a regular basis. Not only will it reveal your credit score (scores will vary, depending on the reporting agency), but this gives you the chance to correct errors on your credit. If your credit score is lower than you had hoped, you may want to tighten your budget and pay down some debt. This will improve your debt-to-income ratio and enhance your credit score.
2. Check out the local offers. As we mentioned, many credit unions and banks offer rate promotions. Shop around for the better deals.
3. Determine your budget.  What is the maximum car payment you can afford? What is the maximum down payment you can plop down on a new vehicle? This information will determine the flexibility when it comes to the vehicle selection and terms of your loan.
4. Visit your local credit union. The approval process is painless. Once the lender determines your eligibility, you will receive a "blank check" for a specified amount of money you can spend on a new vehicle. Once you select your vehicle, you give your "blank check" to the dealer, and they finalize the lending arrangements with your credit union.
5. The F&I guy will try to sell you. Many car dealer finance and insurance managers will attempt to offer you their own financing deals. They may have arrangements with other financial institutions that make it more lucrative for them. Listen carefully and do not let a sales pitch sway you.
6. You must carry adequate insurance coverage. All reputable auto lenders require consumers to carry a full insurance coverage on financed vehicles. This ensures that the institution recovers at least part of the loan balance in the event of total loss. If your down payment is less than 20%, you may need a GAP (Guaranteed Auto Protection) insurance policy that covers the difference between the amount the vehicle is worth as an insurance loss and the remaining loan balance.
7. Drive your new car home. You sign on the dotted line -- and now you have a new car. Stay current on your payments and enjoy that new car scent.

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