New mortgage rates provide flexible options and full prepayment
HAMILTON, ON, Jan. 23, 2012 /CNW/ - FirstOntario Credit Union, one of
Canada's leading member-owned financial cooperatives, today announced a
four-year fixed rate mortgage at 2.98% and a seven-year fixed rate
mortgage at 3.98%, effective immediately. The special rate offers -
available for new and renewed mortgages - come with standard
FirstOntario features such as a 90-day rate guarantee on pre-approvals
and accelerated payment options.
"As consumers, we all need to be on the constant lookout for ways to
reduce housing costs and eliminate debt faster," said Dave Schurman,
Executive Vice President and Chief Operating Officer, FirstOntario
Credit Union. "We urge anyone looking for a better deal than their
current bank is giving them to take advantage of these great rate
FirstOntario Credit Union is committed to helping members reduce
mortgage debt and become debt-free sooner. FirstOntario offers the
following tips to anyone shopping around for a mortgage:
Take a good look at your current financial situation to determine the
price range of homes available to you.
Consider applying for a pre-approved mortgage. Pre-approval defines your
price range and may give you an advantage over competing purchasers
when you make an offer.
Decide which mortgage is right for you. Whether to take a fixed rate or
variable rate mortgage may depend on the stability of your income and
your comfort level if interest rates start to rise.
If possible, make accelerated weekly or bi-weekly payments instead of
Make a larger down payment as a way of paying less interest over the
life of your mortgage.
Consider a shorter amortization. The shorter the life of the mortgage,
the less you will pay in interest in the long run.
Earlier this month, FirstOntario Credit Union launched a public
awareness campaign to educate consumers about the benefits of a
community-based credit union over Canada's big banks. The campaign's
website (www.MyOwnBank.ca) offers candid testimonials from consumers, links to products and
services, as well as a step-by-step guide to empower consumers to make
a change. The site also offers a step-by-step guide to help consumers
to leave their bank for good (www.myownbank.ca/Lose-Your-Bank).
A new, national survey conducted by FirstOntario in November 2011
revealed that 40 per cent of Canadians are unhappy with the high
service fees their bank charges them. The survey polled more than 2,500
Canadians on their banking practices, preferences, satisfaction levels,
and asked whether they would be willing to leave their bank. Of those
surveyed, 42 per cent indicated they are either 'unsatisfied
completely' or only 'somewhat satisfied' with their current bank.
Nearly 10 per cent said they are reluctant to switch because it is the
only bank they have ever had, or they feel that switching would be too
Canada has the world's highest per capita membership in the credit union
movement, with more than 10 million Canadians and small business owners
- roughly one-third of the Canadian population - presently being served
by the credit union/caisse populaire system. Credit unions provide the
same products and services expected from a financial institution but
with a personal, friendly touch and a commitment to invest back in the
communities in which they operate. Credit unions differ from banks and
other financial institutions in that the members who have accounts in
the credit union are owners of the credit union and thus have a voice.
About FirstOntario Credit Union
In business since 1939, FirstOntario Credit Union has more than $2.9
billion in funds under management, serves over 85,000 Members and
offers a full suite of banking products including daily banking,
mortgages, lines of credit, loans and investments. FirstOntario
operates 21 full-service branches and two satellite branches serving 13
communities across the Hamilton, Halton, Niagara, Haldimand/Norfolk and
Oxford regions and Membership at FirstOntario is open to anyone.
FirstOntario is a proud advocate of the communities we serve and
supports many important community organizations. FirstOntario is a
founding sponsor for Hive Hamilton, and supports Co-operative Young
Leaders (CYL) and youth at risk through Soupfest. FirstOntario also
offers a scholastic bursary program and a microlending program in the
Hamilton and Niagara regions. For more information please visit: www.FirstOntarioCU.com and www.MyOwnBank.ca.
SOURCE FirstOntario Credit Union
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