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MSUFCU shares ways to reduce financial stress during COVID-19 pandemic

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Posted at 11:26 AM, Jun 26, 2020
and last updated 2020-06-26 11:26:17-04

Staying physically healthy during these unprecedented times is crucial, but maintaining financial health is important, too.

MSUFCU Chief Marketing Officer Deidre Davis discusses strategies for keeping your finances in order as the COVID-19 pandemic continues around the world.

If your income has been affected, it may be difficult to keep up with your bills. If you are unable to pay a bill, contact your lender before missing a payment. Davis says many financial institutions are offering loan deferments, loan extensions, and refinancing options that lower interest rates to help consumers.

Don't wait to reach out to your lender if you know you won't be able to make a payment. Connecting early allows the institution to gather all the information needed so they can offer options for you to pay it back.

However, now's a great time to take advantage of low-interest rates, especially if you have a good credit score. Contact your financial institution to discuss how refinancing your auto or mortgage loan – or both – could save you money.

According to bankrate.com, 28 percent of adults don't have an emergency fund, and 40 percent can't cover an unexpected expense of $1,000. One way to ease the stress of having an unexpected expense is starting an emergency fund.

While it can be difficult to find it in the budget to put money aside, MSUFCU offers their members a Savings Builder℠ account. The account is designed to help you establish an emergency fund faster by paying you the most on your initial contributions. This is different from traditional savings accounts that require you to deposit more money to earn the highest rate.

You can start saving up to nine times more with Savings Builder’s tiered structure:

Tiers APY Range

Tier 1 - $0 - $999.99 .95%

Tier 2 - $1,000 - $1,999.99 .52% to .95%

Tier 3 - $2,000+ .37% to .52%

To learn more or to find a location near you, visit msufcu.org.