Choices - Franklin Mint Federal Credit Union

F R A N K L I N
M I N T
F E D E R A L
C R E D I T
U N I O N ’ S
M A G A Z I N E
Choices
ISSUE 1, 2006
TM
Wise words
from Philly's
top patriot
5 WAYS TO GROW
YOUR SAVINGS
HELP FOR NEW
HOMEBUYERS
MACDADE BRANCH
TO OPEN THIS SPRING
CORRECTING
CREDIT PROBLEMS
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BAD-02-06-8607
p r e s i d e n t ’s u p d a t e
Choices
TM
FRANKLIN MINT FEDERAL CREDIT UNION’S
MAGAZINE
ISSUE 1, 2006
Publisher
John D. Unangst
Managing Editor
Natalie Pantaleo Smoley
Executive Art Director
Peter Richardson
Executive Editor
Jim Murphy
Supporting Editor
Christine Trabosh
Photography
Lien-Nibauer Photography
Charlene Barth, American Candids
Circulation: 60,000 Members and Business Offices
For permission to reproduce any article in this
magazine, to request advertising information or
to submit a Letter to the Editor, contact:
Choices Magazine
1974 Sproul Road, Suite 300
Broomall, PA 19008
610-325-5100
610-325-5299 (fax)
[email protected]
Choices is the official magazine of Franklin Mint
Federal Credit Union. It is published for the benefit
of our current and prospective members and
sponsoring organizations. The information presented
is as accurate as possible, but as with all financial
matters, you should consult your financial, tax or
other advisors before implementing any of the ideas
presented. For specific information about any FMFCU
product or service mentioned, please visit our Web
site at www.fmfcu.org. You can also call the Member
Service Center at 610-325-5100 (for calls originating
outside of PA, call toll-free 1-800-220-3193).
© 2006 Franklin Mint Federal Credit Union.
COVER PHOTO:
Birthday Boy Ben Franklin offers advice to
Eddystone Elementary School students.
Dear FMFCU Family,
As you’ll quickly see as you read through Choices, the key theme for
this issue is saving and growing your money.
And it's a critically important topic, because most Americans
simply aren't thinking enough about retirement. Or saving enough.
With people today living far longer than before, outgrowing your
money in retirement is a real possibility. And we don't want that
happening to you.
So we've included stories in this issue of Choices about ways
to grow your money in IRAs. About annuities available from our
Investment Center. And about our increased participation with the
Consumer Credit Counseling Service of Delaware Valley (CCCSDV),
to help our members overcome credit problems and learn how
to increase savings.
We're also very pleased to tell you about plans for our new
MacDade Branch in Holmes, Ridley Township. It took a long time
to find the right location, but we think this new branch will provide
the convenience, location and parking our members want.
Of course, work in our new Media branch is also progressing, and
we hope to open this "Credit Union of the future" before the summer.
You'll also see a major story about "Phishing," and how Internet
scammers are trying to steal your identity. I suggest you take the Phish
Test. You'll quickly learn how to spot e-mails that are real, and those
that are rip-offs.
Enjoy reading this issue. As always, let us know what you think
of it … and our progress here at FMFCU. Feel free to e-mail me at
the address below.
Sincerely,
John D. Unangst
President and CEO
[email protected]
P.S. Check out our exciting new "Bump" Certificate insert in the
magazine. Now you have more reasons than ever to put
money into certificates.
w h a t ’s i n s i d e
5 Ways to Grow Your Money
5
Q & A on Deferred Annuities
7
Rapid Reward
9
16
Looking for Your First Home?
16
Speaking Frankly
22
departments
Branching Out
24
Newsbriefs
10
Run the Numbers
26
Tax Tips
27
3
4
Dr. Franklin
STRESSES savings
But says he was misquoted on the "penny saved" proverb
W
HEN BEN FRANKLIN (in the person of ace portrayer
Ralph Archbold) addressed students at Eddystone Elementary
School on January 19, he emphasized teamwork, cooperation and
community service, all qualities the original patriot was famous for.
He also denied ever stating, "A penny saved is a penny earned."
What he really said was: "A penny saved is
twopence clear." His meaning, he told the
students, is that the collecting is not important.
"It's what you do with that penny."
"Put it in a bank, and it will grow. Put it in a
credit union and it might grow even faster."
5 easy ways to make your money grow
(and enjoy big tax advantages, too)
W
ITH 2005 IN THE BOOKS and 2006 in its
early stages, this is a perfect time of year
to make some key financial decisions.
Not only can you dramatically improve your
chances of enjoying a comfortable retirement …
you could gain important tax benefits as well.
more money into your retirement
1 Put
accounts on a regular basis
"The best thing for the average member," says
Investment Coordinator and Certified IRA
Professional Cecily Venkatesh," is to contribute
as much as they can to a 401(k) or Individual
Retirement Account (IRA) on a regular basis."
Periodic contributions are the key to success, she
says, and most people can contribute more than
they presently are.
Despite their concern about the future of
Social Security, very few eligible Americans —
some experts believe the number is as low as 8%
— contribute to IRAs.* Moreover, says Russ Wiles
of the Arizona Republic, almost 60% of workers
between the ages of 21 and 64 have neither IRA
nor 401(k) accounts.+
"leeway period" to still make a 2005
2 Use
contribution … or to open a new IRA
It's not too late to contribute to an IRA for 2005.
In fact, this year you actually have two extra
days to do it. For most consumers, April 17, 2006
is the last day to contribute for the prior year.
If you have the funds, you also can combine
your 2005/2006 contributions into the same
investment.
close attention to fees
3 Pay
you're paying
FMFCU doesn't charge fees to open an IRA,
make changes or to close one.** That's our
policy. But many financial institutions take a very
different approach. They may charge monthly
administrative fees of $2.50 on up, annual fees
of $10 to $75, and transfer fees ranging from $40
to $75, all of which take money right from your
account. One major tax preparer sells people on
opening IRAs with their refunds, then charges an
excessive custodial fee.
What to do? Examine your statements. Ask
about fees before opening any account. You may
be surprised.
catch-up contributions
4 Make
if you are eligible
Concerned about America's lack of preparation
(Continued on page 6)
5
This contractor builds up
his retirement funds
W
HILE ATTENDING the Williamson
Free School of Mechanical Trades,
general contractor Dean Iacobucci
took a small-business finance class. It's
paid dividends for him ever since, and
helped him manage his money.
Dean, an FMFCU Member since 1996,
has opened a number of IRAs over the
years, and is opening up a SIMPLE IRA
now "so I can put away a little more."
He started his first IRA in 1992, when
he graduated from school, and has been
adding them ever since. "I just do it to
get the write-off for the end of the year
and to get a real break on taxes."
"Most people don't know how to
manage money," he adds. "It burns a hole
in their pocket. I don't want to work ‘till
I'm 80."
Dean says he does almost all his
banking at FMFCU. This includes home
equity loans to purchase company
vehicles, certificates, money markets,
and more.
Now, he also is putting money into a
Tuition Account Program (TAP) 529 for his
children, "so I'm not burning my money
up when I'm paying for their college."
Dean Iacobucci knows how to manage money.
(Continued from page 5)
for retirement, Congress authorized catch-up contributions
in the Economic Growth and Tax Relief Reconciliation Act
of 2001. For 2005, your maximum contribution was
$4,000, and your catch-up figure for people age 50 and
over by December 31 was $500. For 2006, the numbers
are $4,000 and $1,000. Take advantage of these increased
contribution limits. (To be sure you are eligible, consult
your tax advisor.)
opening a Variable
5 Consider
Rate IRA paying 5.00% APY
you can put it into a Roth, pay no tax ever, and it's yours
free and clear," Cecily says.
You also can open an FMFCU flexible Variable-Rate
IRA as a Roth or traditional IRA with as little as $5. Of
course, after that, it's best to save a little money
automatically every payday, which is easy to do with
automatic payroll deductions. Open your IRA today and
start earning a generous Annual Percentage Yield (APY)
of 5.00%. "Many banks are paying 1 to 1.5% on IRAs,"
Cecily says. "We pay 5% APY."++
++
After the last issue of Choices highlighted FMFCU's
flexible Variable-Rate IRA, Cecily Venkatesh received
a number of phone calls … and many requests for
applications. At press time, most of the applicants —
who were younger people — had chosen Roth IRAs.
They like the flexibility, Cecily says. "They can take their
contributions out of a Roth IRA if they have to, without
being penalized. A Roth is like a super, super savings
account."
"Rather than putting money into a money market,
6
For more information, visit our Web site at www.fmfcu.org,
or call the Member Service Center at 610-325-5100.
*
Participation in Voluntary Individual Savings Accounts: An Analysis of IRAs,
401(k)s, and the TSP, by Glenn R. Springstead and Theresa M. Wilson, Social
Security Bulletin, Vol. 63, No. 1, 2000.
+
Bush Plan Would Restack Savings, Arizona Republic, March 6, 2005,
http://www.azcentral.com/specials/special37/articles/0306MyMoney06.
**
++
Early withdrawal penalties do apply to IRA Certificates.
5.00% APY (Annual Percentage Yield) is quoted as of 2/1/06, with a rate of
4.89% and is subject to change at any time. Withdrawals of taxable amounts are
subject to current income taxes and if made prior to age 59 1/2 may be subject
to a 10% federal tax penalty. Check with your tax advisor.
Q&A
DEFERRED ANNUITIES
An interview with Brian Fee, Registered Representative,
CUSO Financial Services, L.P. (CFS)
Q: Why are deferred annuities getting
so much attention in the press
recently?
A: A couple of reasons. One, because
annuities give people a way of being
in the market without a risk of losing
their money. And two, because many
people today are afraid of outliving
their retirement money.
Q: What is an annuity?
A: An annuity is a contract between you
and an insurance company that has
two phases. The first phase is called
the accumulation phase, in which your
money grows tax-deferred. The
second phase is called the distribution
phase. You can make distributions
through either direct withdrawals, or
what is called annuitization.
potentially participate in the
upside of the market. Guarantees
are subject to the claims paying
ability of the issuing insurance
company.
Q: Are you required to take money
out of your account at any
specific time?
A: No, unless your annuity is part of
a 401(k) or 403 (b) plan, you don't
have to start withdrawing your
money at any particular age. In
addition, when you do a plain
withdrawal, you can turn the spigot
on and off. You can take money
out, raise or lower the amount or
stop taking money out at all.
Most companies allow a certain
amount to be withdrawn every
year without penalty. Some even
allow free withdrawals in the event
of a nursing home emergency or
terminal illness. Limits and exceptions
apply, depending on the specific
product and if it's structured properly.
If you surrender your annuity early, you
may have to pay a surrender charge
that may reduce or eliminate any
return, and it may be subject to a 10%
tax penalty if surrendered prior to age
59 1/2.
Q: Are annuities guaranteed by the
federal government?
A: No, they're not. That's why we only
look for the highest qualified
companies, those who have top ratings
and who have been around for a long
time. Annuities are guaranteed by the
(Continued on page 8)
Q: What is annuitization?
A: Annuitization is a stream of payments
that continues for a defined length of
time, including up to the lifetime of
the recipient. The annuities I'm going
to discuss here are Fixed Annuities
and Equity Indexed Annuities (EIAs).
With these, you set aside money that
grows tax-deferred until you take it
out. (For information about Variable
Annuities, please call 610-480-9996).
Q: Can you tell us more about
annuities?
A: There are two types I want to focus
on today.
1. Fixed Annuity: You lock in a fixed
rate of return for a fixed number of
years. The fixed rate is guaranteed
by the claims paying ability of the
issuing insurance company.
2. Equity Indexed Annuity: You get
a guaranteed minimum return, say,
for example, 3%, usually with an
interest rate cap. The upside is tied
into an index, like the Standard &
Poor's (S&P) Index. If the S&P goes
up 10%, and the cap is 7%, you get
the 7%. In this example, 3% is the
least you would make and 7% is the
most. This type of annuity locks in a
guaranteed rate and allows you to
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7
(Continued from page 7)
claims paying ability of the issuing
insurance company.
Q: Should FMFCU members consider
annuities in their retirement
planning?
A: That's a personal decision. And there
are a number of retirement strategies
to consider. For some people, life
insurance may be a better answer. For
others, annuities give them a chance
to have exposure to the market with
lower risk. You don't have to be afraid
of losing money.
Q: Any final thoughts?
A: Most people are not aware that these
products exist. EIAs allow you to
participate in the gains of an equity
index and help make sure you don't
outlive your money. For a number of
our members, annuities may be the
right answer. We won't know for sure
until we sit down and learn what
their risk profile is like, and what their
retirement goals are.
Investment products and services offered through
CUSO Financial Services, L.P. (CFS), an independent
broker/dealer, are not NCUA/NCUSIF insured, not
credit union guaranteed and may lose value.
Representatives are registered through CFS (Member
NASD/SIPC).
Will you outlive your money?
According to CUSO Financial Services, recent
insurance industry actuarial tables show the
following:
• A 65-year-old-male now has a 50%
chance of living to age 85 and a 25%
chance of living to age 92.
• A 65-year-old-female now has a 50%
chance of living to age 88 and a 25%
chance of living to age 94.
• COUPLES who are both 65 have a 50%
chance of one living to age 92!
Brian Fee
For people without traditional pension plans,
an annuity may provide needed income
during these remarkably long retirement
periods.
For more information about annuities, call
Brian Fee at 610-480-9996 or e-mail him
at [email protected].
S T U D E N T L O A N S ARE NOT ALL THE SAME!
Looking for funds to finance a college education?
Consider these money-saving tips from PHEAA and
American Education Services (AES).
• Always exhaust your federal loan eligibility first,
because these loans tend to offer the lowest
interest rates.
• Be aware that all federal Stafford Loans are not
the same. For example, compared to a standard
Stafford Loan, KeystoneBEST SM Stafford Loans
can save a typical borrower nearly $1,200.
• Parents can take out KeystonePlus Loans to cover
education costs that remain unpaid by grants,
scholarships and Stafford Loans — also through AES.
A partner with FMFCU in providing student loans, PHEAA
does business nationally as American Education Services.
For more details about any of these loans,
1-800-338-5000,
call
or go to
FMFCU WIDENER UNIVERSITY BRANCH
8
www.aesSuccess.org
FMFCU'S LENDER CODE IS 834156.
Please be sure membership has been established before applying.
Katherine Terregossa, shown here with
her two children, Lucas (in her arms)
and Diane, got "goose bumps" and
an unexpected reward from FMFCU.
you.'" Member Katherine
Torregrossa's reaction? "Oh, you
made my day," she said. "I've got
goose bumps."
As the mother of two kids,
Katherine doesn't like to carry cash.
Nor does she want to lug around a
lot of change in different pockets.
Instead, she just uses her FMFCU
debit card. "I am the debit card
queen. I use it five times a day. If he
followed me around all day, I'd have
gotten a lot more than $25.00."
"I got the reaction I was looking
for," John said. "Now we've decided
to arm 20 of our managers with gift
cards to do the same."
So look over your shoulder the
next time you use your FMFCU debit
card. There may be an FMFCU
employee waiting to reward you.
"Just use your FMFCU Visa check
card wherever you shop," John says.
"At Wawa. At the mall. Wherever." If
an FMFCU manager spots you, you'll
get a $25.00 reward on-the-spot.
Now that's instant gratification!
Rapid reward:
You may get a $25.00 gift … just for using your
FMFCU Visa® Premier Check Card
ECAUSE FMFCU's blue/green
Visa Premier Check Card is
very distinctive, John D.
Unangst, FMFCU's President and CEO,
notices whenever a shopper near him
uses the card. And usually he just
chuckles to himself.
But after his son John-David,
a college student working this past
summer at Wawa®, said he was seeing
a lot of FMFCU debit cards, John got
the idea to do more … and reward
members for usage.
B
It's showtime!
So last December, John armed himself
with a few $25.00 Visa prepaid gift
cards (available at most FMFCU
branches) and set out to do some
holiday shopping … and rewarding.
"But before I started, I decided to
grab a bite to eat for lunch," he said.
Almost immediately, while waiting
in line at The Granite Run Mall Subway®
store to order a sandwich, John saw a
young woman with two children paying
for lunch with FMFCU's debit card.
"The Credit Union staff wondered
how someone would react when a
stranger approached bearing gifts,"
he said, "so I was a little apprehensive.
I walked up and said, 'I don’t mean to
interrupt your lunch, but I couldn’t help
but notice that you just used your
FMFCU debit card. I am the President
and CEO and I want to show our
appreciation to you for using the card.
Here is a $25.00 gift card to say thank
Advantages of your
FMFCU Check Card
■
24-hour access to your money
at ATM and Visa debit locations
■
Accepted at millions of retailers
worldwide, including online
■
Access to FMFCU Personal
Line of Credit
■
Looks like a credit card, but
acts like a check and ATM
card combined
■
Easier to use than a check and
safer to use than cash
9
newsbriefs
HELPING THE COMMUNITY
FMFCU employees, and those from State
Financial Network, Inc. (SFN), a wholly
owned FMFCU subsidiary, donated their
time, money and talent to a wide variety
of worthy causes in 2005.
United Way — In a "tough year" that
saw FMFCU employees supporting
victims of the Asian Tsunami, Hurricane
Katrina and other natural disasters,
United Way Committee Co-Chair Diane
Lastowka thought reaching the
committee's higher 2005 campaign goal
of $10,800 might be difficult. Instead,
FMFCU employees blasted past that
number and raised $13,571.
"Our employees never cease to
amaze me with their generosity," says
Diane, who co-chaired the campaign with
Human Resources Supervisor Michelle
May. Fund-raising efforts included a
4.3-mile walkathon at Ridley Creek State
Park, a pie sale at Thanksgiving, and
several "Denim Days," in which
employees paid $5.00 for the privilege to
wear jeans on a particular day.
Habitat for Humanity's House in a Box
program — Employees prepared gift
baskets and filled mason jars with dry
cookie and brownie ingredients for a craft
and bake sale that raised $1,527.51 for
the Lancaster Area Habitat for Humanity.
FMFCU then matched the donation. The
funds may go to purchase such items as
doors, windows or the construction of
walls for homes.
"Everything was supplied by
employees, friends and family members,"
says Sharon DiIllio of SFN. Joining her
in the fund-raising effort were: SFN
co-worker Mary Spadaro, and FMFCU's
Mary Luberda and Linda Powell.
SFN services mortgages for the
Lancaster Area Habitat for Humanity as
a charitable donation. "They're not
mortgage people. We do that for them,"
Sharon says, "so they can concentrate on
providing housing."
Adopt-A-Family Program — FMFCU
employees teamed up with City Team
Ministries of Chester to sponsor children
in the Adopt-A-Family program. Kelly
Donnelly and her co-workers bought,
collected and wrapped gifts for ten
children between the ages of 1 and
12 from three local families. This was
the 11th consecutive year FMFCU has
participated. Because of increased
employee contributions from year to
year, FMFCU is able to adopt more
families each time we participate.
Operation Warm — Besides a $1,500
donation, which provided 100 coats
for Delaware County children in need,
FMFCU also collected 45 coats for
Operation Warm for the first time ever
via the Credit Union's branch offices.
EDUCATING STUDENTS
ABOUT FINANCES
"We're continuing to operate our
financial education seminars for high
school seniors — this time at both
Interboro and Springfield high schools,"
says Rick Durante, FMFCU Assistant
Vice President & Director of Education.
Springfield's branch opened last
October.
Topics in the seminar's four
45-minute programs include: saving
money, establishing credit, using credit
cards correctly and preventing identity
theft.
Feedback has been positive from
both teachers and students, Rick says,
noting that Interboro invited FMFCU
back to run the seniors' program for the
second straight year.
5 U.D. STAFFERS
CHOSEN FOR MARKETING
COMPETITION
Dawn Bressler, FMFCU Vice President and Regional Manager (left), and Peggy Barnum, FMFCU
Riddle Hospital Branch Manager, present Martha Grieco, Operation Warm Liaison (far right)
with a $1,500 donation in support of Operation Warm during Riddle Memorial Hospital’s
Annual Country Fair.
10
Five staffers at FMFCU's studentoperated branch at Upper Darby High
School were selected to participate in
a recent conference sponsored by
Distributive Education Clubs of America
(DECA), a national association of
marketing students, at the Crowne Plaza
Hotel in King of Prussia. They were:
Steve Lonergan, Quinh Nguyen,
Davinder Singh, Shannon Donnelly
and Julie Caufield. All five competed
in the Financial Services Management
category, says Dot Brooks, Member
Service Representative at the Delaware
County Memorial Hospital Branch
(DCMH).
In testing that included a 100question written exam and role-play
presentations, Lonergan, Nguyen and
Singh all placed in the top ten, and will
continue on to state-level competition
in Hershey, PA. Lonergan also scored
highest on the written exam for
Financial Services Management. Over
500 students competed in the various
categories.
QUICK HITS
FMFCU is processing applications for
the John D. Unangst Scholarship. As in
past years, the Credit Union will award
three $1,500 scholarships this year.
FMFCU again is the primary
corporate sponsor of Delaware County
Hi-Q, the oldest continuous academic
quiz competition in the nation. Some 21
area schools are participating this year.
SCAMMERS IMITATE
NOTICE FROM IRS
Not even the Internal Revenue Service
(IRS) is immune from being used as
part of a phony "phishing" campaign.
In December, a very realistic-looking
phish, purportedly from the IRS,
posed as a tax rebate notification. The
e-mail asked recipients for personal
information, such as their first and last
name, social security number and credit
card information.
The brazen phish quoted the
Privacy Act of 1974 as its legal right for
demanding private information. It also
warned of penalties and possible
criminal prosecution for failure to
comply.
"The IRS does not ask for personal
identifying or financial information via
unsolicited e-mail," the agency said in
a news release warning taxpayers about
the scam. So be sure you don't get
hooked.
NEW
HOME BANKING
& BILL PAYER
is uniquely yours!
It's easy to customize, easy to use
New enhancements let you do more in less time. Now you can:
• Enable someone you choose to share your account (under conditions
and limits you set). Great for those with children away at college.
• Track savings bond maturity dates and receive dividend updates automatically
• Place a check Stop Payment online
• Set e-mail alerts to notify you about specific events, such as: CD's maturing,
checks clearing, transactions over a certain amount, and more
• Personalize the names of your accounts in your own language, such as:
Share Account, Taxes, SUV Loan, whatever you wish.
It's like having your own personal home banker.
PLUS … look for even more online services coming throughout the year:
• Additional calculators
• Bills delivered electronically to your
Bill Payer account
For details, visit
FRANKLIN MINT
FEDERAL CREDIT UNION
www.fmfcu.org
The Credit Union of Choice! ®
DOUBLE-CHECK these BIG
Performance Checking benefits
✔ Earn dividends like a money market
■
%
✔ Enjoy unlimited check-writing ability 3.50
■
APY*
Performance Checking is for members with high balances … and high
expectations for their checking accounts. Of course, they’re NCUA-insured!
YOU GET:
• FREE Safety Deposit Box
for One Year
• FREE Direct Deposit
• FREE FMFCU ATM Access
• FREE VISA® Premier Check Card
• FREE 24-hour Home Banking
• FREE 24-Hour Online Bill Payer
• FREE 24-Hour Telephone
Banking
• FREE Cashier Checks and
Money Orders
• FREE Statement Copies
• $25 Annual Credit toward
Check Purchases
Get the performance you want!
Call 610-325-5100 or visit www.fmfcu.org
and ask about all of our great savings rates!
FRANKLIN MINT
FEDERAL CREDIT UNION
The Credit Union of Choice! ®
* Annual Percentage Yield (APY) is effective from 2/1/06 through 6/30/06 on balances of $10,000 or greater.
To avoid fees, the Performance Checking Account requires a $10,000 Minimum Balance or combined deposit
account balances of $25,000 or greater.
11
What's
wrong with this e-mail?
Is it real … or a rip-off?
Can you tell the difference between an authentic
e-mail, and "phish"?
A phish is a high-tech scam designed to get
you to disclose personal or credit card information.
It's really a phony e-mail that appears to come from
a legitimate organization, and links you to a bogus
Web site. If you "bite," those responsible can reel
you in and steal your identity.
Below are some DOs, DON’Ts and
PhishFacts to help protect you against this all-toocommon rip-off.
But before you read further … take a look at
the MailFrontier Phishing IQ TestTM II below.
Developed by an e-mail security company
that protects organizations against inbound and
outbound threats, this quiz is a real eye-opener.
Take the MailFrontier Phishing IQ TestTM now!
Just go to: http://survey.mailfrontier.com/
survey/quiztest.html
DOs and DON’Ts
DO ...
FMFCU's answer to phishing
DON'T ...
■
Be suspicious of any e-mail asking
you for personal or confidential
information. Most legitimate
companies will not ask for passwords
or billing information via e-mail.
■
Don’t give out any personal or credit
card information to any e-mail that
appears questionable. Instead, log
onto the Web site directly by typing
the Web address in your browser.
■
Be cautious about clicking on links in
an e-mail message. These links can
send you to pages that look real, but
are phony.
■
Don't use links in an e-mail to go to
any Web page that you think may not
be authentic.
■
Be especially wary when the link
includes an "@" sign. In some
browsers, everything to the left of the
@ sign is disregarded. Pay careful
attention to everything to the right of
the @ sign. Does it look legitimate?
■
■
■
Make sure you are on a secure Web
site whenever you submit sensitive
information. Examine the Web
address in your Browser Address Bar
at the top of your screen. It should
say: https://www — not http//:www.
The "s" designates a secure site.
Report any suspicious e-mails to
[email protected].
If you think you've received a
fraudulent e-mail that appears to be
from FMFCU, please forward it to:
[email protected]. And see FMFCU's
answer to phishing in the third column.
Check out:
lookstoogoodtobetrue.com. This site's
purpose is to help prevent you from
becoming a victim of Internet fraud.
It informs you about common Internet
scams, and includes FAQs, tips, ways to
report fraud to the Internet Crime
Complaint Center (IC3), and more.
NOTE: For the latest Phish examples,
go to: "Phishing Expeditions" at
http://www.snopes.com/inboxer/scam
s/phishing/phishing.asp#phish
FMFCU's latest technology allows you
to identify authentic FMFCU e-mails
when they arrive. As of December 8,
2005, you will see a unique "E-mail
Key" at the bottom of every e-mail sent
to you from FMFCU’s general addresses.
This key is a 128-bit Globally Unique
Identifier (GUID), which will be different
for each e-mail sent to you from our
[email protected] or
[email protected]
addresses.*
See below for an example of what the
key will look like in the bottom-left
corner of these e-mails:
If you are no longer interested in receiving our electronic
communications, please click here.
E-mail Key: 053923A8-7599-473C-BBE5-F15F3FE97BDC
P H I S H FACTS
Phish e-mails flooding our mailboxes look remarkably authentic
and can easily deceive you.
Here are recent phish statistics
compiled by the Anti-Phishing
Working Group (APWG) and the
Federal Trade Commission (FTC).
5.7 Billion
Number of phishing e-mails sent
each month (APWG)
$1,200
Average loss to each person
successfully phished (FTC)
13,228
Average number of unique
phishing attacks per month (APWG)
And remember: FMFCU will never
ask for verification of your personal
information other than through our Web
site (www.fmfcu.org) or our e-mail
system.
You can validate an e-mail sent to you
from FMFCU by calling the Member
Service Center at 610-325-5100. Just
provide the key or your e-mail address
and a Member Service Representative
will verify the e-mail. If you'd like, the
Member Service Representative can
even send you the e-mail again.
In addition, in the second quarter of
2006, you will be able to verify FMFCU
e-mails online inside Home Banking.
We'll let you know when this service is
available.
* E-mails sent directly from our Member Service
Representatives or other branch employees will
not include an E-mail Key. Only e-mails sent
from [email protected] and
[email protected] are included.
13
FINANCIALS
Franklin Mint Federal Credit Union Chief Financial Officer's Report
2005 proved to be another successful year for FMFCU.
We opened new branches, added more ATMs and
introduced new products and services for our members’
convenience. Our member service standards remain high,
and, as illustrated below, our financial performance in
2005 was strong.
The Credit Union’s loans to members grew 6.9% or
almost $19 million. Members' shares increased 6.7%
to $325 million. Capital grew at a rate of 17.5%, and
our assets rose 13.3% to $377 million.
Annual audits performed by FMFCU internal and
Michael B. Magnavita, CPA
Executive Vice President/Chief Financial Officer
Franklin Mint Federal Credit Union
and Subsidiaries
Franklin Mint Federal Credit Union
and Subsidiaries
Consolidated Balance Sheets
Consolidated Statements of Income
(Per NCUA Call Reports)
(Unaudited)
(Per NCUA Call Reports)
(Unaudited)
December 31, 2005 and 2004
December 31, 2005 and 2004
Assets
14
external independent auditors and the National Credit
Union Administration (NCUA) help us maintain the highest
standards of accuracy in our accounting records and
reports. These audits also aid us in complying with credit
union regulations.
We appreciate the continued support of our valued
members and sponsors … and with your assistance, look
forward to many more successful years in the future.
2005
2005
2004
Loans to Members, Net
$ 294,362,000
$ 275,423,000
Cash and Cash Equivalents
$ 12,417,000
$ 23,209,000
Investments
$ 48,985,000
$ 26,722,000
Loans Held for Sale
$ 12,861,000
Equipment and Leasehold
Improvements, Net
$
2,385,000
$
1,795,000
NCUSIF Deposit
$
2,643,000
$
2,467,000
Other
$
3,813,000
$
3,497,000
Total Assets
$ 377,466,000
Interest Income:
Interest and Fees On Loans
$ 17,616,000
$ 15,667,000
Interest On Investments and
Interest Bearing Accounts
$ 2,171,000
$ 1,184,000
$ 19,787,000
$ 16,851,000
Dividends On Members' Shares
and Savings Accounts
$ 6,547,000
$ 5,049,000
Interest On Borrowed Funds
$
—
Interest Expense:
$ 333,113,000
$ 12,873,000
$ 11,779,000
Liabilities:
Provision For Possible Loan Losses $
Notes Payable and LOC’s
$ 17,785,000
Accounts Payable and
Accrued Expenses
$
Total Liabilities
$ 347,586,000
$ 307,676,000
Equity, Retained Earnings
$ 29,880,000
$ 25,437,000
Total Liabilities and Equity
$ 377,466,000
$ 333,113,000
4,221,000
$ 305,047,000
—
$
2,629,000
23,000
$ 5,072,000
Net Interest Income
$ 325,580,000
367,000 $
$ 6,914,000
Liabilities and Equity
Members’ Shares and
Savings Accounts
2004
465,000
$
785,000
Net Interest Income After Provision
For Possible Loan Losses
$ 12,408,000
$ 10,994,000
Noninterest Income
$ 5,683,000
$ 5,372,000
Noninterest Expenses
$ 15,989,000
$ 14,331,000
Operating Income
$ 2,102,000
$ 2,035,000
Other Income
Gain/(Loss) On Sale Of Investments
$
(185,000) $
86,000
Gain On Sale Of Loans, Net
$
3,240,000 $
497,000
Net Income
$ 5,157,000
$ 2,618,000
Assets
47,943
$377,466
in thousands
1995
2000
2005
1980
1985
1990
Capital
Branches
$140,082
1975
$107, 302
1990
$33,775
5,467
2,250
1985
$5,366
1980
$828
1975
2,250
1,008
22,500
$204,560
34,000
40,590
Membership
1995
2000
2005
in thousands
$29,880
21
18
$15,452
14
1975
1980
1985
1990
1995
2000
2005
1980
1985
1990
$6,985
1975
$3,209
$925
1
$131
3
2
$21
8
1995
2000
2005
15
LOOKING FOR YOUR
FIRST HOME?
FMFCU offers
you low-to-no
down payment
programs
The O'Toole family seems
delighted with their new
home — which was
purchased through
FMFCU. Shown here are
(left to right): Front row:
Timothy and Kevin;
Middle row: Evan,
Maureen and Patrick;
Back row: Michael
O'Toole, Brain and
Michael’s wife Nancy.
The O'Toole's have been
members since 2000.
I
N ITS 21ST YEAR of providing mortgages to
members, FMFCU will concentrate on assisting
first-time homebuyers with little or no money for
down payments, says Marty Burke, Assistant Vice
President and Mortgage Development Officer.
This will be the main focus for 2006 Mortgage
Seminars hosted by FMFCU at various locations
throughout the year — watch our Web site for
announcements of upcoming events.
Our professional staff of mortgage advisors will
rely on a new suite of loans specifically designed
16
to help first-timers secure a home:
■
Mortgage 100
■
Mortgage 97
■
3/2 Adjustable Rate Mortgage (ARM) Program
"The biggest challenge facing first-time homebuyers
is the need to save for both a down payment and
closing costs," Marty explains. They simply are
unaware of what closing costs include, and the
amount of funds needed to close their purchase.
Many homebuyers are surprised to learn
that closing costs range roughly
between 4-8% of the purchase price of
a house — depending on its location.
(Keep in mind that taxes vary from township to township.) These costs include:
■
■
■
■
■
■
■
■
■
■
■
■
Application fees
Points (if any)
Underwriting fees
Document preparation
Prepaid interest
Hazard insurance
Notary fees
Title insurance premium
Recording fees
Transfer taxes
Endorsements
Pro-rated real estate taxes
There are agencies that can assist
qualified buyers with these expenses.
However, with the new mortgage loans
available at the Credit Union, members
can benefit from low-to-zero-down
payments and apply the funds they have
saved toward their closing costs. Take a
look at some of the options …
Mortgage 100
Teachers, firefighters, law enforcement
personnel and healthcare professionals
represent a sampling of our members
who have taken advantage of this nomoney-down mortgage. This mortgage
offers greater flexibility with regard
to credit scoring, source of funds
requirements and debt-income ratios —
all factors considered in the approval
process. While interest rates tend to be
slightly higher on loans that offer 100%
financing, rates are still at an all-time
low, making this an ideal choice for
qualified first-time buyers.
Mortgage 97
Similar to Mortgage 100, this loan offers
members flexibility and savings.
However, it requires a 3% down
payment, which in turn lowers monthly
payments and provides the buyer with
some equity in the home right from
the start.
3/2 ARM Option
Unlike the two fixed-rate loans
described above, our 3/2 ARM is an
Adjustable Rate Mortgage. What this
means to a first-time homebuyer is a
lower initial interest rate for the first
three years. With these types of loans,
interest rates can adjust every two years
thereafter — either up or down —
depending on the economy and rate
environment. Generally, adjustments
cannot exceed 1 1/2 percent in either
direction.
Best of all, because this loan is
homegrown — it’s an FMFCU original —
there is no Private Mortgage Insurance
(PMI) required. Translation: lower initial
monthly payments for members!
"In the past, many members opted
for 80/10/10 or 80/15/5 loans, otherwise
known as 'piggyback' loans, in an effort
to avoid paying PMI," Marty says.
Franklin Mint Federal
Credit Union
A to Z List of Services
Date: February 2006
FMFCU offers a wide range of member
services, possibly even more than you realize.
Below is a comprehensive list. To help you
find what you need quickly and easily, we've
categorized services several ways. If you're
looking for Home Equity Loans, for example,
you'll find a listing under "H" (Home Equity
Loans) and also under "L" (Loans — Home).
Please keep this list handy, use our
services, and take advantage of the “Speed,
Service and Convenience” we offer.
A
“The biggest challenge facing
first-time homebuyers is the
need to save for both a down
payment and closing costs.”
— Marty Burke
These mortgaging options actually
required taking two loans simultaneously
when buying a property: a first
mortgage and a home equity loan. The
downside to these loan combinations is
that the second loans generally carry a
much higher interest rate, resulting in
higher monthly payments.
The bottom line
We’re here to help! FMFCU offers a
variety of mortgage options to suit your
needs and budget, and a professional
staff of mortgage advisors available to
walk you through the process of buying
your first home from start to finish. We
invite you to take advantage of a
mortgage consultation at no cost to you,
and we encourage you to get a free
pre-qualification before you shop.
Visit us online at www.fmfcu.org/site/
mortgagereps.html or give us a call at
610-325-5017.
HINT: Get a free pre-qualification before
you shop — you’ll get more notice
from your realtor as a serious buyer,
and you’ll know just how much of a
home you can afford before you shop.
Automated Clearing House (ACH)
Adjustable Rate Mortgage (ARM)
AMC Discount Movie Tickets
American Express® Card (through MBNA)
American Express® Gift Cards
American Express® Gift Checks
American Express® Travelers Cheque Cards
American Express® Travelers Cheques
/Cheques for Two
Annuities
ARM (Adjustable Rate Mortgage)
Association Memberships
ATM Cards
ATMs (31)
Auto Buying Service
Auto Center
Auto Loans (New and Used)
Auto Refinance Loans
Auto Equity Loans
B
Bank-By-Phone
Bill Payer
Bonds (Savings)
Branches (21)
Bump Certificate
Business Accounts
Business Checking
Buying Service (Auto)
C
Calculators (Kids, Loan, Loan Comparison,
Mortgage, Retirement and Savings)
Call Center (Member Service Center)
Cash Advances
Cashier's Checks
Certificates (Jumbo and 55+Take Control)
Checking Accounts (Free)
"Choices" Magazine
Club Accounts (Holiday and Vacation)
Coin-Counting (Free)
College and University Branches
College Loans (Federal Student Loans)
College Planning
Company Memberships
Coverdell Educational Savings Accounts
Credit Cards
Credit Counseling
Credit Protection
Credit Rebuilder Loans
CU$® Selective Surcharge Alliance
Custodial Accounts
17
SPONSOR
SPOTLIGHT
Mercy Health System
helps people in all stages of life
N
O MATTER HOW you measure it, Mercy Health
System plays a major role in the well-being of
the Delaware Valley.
Some of its surprising statistics:
• 8,000 employees
• 500,000 patients
• 600,000 HMO enrollees
Among its many healthcare components are five acutecare hospitals, physician practices, several ambulatory
care centers, two skilled nursing facilities, an independent
living facility, a home healthcare company and managed
care plans.
Mercy Health System's area subsidiaries include:
• Mercy Hospital of Philadelphia, West Philadelphia, PA
• Mercy Fitzgerald Hospital, Darby, PA
• Mercy Suburban Hospital, Norristown, PA
• Nazareth Hospital, Northeast Philadelphia, PA
• St. Agnes Continuing Care Center, Philadelphia, PA
• Mercy Home Health Services, Springfield, PA
• Mercy Court, Yeadon, PA
In addition, Mercy Health System partners with
Independence Blue Cross in operating Keystone Mercy
Health Plan, the nation's largest multi-state Medicaid
managed care plan. It serves more than 276,000 Medical
Assistance recipients in the 5-county Philadelphia area.
With services at its various hospitals covering everything
from maternity care to hospice care, Mercy Health System
touches Southeastern Pennsylvania residents at every stage
of their lives.
The diverse system is managed from corporate offices
in Conshohocken that sit just north of the Fayette Bridge
on Elm Street. About 280 staff members work there, says
Lynn Green (formerly Lynn White), Human Resources
Manager.
While no FMFCU branch office is located at the
corporate headquarters, a Credit Union ATM was recently
installed there. "The employees are ecstatic about that,"
Lynn says.
FMFCU staffs branches at Mercy Fitzgerald Hospital
Campus in Darby, Mercy Suburban Hospital in Norristown,
and Mercy Hospital of Philadelphia in West Philadelphia.
Employees at these locations learn about the Credit Union
at new employee orientation meetings, Lynn says.
Mercy Health System's aim is to provide accessible,
high-quality healthcare service delivered with excellence
and compassion. With the large number of area patients it
already is touching through its many subsidiaries, Mercy
Health System appears to be well on its way to that goal.
Employees of Mercy Health
Systems touch area residents
at every stage of their lives.
Shown here at the corporate
office are (left to right):
Front row — Lynn Green,
Rebecca Manderach,
Cheryl Adams-Smith,
Andrea Jemison, Tiffany Pitts;
LaVoris Satterfield
(in white shirt) and
Dyon McNair. Back Row —
Michael Glitz, Diane Wojcik
and Jing Zhang.
18
Franklin Mint Federal
Credit Union
A to Z List of Services
(CONTINUED)
D
Debit Cards (Visa®)
Deposit Accounts
Direct Deposit
Disability Insurance
Dividends
DeluxeCardTM Visa® Prepaid Gift Card
Deluxe ID TheftblockSM
E
Jean Murray is now a believer in GAP coverage.
Overcoming the GAP
Guaranteed Asset Protection pays off for
FMFCU member two weeks after buying car
W
HEN JEAN MURRAY signed
auto loan papers for her 2005
Acura RSX, Melanie Moser, Manager
of FMFCU's Centocor Branch,
suggested that she consider
Guaranteed Asset Protection (GAP).
"I'm not into over-insurance,"
Jean says. "But I bought the
coverage. I thought it made good
sense." When she got home, and
told her husband about the GAP,
he wasn't so sure. "They saw you
coming," he said.
Then just two weeks later, while
their daughter Ally, 19, was driving
in the new car with two friends, the
Acura was involved in a collision at
an intersection. Fortunately, no one
was injured, but the Acura was
totaled.
Without GAP, Jean could have
ended up making payments for
years on a car she couldn't drive.
With it, GAP paid off the entire loan
— a total of $21,991 — and Jean
bought another Acura.
GAP protects you if your car, RV or
motorcycle is stolen or involved in a
major accident. It pays the difference
between what you owe on the
vehicle, and what the insurance
company reimburses you for —"Fair
Market Value" in the event of a total
loss.
For example, on a $25,000 car,
that "Fair Market Value" figure could
be as little as 80% of what you paid
— or an immediate loss to you of
$5,000.
Other advantages of GAP:
■
It covers your auto insurance
deductible up to $1,000.
■
The low one-time cost can be
financed into the loan or paid
up-front.
■
It's generally much cheaper when
coverage is obtained through
FMFCU.
And, Sue Rusnak of FMFCU's Loan
Servicing Department says, GAP can
be added to new or existing FMFCU
loans for up to 18 months from the
loan date.
"I don't know if I would ever buy
another car without GAP," Jean says.
"It made a terrible experience not so
financially horrible."
To add GAP coverage to your auto
loan, call the Member Service Center
at 610-325-5100.
E-Mail Notifications
E-Statements
Educational Workshops
EE Savings Bonds
Electronic Funds Transfer
Electronic Signature Capture
Enterprise Used Car Sales Partner
Equal Housing Lender
Escrow Accounts
Extended Branch Hours
F
Federal Student Loans
Federally Insured (Through NCUA)
Financial Calculators
Financial Literacy Programs
Financial Planning (Cash Management,
College, Financial Analysis, Insurance,
Investment and Retirement)
Financial Service Center
First-Time Homebuyers Program
Free Automatic Transfers
Free Checking Accounts
Free Coin-Counting
Free Direct Deposit
Free Financial Consultation
Free Member-to-Member Transfers
Free Online Banking & Bill Payer
Free Online Cancelled Check Images
Free Telephone Banking
G
GAP (Guaranteed Asset Protection)
Gift Cards
Googleplex Web Link for Students
H
HELOCS (Home Equity Line of Credit)
High-School Branches
Holiday Gifts
Home Banking
Home Equity Line of Credit
Home Equity Loans
Home Mortgage Calculator
Home Mortgages
Holiday Club Accounts
I
I-Bonds
Insurance
Investment Planning
Interest On Lawyer Trust Accounts (IOLTA)
IRAs (Traditional, Roth and SEP)
19
late
fees
d
unpai
bills
t
credids
car
DEBT
Correcting
cha
acc rge
ts.
o ver
the- l
feesimit
credit problems
FMFCU teams up with local agency to help members manage debt
Stressed out by debt problems?
You're not alone
More than 75% of people with
credit card debt experience
physical symptoms they attribute
to the financial strain, reports
a consumer survey.
The most common symptoms:
headaches, inability to concentrate
and nausea.
Almost 25% of those surveyed
had debts of more than $10,000.
— Source: Chicago Tribune
20
I
F YOU THINK you're immune from
financial difficulties, think again.
Medical emergencies, divorce, job loss,
and even natural disasters like Hurricane
Katrina can negatively impact the financial situations of people at any income
level.
What's more, according to a
Newsweek Web story, "The Party's
Over," the average American family has
about $9,000 in credit card debt, with
an estimated 7% of Americans paying
only the minimum payment per month.
And those minimums went up in January
of this year, making the ability to pay
more difficult.
To help members dealing with
credit problems, FMFCU is working
closely with Consumer Credit
Counseling Service of Delaware Valley
(CCCSDV), says Loan Servicing
Manager, Mary Luberda.
If FMFCU Member Service
Representatives or Loan Officers detect
a problem while helping a member
with a transaction, they'll offer to
privately call a CCCSDV counselor
on-the-spot on the member's behalf.
In addition, Loan Servicing
Representatives will suggest counseling
to members who are behind on payments. FMFCU also will mail CCCSDV
literature to members with delinquent
accounts and those receiving adverse
action or late payment notices.
CCCSDV's confidential services
CREDIT CRISIS
WARNING SIGNS
You know you need
credit counseling when:
■
You use credit cards for items you
used to buy with cash
■
You have paid late fees or
over-the-limit fees at least twice
in the last year
■
You have received phone calls
from creditors about overdue bills
more than once in the last six
months
■
You are at or near the limit on your
credit cards
■
You usually pay only the minimum
payment amount on your credit
cards
■
You are unsure how much you owe
If any of these apply to you, CCCSDV
can help you. All services are
confidential. For immediate counseling,
call 1-800-989-CCCS (2227)
include bankruptcy counseling, budget
counseling, debt management plans,
new homebuyer counseling and more,
says Mary.
FMFCU members can also register
for CCCSDV's "Philadelphia Saves"
Wealth Building Workshops. Designed
to help individuals learn how to save,
the free workshops, which last less than
one hour, offer participants a free consultation with a certified financial planner, plus encouragement from a wealthbuilding coach. FMFCU's own Richard
Elam is a Certified Instructor in the
program.
Those attending will learn about the
"Miracle of Compound Interest," which
shows savers the benefits of savings
over time.
In addition to its main office in
Philadelphia, CCCSDV has offices in
Media, West Chester, Blue Bell, Bristol,
Jenkintown, Northeast Philadelphia and
Cherry Hill, NJ. FMFCU members may
meet with a counselor at any of these
locations, and also talk to someone over
the phone.
If you find debt issues spiraling out
of control, take action now and contact
CCCDVS. Help is available. Be sure to
tell them you’re an FMFCU member.
Is debt
dragging
you down?
Franklin Mint Federal
Credit Union
A to Z List of Services
(CONTINUED)
J
John D. Unangst Scholarships
K
Keystone BestStafford Loans (Federal Student
Loans)
Keystone PLUS Loans (Federal Student Loans)
Kids' Calculator
L
Life Insurance
Line of Credit
Loan Calculator
Loan Comparison Calculator
Loans: Auto (New/Used, Auto Equity,
Motorcycle, Recreational), Home Equity,
Home Equity Line of Credit, Mortgage,
Personal, Personal Line of Credit/Overdraft
Protection, Shared Secured and Student
Long-Term Care Insurance
M
MasterCard® Credit Card (Through MBNA)
Magazine (“Choices”)
Member-to-Member Transfers (Free)
Member Service Center (Call Center)
Money Management
Money Orders
Money Market Accounts
Mortgage Calculator
Mortgages (Adjustable Rate, Fixed Rate, Balloon,
Construction, Piggyback, Refinance)
Motor Home Loans
Motor Vehicle Certification Program
(Auto Buying Service)
Motorcycle Loans
N
Call Consumer Credit Counseling
Service of Delaware Valley
NCUA Insured
Newsletter ("In Balance")
To better help our members affected by debt
and credit problems, FMFCU has enhanced its
relationship with Consumer Credit Counseling
Service of Delaware Valley (CCCSDV).
Online Bill Paying (Free)
Online Cancelled Check Images
Online Home Banking (Free)
Online Loan & Mortgage Applications
Overdraft Protection
Besides including CCCSDV literature in mailings
to members with delinquent accounts or
late payments, FMFCU employees also will
proactively suggest counseling to those who
appear to be having credit difficulties.
For details, call CCCSDV at:
1-800-989-CCCS (2227).
Tell them you are an FMFCU member.
All calls are confidential!
O
P
Partnerships (General or Limited)
Business Accounts
Partners In Learning
Payroll Deduction
Performance Checking Accounts
Pension Plans
Personal Lines of Credit
Personal Loans
Premier Access Telephone (PAT) System
Premier Access Bill Payer
Premier Access Home Banking
Premier Check Card
Pre-Paid Gift Cards
Q
21
Speaking
Frankly
Ben teaches students key lessons about life
ISTORY CAME ALIVE for students in
the auditorium of the Eddystone
Elementary School on Thursday,
January 19. About 1:15 p.m. that day, Ben
Franklin, famed inventor, diplomat and signer
of the Declaration of Independence and U.S.
Constitution, strode into the room and began
regaling the students with stories about his life.
In attendance were fifth-grade students from
Leedom Elementary School, plus third-to-fifthgraders from Eddystone Elementary School.
Portrayed by Ralph Archbold, a witty,
dramatic man who was actually born on January
17, Ben Franklin's birthday, and has been
H
22
featured in the New York Times, USA Today,
Time Magazine, and on the History Channel,
Ben immediately led the students in singing
a sailor's song common on the docks in his
hometown of Boston.
To the words of …
Way-hey, and up she rises,
Way-hey, and up she rises,
Way-hey, and up she rises,
earl-eye in the mornin'!
… the students sang and pulled the sails
higher and higher.
"I want everyone singing, everyone pulling,"
Franklin Mint Federal
Credit Union
A to Z List of Services
(Photo on left) Ben Franklin leads students
in song at Eddystone Elementary School.
Franklin told the group.
Franklin told the students he had
difficulty learning math as a child, but
eventually mastered it. "If you didn't
know arithmetic, people could cheat
you," he said. He also recommended
that they ask their teachers for help if
they needed it.
After briefly describing his discovery
of electricity, and his work in starting the
first volunteer fire department and first
community library in the U.S., Ben
advised the students to visit his exhibit
at the National Constitution Center in
Philadelphia. "There are a lot of things
there you will enjoy," he promised.
He then read a proclamation
detailing all-expense-paid trips to the
National Constitution Center exhibit for
four area schools, and thanked FMFCU
for putting the program together.
Before leaving, Ben asked several
students to help him blow out the
candles on his birthday cake. He then
taught them how to do a "Huzzah," or
what we call "Hip, Hip, Hurray," ending
the celebration on a high, noisy note.
(CONTINUED)
■
■
Free Kite — Presented to anyone
opening a Start Smart Account that
Saturday.
Free Entry — New members
opening accounts during Ben Week
were entered to win a "Benjamin" —
a $100.00 bill.
F
■
■
All-expense paid trips — Fifth-grade
classes from Christopher Columbus
(Chester), Eddystone and Leedom
(Ridley Township) Elementary Schools,
plus eighth-graders from the Norwood
School (Norwood), received trips to
the National Constitution Center in
Philadelphia to see the exhibit:
Benjamin Franklin: In Search of a
Better World.
Free Birthday Cake — Was served
at FMFCU branches on Ben's actual
birthday, January 17.
■
"Ben Fun Facts" — This take-one
was available to members at all
FMFCU branches.
■
Free Water Bottles — Given to anyone
ages 0-17 after opening a new Start
Smart Account.
Recreational Vehicle (RV)Loans
Refinanced Auto Loans
Refinanced Home Loans
Remote Teller System (RTS)
Representative Payee Accounts
Restricted Burial Accounts
Retirement Calculator
Retirement Planning
Rewards Program (On MBNA Credit Cards)
Roth IRA Accounts
S
REAL ESTATE
CENTER:
COMING SOON!
Safe Deposit Boxes
Savings Accounts
Savings Calculators
Savings Plan (529)
Scholarships
Secured Personal Loans
Security and Identity Theft Resource Center
Series EE Savings Bonds
Series I Savings Bonds
Shared, Secured Loans
Simplified Employee Pension Plans (SEPs)
Sole Proprietorship Accounts
“Speed, Service and Convenience”
Start Smart Accounts for Kids
Student Loans (Keystone BestStafford Loans
and Keystone PLUS Loans)
Student-Operated Branches
Surcharge-Free ATM Alliance
School visit is just part of
FMFCU's Ben Franklin
birthday festivities
MFCU celebrated Ben Franklin's
300th birthday week — Tuesday to
Saturday, January 17 to January 21 —
with a variety of special events and
giveaways.
R
T
Ben Franklin talks with young students at
Eddystone Elementary School. Besides
visiting several classes and addressing an
assembly, Ben shared his birthday cake with
members of the kindergarten class.
TAP (Tuition Account Program)
Telephone Banking
Tiered Money Market Accounts
Take Control Certificates
Traditional IRA Accounts
Travelers Cheques
U
Unincorporated Associations Business Account
There's still time to see
Franklin exhibit
"Benjamin Franklin: In Search
of a Better World" runs until
April 30, 2006 at the National
Constitution Center, 525 Arch
Street, Philadelphia, PA 19106.
Phone: 215-409-6600.
Admission
• $14.00 — Adults
• $12.00 — Children (4-12)
& Seniors (62 and older)
• Children under age 4 are
FREE
• $12.00 — College students
with ID and Active Military
V
Visa® Cards (through MBNA)
Visa® Check Cards
Visa® Prepaid Gift Cards
Vacation Club
Variable Rate IRA
Vehicle Loans
W
Web site (www.fmfcu.org)
Weekend Hours
Wire Transfers
World Points Rewards on Credit Cards
(Through MBNA)
X, Y, Z
For information, call our Member
Service Center at: 610-325-5100
or go to: www.fmfcu.org
23
Branching out!
Just east of Route 420 on MacDade Boulevard, FMFCU's newest branch will be convenient
to an amazing variety of retail establishments — one-stop shopping at its best!
After a long search, FMFCU to open MacDade office
LATEST BRANCH IS
CLOSE TO EVERYTHING
F
OR THE PAST several years now,
FMFCU's management searched
along busy MacDade Boulevard in
Delaware County for a suitable new
branch location. The problem? Few sites
were available that met FMFCU's
requirements for plentiful parking, easy
access and reasonable space at an
affordable price.
That is … until one day recently…
when John D. Unangst, President and
CEO, and Cindy Wanamaker, Senior Vice
President and COO, suddenly spied a
"For Rent" sign outside a former gas
station at 2211 MacDade Boulevard while
driving by.
Within 15 minutes, they called the
number listed on the sign, requesting an
on-site visit. The result? In the second
quarter of the year, FMFCU will open its
24
long-sought branch in the whitecolumned building. Finding the place
accidentally after all the planned searching "was so surreal," Cindy says.
Plentiful parking … and plenty
of shopping
The new branch, which shares space
with the Medicine Center pharmacy, sits
on the northern side of MacDade
Boulevard in front of MacDade Plaza
near the Gateway Diner. It's just a few
blocks east of Route 420.
The site has its own parking spaces
out front, and is convenient to an
astonishing variety of nearby retail stores
and restaurants. Within a short distance
are a butcher shop, dollar store, hardware store, wine and spirits shop, deli,
pizza shop, women's health club and
much more.
The new branch will have two
offices, a 24-hour ATM and night drop,
three Remote Teller Systems (RTSs), plus
Internet service to connect with FMFCU's
Online Banking — all in about 1,000 sq.
ft. of space. It will be open 7 days a week
just like FMFCU's Granite Run Mall
branch, but without the holiday schedule.
With over 60% of FMFCU's 48,000
members living in Delaware County, the
new MacDade "corridor" site should be
convenient for many.
Highly populated area
The area is densely populated, says Drew
Stanley, Assistant Vice President and
Market Development Manager, noting
there are approximately 56,607 households within a 3-mile radius of the site —
or an estimated total population of
152,794.
Families with students in the
Interboro, Springfield and Upper Darby
School Districts — all with high-school
student-operated FMFCU branches —
are eligible to use this and other FMFCU
locations, as are those in the recently
added Ridley School District.
Wallingford-Swarthmore School
District awaits membership eligibility.
In addition, members of some 800
Select Employee Groups (SEGs), including
the Delaware County Chamber of
Commerce, Borough of Media, Marple
Township, City of Chester, QVC, Endo
Pharmaceuticals and Crozer-Chester
Medical Center, may find the MacDade
branch very convenient for their financial
needs.
The new branch "gives that whole
area another alternative," says Cindy.
"It's another way to give members easy
access to FMFCU." Because all the
construction necessary to complete the
branch is inside work, renovations should
be completed quickly, Cindy says. The
new branch is expected to be fully
operational by spring.
If you're driving along MacDade
Boulevard, look for the white and brick
building sitting by itself next to the
MacDade Plaza. FMFCU's long-sought
branch will soon be a reality.
Local History
MacDade Boulevard, which opened
in 1931, was named after Albert D.
MacDade, a Chester lawyer who later
became a County District Attorney,
State Senator and Common Pleas
Judge. While in the Senate, he
claimed to have found money for
60 Delaware County roads.
Source: Appendix H — History of the Crum
Creek, By William R. Brainerd
kkk Coffee Talk kkk
Coffee is the world's most popular beverage, with more than 400 billion cups
consumed every year. It's also the world's second most important commodity
in terms of dollars traded, behind oil. (Source: Wikipedia) … 16% of U.S.
adults now consume specialty coffee daily. The Coffee Beanery franchises
probably like that trend. (Source: Specialty Coffee Association of America.)
Coffee Beanery Facts
Coffee with a bite — Botanists believe coffee originated in Ethiopia, and that
it began as a food (crushed berries mixed with animal fat), rather than as a
beverage.
Mocha and Java — Arab traders are believed to have brought coffee from
Ethiopia across the Gulf of Aden into Yemen through the port of Mocha.
In fact, so much coffee shipped through Mocha that the name is now
synonymous with coffee … Coffee cultivation began in Dutch colonies of
Ceylon and Java in 1658, and was so successful that Java became another
synonym for coffee.
an area immediately outside, where chairs
and tables may be set up in warmer
weather. FMFCU wants to make sure its
network doesn't interfere with the
Delaware County Courthouse or with
those of neighboring companies, he says.
But what you'll probably notice first
is the delicious aroma of specialty coffees
and desserts offered by The Coffee
Beanery. The café is expected to offer
scrumptious baked goods, frozen drinks
and an espresso bar. You'll be able to
get a latte with your loan.
A growing company with
a growing reputation
Small Business Opportunities magazine
credits The Coffee Beanery's street-front
café concept, "jazzy contemporary look,"
(Continued on page 26)
START AN IRA TODAY WITH JUST
AND GET A 5.00% APY*
$5
MEDIA MAKEOVER
It's time to wake up and
smell The Coffee Beanery
F
MFCU's new location for the branch
in Media, due to open in the second
quarter of 2006, will include a café run
by The Coffee Beanery, says Cindy
Wanamaker, FMFCU Senior Vice President
and COO.
The new office, across from the
current branch, also will include a free
Wi-Fi (Wireless Fidelity) area where you
can check your e-mail from your laptop;
a free self-service coin counter; a
"financial mall of services," and more.
Wi-Fi Update
The wireless Internet café at FMFCU's
Media branch will conform to the basic
footprint of the building, says John
Hargrove, Vice President of Information
Technology. However, it also will include
With FMFCU’s flexible Variable-Rate IRA, you can begin
building your retirement with very little money to start
• $5 is all you need to open a Roth or
Traditional IRA
• Deposit as often or as little as you want
• Enjoy a generous 5.00% Annual Percentage
Yield before tax time
• Ability to roll other IRAs into this account
• Access your accounts online
Open your account now and start enjoying
the potential IRA tax advantages!**
610-325-5100 • www.fmfcu.org
FRANKLIN MINT
FEDERAL CREDIT UNION
5.00%
APY*
The Credit Union of Choice! ®
*5.00% APY (Annual Percentage Yield) is quoted as of 2/1/06, with a rate of 4.89 and is subject to change at any time.
Withdrawals of taxable amounts are subject to current income taxes and, if made prior to age 59 1/2 may be subject to
a 10% federal tax penalty. Check with your tax advisor.
** Check with your tax advisor.
25
(Continued from page 25)
A Great Partnership!
Great Savings For Members!!
FMFCU and Enterprise
Car Sales have teamed
up to provide members
with a Preferred Partner
Plan that allows those
who purchase their vehicles
through Enterprise to receive
VIP treatment and more!
Partnership has its advantages.
Act now for great savings.
By purchasing an Enterprise vehicle,
FMFCU members qualify for:
✔ Competitive New-Car Loan Rates
✔ A $100 Gas Card with the Purchase1
✔ Enterprise’s Perfect Used Car Package®
& 7-Day Repurchase Agreement2
✔ 100% Financing Available for
Qualified Buyers3
You will be amazed at the selection of
quality, pre-owned vehicles including
cars of all sizes, trucks, vans, SUVs,
and domestic and foreign makes.
Trade-ins are welcome. Plus, all
Enterprise vehicles are subject to a rigorous
109-point inspection by an independent
ASE Certified Technician prior to sales.
And, with Enterprise’s “haggle-free buying” experience, and pricing
below NADA or Kelly Blue Book retail,4 you won’t find better value.
Take advantage of this exclusive opportunity the next time you’re in
the market to purchase an automobile. Visit any of Enterprise’s six
convenient Car Sales locations — call 800-Car Sales, or visit
FMFCU’s Web site and click on the Enterprise link under “Auto Center”
for locations.
Now is the perfect time to purchase your next car!
plus "a stellar reputation in the industry
and the adoration of coffee connoisseurs
everywhere" for its recent growth. The
chain now has over 200 stores.
"We’re in between a Starbucks® and
mini-Panera Bread®,” says founder
JoAnne Shaw. "We fill a niche that no
other chain has really filled with awesome
coffee, great food offerings and
wonderful service."
Sometime in the next few months,
FMFCU members and visitors to the
Media branch will have an opportunity
to sit down and smell that coffee for
themselves … and conduct their
financial business in a comfortable,
relaxed setting. Mocha and mortgages.
What a concept!
MERCY SUBURBAN BRANCH
IS GOING MODULAR
F
MFCU's Mercy Suburban Hospital
branch will quadruple in size later this
year when it moves out of the hospital
into a modular building, says Joe
Zeminski, Assistant Vice President of
Facilities and Purchasing.
Rather than the cramped 280 sq. ft.
space the FMFCU office currently
occupies, the new branch will be about
1,200 sq. ft. The configuration will be
similar to the new MacDade branch, with
two offices, three Remote Teller Systems
(RTSs), and an Internet station to connect
with FMFCU's Online Banking. This office
also will have a self-service coin counter
and offer extended hours.
run the numbers
18
Percent of American workers who
have retirement savings of more
than $100,000.
Source: Bottom Line Secrets
enterprisecarsales.com
FRANKLIN MINT
FEDERAL CREDIT UNION
The Credit Union of Choice! ®
www.fmfcu.org | 610-325-5100
1
2
3
4
26
$100 Gas Card issued 30 business days after purchase of an Enterprise vehicle. Offer void when 7-day Repurchase Agreement is
activated. No cash advances. Cannot be combined with any other offers. Not valid on previous purchases. Offer valid only on
Enterprise Car Sales Vehicles. Contact your local Enterprise Car Sales office at 1-800-Car-Sales for more details on this and other auto
sales offers/events.
7-Day Repurchase Agreement and 12/12 Limited Powertrain Warranty are subject to certain restrictions. For details, see an Enterprise
Car Sales Manager or call 1-800-Car-Sales. “Perfect Used Car Package,” “Borrow Smart,” “Buy Smart,” “Haggle-free Buying” and
“Worry-free Ownership” are registered trademarks of Enterprise Rent-A-Car Company.
100% financing includes tax, title and license fees. Financing available for qualified FMFCU members. Offer valid only on Enterprise
Car Sales vehicles.
NADA and Kelley Blue Book prices are reference values and may not reflect actual prices in the market. Illinois and Indiana residents –
the value of used vehicles varies with mileage, usage and condition. Book values should be considered estimates only.
19
Percent of workers who are able to
correctly state when they would be
eligible for Social Security benefits.
Source: The Alabama State Treasurer and
The Bond Market Foundation
64
Percent of workers who do not
expect their standard of living to
decline in retirement.
Source: The Alabama State Treasurer and
The Bond Market Foundation
TA X T I P S
☛ File your income taxes by April 17,
2006. (Because April 15 falls on a
weekend, you get two extra days to file
this year. Some states in the Northeast
get a third day. See why in the NOTE
section.)
☛ Sign and date your return. If filing a
joint return, be sure both spouses sign
and date it.
☛ Use the peel-off label. If it is wrong,
you may line through and make
corrections right on it. If you don't have
a label, write in requested information
clearly.
☛ Enter your Social Security number.
(The IRS stopped putting Social Security
numbers on peel-off labels in the 1998
tax packages, and won't process your
return without it.)
☛ Check only one filing status on the tax
return and check the appropriate
exemption boxes.
☛ Attach all Forms — W-2, Wage and Tax
Statement, and other forms that reflect
tax withheld to the front of the return.
☛ Make sure your writing is legible.
Enter the correct Social Security number
for each exemption. Incorrect or missing
numbers will delay tax return
processing.
☛ Enclose a check or money order made
payable to "United States Treasury" and
Form 1040-V, Payment Voucher, with the
return if you owe money. Or, you may
choose to pay by credit card by
contacting one of the credit card service
providers. If you file electronically, you
may authorize the U.S. Treasury to
withdraw the payment directly from your
bank account.
☛ Use the correct Tax Table column for
your filing status.
☛ Double-check all figures on the return.
Math errors are common mistakes.
☛ Make sure that the financial
institution routing and account
numbers you have entered for a
direct deposit of your refund are
accurate. Incorrect numbers can cause
a delayed or misdirected refund.
FMFCU's routing number is: 231382306.
Also consider doing your taxes with
Turbo Tax for the Web®. An online
product that helps you file your
taxes, it's available at www.fmfcu.org.
Note: Some taxpayers living in the
Northeast — Maine, Maryland,
Massachusetts, New Hampshire, New York,
Vermont and the District of Columbia —
will have a filing deadline of April 18.
That's because of a state holiday in
Massachusetts where the IRS has a
processing facility.
Source: Internal Revenue Service,
“Common Errors to Avoid”
o u r m a n y b r a n c h e s & AT M s a r e r e a d y t o s e r v e y o u
BRANCHES
Broomall ▲ ◗
1974 Sproul Road, Suite 100
Carol Amplo, Cluster Manager
Chadds Ford
Village at Painters Crossing ▲ ◗
Routes 1 & 202
Pamela L. Hellyer, Branch Manager
Chester
University Technology Park ▲
1450 Edgmont Avenue
Ann Wilson, Branch Manager
Crozer-Chester Medical Center ▲
Old Main Building
One Medical Center Boulevard
Pamela Caldwell, Branch Associate
Widener University ▲ ◗
University Center Building
One University Place
Cathy McInnis, Branch Associate
Darby
Mercy Fitzgerald Hospital Campus
Medical Office Building ▲ ▲ ◗
1501 Lansdowne Avenue, Suite 109
Deborah Warrick, Branch Manager
Drexel Hill
Delaware County Memorial Hospital ▲ ◗
501 N. Lansdowne Avenue
Marie F. Cannon, Branch Manager
Horsham
Centocor ▲
800 Ridgeview Road
Suite H-2 1058
Melanie Moser, Branch Manager
Restricted Access
King of Prussia
Maschellmac Office Complex ▲ ◗
1020 First Avenue
Ground Floor Lobby
Lynda Stanton, Branch Manager
Media
Granite Run Mall ▲▲ ◗
1067 W. Baltimore Pike
Lower Level
Larry Schuelie, Branch Sales Manager
Elaine Palandro, Branch Operations
Manager
Open 7 days a week
Media ▲
101 W. State Street
Linda Fahey-Hudyma, Cluster Manager
Riddle Memorial Hospital ▲
Outpatient Pavillion, Suite 3108
1098 W. Baltimore Pike
Peggy Barnum, Branch Manager
Restricted Access
Norristown
Mercy Suburban Hospital ▲
2701 DeKalb Pike
Andrea Palladino, Branch Associate
Philadelphia
Mercy Hospital of Philadelphia ▲ ◗
501 S. 54th Street
Karen Coles, Branch Manager
Ridley Park
Taylor Hospital ▲
175 East Chester Pike
Pat Herko, Branch Manager
Swarthmore
Swarthmore College ▲ ◗
Parrish Hall
500 College Avenue
Kelly Lynn, Branch Manager
Tinicum Township
Keystone Mercy Health Plan ▲ ◗
200 Stevens Drive
Ground Floor Lobby
Peggy Crowley, Branch Manager
West Chester
QVC Studio Park ▲ ◗
1200 Wilson Drive
Linda Jones, Branch Manager
Restricted Access
STUDENT-OPERATED BRANCHES
ADDITIONAL ATM LOCATIONS
Prospect Park
Interboro High School ▲
500 16th Avenue
Nichole Kistler, Cluster Manager
Matthew Hawkins, Branch
Council President
Restricted Access
Boscov’s, Granite Run Mall
Lower level, entrance nearest
AMC Theater
U.S. Route One
Media, PA 19063
Community Hospital
9th & Wilson Streets
Chester, PA 19013
Springfield
Springfield High School ▲
49 W. Leamy Avenue
Nichole Kistler, Cluster Manager
Phil Sabato, Branch Council President
Restricted Access
Delaware County Community
College
901 S. Media Line Road
Media, PA 19063
Upper Darby
Upper Darby High School ▲
601 N. Lansdowne Avenue
Nichole Kistler, Cluster Manager
Sarah Antolini, Branch Council President
Restricted Access
MEMBER SERVICE CENTER
P.O. Box 1907
Media, PA 19063
610-325-5100
1-800-220-3193 (calls originating
outside of PA)
Gloria Mann, Manager
Endo Pharmaceuticals
100 Endo Boulevard
Chadds Ford, PA 19317
Restricted Access
MacDade Mall
Inside mall, near Kmart entrance
MacDade Boulevard
Holmes, PA 19043
Mercy Health System
One W. Elm Street
Conshohocken, PA 19428
Limited Access
Springfield Mall
(Two ATM locations)
Inside mall, upper & lower levels
Baltimore Pike
Springfield, PA 19064
OON!
COMING S nch
Bra
MacDade
QVC
Enterprise Building
1365 Enterprise Drive
West Chester, PA 19380
Restricted Access
▲
▲▲
◗
ATM Location
Two ATMs at this location
Night Depository Location (Night Depositories are
for personal deposits, not business drop-offs.)
27
FRANKLIN MINT
FEDERAL CREDIT UNION
The Credit Union of Choice! ®
P.O. Box 1907 • Media, PA 19063-8907
www.fmfcu.org
Presorted
Standard
PO
U.S.FPostage
PAID
PSB
92630