Using an Old Product with a New Twist
“What can we do for our children to help them begin building credit without having to get a credit card?”. This was the question that faced our team. The answer came from creating a special twist on an existing product with strong roots, and the development of what is now known as the Credit Kickstart Loan program. The program is designed to allow young adults, starting at the age of 18, to build credit through an extremely low-risk, low-interest loan program.
“We want people in Central New York to have an option for their teens and young adults that isn’t an aggressive credit card offer, or high-interest loan. Especially for those who are not ready to have a credit card quite yet,” states Marcie DeRito, Director of Consumer Lending, “Starting with a good credit history early on can mean a great deal in the long run.”
The program is structured like that of a traditional secured loan, but with a unique feature for young adults just starting college or their professional lives.
"Understanding the financial limitations many young adults face, we realized that expecting them to have an extra five hundred dollars was unrealistic,” says Melissa Hennessey, Director of Business Development, “Our goal was to design a program that’s accessible, straightforward, and truly useful—one that gives young adults a real chance to start building strong credit and long-term financial stability from the beginning. And through this loan, each participant is also paired with a dedicated loan officer to help guide them through their credit journey.”
Hennessey is referring to the program’s ability to lend the money securely, without requiring the borrower, in this case a young adult just starting out, to have to put the secured amount into savings before receiving funds. This program opens opportunity up to a much broader young adult community, including those who are risk-averse or find themselves struggling to find ways to begin building credit.
For more information on Teen and Young Adult accounts, click here or call us at 315-469-5599 to speak to a representative.
Chartered in May 1971, SECNY Federal Credit Union is a member-owned, full-service financial institution. Originally known as the School Employees of Central New York, our membership encompassed most school districts in Central New York along with several municipalities and industries.
Today, we Serve Everyone in Central New York and are open to any person living, working, worshiping, attending school, businesses and legal entities in Onondaga, Madison, Oswego and Cayuga counties.
