The Bottom Line
Small business is important to Central Oregon, and to Mid Oregon. Find tips and resources for business, and information about Mid Oregon’s commercial services and business members.
You’re Not Too Young to Build Good Credit
There are all kinds of “credit”—you can take all the credit, give credit where credit is due, or earn extra credit in class. There’s also another type of credit—financial credit—that deals with borrowing money. Did you know you’re not too young to build good credit?
You probably borrow money from friends and family. Pretty soon you might be interested in borrowing from your credit union. Whether or not you can do that will depend on a special kind of grade. It’s called a “credit score.”
What’s a credit score?
Your credit score is a lot like the As, Bs, and Cs on your report card. Just like your grades show what kind of student you are, your credit score shows what kind of money manager you are.
Your credit score is a three-digit number that helps lenders decide whether or not to lend you money, and at what price. That number is based on mathematical formulas that use your habits and borrowing history to find out how likely you are to pay back a loan.
What If You Didn’t Pay It Back?
Here’s an example: Think of all the times you’ve borrowed a dollar from a friend or parent that you didn’t pay back. If all of that unpaid money appeared on your credit report, what would it look like?
Your credit history shows how much money you’ve borrowed, how much you owe, and how well you’ve done at paying it back. It follows you wherever you go and can change over time. Your credit score helps lenders determine how dependable you are. The higher your score, the more options you will have.
Credit Scores Are Important
Even though you’re young, it’s important to start thinking about credit scores. Why should you care?
If you start thinking about your future now, and practice good habits, you’ll be ready when it’s time to start building your credit and take out loans. A good credit score means freedom to buy what you want and freedom of knowing that you’re covered in case of a big expense.
And really, isn’t freedom what it’s all about?
Mid Oregon Can Help
Stop in at Mid Oregon Credit Union and ask about starting to work toward a high credit score today. We offer information and products to help you get started. And you will see, you’re not too young to build good credit.
Timing Your Trade-In
The combination of time of year and new-car promotions on the same model you’re driving can mean thousands of dollars of difference on your trade-in. The difference made by timing your trade-in can be significant.
Used Car Values Can Drop
Used-car values drop more swiftly late in the year. New models have just appeared, while bad weather tends to hurt attendance and values at used-car auctions. Hitting used-car values even harder, though, are new car manufacturer incentives. When the value of that new car is reduced by a rebate, prices for corresponding used cars take a hard hit.
More than half of new-car buyers trade in their old cars. Most could get up to 15% more if they sold it themselves, but trading is far more convenient.
Looks Do Matter
With a trade-in, how your car looks, its mechanical condition, the condition of the tires—even the color—all affect the value.
What you can do:
Make the seasonal factor work for you. Cars depreciate about 15% per year. If you’re planning to get a new car during the year, trade it in during the early months to cut down on depreciation. Timing your trade-in can help on depreciation.
Get your car in top condition. Get a professional detailing job. You will more than recapture the $50 to $150 you may pay for painstaking cleaning in trade-in value.
Do Your Homework
Know your car’s value. This way you’ll at least be able to tell if the trade-in offer from the dealer is in the right ballpark. Check Edmunds.com and Kelley Blue Book (www.kbb.com) for an idea of trade-in price for your car.
Deal with the dealer. When you get to the dealership, try to negotiate the price on a new car before talking trade-in. Otherwise the salesperson may give you a high trade-in value and make it back in a higher price for the new car.
The professionals at Mid Oregon Credit Union can help you finance your car purchase. Stop by, email or call today at (541) 382-1795, or check out our online loan application at www.midoregon.com.
Choosing a College That’s Right for You
College. For most teenagers, it is the biggest decision of their lives. Choosing a college to attend is a process often riddled with stress, confusion, or both.
Choosing a College Can Be Fun
Mitch Warren, director of the Office of Admissions at Purdue University, understands why students worry, but he believes choosing a college doesn’t have to be traumatic. “It should be about finding the best place that matches your academic goals, needs, and desires,” he says. “This can be an incredibly fun process.”
Yet, choosing a college based on rankings is easy. Amorphous, subjective “fit” is a target that’s hard to identify let alone hit.
Many Different Colleges Can Work
Christine Groves Cheney, a college admissions consultant in Washington, D.C., has worked with many families buckling under the pressure to identify that single best school. She, like Warren, tries to change their mindset.
“The college admissions process has become unduly stressful for students and families. It does not have to be,” Cheney says. “There is a college for every student. And most students would be happy at many different colleges.”
Where To Find Options
Even without the pressure to get into the school, students still have to choose a school. College admissions consultant Valerie Blair likes Collegexpress.com, a site with lists, articles, and search capabilities for colleges, grad schools, and scholarships. The College Board is another popular option for prospective students.
Teens today can research and apply to colleges entirely online. Many colleges and universities have dedicated Facebook pages for prospective students and another for their parents. However, most advisers still recommend visiting several campuses in person before making a final decision.
That can seem like a lot of travel if you save it all for senior year.
Visiting Different Schools
Charlotte Romero, who has one son in college and one headed there, says her family incorporated informal college visits into vacations. It was a good way to get familiar with different kinds of campuses, and the exposure helped her sons narrow their options when the time came. Blair also recommends visiting local schools, even if they aren’t on the short list, to help students decide if that’s the kind of atmosphere they would like even if it’s not exactly the school they want to attend.
Central Oregon has two great colleges close at hand:
Central Oregon Community College (COCC) | Facebook page
Oregon State University Cascades Campus (OSU Cascades) | Facebook Page
Enjoy this special time in your kids’ lives and let Mid Oregon Credit Union help. Stop by or call today at (541) 382-1795 to find out more about our accounts for students, vast ATM network, and digital financial tools.