Credit Lines | August 2012

A monthly publication for members of Hawaii State Federal Credit Union

August 2012 | Volume 33 | no. 8

C redit Lines

17th Annual Hawaii State FCU Scholarship

Since 1995, Hawaii State Federal Credit Union has awarded over $389,000 to more than 210 local students attending colleges and universities across the nation. This year, a total of $30,000 was awarded to 15 Hawaii State FCU scholarship recipients. Congratulations to all of this year’s recipients:

Melanie Black Kapiolani Community College, Medical Lab Technician

Samantha Lee Chan University of Hawaii College, Manoa, Biology

Amber Ashley Ching University of Hawaii Manoa, Travel Industry Management

Ashley Ayaka Fukuchi University of Hawaii at Hilo, Chemistry

Justin Isami Hata Duquesne University, Biochemistry

Anthony Junker Chaminade University of Honolulu, Biology

Morgan Liu Carnegie Mellon University, Psychology

Sandy Nguyen, University of Southern California, Business Administration

Chyan Kamaleinani Pascua Pre-Nursing

Leinette Gaspar Racho Windward Community College, Liberal Arts

Kanani Thompson Chaminade University of Honolulu, Criminal Justice/Forensic Science

Sherry Sum Yin Wong University of Hawaii – Manoa, Biology

Jennifer Nobue Yamaguchi Hawaii Pacific University, Elementary Education

Lauren Hu University of Hawaii John A. Burns School of Medicine, Medicine

Ednee Yoshioka Colorado State University, Veterinary Medicine

Hawaii State FCU’s 2012 scholarship program will begin on January 1, 2013. For details, please contact Hawaii State FCU’s Marketing Department at: (808) 447-8070 or via e-mail at marketingmail@hsfcu.com.

Important Phone Numbers Private Line (24-hour phone banking): 536-7717 (Oahu) • 1-888-557-6830 (Toll-free)

Member Service Call Center: 587-2700 (Oahu) • 1-888-586-1056 (Toll-free) Rate Hotline 587-2734

Website www.HawaiiStateFCU.com

*APR includes a 0.25% discount for automatic payment.  Without automatic payment, the APR will be 0.25 percentage points higher.  These are the lowest APRs available.  Your APR will be based on your creditworthiness.   Payment Example: A loan of $10,000 with a 6.00% APR will have the following payment and total interest paid at the following loan terms:

creditworthiness. Ask us about rate limitations. The Current Variable Index Rate shown is current as of 8/1/2012 and will not exceed 18% APR. The Current Variable Index Rate has a minimum 3.75% APR for the 80% LTV fee-simple, owner-occupied properties and the 60% LTV leasehold, owner-occupied, primary residence properties. The Current Variable Index Rate has a minimum 5.25% APR for the 95% LTV fee- simple, owner-occupied, primary residence properties and the 75% LTV fee-simple, investor properties. ***Minimum credit line is $10,000. Maximum credit lines are as follows: • Fee-simple, owner-occupied HELOC: The lesser of $250,000 or 80% LTV minus the balance of your existing mortgage. • Investor HELOC: The lesser of $200,000 or 75% LTV minus the balance of your existing mortgage. • Leasehold HELOC: The lesser of $200,000 or 60% LTV minus the balance of your existing mortgage. • 95% LTV fee-simple, owner-occupied HELOC: The lesser of $100,000 or 95% LTV minus the balance of your existing mortgage. Closing costs for certain third party fees (e.g. real estate evaluation, recordation, documentation, title search, escrow, flood determination), estimated at $900 to $2500, will be waived unless the line is terminated within three years. You will be required to pay other closing costs involving trust review, other legal documentation, or appraisal cost, estimated at $250 to $1950.   Only improved residential property in Hawaii is accepted as collateral. Property insurance is required. There is no transaction or other activity charges. Membership in the credit union is required. Rates, terms and conditions are subject to change without notice. Other terms and conditions apply. Speak to a credit union representative for more information. Visit www.hsfcu.com/rates or call the Rate Hotline at (808) 587-2734 for a complete list of HSFCU’s current rates.

Check Out Our Current Rates

Loan Accounts

Loan Product

terms

APR (As low as)*

Terms

Number of Payments

Monthly P&I

Total Interest Paid

Personal

4.50%

1-6 Years

1 Year 2 Years 3 Years 4 Years 5 Years 6 Years 7 Years

12 24 36 48 60 72 84

$861.00 $443.00 $304.00 $235.00 $193.00 $165.00 $146.00

$326.51 $622.60 $923.45

Auto/Truck – New Up to 100% Financing

2.40%

1-7 Years

$1,226.67 $1,539.79 $1,860.27 $2,169.69

Auto/Truck – Used Up to 100% Financing

2.90%

1-7 Years

3.90% 4.15% 4.40% 4.90% 4.40% 4.65% 4.90% 5.40%

1-3 Years 4 Years 5 Years 6 Years 1-3 Years 4 Years 5 Years 6 Years

No down payment required.  HSFCU also offers personal share-secured and personal bridge loans. Contact a HSFCU representative for more details. **APR includes a 0.25% discount for automatic payment. Without automatic payment, the APR will be 0.25 percentage points higher.  This is the lowest rate available.  Your APR will be based on your creditworthiness and may be higher. No down payment required.  HSFCU also offers personal share-secured and personal bridge loans. Contact a HSFCU representative for more details. 1 Your APR will be based on your creditworthiness and may be higher. 2 The 1-year and 2-year HELOC introductory rates are valid for applications received commencing 8/1/2012 and may change at any time without notice. An initial draw of at least $5,000 and automatic payments from a HSFCU share account are required. Otherwise the applicable Current Variable Index Rate will apply. After the introductory period expires, your rate will vary and the applicable Current Variable Index Rate will apply. This offer applies to new Home Equity Lines of Credit. Refinancing of existing HSFCU Home Equity Lines of Credit are not allowed. If you elect the 1-year or 2-year introductory rate, it will remain in effect until expiration of the introductory rate period. 3 The Current Variable Index Rate is based on the Prime Rate plus a margin. Your margin will depend on

Motorcycle – New Up to 100% Financing

Motorcycle – Used Up to 100% Financing

Loan Product

Revolving credit

APR (As low as)

Line of Credit Revolving

7.25%**

Visa Platinum Rewards Credit Card No annual fee. tt Earn rewards for travel awards and merchandise. Home Equity Lines of Credit*** Up to 80% loan to value, fee-simple, owner- occupied properties***

6.9%

6-Month Intro Rate

8.5% to 14.50%

After 6 months. 1

1-Year Intro Rate

0.99% 2

2-Year Intro Rate

1.99% 2

Current Variable Index Rate

3.75% 3

H O M E E Q U I T Y O P T I O N S T O M A K E Y O U R D R E A M S A R E A L I T Y V A L U E S T A R T S I N T H E H O M E H O M E O E U D R E A M I T

H O M E E Q U I T Y O P T I O N S T O M A K E Y O U R D R E A M S A R E A L I T Y V A L U E S T A R T S I N T H E H O M E T O M E M I R M S T Value starts in the home Home Equity options to make your dreams a reality

APR 0.99 % * One Year Introductory Rate

3.75 ** Current Variable Index Rate APR %

Visit us at any branch, go to www.hawaiistatefcu.com , call us at (808)587-2700 or toll free at (888)586-1056

$250,000 or 80% LTV minus the balance of your existing mortgage. Closing costs for certain third party fees (e.g. real estate evaluation, recordation, documentation, title search, escrow, flood determination), estimated at $900 to $2500, will be waived unless the line is terminated within three years. You will be required to pay other closing costs involving trust review, other legal documentation, or appraisal cost, estimated at $250 to $1950. Only improved residential property in Hawaii is accepted as collateral. Property insurance is required. There is no transaction or other activity charges. Membership in the credit union is required. Rates, terms and conditions are subject to change without notice. Other terms and conditions apply. Speak to a credit union representative for more information.

*1-year HELOC introductory rates are valid for applications received commencing 8/1/2012 and may change at any time without notice. An initial draw of at least $5,000 and automatic payments from a HSFCU share account are required. Otherwise the applicable Current Variable Index Rate will apply. After the introductory period expires, your rate will vary and the applicable Current Variable Index Rate will apply. This offer applies to new Home Equity Lines of Credit. Refinancing of existing HSFCU Home Equity Lines of Credit are not allowed. If you elect the 1-year introductory rate, it will remain in effect until expiration of the introductory rate period. **The Current Variable Index Rate is based on the Prime Rate plus a margin. Your margin will depend on creditworthiness. Ask us about rate limitations. The Current Variable Index Rate shown is current as of 8/1/12 will not exceed 18% APR. The Current Variable Index Rate has a minimum 3.75% APR for the 80% LTV fee simple, owner-occupied properties. The minimum credit line is $10,000 and the maximum credit line is the lesser of

Makethisthe best summer ever! This summer, take a vacation, buy patio furniture and a new grill, or buy a new entertainment system and enjoy the in-doors! Set your own pace and choose the amount or term that fits your financial needs. Don’t miss out! Hawaii State FCU’s Summer Loan is only available until August 31, 2012.

Don’t Miss Out! Ends Aug 31!

Visit us online at HawaiiStateFCU.com for more info

*Offer good from 06/15/2012 to 8/31/2012. APR is for a one-year term loan and it includes a 0.25% discount for automatic payment. Without automatic payment, the APR will be 0.25 percentage points higher. Your APR will be based on your creditworthiness. Payment Example: A loan of $1,000 with a 4.00% APR will have 12 monthly P&I payments of $85.18, which includes $21.84 total interest paid. Offer applies to new HSFCU loans only. Certain terms and conditions apply.

Information on Estate Planning This is an installment in a series of articles discussing various tools available to assist you or your loved ones with managing finances in the event that you are unable to do so or subsequent to your death. Powers of Attorney There may be times in your life when you want to give another person the ability to make transactions on your accounts on your behalf. For personal accounts, such ability may be created pursuant to a legal document called a Power of Attorney. A Power of Attorney creates a principal-agent relationship between the person granting the power (the “principal”) and the person being appointed (the “attorney-in-fact”). The attorney-in-fact is a fiduciary which means that the attorney-in-fact acts on behalf of and for the benefit of the principal. The attorney-in-fact cannot use the Power of Attorney for personal benefit. There are two fundamental types of Powers of Attorney: (1) general and (2) special/limited. • A General Power of Attorney enables the attorney-in-fact to act on behalf of the principal in any manner that the principal is able to act on the principal’s own behalf. While most General Powers of Attorney have long lists of actions that the attorney-in- fact can take on behalf of the principal, a well-drafted General Power of Attorney will state that such acts are examples of the power being granted and not designed to limit the power to those which are listed. • A Special/Limited Power of Attorney may provide limited authority to the attorney-in-fact or set a specific time limit as to when the Power of Attorney continues to be in effect. Powers of Attorney differ in another important respect: whether the powers granted will be effective when the principal is incapacitated. If the Power of Attorney specifically states that it will be effective notwithstanding the incapacity of the principal, then the powers granted, be they general or special, will be effective. This type of Power of Attorney is called “durable” and is authorized by statute. There are two types of durable Powers of Attorney: (1) one that is effective upon execution and continues in effect after the subsequent incapacity of the principal and (2) One that becomes effective only upon the subsequent incapacity of the principal. In no event does a Power of Attorney continue in effect past the death of the principal. Should an account owner decide to present a Power of Attorney, it should be noted that it may or may not be honored as there is no requirement that a Power of Attorney be honored. Before deciding to honor a Power of Attorney, the attorney-in-fact may be required to execute an affidavit attesting to certain facts and giving certain assurances regarding the Power of Attorney. Powers of Attorney are frequently part of an overall estate plan so you may want to consult with an attorney specializing in estate planning. The attorney can help you decide if the Power of Attorney is right for your situation, or if perhaps you should allow a third party to have access to your account by other means.

Information presented in this article is for informational purposes only. You may want to consult an attorney about your individual situation.

Presorted Standard U.S. Postage PAID Hawaii State FCU

P.O. Box 3072 • Honolulu, Hawaii 96802-3072

Eco-Friendly P R I N T I N G Printed with soy-based inks on paper from a responsible source

OahU Branches Main 560 Halekauwila Street 7:30 a.m. – 5:00 p.m. Mon – Fri 7:00 a.m. – 5:00 p.m. on State Paydays Ali’i Place 1099 Alakea Street 7:30 a.m. – 5:00 p.m. Mon – Fri 7:00 a.m. – 5:00 p.m. on State Paydays Kaimuki 3221 Waialae Ave (Kaimuki Shopping Center) 8:00 a.m. – 5:00 p.m. Mon – Fri 9:00 a.m. – 1:00 p.m. Sat Kaneohe

Hawaii State FCU’s Kaneohe Branch We’re Moving!

After 11 years at the Windward Centre on Kawa Street, Hawaii State Federal Credit Union’s Kaneohe Branch is moving! Our new branch will be located in the Kaneohe Bay Shopping Center, between FedEx and T-Mobile. The last day of operations at the current location will be Saturday, September 8th, with the new branch opening on Monday, September 10th.

46-028 Kawa Street, Suite B1 9:00 a.m. – 6:00 p.m. Mon – Fri 9:00 a.m. – 1:00 p.m. Sat Kapolei Kapolei Shopping Center Suite #140 91-590 Farrington Highway 9:00 a.m. – 6:00 p.m. Mon – Fri 9:00 a.m. – 1:00 p.m. Sat Mililani Mauka 95-1095 Ainamakua Drive 9:30 a.m. – 6:30 p.m. Mon – Fri 9:00 a.m. – 1:00 p.m. Sat Pearlridge Westridge Shopping Center, C101 98-150 Kaonohi Street 9:00 a.m. – 6:00 p.m. Mon – Fri

The new branch will provide our members with a roomier and more convenient location, ample parking, safe deposit boxes, and free Coinstar coin counting. While the branch will be new, you’ll still see the same familiar faces of our branch staff and you’ll still receive the same friendly, personal attention.

We’re confident that members will enjoy the new branch with all of the added conveniences. If you have any questions about the move you may

9:00 a.m. – 5:00 p.m. Sat Maui Branch Kahului

ask any of our Kaneohe staff, or call our Member Services Call Center at 587-2700. We look forward to continuing the tradition of serving our members and their families in our new

425 Koloa Street (Triangle Square) 8:30 a.m. – 4:30 p.m. Mon – Fri 9:00 a.m. – 1:00 p.m. Sat

Board of Directors David Shimabukuro, Chairman

William “Bill” Milks, Vice Chairman Russell Yamashita, Board Treasurer David “Nalu” Akaka, Board Secretary

Lowell Kalapa, Director Louise Akamine, Director Supervisory Committee Derrick Inouye Manu Kaiama John Nuha Joshua Strickler

home in the Kaneohe Bay Shopping Center very soon.

Federally insured by NCUA