SmartOne Financial Wellness Blog

Behind the Scenes of the Underwriting Process
Authored By: UnitedOne Credit Union on 7/3/2024

Buying a home is one of the biggest purchases you’ll make in your life.

The meticulous underwriting process involved with securing a mortgage ultimately helps ensure the big decision you are about to make is the right one for you.

The Local Home Loan Experts at UnitedOne Credit Union take you behind the scenes of the underwriting process and explain its importance in the latest edition of their podcast, At Home on the Lakeshore.



By definition, underwriting is the process of taking on financial risks for a fee such as loans, insurance, or securities.

Specifically for home loans, underwriters ensure responsible lending practices while safeguarding the interests of both the borrower and the lender.

“Underwriters are the backup,” said UnitedOne Mortgage Specialist Julie Peot, NMLS # 441412. “They are a second set of eyes that look through all of the documentation.”

Initially, the underwriter evaluates the borrower's financial profile. This includes scrutinizing credit history, income stability, employment status, and debt-to-income ratio.

Simultaneously, the underwriter examines the property's appraisal to confirm its market value and condition. This ensures the loan amount aligns with the property's worth and that the asset serves as adequate collateral.

“They’re going to make sure that you’re getting a house that is not in need of major repairs or things like that,” said UnitedOne Mortgage Specialist Kari Johnsrud, NMLS # 441414. “If the appraiser notes that there are things that need to be fixed or addressed, that could be one of your underwriting conditions. They’re trying to make sure you get into a house that it is sound.”

Throughout the underwriting process, documentation plays a pivotal role. The borrower must provide various documents such as tax returns, pay stubs, statements, and proof of assets. These documents verify financial stability and provide a comprehensive overview of the borrower's financial health.

Once all documentation and assessments are complete, the underwriter makes a decision. This decision can result in approval, denial, or conditional approval pending further documentation or clarification.

The time it takes to go through the rigorous underwriting process also allows you as the borrower to review your financial situation and ensure it’s a viable situation for you.

“It gives you time to process what you’re doing,” said UnitedOne Mortgage Specialist Linda Serrano, NMLS # 441416. “Is this the right fit? Am I truly able to finance this home? Can I truly make the new payment? We give you the time to process all of that information.”

Overall, underwriters aim to minimize financial risks associated with mortgage lending, thereby facilitating secure and sustainable homeownership.

Whether you’re looking to buy your first home or tap into the equity of your current house to do a renovation, UnitedOne’s team of Local Home Loan Experts are your trusted source in Manitowoc and Sheboygan for all your home loan needs.

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Local Home Loans Local Experts
10 Year Fixed - Home Equity Loan 
Apply Now    Book Appointment   Mortgage Center Log In   Email Mortgage Team  

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Listen to more episodes of At Home on the Lakeshore

Unlock Tap-to-Pay Magic of Your Debit Card
Authored By: UnitedOne Credit Union on 6/20/2024

You’re seeing it more and more.

You’re waiting in line at a store and notice the person in front of you using a card to pay. Much to your bewilderment, though, they don’t swipe or insert their card into the terminal. 

The individual simply holds the card close to the terminal and they are on their way.

If you’re wondering how this person accomplished the magical feat to pay without touching anything and would like to know how you can do the same, then please keep reading.

Contactless payments use short-range wireless technology. It’s a quick and secure way to make payments with a card, like the UnitedOne Visa® debit card.

You can tell if your card has this capability if it has printed on the front the contactless symbol, which resembles a WiFi signal.

This method of payment is also referred to as tap to pay. However, you don’t actually need to tap the checkout terminal with your card. You simply need to hold it about an inch or two away when prompted to pay.

A growing number of merchants now offer contactless payments. If they do, you’ll see the contactless symbol on the terminal at checkout.

Besides being convenient, contactless payments are also more secure. That’s because a one-time code is generated and used to process your payment with the merchant. This means your account number and information isn’t exchanged with each transaction to help reduce fraud.

All new UnitedOne Visa® debit cards are issued with tap-to-pay technology.

If you have an older card without tap-to-pay technology built into it, you can still start using contactless payments today by loading your card into your mobile device’s mobile wallet. All you need then is your mobile device to pay anywhere contactless payments are accepted.

What are you waiting for? Start using tap-to-pay technology today! Discover more details about the UnitedOne Visa® debit card and contactless payment options available to you.

UnitedOne Credit Union has branches in Sheboygan and Manitowoc, and is open to everyone living or working in Sheboygan, Manitowoc, Kewaunee and Door counties. The credit union serves consumers and small to mid-sized businesses.

Discover Your Dream Home at Founders' Pointe Subdivision with UnitedOne Credit Union
Authored By: UnitedOne Credit Union on 6/7/2024

Are you in the market for a new home? Look no further than the upcoming Founders' Pointe subdivision! Nestled in a welcoming community, Founders' Pointe is set to be a premier residential area, offering 54 beautiful homes located in Sheboygan Falls designed with comfort and convenience in mind. Scheduled for completion in March 2025, this development promises to be the perfect place for you and your family to call home.

Why Founders' Pointe?

Founders' Pointe in Sheboygan Falls is more than just a place to live; it's a community where you can thrive. Each home in this lovely subdivision is crafted to meet the highest standards of quality and design. Whether you're a first-time homebuyer or looking to upgrade to a more spacious residence, Founders' Pointe could be the perfect option for you. To find out more about qualifications and requirements for Founders' Pointe, please visit Someplace Better Homes.

Here are some highlights of what you can expect:

• Modern Architecture: The homes feature designs that combine aesthetic appeal with practical functionality.
   
• Energy Efficiency: Built with the latest energy-efficient technologies, these homes will help you save on utility bills while reducing your carbon footprint.
   
• Prime Location: Conveniently located near top schools, shopping centers, parks, and recreational facilities, Founders' Pointe provides easy access to everything you need for a comfortable lifestyle.
   
• Community Amenities: Enjoy shared amenities such as parks, walking trails, and community gathering spaces designed to foster a close-knit neighborhood feel.

Financing Your Dream Home with UnitedOne Credit Union

At UnitedOne Credit Union, we understand that purchasing a home is one of the most significant financial decisions you'll make. That's why we're committed to making the process as smooth and stress-free as possible. Our experienced mortgage experts are ready to guide you through every step of the home-buying journey.

Why Choose UnitedOne Credit Union?

• Personalized Service: Our team of local mortgage experts in Sheboygan is dedicated to providing friendly, personalized service tailored to your unique needs and financial situation.
   
• Competitive Rates: We offer competitive mortgage rates and flexible terms to help you find the financing solution that best fits your budget.
   
• Member Benefits: As a member of UnitedOne Credit Union, you'll have access to a range of exclusive benefits, including lower fees, higher savings rates, and exceptional customer service.

Join UnitedOne Credit Union Today!
Becoming a member of UnitedOne Credit Union is easy and comes with numerous advantages. Whether you're looking to finance your dream home at Founders' Pointe or need assistance with other financial services, we're here to help.

Ready to Take the Next Step?

Don't miss out on the opportunity to own a beautiful home in the highly anticipated Founders' Pointe subdivision. Contact UnitedOne Credit Union today and speak with one of our Local Home Loan Experts at our Sheboygan locations. Let us help you turn your dream of homeownership into a reality.

Visit our website or stop by one of our Sheboygan branches to learn more about membership and mortgage options. To find out more about qualifications and requirements for Founders' Pointe, please visit Someplace Better Homes. Together, we can make your dream home a reality at Founders' Pointe.

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Local Home Loans Local Experts
Apply Now    Book Appointment   Mortgage Center Log In   Email Mortgage Team  

Podcast: What Makes Up Your Credit Score and How to Improve It
Authored By: UnitedOne Credit Union on 5/30/2024

Have you viewed your credit score in the past year? You’re not alone if you answered no. 

Only 33% of Americans check their credit score annually, according to Lendingtree.com.  

The Local Home Loan Experts at UnitedOne Credit Union discuss what makes up your credit score and how to improve it in the latest edition of their podcast, At Home on the Lakeshore. 



If you’re not obtaining your free credit report from AnnualCreditReport.com each year then you could be in for an unpleasant surprise when you apply for a loan. 

One in five consumers have mistakes on their credit reports, and one in 20 had errors significant enough to cause them to be denied lower interest rates. 

“It’s important to check annual credit report every year to see what’s out there,” said UnitedOne Mortgage Specialist Linda Serrano, NMLS # 441416. “We can give you tips on disputing some of those items because maybe it’s that one item that’s going to get you that credit score that you need.” 

Understanding the five components that make up your credit score is essential for improving your overall creditworthiness. 

• 35% Payment History 
  The most significant element in determining your credit score is paying your bills on time. 
  
  “Late payments can really negatively affect your score,” said UnitedOne Mortgage Specialist Kari Johnsrud, NMLS # 441414. “Even if you can only make the minimum payment, that’s OK just pay it on time.” 
   
• 30% Credit Utilization Ratio 
  This is the amount of credit you're using compared to your total available credit. For example, if you have $900 charged to a credit card with a $1,000 limit, you’re using 90% of the available credit on that card.  
  
  Maintaining a low credit utilization ratio, ideally below 30%, demonstrates responsible credit management and can boost your score. 
   
• 15% Length of Credit History 
  Generally, a longer credit history reflects more experience managing credit, which can positively impact your score. 
  
  “Let’s say a credit card that you opened in 2000 and then now you closed it, that actually eliminates all that credit history,” Serrano said. “If you can avoid it, it’s better to keep it open and put a charge on it every once in a while and pay it off so you can have the longevity of your credit.” 
   
• 10% Types of Credit 
  Not putting all your eggs in one basket helps when it comes to your credit score.  
  
  Having a variety of credit types, whether it’s cards or loans, demonstrates your ability to manage different financial obligations responsibly. 
   
• 10% New Credit Inquiries 
  It can be tempting to open new lines of credit when there is an offer associated with it, like getting a store’s card to obtain a discount. 
  
  However, opening multiple new credit accounts within a short period can negatively impact your score, as it may suggest financial instability.  

By understanding the components of your credit score and implementing responsible financial habits, you can take control of your creditworthiness and work towards achieving a higher credit score. 

“If you’re going to buy a house, come see us early in the process so we can pre-approve you and look at your credit report to see if there are things you can work on before you’re ready to buy that house,” Johnsrud said. 

Whether you’re in the market now to buy a home or want to learn more about improving your credit score so you’ll be ready to house shop in the future, UnitedOne’s team of Local Home Loan Experts are your trusted source in Manitowoc and Sheboygan for all your home loan needs. 

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Local Home Loans Local Experts
10 Year Fixed - Home Equity Loan 
Apply Now    Book Appointment   Mortgage Center Log In   Email Mortgage Team  

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Listen to more episodes of At Home on the Lakeshore

Saver’s Sweepstakes®: Your Ticket to Savings Success
Authored By: UnitedOne Credit Union on 5/15/2024

Almost 40% percent of Americans don’t have access to $400 in liquid savings in case of an emergency, according to an economic status report by the Federal Reserve.

Yet, Americans combined to spend a record $113.3 billion on lottery tickets last year, according to the North American Association of State and Provincial Lotteries.

That comes out to about an average of $450 spent per U.S. adult. In the poorest 1% of zip codes that have lottery retailers, the average American adult spends around $600 a year, or nearly 5% of their income, on lottery tickets.

If there was only a way for people to save money and still satisfy their hunger for a chance to win money?

UnitedOne Credit Union members have that opportunity.

UnitedOne has offered Saver’s Sweepstakes® savings accounts since 2018. It’s a prize-linked savings account offered through The Wisconsin Credit Union League that offers members chances to win prize money in a monthly drawing*.

Unlike buying a lottery ticket, all of the money a member deposits into a Saver’s Sweepstakes account remains theirs. The funds for monthly, quarterly and annual prizes come from the pool of 26 participating credit unions. The statewide prizes range from $100 to $5,000.

Statewide winnings for Saver’s Sweepstakes have exceeded $500,000 since 2018, including UnitedOne member Leo H. winning the annual grand-prize drawing of $5,000 in 2023.

In addition to statewide prizes, UnitedOne offers members-only prize drawings to those individuals who open and save monthly with a Saver’s Sweepstakes account. Three members are drawn to win $25 monthly and one lucky member wins $75 quarterly.

Between the statewide and members-only prize drawings, UnitedOne members have combined to win more than $20,000 and there have been almost 300 winners since 2018.

Saver’s Sweepstakes account holders earn an entry into the monthly statewide and UnitedOne members-only drawing when they increase their savings balance by $25 (up to six entries per month). For example, saving $75 in a month will earn the account holder three entries into the monthly drawing.

While not everyone can be a winner in a prize drawing, Saver’s Sweepstakes account holders are all rewarded by getting into the habit of saving each month.

Credit Union members across the state with Saver’s Sweepstakes accounts have combined to save more than $25 million, with an average Saver’s Sweepstakes account balance of $1,629.

Are you ready to earn chances to win money by saving money? Use UnitedOne’s online appointment maker today and set up a time to open your own Saver’s Sweepstakes account. Remember, the more you save the more chances you have to win!

UnitedOne Credit Union has branches in Sheboygan and Manitowoc, and is open to everyone living or working in Sheboygan, Manitowoc, Kewaunee and Door counties. The credit union serves consumers and small to mid-sized businesses.

*The number of prizes, prize denominations and prize pools depend on the total participation by credit unions, and are subject to change at The Wisconsin Credit Union League’s discretion. As the prize pool increases, the number and/or amounts will also increase. View full details at https://www.UnitedOne.org/savers-sweepstakes