Home Buyer Tax Credit Expiring April 30

Posted by Stacy Callahan on Mar 31st, 2010 | View Comments

The Home Buyer Tax Credit is set to expire on April 30. Here are some key details of the credit.

Here are details on the extension and expansion of the U.S. tax credit for homebuyers signed into law on November 6, 2009, by President Obama:

Deadline Extended Into 2010
The tax credit was originally to end November 30, 2009. It has now been extended into 2010. If you have a signed purchase agreement by April 30, and close the transaction before July 1, you’re eligible for the credit.

Most Other Buyers Now Eligible
First-time homebuyers are eligible for a credit of 10 percent of the price of the home, up to $8,000. (Married couples filing individually can receive $4,000 each.) You are considered a first-time buyer if you haven’t owned a principal home in the U.S. in the last three years.

The tax credit has also been expanded to buyers who have owned a home at some period during the last three years and used it as their principal residence for five consecutive years in the last eight. They can receive up to $6,500 – or $3,250 for couples filing as individuals.

No Repayment if You Stay in Home for Three Years
The buyer does not need to repay the tax credit, if he/she occupies the home for three years or more. However, if the property is sold during this three-year period, the full amount of the credit will be recouped on the sale.

Caps on Income, Home Price
Individuals who earn up to $125,000, and couples who earn up to $225,000, are eligible for the full credit. Individuals who earn between $125,000 and $145,000 – and couples who earn between $225,000 and $245,000 – can receive a percentage of the full credit.

The maximum purchase price is $800,000. Any home selling for more than that makes the buyer ineligible for the credit.

Taking Advantage of the Credit
You can claim the credit on your 2009 or 2010 tax return. There are also programs in place to enable you to use the funds to help with the down payment.

Applying the Credit to Your 2009 Taxes
You will need to do three things to claim the credit on your 2009 tax return:

• Fill out the applicable IRS form to determine the amount of your available credit.
• Apply the credit when you file your 2009 tax return or an amended return.
• Attach documentation of purchase to your return or amended return.

If You Purchase in 2010
Buyers purchasing in 2010 will have the option to:

• Claim the credit on their 2009 return, even if the purchase is completed after December 31, 2009.
• File an amended return for 2009 if their purchase is completed after April 15, 2010.
• Claim the credit on their 2010 tax return.

Call Jana Ledbetter with our Mortgage Lending Team at 618-457-3595 to discuss how this credit can help you.

2010 Undy Run

Posted by Chris Sievers on Mar 29th, 2010 | View Comments

We are big supporters of the American Cancer Society here at the credit union. It’s become one of our major fundraising efforts and a cause that is near and dear to our heart. Last year our employees raised over $4,000 for the ACS.  On Saturday, two credit union employees, Amy Ragan, compliance officer, and Josh English, teller and marketing intern, ran in the 2010

Credit Union volunteers (at left) were part of the registration team. Above, Amy Ragan and Josh English competed in the race for SIU Credit Union.

Undy Run, an effort to stamp out colorectal cancer and an extension of our support for the American Cancer Society. Several credit union employees also volunteered their morning to help with race registration. SIU Credit Union was a major sponsor of the event.

We’re proud of our employees who go out into the community to serve a cause they are passionate about.   

Student loan bill overall won’t affect private lending

Posted by SIU Credit Union on Mar 23rd, 2010 | View Comments

NEW YORK (CUNA — 3/23/10)–A student loan bill passed with the health care reform bill by the House Sunday won’t affect private student loan providers overall, says a company that offers private student loan programs.

“The bill overall doesn’t affect private student lending, and even if it does, it helps the borrower, so it is a positive for the industry,” said Chirag Chaman, chief operating officer of Fynanz, a New York, N.Y.-based provider of custom private student loans. Fynanz has a new alliance with CUNA Strategic Services to help credit unions in the private student loan market. It has 23 credit unions on board and 16 to be implemented in the next nine months, he said.

“If [the bill] helps the students, it helps the customers of the credit union, and by helping them, it helps the credit union” meet members’ needs, he told News Now.

The bill revamps the federal student loan programs and eliminates fees paid to private banks to act as intermediaries in student lending. Instead, the government will expand a direct lending program and use the $61 billion that taxpayers would save over 10 years to increase Pell grants for students (The New York Times March 21).

The bill sets automatic annual increases in the maximum Pell grant, scheduled to increase to $5,975 by 2017 from $5,350 this year. It also includes $13.5 billion to cover a shortfall caused by a steep increase in the numbers of students enrolling in college and seeking financial aid during the recession, said the Times.

Chaman noted there are few changes from earlier versions of the bill. “There’s nothing thrown in that’s new,” he told News Now. The Pell changes will provide aid, and “Need-based aid for students is important. The funds hadn’t been growing the past few years and [the increases] were needed,” said Chaman.

He noted that the average student takes out a private student loan as a last resort. “They will take the federal loan aid, state grants, scholarships first. A private student loan is the last thing they should look at,” he added.

Private lending can still be among the options schools can present to students with their information, although schools cannot recommend one over the other. “And the bill has no extra regulatory burden other than what’s already come down the pike” when Congress introduced Title X changes in loan forms, he said.

Identity Theft: You Have a Lot to Lose

Posted by Chris Sievers on Mar 19th, 2010 | View Comments

SIU Credit Union Marketing Director Chris Sievers talks about identity theft prevention with WPSD Local 6 Anchor Beth Bradley at the WPSD, SIU Credit Union Super Shredder Thursday Event at SIU Credit Union in Marion. SIU Credit Union collected over 6,000 pounds of documents on Thursday that was securely shred by DataLock.

Armed with little more than the name, address, birth date, and Social Security number of a completely unknowing person, thieves are illegally obtaining credit cards and access to checking accounts. Others use their newfound identities to apply for employment, an auto loan, or a driver’s license or even to commit a serious crime. Worse, that unknowing person might be you.

Consumer advocacy groups, such as the Privacy Rights Clearinghouse in San Diego, are receiving an increasing number of requests for help from victims of a crime that most law enforcement officials call identity theft.

For victims, the nightmare might begin when someone steals a wallet or check. Or when someone pilfers financial or other records with identifying information from a trash can. Or it might occur when the perpetrator legally obtains credit bureau records while working for a credit grantor (a financial institution, auto dealer, insurance company).

The lengthy process victims endure to untangle the web of fraud is draining both financially and psychologically.

So, what have you got to lose?

* Access to credit. A bad credit rating can virtually prohibit you from getting a credit card or any type of loan.

* Use of your checking account funds. You’re likely to show up as a bad risk on retailer’s check verification systems.

* Employment opportunities. A damaged credit report or driving record could take you out of the job market.

* Work time. With passage of the Identity Theft and Assumption Deterrence Act of 1998, victims finally have a federal law that gives them the right to file police reports and recoup damages. But it takes time to be persistent and assertive in clearing their names.

* Money. Costs can mount when you retain the services of legal counsel.

Report any suspected identity theft to SIU Credit Union as soon as you realize it has occurred. And visit the Federal Trade Commission identity theft Web site (ftc.gov/bcp/edu/microsites/idtheft/) to view a copy of its publication, “Take Charge: Fighting Back Against Identity Theft.”

Super Shredder Thursday at SIU Credit Union — Marion Branch

Posted by Joshua English on Mar 16th, 2010 | View Comments

Thursday, March 18 from 10 a.m. to 6 p.m. at 2809 Outer Drive in Marion, next to O’Charley’s.

Don’t Make Us Pay — Important Legislative Info

Posted by Chris Sievers on Mar 15th, 2010 | View Comments

Rep. John Conyers, Chairman of the House Judiciary Committee, has introduced a bill on interchange that would shift this cost of doing business for merchants to the backs of American consumers.

Learn more about the chaotic vote in the Judiciary Committee on last year’s version of this legislation »

It’s simple: merchants do not want to pay their fair share to accept debit and credit cards, and they want consumers to foot the bill.

If this legislation passes, American families will end up footing retailers’ bills when it comes to accepting debit and credit cards.

Watch a video on how interchange legislation will raise costs for American families »

Merchants that accept credit and debit cards benefit from more sales, lower costs and greater profits. It is only fair that they pay a fee for this service.

At a time when American families everywhere are struggling to make ends meet, they shouldn’t be forced to pay more so giant retailers can profit at their expense.

Tell Congress that you don’t want to pay for retailers’ bills »