Consumer Lending and Travel Loans In The Credit Union Industry

Travel loans are becoming more and more popular with credit union members. It isn’t hard to see why, either. With the current economic conditions, individuals have just enough funds to cover living expenses. Traveling and vacations are left to take a backseat. However, you can offer your credit union members a travel loan to give them the financial comfort and convenience they need while they are away.

What is a Travel Loan?
Travel loans are a different type of personal loan when it comes to consumer lending. It is easy to overlook travel loans as a regular product offering, but the market is very economically viable. Having travel funds on hand reassures members that their financial needs are met while they are away. This type of loan was designed to act as a supplement, or to be used in place of funds normally used for daily living. They can be easily repaid in monthly installments. Presenting travel loans this way shows members how easy and affordable it can be to take that dream vacation they have always wanted to.

Funds from a travel loan help members plan adequately for vacation. Another benefit is that it is very convenient for members to use a credit union while traveling. Especially if the credit union is connected and/or affiliated with a national network. The convenience of having cash in hand while on vacation makes a travel loan a very tempting option for members.

Providing Travel Loans to Your Members
Travel loans are easy to provide. Especially with an Oak Tree Business Systems, Inc. consumer lending package. Meet your credit union’s operational needs by having customized consumer lending packages. Our forms make it easy for you to lend to your members. If you haven’t considered looking at this particular consumer lending product before, now is a great time. Contact us today and let’s talk.

Marketing Travel Loans to Your Members
With a little marketing, you can tap into the niche and encourage your members to secure a travel loan before they make vacation plans. Promote travel loans in your branch, on your website, on social media, and through direct mail. Be sure to point out your travel loan’s great rates, repayment options, the benefits of the loan, and how easy it is to sign up for the loan!

Oak Tree Business Systems, Inc. can also help you market any products with our marketing services department. Contact our marketing team for assistance in promoting your travel loans.

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International Consumer Lending – Will U.S.-based financial organizations be ready?

International Economy: Trade is growing globally in the current scope of consumer financing. There are many grounds for this development, perhaps not the smallest amount of which is technology. Due to improved communication possibilities today, worldwide trade is much more practical. Today as part of your, customers and organizations get access to the utmost effective products from many different countries. Growing technology has also increased the competition among countries as to who can create the modern or most readily useful technology. To produce the hotels of the new trade, countries within the last a number of years have taken increasing measures to promote international trade.

Foreign exchange transactions are getting to be increasingly more normal with the convenience of automatic on line financing. Will the foreign loan providers continue steadily to attract the eye of this US purchasers? We currently seen an increase in international transactions using buy of on the web products, and air/travel bookings.

Who safeguards the buyer just who accesses the international financing options? The globalized trade market is at this time governed because of the Federal Trade Commission (FTC). The FTC focus is always to protect the consumer from harm, while enhancing the commercial benefit therefore the choice of the buyer.

International lending has actually exposed crime-based activity to a global environment, enabling old-fashioned theft to emerge on another degree. Will this type of fraudulence and theft in the global marketplace replace the rules of intercontinental lending? There may be the opportunity the FTC measures in and changes the way in which we’re lending and financing loans or purchases. Are you willing to comply?

With consumer protection laws and regulations continuously rising, how will this impact the worldwide lending guidelines? Will the U.S. become adaptive into method of our international loan providers? It would appear that the U.S. consumer lending laws and regulations tend to be advanced, while allowing the flexibility and ease of use to fund a consumer loan… provided that the principles tend to be used.

It may possibly be the future of our financing practice is in the arms of this prevailing financial system (that may not be the U.S.) and therefore all nations take place into same constant lending methods. Will your credit union be ready to comply with a mandatory intercontinental consumer lending standard?

Let me reveal where in fact the great is available in. Your credit union’s financing functions might be suffering from the continuous global monetary business modifications, and today your types remain compliant with present credit union rules and regulations, especially if supplied by Oak Tree. Be confident that Oak Tree is continuously “trend seeing” and will also be during the forefront of any changes towards kinds as a result of any supply, including worldwide trends .

Contact us to learn just how to be equipped for any modification, whether it’s regional or international. Oak Tree company Systems, Inc. is often ready to offer the most relevant credit union business information.

To read comparable articles be sure to go to Oak Tree Business techniques, Inc. August 2016 positive aspect – The Lending Olympics.

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Competition in consumer lending market

During the past 15-20 months, the industry of customer financing has-been increasing by about 30-40per cent annually. Additionally, market members think the boom of customer financing is yet in the future. Relating to specialists, currently financial loans the purchase of family devices scarcely get to 10percent of GDP, whereas when you look at the developed countries similar figure surpasses 30percent.
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