The BMI Federal Credit Union Holiday LoanHoliday Loans with a snowman, santa claus, santa claus, and a christmas tee animated figures

Here's Why We Love This Great Loan 


It almost doesn’t seem possible, but we’ve officially made it to the holiday season! With still so much uncertainty in the air, it's as important as ever to stay smart and savvy with your finances. That’s why BMI Federal Credit Union is here to help with a Holiday Loan. Designed to help you in a number of ways, here’s why we love the Holiday Loan!

Check All the Boxes

At some point in your life, you will find yourself needing a loan. Whether it’s a home mortgage, car loan, or credit card, there are a few important criteria you’ll want to consider. The BMI Federal Credit Union Holiday Loan checks all the boxes of a great loan option.

Low Fixed Rates: APR (Annual Percentage Rate) is the first of a few things for which you ought to pay attention. The lower the interest rates, the better for you. While interest rates can vary, they can also change within the term of your loan. This is why you’ll want to consider a fixed or variable (also known as flexible) interest rate. While you may want to weigh your options for longer term loans like home mortgages, fixed interest rates can be beneficial for shorter term loans. That’s why we keep the Holiday Loan simple with low fixed rate options.

Three Loan Options: The Holiday Loan offers three loan options: $1,000, $3,000, or $5,000. Three options means you get to choose the amount that’s right for you. Each loan amount corresponds with its own low fixed rate and loan term – just another way this loan keeps things easy.

Manageable Terms: As you might know, your interest rate and loan size go hand-in-hand with your loan term. The loan term determines how much time you have to repay the loan. For the Holiday Loan, each tiered interest rate, loan size, and loan term is designed for an easy and manageable repayment schedule.

No Application Fees: None of BMI Federal Credit Union loans require initial application fees. This is not a common practice across all financial institutions, but we believe you should not have to pay to simply apply for one of our loans. Our mission is to improve the financial lives of our members, so we want to ensure this financial relationship starts off and stays that way.

Avoid Department Store Credit Cards

Department stores, whether online or Brick and Mortar, know that you’ll be looking to spend this season, and they want to make it easy on you…or do they? Most department stores offer credit cards with a great “perk” – usually a small percentage off your purchase each time you use it. However, these cards have notoriously high interest rates. According to WalletHub’s Credit Card Landscape Report, department store credit card interest rates hover around the maximum federally allowed rate – 24% – even if you have good credit! Moreover, the interest rate (even factoring in your perk) is designed such that if you only ever pay your minimum, you will have a very hard time paying it off. That means that even with the “savings” you get at your time-of-purchase, you’re typically still stuck with an aggressive repayment schedule, and an overall net loss.

You’ve now learned however, that the Holiday Loan keeps a low fixed rate. Using this loan to avoid the temptation of a department store credit card can be helpful during the holiday season, when you plan on spending a little cash either way.

Consolidate Debt

The holiday season likely isn’t the only time you spend, so you may already have some debt. What does it mean to consolidate it? It can mean a few things, but using a low interest loan to pay off high interest debt can be helpful. Let’s try a math problem (don’t worry, it’s an easy one): Consider one of our department store credit cards from above – if you owe $1,500 on a credit card with 24% interest, you can pay off that card with a $3,000 Holiday Loan with only 7.99% APR*. Now you have not only cut your interest rate by well over half, but you’ve extended your payment schedule to something more manageable (and in this example, still have money left over at this great low rate).

Ask for Help

If you’re not sure if a Holiday Loan is right for you, give us a call at 614.707.4000. If you think you might need a little extra help getting your finances in order this season, check out our Financial Education Program! Consider a free one-on-one session with a Certified Financial Coach or register to attend our free financial education workshop webinars. Register today

‘Tis the Season for a Holiday Loan!

Choose the amount that’s right for you. Apply today: 

$1,000 for 12 months, 6.99% APR*

$3,000 for 24 months, 7.99% APR*

$5,000 for 36 months, 8.99% APR*

 *APR = Annual Percentage Rate. Rates as of November 1, 2021. A $1,000 loan will be 12 monthly payments of $87.01. A $3,000 loan will be 24 monthly payments of $136.55. A $5,000 loan will be 36 monthly payments of $160.13. Only one Holiday Loan per member. Members with existing Holiday Loans are eligible and will need to combine their existing Holiday Loan into the new loan. No Payment for 60 days. Rates, terms, and conditions are subject to change and may vary based on creditworthiness, and qualifications. All loans subject to approval. Membership eligibility requirements apply. Offer ends January 31, 2022.