Credit unions offer creative home loans
By Lisa Prevost | The New York Times
Large credit unions are offering average borrowers some of the more creative mortgage products these days when compared with the more standard fare of big banks.
And these innovations don’t necessarily fall outside the confines of the new regulatory criteria for “qualified,” or safe, mortgages, which provide lenders with greater legal protections. As member-owned, nonprofit institutions, credit unions tend to have a low tolerance for risk.
“They never got into the negative-amortization loans and any of those goofy teaser rates,” said Bob Dorsa, the president of the American Credit Union Mortgage Association in Las Vegas. “They are interested in what’s in the best interest of their members.”
