We may not see any one credit union become consistently dominant, but CUs are certainly working together to promote their value.
At any given time, you can expect one or more CUs to run an exceptional mortgage offer. A prime example was Meridian Credit Union’s 2.99% special that led the market in February.
The latest CU promo of note comes from Luminus Financial.
Luminus is a small Toronto-based CU that lends throughout Ontario. It lends through its two branches and through brokers. (Note: the special below isn’t available through brokers.)
Here’s its deal:
- The rate: 2.95% for a 5-year fixed
- 120-day rate hold
- Optional 25% annual lump-sum prepayments
- Optional 25% annual payment increase
- Online mortgage account access
- Member dividends
- Free chequing with $500 overdraft
- An “automatically” approved $5,000 line of credit
- Penalties based on reasonable posted rates (not inflated bank-posted rates)
- $500 cash for referring another customer (up to $20,000 worth during this promo)
On top of that, Luminus says it will beat “any mortgage rate from another financial institution by 0.05%,” as part of this promotion. All you need to do is provide proof of the competing institution’s better rate. (Hint: Check out competing 5-year fixed offers on RateSpy.com.)
If we were a major bank we wouldn’t fret a little ol’ credit union like Luminus. But we’d be acutely concerned by the army of 350+ credit unions that’s mobilizing against banks.