February 4, 2021 - 3:22pm
#1
My Credit unions management is considering running a promotion on recreation vehicles where the loan would have a lower intro rate for say 6 months and then would change to the normal rate the member qualified for when the loan was booked for the remaining term. My understanding is they do not intend to have the payment change just the interest rate. Obviously one of the concerns would be how you would ever disclose the APR correctly. I know places will run this type of promo on a credit card or HELCOs but I am wondering if any other CUs have done this type of promotion on a closed end loan and any issues you may have had.
