Loan Programs & Services: Custom Rewards Lending

Custom Rewards Lending

Our Custom Rewards Lending program has two goals:

• It will reward borrowers with good credit histories by giving them our best possible rate and terms – as good as or better than other lenders.
• It will assist members with past credit difficulties by giving them comparative rates and terms, while helping them rebuild their credit ratings.

Custom Rewards Lending is set up so that your loan interest rate is determined by your credit history, as well as other factors such as the length of your loan and both the age and value of your collateral.  With Custom Rewards Lending, we will offer five levels of interest rates to meet the needs of our members, and to serve those future members who are presently being under-served by other financial service providers.

Along with Custom Rewards Lending, we also offer a special discount:

• To members who have credit challenges, we will offer a discount of up to 1.00% when they have completed the Credit When Credit is Due course through Consumer Credit Counseling Service of the Black Hills.  (This offer may not be combined with any other offers.  Maximum total discounts available may not exceed 1.00%.)

Customized credit scoring helps manage risk.  Challenging market conditions continually challenge Northern Hills Federal to adopt better technologies and strategies to serve members while minimizing risk.  One effective tool is credit scoring. 

Challenging competitive environments have encouraged some more credit-worthy members to go elsewhere for their loans, but with the Custom Rewards Lending program, we are able to better serve all members.

The most credit worthy members will find our rates to be very competitive and those members who have experienced credit problems in the past will be able to obtain loans at reasonable rates.  There are many opportunistic lenders in today’s society who prey on low-income and under-served consumers – we plan to be able to more effectively serve those consumers.  We also have opportunities available for members who have damaged their credit.  They can continually move up into better rate categories as their credit scores improve with each new loan and by successfully completing credit education courses.

The Custom Rewards Lending program has allowed us to decrease approval times for credit-worthy borrowers while asking the less credit-worthy members to help pay for the costs of delinquency and collection based on the risk associated with their prior repayment histories.

To learn more about your personal credit score, how it is calculated, and how to improve it, follow this link.