memberCONNECTIONS

New! Keep track of your credit score for FREE!Credit Karma™

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Members now have easy access to their online credit score through Credit Karma. This free credit tracking service provides a simple, straightforward snapshot of your credit report, helping you to better understand the key components affecting your credit, monitor your creditworthiness and help you reach your target score.

With Credit Karma you can:

• Get your credit score — free of charge

• Receive customized credit report cards

• View personalized offers from credit cards, mortgages, auto loans and more

• Access educational articles and resources about credit

You can view your most up-to-date credit score by logging into Online Banking and selecting the “Online Credit Scores” link under “My Accounts.”

DECISION TIME: TAKE SOCIAL SECURITY SOONER OR LATER?

As retirement looms and you start to think about Social Security, you may wonder at what age you should begin collecting benefits.

You could receive reduced benefits as early as age 62. Another option is to wait until your full retirement age (age 65 to 67, depending on when you were born) to receive full benefits. Or you may want to reap rewards of waiting awhile beyond that. Payments can increase from 5.5% to 8% for every year beyond full retirement age, until age 70.

Social Security benefits are set up so that people who take payments early will receive a permanently reduced monthly payment and those who wait until after the full retirement age will receive larger sums. The system is designed so that, on average, participants will receive about the same total benefits over their lifetimes no matter when they begin collecting payouts. If you’re unsure about the best decision for you, consider asking some of these questions. Your choice could hinge on a number of factors pertaining to your individual situation.

What is your family history? If your relatives lived to enjoy the golden years for far longer than their average life expectancies, you may want to consider this in your decision. In case you need the extra money later in life, especially if you outlive pensions or annuities, it may be wise to delay payments for a few years.

Are you still working? The Social Security Administration may penalize people who work while taking Social Security payments before the full retirement age. Be sure to evaluate your financial situation to determine if it is absolutely necessary to take benefits early.

How healthy are you? For those who are in poor health, or have a family history of health problems, it may be a good idea to take benefits early. Receiving payments as soon as they are available could be more important than getting a larger payout.

Beyond Uncle SamThe Social Security Administration includes a “break-even age” calculator on its website at www.socialsecurity.gov and other tools to help you determine which path is right for you.*

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Dear Members,

PRESIDENT’S MESSAGE

Mike ValentinePresident/CEO

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What makes the Credit Union different is that we truly are a cooperative organization. We provide services for the benefit of all of our members, not just a few — balancing higher dividend yields with lower interest rates and providing the services that bring the most value to the most members.

We treat profits earned as an opportunity to become more valuable to our members, reinvesting them to make and save you money, but also to provide you with tools and resources to help you make better informed financial decisions. For example, we recently introduced Credit Karma, a credit tracking service accessed through Online Banking that allows you to view your online credit score and monitor your creditworthiness to better help you reach your desired credit score. This service is available to all members at no charge.

The Credit Union DifferenceWe look to make every interaction with the Credit Union an opportunity to improve your financial well-being. This winter, I look forward to sharing some

exciting changes to our newsletter with you when we reintroduce Member Connections as Life. Money. You. The new Life. Money. You. newsletter will serve as a partner to our online financial education resources and will be focused in the same way — providing relevant, real-world information to help you best manage your financial needs at every life stage.

You can count on your Credit Union to always put your interests first. We exist to serve your needs. It’s that simple.

Best Regards,

Mike ValentinePresident/CEO

We’ve Got Your Back. By Putting You First in Everything we do.

WE GO WHERE YOU GORemote Deposit Services for everywhere you are

Online Banking is a great way to stay connected to your accounts on the go. But we understand that it’s often access to banking basics such as deposits and withdrawals that you need the most. The Credit Union has several ways that you can remotely deposit and withdraw funds — so even when you may find yourself far from a branch, you’re never far from your branch services.

Shared BranchingWhat is it? Access to your accounts at thousands of partner branch locations. Through the Credit Union Service Centers® (CUSC) network, your money is more accessible to you than you may have realized. By partnering with other credit unions across the nation, this unique program gives our members the ability to perform many transactions and obtain services at other Shared Branching locations, just as you would within our own Service Centers.

What you can do:*

• Deposit cash and checks• Withdraw and transfer funds• Cash checks

• Make loan payments• Get balance information• Purchase money order and travelers checks

Where they are: There are more than 6,000 Shared Branches accessible to members that can be identified by their display of the Credit Union Service Centers Network logo. Find your nearest Shared Branch quickly and easily using our online search feature, smartphone and iPad® apps, or through our Mobile Banking site.

* Not all services are available at all Shared Branches. Please contact the Shared Branch you wish to visit for confirmation of services delivered before traveling to conduct transactions.

SIMPLY LOOK FOR THE CU SWIRL WHEREVER YOU GO!

Deposit accepting ATMsHow it works: Make cash and check deposits at any one of our participating deposit accepting network ATMs.

What you can do:

• Deposit cash and checks• Withdraw cash• Transfer funds• Get balance information

Where they are: Deposit accepting ATM and Shared Branch locations can be found by searching “Deposit ATMs” using the “Free ATMs and Branches” link at the top of the home page, as well as through the Mobile Banking site at m.bcu.org.

Deposit AnywhereWhat is it? A remote deposit feature that allows you to make secure and convenient check deposits using either your desktop computer and scanner, or your iPhone® or Android™ powered phone.

What you can do:

• Make secure check deposits from anywhere you are

• Deposit multiple checks together• Review up to 18 months of your previous

deposit history online

How it works: Simply scan check images straight from your desktop computer, or install the BCU Mobile Banking app to capture check images using your iPhone or Android powered phone and make fast and secure deposits directly to your BCU accounts — anytime, anywhere!

View our step-by-step guide to using Deposit Anywhere at https://www.bcu.org/DepositAnywhere.

We’ve Got Your Back.

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HOW TO TEACH YOUR CHILD ABOUT MONEY

As children grow, parents must allow them greater autonomy. Teaching young children about money management and allowing them increased financial responsibility as they mature can help them grow up to be fiscally healthy. Here are some ideas for children of different ages.

Young children (ages 3 to 5)From the time children are old enough to count, use jars or play games to help kids learn how to identify coins and count money. When you shop, occasionally give children small amounts of change to spend, and remind them that it’s OK to save money rather than spend it. Around age 5, start giving children an allowance that they can keep in a piggy bank or other “safe” place, such as a savings account.

Older children (ages 6 to 12)At this stage, it’s a good idea to give children a weekly allowance so they can gain money management experience. You may want to encourage them to divide their money into three categories: money for spending, saving and sharing.

As your children get older, allow them to spend their own money on nonessential items that don’t fit your budget. Talk to them about smart shopping techniques: balancing wants vs. needs, comparing prices, clipping coupons and watching for sales. You may want to encourage them to take on an odd job.

TeensHelp your teens understand investing, saving and planning for their future now so they can avoid the consequences of financial inexperience later in life. Start educating your teen now.

Teenagers may be ready to earn some money outside the home, whether babysitting, mowing lawns or getting a first real job. Allow teens to take on more nonessential expenses, and discuss their savings plans for long-term goals. Teens who have demonstrated maturity with their finances might be ready for a checking account. Consider encouraging financially responsible older teens to use a debit card and, if applicable, direct deposit for their paychecks.

As your teen continues to demonstrate maturity, talk to him or her about credit and the importance of borrowing wisely. By the time teens are college-age, they are often inundated with offers from credit card companies, so you might want to give them a chance to practice handling credit with a prepaid credit card.

NEW! Googolplex: Interactive financial education resources for children of all ages!

Googolplex is designed to help our youngest members learn good financial habits early. The Credit Union has teamed up with Googolplex to provide fun, interactive financial education, activities and games through our website.

Look for the “Interactive financial education resources for children” link under the “News and Events” section of the Credit Union website to join in the fun!

Generation Y: Building a strong financial future

While most people have experienced some financial squeeze in the current economic climate, Generation Y (those born between 1977 and 1987) might feel the pressure of the recession more than anyone. Because they are mostly new to the career world, members of Generation Y are particularly vulnerable because of their shorter work histories, which have given them less time to build up larger emergency savings and retirement accounts. According to a recent Met Life study, a large number of Gen Y are living paycheck to paycheck and nearly 75% of this group are worried about their financial future, compared with 56% of Generation X employees and 62% of baby boomers. They are also less likely to have disability and life insurance than their older co-workers.

In his latest article, “Generation “Y”: How To Help Our Children Achieve Financial Independence,” financial expert Pat Catania examines the five major categories of financial concern facing Generation Y, and provides some simple steps young people can take to go from a shaky future to building a strong financial foundation. Read the full article on the Credit Union website under “Financial News and Education.”

Source: Charles Schwab & Co. Inc. survey, March 27, 2007.

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This publication does not constitute legal, accounting or other professional advice. Although it is intended to be accurate, neither the publisher nor any other party assumes liability for loss or damage due to reliance on this material. Websites not belonging to this organization are provided for information only. No endorsement is implied. Images may be from one or more of these sources: ©Thinkstock, ©iStock, ©Fotolia. ©2012 BCU.

Federally Insured by NCUA

HEALTH CARE REFORM AND YOUThe Supreme Court has ruled on the Patient Protection and Affordable Care Act (PPACA)

How will the new health care reform affect you?On June 28, 2012, the U.S. Supreme Court upheld key provisions of the Patient Protection and Affordable care Act, also known as health care reform. While many provisions of this legislation will be phased in gradually over several years, some reforms are fairly important and you should understand how they might affect your life. The following guide explains some of the key points of the legislation:

Coverage for children with health problems: Children under the age of 19 can no longer be denied coverage for pre-existing conditions. Beginning in 2014, this prohibition will apply to anyone with a pre- existing condition.

Coverage for adult children: At their parents’ choice, health insurance plans must cover adult children up to age 26 on their parents’ policies. Until 2014, this provision is dependent on the adult child not having his or her own coverage offered by an employer.

Limits forbidden: Insurance companies are banned from placing lifetime caps on coverage and from placing restrictive annual caps on coverage. Beginning in 2014, the use of any annual limits will be prohibited.

Closing the “donut hole”: People enrolled in Medicare Part D prescription drug coverage who fall into the “donut hole” (where they must pay all prescription drug costs out of pocket) receive a discount. In the 2013 plan year, Part D enrollees will receive a 52.5% discount on brand-name prescription drugs in the donut hole. By 2020, that discount will rise to 75%, closing the donut hole.

Coverage with staying power: Insurance companies are no longer allowed to drop people from coverage when they get sick.

Help for small employers: Businesses with fewer than 25 employees can receive a tax credit to make employee coverage more affordable. For those that offer coverage, a tax credit of up to 35% of premiums is available. Beginning in 2014, the small business tax credits will cover up to 50% of employer-paid premiums for up to two years.

Free preventive care: Insurance plans must cover preventive care with no copayments and make it exempt from deductibles.

Stopgap measures: Until health insurance exchanges are available, a temporary, subsidized high-risk pool is created to offer insurance to Americans who are uninsured because of a pre-existing condition. A temporary reinsurance program for employers and retirees helps offset premium costs for retirees aged 55‐64.

Beginning in 2014, a health insurance exchange will pool small businesses and their employees with millions of other Americans to increase purchasing power and competition in the insurance market.

DECISION TIME: TAKE SOCIAL SECURITY SOONER OR LATER?

* Website is provided for information only. No endorsement is implied.* Non-deposit investment products and services are offered through CUSO Financial Services, L.P. (“CFS”), a registered broker-dealer

(Member FINRA/SIPC) SEC and Registered Investment Advisor. Products offered through CFS: are not NCUA/NCUSIF or otherwise federally insured, are not guarantees or obligations of the Credit Union, and may involve investment risk including possible loss of principal. Investment Representatives are registered through CFS. BCU has contracted with CFS to make non-deposit investment products and services available to Credit Union members. BCU Investment Advisors is a trade name for the investment services available at BCU.

No matter what age you begin collecting benefits, Social Security is not likely to be enough to support a comfortable retirement. That’s why it’s important to contribute as much as possible to an individual retirement account. If you’re age 50 or older, you can make catch-up contributions to help your IRA nest egg grow even faster.

As a member and owner of the Credit Union, we are here to help assist you with your retirement planning and saving goals. Contact one of our CFS Financial Advisors* at BCU today with any questions you may have, or to schedule an appointment at 800-388-7000, ext. 8700.

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