Eastern NY Federal Credit Union Joins CUMAnet

Leverages Mortgage Alliance Network's Competitive Services to Offer Members New Products and Services

Basking Ridge, N.J., January 22, 2007 - The Credit Union Mortgage Alliance Network, or CUMAnet, (www.cumanet.com) announced their newest member credit union, Eastern New York Federal Credit Union (www.enyfcu.org).

Eastern NY FCU, founded in 1961, has approximately 6,000 members and $35 million in assets. CEO Chris Langley stressed that joining CUMAnet would give his organization's members more convenience, more speed, and more choices.

"Joining CUMAnet gives us access to a wider breadth of products and services, and will reduce our costs and turn around time," notes Langley. "It will allow us to better compete in the marketplace and further develop and expand our existing home loan programs."

By joining CUMAnet, Eastern NY FCU now has access to a number of exciting new services, which include:

• Online Loan Applications: CUMAnet will provide participating CUs the ability to allow their members to apply for first mortgage and home equity loans online. This 24/7 home loan webcenter is free of charge to CUMAnet's active client CUs and their members. This allows CUs, who otherwise might not have the resources to develop online processes, to compete in the marketplace.
• Multi-Partner Loan Participation Program: Leveraging the power of the alliance, this program allows member CUs to share resources as well as risk, allowing CU assets to say within the CU community.
• Online Account Accessibility for client CU members: This service allows credit union members to access their accounts online, 24/7, and view loan terms, payment breakdowns, payment due dates and year-to-date totals.

From a consumer's perspective, Eastern NY FCU will now be able to offer many innovative new products, including a new home equity loan that is the first of its kind. Called the 5/5/Flex, it is a closed-end, adjustable-rate home equity loan.

"This time of year is typically home equity season for our members, with college tuition coming due and holiday spending," says Langley. "The 5/5/Flex is a very unique hybrid of fixed home equity and an adjustable rate loan that offers members the best of both worlds and allows them greater control over their cash flow."

The 5/5/Flex offers a fixed interest rate for the first five (5) years, which then adjusts every five years thereafter until the end of the term. As with all of CUMAnet's real estate loans, there is no pre-payment penalty. The available terms are 10, 15 or 20 years; all options will have the same low interest rate.

"The bottom line," explains Langley "is that this new program puts control into the member's hands. They pick the term of their loan to establish a payment that best suits their budget over the next five years."

Through their new partnership with CUMAnet Eastern NY FCU can also offer members a 6/2 adjustable rate first mortgage with a lower, fixed-interest rate for the first six years of the loan and a rate that only adjusts every two years thereafter.

"This is a very unique product, and one not offered by Fannie Mae or Freddie Mac," says Langley. "Its competitive pricing, flexible terms and the fact that it only adjusts every other year, versus other products that adjust annually, make it an excellent mortgage product for many home buyers and for refinancing."

Since the 6/2 ARM adjusts every other year, it will reach its lifetime cap later than a shorter term ARM. It also gives the borrower a longer period of time between potential interest rate changes. The 6/2 ARM will never increase more than 5 percent above its start rate over the life of the loan, which is lower than the standard cap of 6 percent, and terms of 30 or 40 years are available.

About CUMAnet
CUMAnet is a 100% credit union-owned, full-service, real estate organization, providing residential mortgage and home equity loan products and related services to credit unions exclusively nationwide for 11 years. With its transparent service, CUMAnet allows credit unions the ability to offer members the real estate products and pricing needed to compete in today's financial marketplace, plus the personal, superior service expected in the credit union industry.