letter from the president

6

dollars for scholars

Alliant’s competitive advantage – our highly-engaged employees
By most measures, Alliant is a perennially high performing

Earn a $2,000 college scholarship!
This summer, Alliant will again award five $2,000 scholarships through our annual Members Scholarship Program. To qualify, students must be an Alliant member in good standing and be applying to or enrolled in an accredited undergraduate program at a four-year college, university or vocational/technical institution with a minimum of 12-credit hours during the 2013 fall semester.

David W. Mooney President/CEO

financial services provider. We consistently rank among the top credit unions nationally for exceptionally high member giveback (a measure of how well our deposit and loan rates compare to other credit unions). We outrank banks and other credit unions in the annual American Customer Satisfaction Index (ACSI).* And, we consistently earn the highest ratings for safety and soundness from state and federal regulators.

connections
www.alliantcreditunion.org the newsletter for Alliant Credit Union members March 2013

Visit our website, www.alliantcreditunion.org, for complete details and to obtain an application. Submissions must be received or postmarked by June 14, 2013. Winners will be notified by July 26.
The Program is made and conducted by Alliant Credit Union headquartered in Chicago, IL. You must be an Alliant member in good standing with a savings account in your name to apply. Alliant employees, board of directors, scholarship committee and family members of the same household are not eligible. All entries must be received/postmarked by 06/14/2013. Acceptance of scholarship constitutes authorization to use winner’s likeness and name without compensation. Odds of winning are dependent upon total number of entries received. Winners are responsible for any tax liability. Program is subject to all federal, state and local laws. Void where prohibited. All terms and conditions of Alliant products apply. Contact Alliant or visit our website, www.alliantcreditunion.org, for full details.

contents
1 The ideal budget 2 Enjoy the benefits of an IRA 3 What my mom or dad does at

The ideal budget
Financial planner E. Kim Dingum advises spending no more than 30% of your gross income on housing and debt, including mortgages, loans and credit card payments. Meanwhile, CNNMoney has published its ideal budget for you to consider. Even if your efforts to follow a budget fall short, the benefits can be real. For example, you’ll get a better handle on how you spend your cash. And if you think budgeting is drudgery, then think of it another way – as a smart approach to achieve your financial goals.

What’s behind this continuous record of success? Is it our business model? Our low operating expenses? Our quality sponsor organizations and members? All of these certainly contribute. But, I suggest that Alliant’s ability to deliver on our mission to provide members with consistently superior financial value and friendly, efficient and personalized service ultimately depends on the talents and efforts of our employees. Gallup and other business consulting groups have documented the connection between employee engagement and financial performance, and customer loyalty. In our 2012 Gallup Employee Engagement Index survey, 82% of Alliant employees were found to be highly engaged, compared to 45% in U.S. companies overall. This high engagement is a tremendous advantage to Alliant and to our members, such as you. Financial services products and processes are largely generic. There are no patents or proprietary technology. The difference between providers usually comes down to execution… and execution is all about people. Strategies and plans are just good intentions without aligned, engaged, capable employees.
office closings Alliant main offices and branches will be closed in observance of the following holidays: Memorial Day –Monday, May 27, 2013 Independence Day –Thursday, July 4, 2013 convenient 24/7/365 account access • Online banking at www.alliantcreditunion.org
• Mobile banking app for iPhone,® iPad® and Android™

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Alliant Member Contact Center 800-328-1935 24/7 personal service tdd/tty 773-462-2300 Self Service Telephone (SST) 800-482-5328 24/7 automated account access VISA® Debit Card Lost/Stolen: 800-328-1935 VISA Credit Cards To speak to an Alliant Representative 800-328-1935, x2302 Mon–Fri, 7am–5pm CT After Hours: 866-444-8529 Lost/Stolen: 866-444-8529
®

VISA® Gift Card Purchase: 800-328-1935 Support Center: 866-466-2362

• Self Service Telephone at 800-482-5328 • Member Contact Center at 800-328-1935 • Over 80,000 surcharge-free ATMs For more information, visit: www.alliantcreditunion.org. financial update

Mortgage Hotline 800-328-1935 Press option 5, then option 1 NEW Deposits/Payments Mon–Fri, 8am–5pm CT PO Box 2387 Des Plaines, IL 60017-2387 Auto/Home Insurance 888-380-9287 Credit Card Payments Mon–Fri, 6am–10pm CT PO Box 1666 Sat, 6am –8pm CT Des Plaines, IL 60017-1666 GreenPath® Debt Solutions All Other Correspondence 877-337-3399 including IRA and HSA deposits Mon–Thu, 7am–9pm CT PO Box 66945 Fri, 7am–6pm CT Chicago, IL 60666-0945 Sat, 8am–5pm CT

Alliant Retirement and Investment Services Financial consultants are available to serve members in all states. Call 800-328-1935, option “9” .

Devising an ideal budget for yourself – and sticking to it – may seem like an impossible dream. But that hasn’t stopped some financial Make your 2012 IRA contributions by April 15 pundits from proposing you do so. MSN’s Richard Jenkins advocates a 60/40 rule: New and improved: Alliant Mobile Category Percent of income Check Deposit allocate 60% of your gross income for all your Housing and debt 30% Letter from the President Living expenses 26% monthly expenses, including housing, food, Taxes Earn a $2,000 college scholarship!25% transportation and taxes. Use the leftover Savings and investments 15% 40% for savings and discretionary spending, Insurance 4% such evenings at the theater.
Alliant Credit Union

DIVIDEND
April Savings Dividend DECLARED FEBRUARY 28, 2013

Ideal allocation of income, according to CNNMoney

The April 2013 Savings and IRA dividend, declared 02/28/13, provides a Compounded Annual Percentage Yield of

0.70% APY

Alliant rate board
2012

*The American Customer Satisfaction Index (ACSI) is a national economic indicator of customer evaluations of the quality of products and services available to household consumers in the United States. The Index was founded at the University of Michigan’s Ross School of Business and is produced by ACSI LLC. ACSI can be found on the web at www.theacsi.org.

FEBRUARY Net Assets Total Loans

2013

$7,872,342,841 $7,798,127,090 $3,252,873,632 $3,323,587,808

Total Deposits $6,995,280,581 $6,967,179,309 Total Reserves $ 813,413,156 $ 781,686,783 Total Primary Members 276,164 277,822

EFFECTIVE APRIL 1, 2013 Deposits (% as high as) Rate Savings 0.698 High Rate Checking 0.648 Certificates† 1.539 Health Savings (HSA) 1.045 AS OF MARCH 19, 2013 Loan Rates (% as low as) Rate New Vehicle – Used Vehicle – 5/1 ARM 2.250 7/1 ARM 2.500 30 Yr fixed mortgage 3.750

APY* 0.70 0.65 1.55 1.05

IMPORTANT: Rates may have changed since this newsletter was published. Visit www.alliantcreditunion.org or call 800-328-1935 for current rates.
Dividends are subject to change monthly. Loan approval, APR and downpayment required based on creditworthiness, collateral, payment method and ability to repay. Rates, terms and conditions subject to change. Other requirements apply. See our website or talk to a Member Service Representative for details. This newsletter is for members’ personal use only. Reproducing and/or selling the contents of this newsletter without prior written permission from Alliant Credit Union is prohibited. Copyright Alliant. Articles are prepared as an educational service for Alliant members. They should not be relied on as a substitute for individual financial or legal research. Articles in this newsletter are not intended to be used (and may not be relied on) for penalty avoidance.

Dividends are paid on the last day of the month to accountholders who have maintained an average daily balance of $100 or more. Savings dividend is subject to change monthly.
April Checking Dividend DECLARED FEBRUARY 28, 2013

30% 26% 25% 15%
Housing and Debt Living Expenses Taxes Savings & Investments Insurance

4%

Alliant headquarters 11545 W. Touhy Avenue, Chicago, IL 60666

60%

Alliant Board of Directors Marc Krohn Chairperson Scott Praven Vice Chairperson David W. Mooney President & Treasurer Ted Davidson John Gebo Irwin I. Gzesh Shirley Jones David Leib Alex Marren Anne Pease Ed Rogowski
PO Box 66945 Chicago, IL 60666-0945 www.alliantcreditunion.org

APR* 1.49 1.74 2.979 2.980 3.826

0.65 80% of 60% %

The April 2013 High Rate Checking dividend, declared 02/28/13, provides a Compounded Annual Percentage Yield of
APY

TAKE THESE THREE BASIC STEPS IN PLANNING YOUR BUDGET:
1. Track every expenditure you make for a couple of months 2. Log your expenditure tallies into an financial software program or use Alliant’s own Financial Management (PFM) tool, which you can access from the home page of Alliant Online Banking 3. Scrutinize each category of your expenses and think of ways to economize
Sources: npr.org, cnn.com, kiplinger.com, financialplanabout.com, thenest.com and ehow.com

*APY=Annual Percentage Yield. APR=Annual Percentage Rate † Certificate rates as of March 19, 2013

NEW276-R03/13

Checking dividends are paid on the last day of each month to accountholders who meet the requirements of the account. Checking dividend is subject to change monthly.

2

planning for the future

3

Alliant people on the job

4

for your information

Enjoy the benefits of an IRA
Have you forgotten your IRA? If you don’t have one, should it be part of your overall investment plan? Here are some compelling reasons why this vehicle can help you plan for your future. 1. Tax deferral. Traditional IRAs allow your investment earnings to grow tax deferred until withdrawn, typically at retirement. For 2013, the maximum contribution is $5,500, but for those age 50 and over, the limit is $6,500. (Note: If you already have an IRA or open one by April 15, 2013, you have until April 15, 2013, to make your maximum 2012 contribution to it, in addition to 2013 contributions.) 2. Deductibility. If you are a single taxpayer who doesn’t participate in an employersponsored plan and you earn less than an amount set each year by the IRS, you may be able to deduct your contributions to a Traditional IRA off your income. Note: Roth IRA contributions are not deductible. 3. Investment flexibility. IRAs typically give investors access to a wider range of investment options than workplacesponsored plans, such as a 401(k). Depending on the financial institution you use to open your account, you can invest in a broad array of mutual funds, Exchange-Traded Funds (ETFs), individual stocks and bonds, CDs, annuities, commodities and real estate. 4. Convertibility. Traditional IRA holders can convert to a Roth IRA to enjoy some of the additional benefits listed at end of article. But before you decide to make a switch, be sure to investigate the tax consequences of such a move.
Want to discuss a strategy for your IRA or to see if investing in an IRA makes sense for you? Visit www.alliantcreditunion.org or call 800-328-1935, option “9” to set up a no-cost, no-obligation financial planning session with a financial consultant with Alliant Retirement and Investment Services.

What my mom or dad does at Alliant Credit Union
Alliant employees are committed to providing members, like you, with friendly, efficient and personalized service. We have 330 employees, but what exactly do they do? To find out, we asked some of our employees’ children to help provide insight. The result: drawings and job descriptions of various Alliant employees, provided by their own kids.

Make your 2012 IRA contributions by April 15, 2013
DO YOU HAVE AN ALLIANT IRA? Take full advantage of its
benefits by depositing your maximum contribution limit (up to $5,000) for 2012 by April 15, 2013. Plus, those age 50 and above with earned compensation can make additional “catch up” contributions of $1,000 per year. If applicable, you can deposit an additional $5,000 to a spousal IRA. It’s easy to make a deposit to your IRA account through Alliant Online Banking at www.alliantcreditunion.org: select the “Prior Year Contribution” tab under the “Account Option” menu. Or you can obtain an IRA Contribution Form on the IRA page at www.alliantcreditunion.org, complete it and mail it with your deposit or account transfer selection indicating it’s for the 2012 tax year. Thinking ahead? You can make your tax-year 2013 contributions either in a lump sum or on a regular basis throughout the year. Total annual IRA and/or spousal IRA contributions cannot exceed the contributor’s annual compensation. However, a spouse with little or no compensation, filing a joint tax return, can deposit up to the annual maximum contribution. Traditional IRA holders must be under age 70½ for the entire tax year with earned compensation in order to make contributions. With a Roth IRA, contributions may be made after age 70½ if compensation is earned. Certain annual income limits apply to contribution eligibility. Consult your tax advisor about potential tax savings.

Presented by financial consultants with Alliant Retirement and Investment Services: Bernell Baker, Thomas Brunz, Shaun Floresca, Nicholas Hamilton, Matt McMillon, Alexandra Mendoza CFP®* , George Pantazis, Giacomo Parente CFP®* and Terence Powell

5. Portability. If you have assets in an employer-sponsored plan and you leave your job, you can easily roll over those assets into a Traditional IRA. Rolling over your assets can make sense, particularly if you change jobs frequently and don’t want to devote time to coordinating and tracking your accounts. Additional Benefits of Roth IRAs • Qualified tax-free withdrawals. Since Roth IRAs are funded with after-tax dollars, your withdrawals are tax free, if you hold the account for at least five years and are over age 59½. Contributions can be withdrawn at anytime for any reason. • No RMDs. Unlike traditional IRAs, Roth IRAs are not subject to required minimum distributions (RMDs) once the accountholder reaches age 70½. Withdrawals made prior to age 59½ may be subject to 10% IRS penalty tax. (In the case of a Roth IRA, it must be held five years as well.) Gains from tax-deferred investments are taxable as ordinary income upon withdrawal.
© 2012 S&P Capital IQ Financial Communications. All rights reserved.

“My mom do es a great job at her w or answers ca k! She lls members ha when her ve problem s or need tra nsactions.” Zoe

“My dad works on and at fixes the computers ple Alliant. He helps peo ugh get their money thro puter. the phone and com He is very helpful” Kaylie

Drawing by Zoe J., nine-years old. Her mom, Robin, works at Alliant Headquarters, in Chicago, IL, as the national manager of member relations and service quality.

Drawing by Olivia C., five-years old. Her mom, Nicole, works at Alliant Headquarters, in Chicago, IL, as a loan consultant.

Drawing by Kaylie N., 11-years old. Her dad, Andy, works at Alliant Headquarters, in Chicago, IL, as a senior network engineer in Information and Network Security Services.

Drawing by Vince A., eight-years old.

“My dad is a hardw orking man. He wakes morning to go to wo rk. At work he does up early in the people get a loan for paperwork and hel cars, houses, RVs, whatever they want. For example, ps customers, he goe boats and insurance. When he has no s to his desk and put and he also goes on s paperwork togeth customers about loa his computer and sends emails to his er home late at night ns and advertisements. My dad com and still manages to es my other siblings and spend time with me my mom.” , Mauricio

NEW AND IMPROVED: Alliant Mobile Check Deposit
Making check deposits to Alliant accounts via your mobile device and keeping track of these transactions is now easier and faster with the upgraded Alliant Mobile Check Deposit app, designed for the iPhone® and iPad® iOs5.0 and the Android™ 2.1 operating systems. The new Alliant Mobile Check Deposit app: • Is simpler to navigate • Makes it easier to take clear photos of your checks • Lets you easily keep track of checks under review • Allows you to view checks that have cleared in the past 18 months For details and to download the app for a supported mobile device, scan the QR code below or visit our Mobile Deposit page at www.alliantcreditunion.org.

Drawing by Mauricio L. Jr, 13-years old. His dad, Mauricio Sr., is Alliant’s branch manager in Oakland, CA.

RETIREMENT AND INVESTMENT SERVICES
Representative is neither a tax advisor nor attorney. For information regarding your specific tax situation, please consult a tax professional. For legal questions, including a discussion about estate planning, please consult your attorney. Securities and advisory services offered through LPL Financial, a registered investment advisor, Member FINRA/SIPC. Insurance products offered through LPL Financial or its licensed affiliates. Alliant Credit Union and Alliant Retirement and Investment Services are not registered broker/dealers and are not affiliated with LPL Financial. RETIREMENT AND
• Not NCUA Insured
®

INVESTMENT • No Credit Union Guarantee

SERVICES • May Lose Value

www.alliantcreditunion.org

*CFP =CERTIFIED FINANCIAL PLANNER™. The financial consultants of Alliant Retirement and Investment Services are registered representatives of LPL Financial.

Drawing by Anthony A., five-years old. Vince and Anthony’s mom, Kim, works at Alliant Headquarters, in Chicago, IL, as the mortgage services supervisor.

aw and is an hild who likes to dr dc an gr or a drawing ild ch a that he or she create P.S. Do you have e 13? If so, suggest hat my ag “w is to up me er the e mb Th . me Alliant cial media sites so r ou d an their of ter e let tur ws pic ists to draw a for our member ne es at ” We invite young art do e rk. sh wo or at he es at do d wh da of mom or ef description bri a us letter nd ws se ne d g an tin rk , Attn: Marke mom or dad at wo dress, Alliant Credit Union ad to ur ial yo e ter lud ma inc the e as nd work. Se 6-0945. Ple 5, Chicago, IL 6066 editor, PO Box 6694 . too er, mb nu one email address and ph work, we will Before we publish the parent to for a send a release form sign and return.

You must meet certain criteria for mobile check deposit. Limitations apply. Android is a trademark of Google, Inc. iPhone and iPad are registered trademarks of Apple, Inc.

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