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Ridgewood Savings Bank

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Wealth Management
Loan FAQs

Considering a Loan or Line of Credit?

We want to help you choose the right one. Below, you can compare some of our most popular financing options, so you can make an informed decision and make the most of your financing.

Compare Your Options

icon personal loans


A simple unsecured loan that provides your funds in one lump sum.

Great for:

  • Wedding expenses
  • Vacations and holidays
  • Large purchases
  • Debt consolidation
  • Home or car repairs
  • Medical or tax bills
  • Emergency expenses

Benefits of a Ridgewood Personal Loan:

  • Instant loan decisions
  • No fees ever
  • Funding within 24 hours available*
  • No prepayment penalties
  • Borrow $5,000 - $30,000
  • 3- or 5-year terms

Important details:

  • There is no collateral requirement.
  • The loan is ideal for smaller, one-time expenses.
  • For larger amounts, a Secured Loan or Home Equity Line of Credit may be a more affordable option.


icon secured loans


Get the convenience of a personal loan and a very low rate by using your savings as collateral.

Great for:

  • Weddings
  • Vacations and holidays
  • Large purchases
  • Debt consolidation
  • Home or car repairs
  • Medical or tax bills
  • Emergency expenses

Benefits of a Ridgewood Secured Loan:

  • Borrow up to 75% of the balance in your savings account or CD (not to exceed $40,000).
  • Get immediate approval based on your savings balance - no credit check required.
  • Pay a low fixed rate that is 3% above your savings/CD interest rate.
  • Your savings continue to earn interest while serving as collateral.
  • Funds used as collateral become available as your loan is paid down.

Important details:

  • Make sure you won't need access to your funds while they serve as collateral.


icon credit cards


This popular payment option provides easy access to credit, whenever you need it. A credit card is a revolving credit line, which means that paying off your balances lets you access additional credit.

Great for:

  • Everyday purchases in stores and online
  • Traveling

Benefits of a Ridgewood credit card:

  • A credit card provides a faster, more secure alternative to paying by cash.
  • Avoid paying interest by paying off your total balance every month.
  • Earn rewards with a Platinum Rewards Mastercard® or World Mastercard®.
  • Save money by transferring high-interest credit card balances to a low-APR Platinum Mastercard®.

Important details:

  • The APR and credit limit you qualify for will depend on your credit history and other factors.
  • When considering a credit card, make sure you understand all the details related to fees and penalties, APRs, earning and redeeming rewards, and when payments are due.


icon home equity lines of credit


Use the equity in your home as collateral for this affordable line of credit, which can be a smart way to pay for multiple expenses over time.

Great for:

  • Home improvements
  • Debt consolidation
  • Education expenses
  • Major purchases

Benefits of a Ridgewood Home Equity Line of Credit:

  • Higher borrowing limits help you pay for larger expenses.
  • Borrow what you need, up to your approved limit, at any time during the draw period.
  • Only pay interest on what you borrow.

Important details:

  • A Ridgewood Home Equity Line of Credit has two different phases:
    1. The draw period: This is the initial five-year period when you can borrow from your line of credit.
    2. The repayment period: During this 15-year period, you must repay the principal you borrowed (plus interest) in monthly installments.
  • The Home Equity Line of Credit has a variable rate, which means your interest rate may change over time.


icon credit builder loans


Better credit can lead to bigger opportunities. Our special Credit Builder Loan helps customers establish or rebuild their credit to help them qualify for other types of financing in the future, like credit cards, mortgages and auto loans.

Great for:

  • Building credit from scratch
  • Repairing credit

Benefits of a Ridgewood Credit Builder Loan:

  • By making regular, on-time payments, you may help improve your credit score.
  • No collateral is required.
  • Approval is immediate for eligible Ridgewood customers.

How it works:

  1. Ridgewood deposits the loan funds into an interest-bearing Statement Savings account.
  2. To access these funds, the customer must make monthly payments (including principal and interest).
  3. Loan proceeds become available as the loan balance is paid down.
  4. Ridgewood reports regular loan payments to credit reporting agencies, helping Credit Builder Loan customers establish a good credit history.


Frequently Asked Questions (FAQs)

At Ridgewood, we're happy to answer any questions you have about loans and credit. Below are some of the most common questions we hear from customers.

Your rate is the cost of borrowing money from a lender. It's expressed as a percentage of your loan amount and is repaid with your principal (the amount of money you borrow).

APR stands for annual percentage rate. This is the cost of borrowing for a whole year, including any related fees, so it may be somewhat higher than the rate. When considering a loan or credit line, the APR is a good way to judge your overall borrowing costs.

Secured loans are guaranteed by something of value, such as your home or personal savings. The lender has a claim to this property as payment if the borrower defaults on the loan. Secured loans, such as home equity lines of credit, come with less financial risk for the lender, so they will typically offer lower rates.

Unsecured loans, such as most credit cards and personal loans, are not backed by any assets. This gives borrowers the freedom to avoid using collateral, but the rate is typically higher than for a loan with collateral.

If you know how much money you need to borrow, a closed-end term loan may be the simplest, most affordable choice. But, for the flexibility to borrow more than once, consider choosing a credit card or home equity line, depending on your needs.

CPM refers to the cost per thousand dollars borrowed. At Ridgewood, we provide this important detail to help you estimate your monthly payment, including both principal and interest, so you can see if the loan fits your budget.

Eligibility requirements vary from one product to the next. Typically, your ability to qualify for a loan, the rate and loan amount, depend on factors such as your credit score, income and/or collateral.

Do You Have Other Questions?

Contact our local team.


* To qualify for same-business-day funding, a completed application and all loan documents must be submitted for approval by 11:50 AM Eastern Time (ET). All completed and approved applications after 11:50 AM ET should fund the next business day. Loans are not funded on Saturdays and Sundays. Applications submitted after 11:50 AM ET on a Friday and that are approved will receive funding the next business day.