• Fixed and adjustable-rate, FHA, Rural Development, VA, Minnesota Fix-Up Fund, and other 
  • Wide variety of local and Minnesota-only alternative loan options
  • Fixed-rate mortgages available in 7, 10, 15, 20 and 30-year terms
  • Affordable loans available for first-time homebuyers and borrowers with a limited credit history or low credit scores
  • Serves Minnesota and North Dakota only
  • Online mortgage application and portal available

CMCU Overview

Central Minnesota Credit Union was originally chartered in Melrose, Minnesota in 1939. In 2017, it emerged with Collegeville Credit Union, another Minnesota credit union and one with a long history of serving local colleges and providing financial services to students.

As of 2017, the new credit union has over 60,000 members and assets of over $970 million. Much like a credit union, CMCU has a local board of directors and is owned by its members.

CMCU’s mortgage options include conventional fixed-rate and adjustable-rate mortgages, FHA, VA, Rural Development, and a variety of other local, state, and federal mortgage loans.

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CMCU History

Founded in 1939 in Melrose, Minnesota by local residents who wanted to create a financial services co-op, CMCU has a history of providing savings and loan options to the local communities in Central Minnesota.

In 2017, CMCU and Collegeville Credit Union merged, expanding the institution’s reach and giving CMCU a shared history with Collegeville. Overall, CMCU serves a membership of over 60,000 and has assets of around $970 million.

The credit union’s lending options are varied and its qualification process is very flexible, with something for nearly every credit profile. CMCU has an online application available through its portal, where borrowers can manage their mortgage options and review their loan application.

Currently, CMCU is not listed on Trustpilot. The credit union has an A+ rating with the Better Business Bureau but is not accredited by the organization. There are no customer reviews available for CMCU on the BBB’s webpage.

Specifics of CMCU Mortgage 

Fixed-Rate Loans

With a fixed-rate mortgage, the borrower’s interest rate remains the same throughout the life of the loan. This protects consumers against rate increases. However, if rates go down, borrowers must keep paying the same rate on their mortgage unless they refinance.

This loan option is great for borrowers who want to lock-in a low rate and keep the same home for several years. CMCU offers 7, 10, 15, 20, and 30-year fixed-rate mortgages. Conventional fixed-rate loans traditionally require a 20 percent down payment.

Adjustable-Rate Loans

Adjustable-rate loans begin with a fixed rate that does not fluctuate for an initial predetermined period, after which they are subject to change with market conditions. Borrowers can end up paying more for their mortgages than they planned if rates go up later, although rates can also decrease and potentially save borrowers money on their mortgage.

Applicants who may be selling their homes or refinancing in the near future may benefit from an adjustable-rate loan.

FHA Mortgage Loans

The FHA’s loans, provided by CMCU, are government-backed and provide more affordable financing with low monthly payments and down payment options. Borrowers who meet the income qualifications for an FHA loan may pay as little as 3.5 percent down for fixed or adjustable-rate mortgages.

VA Loans

With a VA loan, borrowers get an affordable mortgage option backed by the U.S. Department of Veterans Affairs. These loan products are available to veterans, members of the armed forces, and qualifying spouses.

VA loans offer than conventional loans, featuring low and no down payment options with either fixed or adjustable rates and no PMI (private mortgage insurance).

Combination Loans

Combination loans are two different types of loans are combined together: a mortgage and a separate home equity loan. This allows borrowers to qualify for a more expensive property or close on a home while also obtain cash for other purposes.

PMI might not be required for combination loans. These types of products might be the right option for applicants who need a bigger loan amount or funding for another project, such as a major renovation.

Rural Development Mortgage Loans

This program allows for more affordable mortgage options available to low-income borrowers who are buying homes in rural areas. For those who qualify, this program can make the process of obtaining a loan much easier through low-interest rates and a low down payment requirement.

Land and Construction Mortgage Loans

These loans are designed for borrowers looking to purchase land or start building a new home. With land and construction loans money is advanced to the borrower as needed and interest is only paid on the money they have already received.

FHLB Home$tart Loans

These loans from CMCU offer cash assistance for low-income borrowers to cover closing costs and the down payment. This can help make homeownership more accessible for those who may not have the full down payment amount or the ability to obtain one through other means.

Minnesota Fix-Up Fund Mortgage Loans 

Backed by Minnesota Housing, these loans are designed to help with repairs and improvements to existing properties. These low closing cost loans offer low-interest rates, favorable DTI (debt-to-income ratio) limits, and other flexible terms to borrowers who qualify.

HomeReady by Fannie Mae Mortgage Loans

For qualifying low-to-moderate income borrowers, HomeReady offers a low down payment, low rates, and other favorable terms to help more people qualify for mortgages. There may be expanded eligibility in low-income communities.

CMCU Mortgage Customer Experience

CMCU has a large assortment of different mortgage options available and provides an online Mortgage Center with information on loans, rates, and calculators to help applicants determine their eligibility for mortgage products. Prospective borrowers can apply online or through a mortgage loan officer at a CMCU branch.

Online, applicants can estimate their monthly payments and see current loan rates. They can also lookup individual loan officers who can help them with mortgage prequalification and application. The contact information for each loan specialist as well as for the branch where they work is listed to make it easier for borrowers to schedule appointments.

Prospective borrowers can start the prequalification process at CMCU by going online or meeting with a loan specialist.

In 2018, CMCU received an SBA Minnesota Lender’s Award for assisting local small businesses with start-up loans.

CMCU does require documentation, which is typical for all mortgage applications. Prospective borrowers should be able to demonstrate they can afford the monthly payments through bank statements, W2 forms, tax returns from past years, pay stubs, documentation of assets, and other evidence as needed.

Requirements and credit standards may vary between loan types. In order to gauge an applicant’s ability to repay their loan, mortgage officers at CMCU will try to look at the broader picture for each borrower.

CMCU’s Lender Reputation

CMCU is not currently reviewed on Trustpilot, but the credit union does have an A+ rating from the BBB. The lender is not BBB accredited and doesn’t have customer reviews listed at the moment.

*Information collected December 19th, 2018

CMCU Mortgage Qualifications

Credit Score


Ease of approval






Somewhat easy




620 and below




No credit score


At CMCU, applicants who have credit scores at or above 760 have the best chance of receiving the best rates and mortgage options. Borrowers who have scores in the 700 to 759 range may not always qualify for the best mortgages, but will probably have a few options available to choose from.

For applicants with “fair” credit, an alternative mortgage program through CMCU may be necessary. CMCU does offer programs that borrowers with low or no credit scores may qualify for, although these options are much more limited.

To get the best mortgage options at CMCU, it helps to have thorough income and asset documentation for the loan officer to review.

Debt-to-income ratio


Likelihood to get approved by a lender

35% or less




Needs improvement


50% or more



CMCU is more likely to offer the best terms to borrowers who have debt-to-income (DTI) ratios of 30 percent or less. Prospective borrowers applying with higher DTIs may want to ask about CMCU’s alternative loan programs and government-backed loans to get the best possible offers.

If you’re looking for a quicker option for your mortgage loan, Rocket Mortage is one of the quickest options on the market. 

CMCU’s Phone Number & Additional Details

Homepage URL: https://www.mycmcu.org/
Company Phone: 1-888-330-8482
Headquarters Address: 20 4th Ave SE, Melrose, MN 56352

States serviced: Located in Minnesota and North Dakota and serving members within those states in specific counties. Minnesota counties: Becker, Benton, Clay, Douglas, Grant, Kandiyohi, Meeker, Morrison, Otter Tail, Pope, Sherburne, Stearns, Todd, Wadena, Wilkin, and Wright. North Dakota Counties: Cass and Richland.

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