If you have bad credit, you may not think you can get a loan, but it’s possible to get one through a credit union. These cooperatives, which are member-owned, offer loans with fair terms for consumers who have made mistakes in the past. They perform most of the same functions as banks, except that you must be a member. The membership fee is nominal and it’s worth it if you need to borrow money with a poor credit rating.
Navy Federal Credit Union
When looking for an auto loan, Navy Federal Credit Union is a great choice. They offer loans for a wide variety of vehicles. You can apply online, over the phone, or at a branch. You will need to provide some personal information, such as the vehicle’s VIN number, registration state, and mileage.
The credit union has a solid reputation, earning an average rating of 4.7 stars on Trustpilot. Of the more than 10,000 customer reviews, 85% of them are positive and only 6% are negative. However, customers have reported problems with the website and its mobile app.
Navy Federal Credit Union offers low rates on new and late-model used vehicles. They also have a 90-day interest rate guarantee. Members of this credit union are also eligible for special rates on refinancing auto loans. The rates are comparable to those offered by other banks, and you don’t need to make a down payment.
PenFed Credit Union
If you have poor credit, you may need an auto loan but do not have a great credit score. PenFed can offer you a loan for a new or used car at a low interest rate. The rates are usually as low as 0.99% APR. You can apply for an auto loan online or over the phone. To get started, you will need to know the amount of money you want to borrow and what kind of vehicle you would like to purchase. You should also have some information prepared, such as your Social Security number, current income, and your credit report. Once you have all of these documents ready, you can apply for an auto loan at PenFed.
The minimum credit score you need to be approved for an auto loan at PenFed is 610. Some lenders consider this low credit score to be “bad” so you’ll have to pay a higher interest rate. PenFed also offers a number of other services, such as checking and savings accounts, credit cards, and even student loans.
If you have bad credit and want to refinance your auto loan, you should consider applying with Ally Clearlane Credit Union. The company offers car loan refinancing with interest rates starting at 4.74%. Clearlane also offers lease buyout services. The minimum credit score for a loan with Ally Clearlane is 580, but you can get approved with a lower credit score if you have good credit and a cosigner.
Ally Clearlane also offers lease buyout loans, which you can apply for now or at the end of your lease term. The rates on lease buyout loans are competitive. However, you should know that the interest rate will be higher if you have poor credit. In addition to that, you can’t find out the exact amount of loan until you apply.
When applying for an auto loan, the interest rate will be affected by your credit score and collateral. Moreover, the down payment is an important factor that affects the loan terms. The larger your down payment, the better the terms will be.