You have a much greater chance of having your loan approved if you have subpar credit or a history of credit issues. They are more likely to listen to your personal story than a conventional bank.
Credit unions are distinct from conventional banks and other lending institutions. A cooperative membership provides individuals with loans and other financial services; it is much more than a place to keep a checking or savings account. Their members' financial interests are a top priority, and they are not in the business of selling them anything to increase loan volumes. Their profits are returned to their members in the form of lower interest rates on other products and services, such as savings accounts and loans. In California, there are 377 credit unions with over 1550 local offices. They save their members approximately $8 billion annually in fees, dividends, and other expenses.
The majority of credit unions provide their members and other financial institutions with better rates. Specifically the banks offered through local automobile dealerships. Whether you have a large or small down payment for your new or used automobile, they can educate you on the best auto loan deals. According to the most recent report from Informa, the average rate on a $30,000 new car loan from a bank is 4.16 percent, while the average rate from a credit union is 2.82 percent; this represents a 32% reduction in rate and a $1,100 savings over the life of the loan.
You have access to educational resources as a member. Almost every credit union has a member or resource center where members can learn about financing options and how to determine the fair market value of a vehicle they wish to buy. If you are an inexperienced car purchaser, you can seek their impartial opinion. Importantly, they can show you how to calculate the actual value of the car you want to buy, not just what the dealer claims, which will ultimately influence your decision.
Experience a member-centric approach. Since loan decisions are made by a local board of volunteers as opposed to a corporate office, members have a more personal experience. This local approach allows you to discuss your loan options and flexible repayment options with your personal loan representative, as well as review your entire financial situation. This type of personal interaction alleviates the stress associated with applying for and securing financing, and you can rest assured that they have your best interests in mind.
A car loan is advantageous. However, a good auto loan can have a significant impact on your life. By financing your next vehicle through your local credit union, you can save money, alleviate stress, and reduce hassles. They specialize in quality auto loans that meet your specific needs."""
