Financing your next car purchase through a credit union can be an awesome idea. Regardless of whether you are currently a member of one of the almost 7,700 credit unions, or you still need to join, buying your next new car through a credit union car loan is easier than ever.
Here are five reasons you should consider financing your next car through a credit union.
The United States credit unions made approximately $80 billion available in in the mid-2000’s during the financial crisis for low-cost car loans at a time when credit had dried up. Although banks are once again becoming more aggressive in making car loans, credit unions have the money and healthy relationships with car dealers to continue lending.
Offering competitive rates and terms, a local credit union offers car loan options that are every bit as varied as a nationwide bank. In fact, the average term for a credit union new-car loan in 2009 was 70 months.
It used to be that membership in a credit union was only open to employees of a certain company, industry or government entity. Anyone not a part of the group could not join. While many credit unions do have some stipulations – be it a location, religion, field of business…etc….there are so many different options, that everyone has opportunities to join.
Members used to have to go into the credit union office and apply for a car loan face-to-face with a loan officer. However, that is not the case today, car loan applications can be made at a participating dealership, online or over the phone in most cases.
In addition to competitive rates, credit unions often offer their members deals not available to other consumers.