Shopping for a new car, whether it is actually brand new or used, is an experience that is both exciting and stressful at the same time. For many people, it can seem like a nearly impossible task, especially if the vehicle they want is expensive enough to be beyond their reach. However, in that situation, there are auto loans. These loans are available from a number of sources, including banks and credit unions. One of the organizations that offers auto loans is Digital Federal Credit Union, which is based in Massachusetts. If you are in need of a loan to purchase a new car, you might want to get a better idea of how it works when acquired through DFU.
DFU Availability and Options
Although Digital Federal Credit Union has full service branches in only two states in the country, it has members in all 50 states. It is one of the top 20 credit unions in the US and boasts a comprehensive online system for mobile banking options. Keeping that in mind, if you need an auto loan and are considering relying on DFU, here is everything you can expect.
Auto Loan Details
DFU offers a number of financial services to help its customers, including auto loans. Its website has an auto loan calculator that is designed to help you to determine approximately how much in monthly payments you would have to make toward payments, as well as your estimated APR percentage. The amounts are determined based on the number of months for which your loan term will be, the loan amount and the status of your credit. For instance, you may have an APR of 2.49 percent and estimated monthly payments of $289 if you want pay over 36 months and your loan is $10,000.
With DFU’s auto loan, you can make purchases of both new and used vehicles, including cars, trucks and vans. You can finance anywhere from as little as 24 months to a maximum of 84 months. Auto loans are flexible because there are a number of options available. There are no mileage limits on the loan for the vehicle of your choice, no early payoff penalties, no application fees and you can even get loans of up to 120 percent of the price of the vehicle. You can even qualify for one of DFU’s auto loans if you have bad credit. Of course, you will have a higher APR percentage and larger monthly payments as a result.
Advantages of DFU Loans
These specific options, plus more, make DFU a good choice when you are looking for an auto loan. The company also has good customer service, which means you can call, email or chat online with a representative if you have any questions or concerns. The application for an auto loan is also fast, meaning you can find out quickly which loan you can acquire.
Disadvantages of DFU Loans
However, there are a few disadvantages as well to getting an auto loan from DFU. There are no free credit score checks and you may get a cap on the amount you can take out on the loan. Additionally, you must have a checking account through DFU in order to qualify for an auto loan. This is important so that you can keep your interest rates the lowest possible.
At the end of the day, Digital Federal Credit Union is a great option for getting an auto loan. Although there are a few limitations, you can expect a very low APR, even if your credit is not the best.