Credit union auto loan rates are lower than traditional bank rates. So why would anyone want to get an auto loan at a traditional bank? Because they do not belong to a credit union. If your employer does not offer a credit union, you should look for one that is offered in your area. Even churches have credit unions. You simply join the union and deposit money into an account which is very much like a checking account. Credit unions are very close to what used to be a building and loan but then changed to savings and loan. But with one exception – remember that the credit union is non profit.

You can also usually get an auto loan easier at a credit union than at a bank. You will find that you do not have to put up as much collateral or even sign as much paperwork when you get credit union auto loans. Not only do you save money on the rate and fees, but you can also get the loan with a lot less hassle.

The only advantage that getting an auto loan at a bank or financing company is convenience. Whereas you can walk into a bank and apply for a loan right away, you have to join a credit union in order to get a loan from the union. If you belong to a credit union already, however, this is a moot point. Take a look at the credit unions in your area. Some of them are very small while others operate on a much larger scale. No profit is made, although administration fees are paid. They offer insurance for funds deposited and are regulated in a way similar to banks and savings and loans.

When you are buying a car, consider getting a credit union auto loan. Credit union auto loan rates are at an all time low and are lower than anything you will get at a financing company or bank, unless you are buying a new car with a special financing rate. Credit union auto loans are easier to get and can end up saving you quite a bit of money.

Person to Person Auto Financing