Navy Federal Credit Union offers competitive auto loan rates and flexible terms for military members and their families. As the largest credit union in the U.S., Navy Federal provides new and used car loans, refinancing, and solid customer service.
Introduction to Navy Federal
Founded in 1933, Navy Federal Credit Union is a not-for-profit financial cooperative serving active military, veterans, and their families. With over 11 million members globally, Navy Federal offers banking, lending, and investment services tailored for the military community.
To qualify for membership, you generally need to be affiliated with the military or Department of Defense. Once a member, you can apply for Navy Federal auto loans and take advantage of their competitive interest rates.
Navy Federal Auto Loan Options
Navy Federal provides the following auto loan options:
New Car Loans
- No preset maximum loan amount
- Terms from 36 to 96 months
- Rates starting at 4.54% APR
Used Car Loans
- No maximum loan amount
- Terms from 36 to 72 months
- Rates starting at 4.54% APR
Refinancing
- No maximum loan amount
- Terms from 36 to 96 months
- Rates starting at 4.54% APR
Navy Federal offers loan terms up to 96 months, which is longer than many other lenders. This allows members to get affordable monthly payments even on large loans.
Becoming a Navy Federal Member
To qualify for Navy Federal auto loans and other products, you must first become a member. Membership is open to:
- Active military, Guard/Reserve, veterans
- Department of Defense employees and contractors
- Family members of eligible military/DoD personnel
You can join Navy Federal by opening a savings account with a $5 minimum deposit. Joint account holders can also qualify for membership.
Applying for a Navy Federal Auto Loan
The application process for Navy Federal auto loans can be completed online, over the phone, or in person. You will generally get a lending decision within minutes.
Information needed for the application includes:
- Contact details and income verification
- Loan amount and term length requested
- Vehicle details like VIN, mileage, etc. (if purchasing)
Navy Federal does not disclose minimum credit score or income requirements to qualify. Instead, your entire financial profile is evaluated based on credit history, assets, expenses and other factors.
READ ALSO: Overview of Consumers Credit Union Auto Loans
Additional Features of Navy Federal Auto Loans
Along with great baseline rates, Navy Federal offers these extra benefits on their auto loans:
- Flexible terms up to 96 months
- Option for biweekly payments to pay loans faster
- Discounts for active duty military members
- TrueCar car buying program with guaranteed savings
- No application, origination, or early repayment fees
How Navy Federal Compares to Other Lenders
USAA – Very similar overall with military affiliation requirements, low rates, long terms, and solid service. USAA offers biweekly payments as an extra option.
PenFed – Slightly lower starting rates than Navy Federal but fewer member benefits. PenFed membership eligibility is also not as exclusive as most military credit unions.
Pros and Cons of Navy Federal Auto Loans
Pros
- Low competitive interest rates
- Loan terms up to 96 months
- Excellent service for military families
Cons
- Membership is restrictive to military/DoD community
- Used cars over 30K miles have higher rates
- No option for rate pre-qualification
Contacting Navy Federal
Navy Federal offers customer assistance through:
- Call center available 24/7 at 888-842-6328
- Live chat for fast inquiries online
- Email and messaging via their mobile app or online banking
- 350+ branch locations globally
To Recap
Navy Federal auto loans provide military members and their families with competitive interest rates across new, used, and refinanced vehicle loans. Extended terms up to 96 months give flexibility in managing payments. While membership eligibility is exclusive, Navy Federal delivers outstanding affordability and service to those who have served our country in uniform.
Frequently Asked Questions About Navy Federal Auto Loans
What credit score is needed for Navy Federal auto loan?
Navy Federal does not disclose a minimum credit score. All applications undergo a full underwriting review, including assessing credit reports, income, and existing debt levels. Those with poor scores likely will not qualify for the lowest advertised interest rates.
Does Navy Federal offer discounts on auto loans?
Yes, Navy Federal offers a 0.5 percent interest rate reduction on auto loans for active duty military members. Military members not on active duty may still qualify for competitive rates but do not get the additional rate discount.
Can I get prequalified for auto loan from Navy Federal?
No, Navy Federal does not allow formal prequalification to check potential loan terms without a hard credit check. You can talk to a loan officer beforehand about projected terms. But to get actual rates you must submit a complete application and authorize the credit check.
How long does Navy Federal auto loan approval take?
The vast majority of borrowers receive an official loan decision within five minutes or less when applying online or with a Navy Federal representative. So you know very quickly whether you are approved.
Does Navy Federal offer special dealer auto financing?
No, Navy Federal does not partner directly with auto dealerships. However, members can still use Navy Federal pre-approval when shopping for cars to secure competitive financing before negotiating price at local dealers.
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