Overhaulin'

How does Credit Union work, beacuse i want to buy a use car.?

Public Comments

1. Just like a bank. If you have good credit and income and not too much debt and are a member, they will loan you from 70-100% of the cars value. (Their determination of the cars value)
2. A credit union is owned by the depositors not share holders so it is not under the same pressure to make big profits. This allows them to charge lower interest rate for loans.
3. Many credit unions are not bound just by vehicle value. In addition, they can look at the whole picture and not just the numbers. There are some credit unions (such as STCU in Spokane, WA) that loan up to 150% of the vehicles value. I would find one you want to join, most can find a way to get you in, but if you have a relative who is a member of any credit union, you are generally automatically eligible. Get them to pre-approve you a loan. They often will send you out with a check to buy a car.