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Posts: 83
Registered: ‎08-18-2007
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BANKS vs CREDIT UNIONS vs DEALERSHIPS

It appears on here that people seem to feel (or have had from 1st hand experience) that credit unions give you a better deal of getting approved for an auto loan and getting a good APR over banks and dealerships, but when I was trying to get a personal loan through my bank the rep told me I'd probably get a better APR on a car going through the dealership. What's the feeling here? Thanks.
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Posts: 53
Registered: ‎04-03-2007
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Re: BANKS vs CREDIT UNIONS vs DEALERSHIPS

[ Edited ]
Try and get approved at your credit union, and then know where you stand, as you can always take a better deal at the dealer if offered. The CU can also tell you what you should pay for a car. My Credit Union will even deal with the dealer and gets me a better deal than I am able to get myself. Usually closer (lower) to what Kelly's, or Edmonds tells you you should pay.

Dealers have more options for lower scores, but they also can make money by selling you worse terms than you qualify for. It could very well be in the business managers best personal financial interest to screw you.

I'd take the CU pull unless my score was under about 580-600. Even then, I would tell the CU my situation and take their input in my decision.

Message Edited by Mindnumb on 08-20-2007 12:30 PM
Regular Contributor
Posts: 171
Registered: ‎05-18-2007
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Re: BANKS vs CREDIT UNIONS vs DEALERSHIPS



hipgal0825 wrote:
It appears on here that people seem to feel (or have had from 1st hand experience) that credit unions give you a better deal of getting approved for an auto loan and getting a good APR over banks and dealerships, but when I was trying to get a personal loan through my bank the rep told me I'd probably get a better APR on a car going through the dealership. What's the feeling here? Thanks.



Banks don't like credit unions.
For age and want, save while you may; no morning sun lasts a whole day.
--Benjamin Franklin
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Re: BANKS vs CREDIT UNIONS vs DEALERSHIPS

Do you need to have an account at a credit union or can you just go to them and apply for an auto loan? I have an account at a regular bank, but no credit union account. Smiley Happy
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Posts: 171
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Re: BANKS vs CREDIT UNIONS vs DEALERSHIPS



hipgal0825 wrote:
Do you need to have an account at a credit union or can you just go to them and apply for an auto loan? I have an account at a regular bank, but no credit union account. Smiley Happy



I think you have to have at least a savings account but that will probably vary by credit union.
For age and want, save while you may; no morning sun lasts a whole day.
--Benjamin Franklin
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Posts: 53
Registered: ‎04-03-2007
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Re: BANKS vs CREDIT UNIONS vs DEALERSHIPS

You need to be a member if you don't want to deal through a 3rd party (The Dealer).

The good news is that "Community Charter" Credit Unions are open to everyone that lives in a certain area and are becoming more and more common. If one is advertising for business in your area, check it out.

Mine has a minimum balance of $5 to open an account. Money well invested IMO.
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