PENFED PLOC

[Revelate]

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@Anonymous wrote:

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@Anonymous wrote:

ANyone know if you have the scores and income to support it, does will Penfed give you a lower than advertised APR on the PLOC? 14.65% is pretty steep, if you actually had to use it. Thanks. 

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No. They recently changed their PLOC APR structure. It used to be that they offered variable APRs as low as 10.74% (and going up from there) depending on score/history but have instead decided to have one fixed rate for everybody. *This could end up being a good thing as the Prime rate continues to rise. 

14.65% is steep and in line with what most other lenders charge. Even Wells Fargo and US Bank have lower APRs. This has been happening at PenFed for a few years now unfortunately. In an effort to be more competitive they have become less conservative. Being less conservative means granting credit to those with weaker credit files and raising the rates on everbody to help offset the real or possible charge offs from the weaker credit files.

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Did you mean to state not in line?  I hadn't realized they changed it, mine was of the 10.5% variety when approved a couple years ago now up to 11% according to their interface... 14.65% seems darned high for a PLOC compared to the rest of the industry currently, or even for an unsecured loan these days for pretty files which is saying something.

[Anonymous]

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@Revelate wrote:

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@Anonymous wrote:

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@Anonymous wrote:

ANyone know if you have the scores and income to support it, does will Penfed give you a lower than advertised APR on the PLOC? 14.65% is pretty steep, if you actually had to use it. Thanks. 

---

No. They recently changed their PLOC APR structure. It used to be that they offered variable APRs as low as 10.74% (and going up from there) depending on score/history but have instead decided to have one fixed rate for everybody. *This could end up being a good thing as the Prime rate continues to rise. 

14.65% is steep and in line with what most other lenders charge. Even Wells Fargo and US Bank have lower APRs. This has been happening at PenFed for a few years now unfortunately. In an effort to be more competitive they have become less conservative. Being less conservative means granting credit to those with weaker credit files and raising the rates on everbody to help offset the real or possible charge offs from the weaker credit files.

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Did you mean to state not in line?  I hadn't realized they changed it, mine was of the 10.5% variety when approved a couple years ago now up to 11% according to their interface... 14.65% seems darned high for a PLOC compared to the rest of the industry currently, or even for an unsecured loan these days for pretty files which is saying something.

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What I meant to say was that it is steep but in line with what most other lenders, primarily banks, charge. However, Wells Fargo and US Bank are exceptions in terms of the big banks. There are still credit unions out there with decent PLOC rates, but PenFed is not one of them.

Yes, the 14.65% fixed rate is for new PLOC's; those with older PLOCS have been grandfathered in to the old, variable rate.

[Anonymous]

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@Anonymous wrote:

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@Revelate wrote:

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@Anonymous wrote:

---

@Anonymous wrote:

ANyone know if you have the scores and income to support it, does will Penfed give you a lower than advertised APR on the PLOC? 14.65% is pretty steep, if you actually had to use it. Thanks. 

---

No. They recently changed their PLOC APR structure. It used to be that they offered variable APRs as low as 10.74% (and going up from there) depending on score/history but have instead decided to have one fixed rate for everybody. *This could end up being a good thing as the Prime rate continues to rise. 

14.65% is steep and in line with what most other lenders charge. Even Wells Fargo and US Bank have lower APRs. This has been happening at PenFed for a few years now unfortunately. In an effort to be more competitive they have become less conservative. Being less conservative means granting credit to those with weaker credit files and raising the rates on everbody to help offset the real or possible charge offs from the weaker credit files.

---

Did you mean to state not in line?  I hadn't realized they changed it, mine was of the 10.5% variety when approved a couple years ago now up to 11% according to their interface... 14.65% seems darned high for a PLOC compared to the rest of the industry currently, or even for an unsecured loan these days for pretty files which is saying something.

---

What I meant to say was that it is steep but in line with what most other lenders, primarily banks, charge. However, Wells Fargo and US Bank are exceptions in terms of the big banks. There are still credit unions out there with decent PLOC rates, but PenFed is not one of them.

Yes, the 14.65% fixed rate is for new PLOC's; those with older PLOCS have been grandfathered in to the old, variable rate.

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Well looks l am late to the party again. 

I kept seeing people posting screen shots of their PLOC with 10% interest, and then saw on the site 14.65%. SO i figured they gave you a better rate if you qualified for it.

 I would have loved to get the powercash visa and PLOC. But that interest is too high to actually be useful. I  guess I will keep looking. 

Thanks for the info guys. 

[Marcos8]

When wanting to access Penfed PLOC as cash for yourself is it preferred to write a check to yourself and deposit it? Or is it preferred to transfer it to the Share account and then to my external bank? The former seems like a quicker solution but interested in what others think