PenFed or Navy Federal?

[Anonymous]

Hi everyone,

So I've been looking into credit unions and it seems the best ones are Navy Federal and Pen Fed. I'm a member of Voices for Troops so I qualify for Pen Fed. Is there a partner I could join to be eligible for Navy Federal?

Has anyone had experience with PenFed? I'm just starting and would use it for: personal banking, credit card, and eventually (potentially) a mortgage.

Thanks!

P.S. I'm already eligible for a USAA account. Is that a good alternative? 

[Anonymous]

I don't have any experience with NFCU but I've been with PenFed for about 6 months. I have PenFed's Defender Visa with 1.5% cash back rewards. They gave me a generous $15K CL to start with but I heard PenFed got a bit stingy afterwards. Baller has a PenFed thred with tons of good info.

[Anonymous]

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@tothephonebooth wrote:
Hi everyone,

So I've been looking into credit unions and it seems the best ones are Navy Federal and Pen Fed. I'm a member of Voices for Troops so I qualify for Pen Fed. Is there a partner I could join to be eligible for Navy Federal?

Has anyone had experience with Pen Fed? I'm just starting and would use it for: personal banking, credit card, and eventually (potentially) a mortgage.

Thanks!

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Anybody who is current or past military can now join Navy Federal Credit Union (NFCU). If you do not have a military way into NFCU, there is a way to join through the Navy League of the United States-San Diego Council. 

Please read only the first posting here:

http://ficoforums.myfico.com/t5/Personal-Finance/Navy-Federal-CU-The-REAL-way-in-for-those-that-dont...

And if you have some time to kill, you may look at the last few pages of this thread here:

http://ficoforums.myfico.com/t5/Personal-Finance/NLUS-San-Diego-alive-and-well/td-p/4640823

It may sound like a long drawn out process but it really isn't and it is worth it to be a member of NFCU. You help out a great military organization in the process (NLUS). 

I am a member of both PenFed and NFCU and I like them equally well. I do not find any one credit union does everything better all the time. So it is great to have a few credit unions on deck so that you can cross shop. I really like NFCU's customer service both at the contact centre and at the branch and I am loving my Cash Rewards card. They have good rates on regular share savings, money market and often have special CD rates. I have found that NFCU also has better personal loan rates and used car rates (for 5 years) than PenFed. I find that PenFed usually excels in new car loans as well as their quarterly pre-approvals for different products without a hard inquiry. I have had two personal loans through PenFed (back when the rates were 7.99% and 8.99%) with no problems at all. I also have a PenFed Promise card which I am probably going to close as I do not have much use for it. I guess I'd have to say that I prefer NFCU but really PenFed is great themselves. You can't go wrong with being a member of both! 

[Gmood1]

Yeah join all three! They all have strengths and weaknesses. the noticed NFCU is good for those starting out. They're more lenient on car loans than Penfed or USAA. Both my daughter and youngest sister ended up with loans through NFCU. Both were turned down by Penfed. My last three auto loans have been with Penfed simply because they normally beat the other two.

[SouthJamaica]

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@tothephonebooth wrote:

Hi everyone,

So I've been looking into credit unions and it seems the best ones are Navy Federal and Pen Fed. I'm a member of Voices for Troops so I qualify for Pen Fed. Is there a partner I could join to be eligible for Navy Federal?

Has anyone had experience with PenFed? I'm just starting and would use it for: personal banking, credit card, and eventually (potentially) a mortgage.

Thanks!

P.S. I'm already eligible for a USAA account. Is that a good alternative? 

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I like both PenFed & NFCU.

NFCU is a little more generous in its underwriting standards.

PenFed has lower interest rates.

I have no experience with USAA.

[Guyatthebeach]

As a member of both Navy Federal and PENFED, I am very impressed with both CU's. They both have excellent customer service and have great programs and products.

NFCU is more generous with credit limits. PENFED has lower rates. Those are the only differences.

I personally enjoy banking with these CU's as well as SCSCU and SDFCU.

[garagebandking]

USAA has been super conservative and aren't in my area (nor do they appear to participate in the Co-Op or shared network dealio) so I eventually moved on to NFCU which is local and they've been very generous with starting limits. However, I jumped on the PenFed gravy train as being able to use one HP for multiple credit products was too hard to resist. So far, I've found them to be as generous as NFCU for my profile. Given their generosity and the auto loan I opened with them, I ended up setting up DD there.

My main bank is PenFed despite the lack of local branches. NFCU being local is where I deposit cash and some checks. USAA just hangs out now as a backup.

All three have their merits and if you can manage the accounts, it can definitely be worthwhile having all 3.

[UncleB]

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@garagebandking wrote:

USAA has been super conservative and aren't in my area (nor do they appear to participate in the Co-Op or shared network dealio) so I eventually moved on to NFCU which is local and they've been very generous with starting limits. However, I jumped on the PenFed gravy train as being able to use one HP for multiple credit products was too hard to resist. So far, I've found them to be as generous as NFCU for my profile. Given their generosity and the auto loan I opened with them, I ended up setting up DD there.

My main bank is PenFed despite the lack of local branches. NFCU being local is where I deposit cash and some checks. USAA just hangs out now as a backup.

All three have their merits and if you can manage the accounts, it can definitely be worthwhile having all 3.

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USAA won't ever participate in the shared branch network since it's for CUs, and USAA is a federal savings bank. 

I completely agree with your assessment of NFCU; if something ever made me want to leave USAA I would move my primary checking to NFCU in a heartbeat, even though they are just as remote as USAA location-wise. 

I don't have any experience with PenFed, but I've heard lots of good things... if I ever give up my 'Egyptian' ways I might give them a shot at some point. 

[Anonymous]

I agree with those that have both and love both. I have savings account, CLOC, PLOC and credit cards with both. As others have said, my credit cards with PenFed have lower interest rates than my card with NFCU.

[Anonymous]

I joined NFCU in June 1st, of 2017. My dad was in the Air Force and is deceased. I was still eligible. I had his DD214 handy but only needed to submit my ID & a utility bill for verification. I scanned it in through a secured link in the email. About 5 days later I got an email telling me my bank packet and debit card are on the way.

I am so thankful that Navy Federal will honor my dad’s service, unlike USAA who basically say too bad, any familial benefit died with him so if he didn’t sign up, oh well.
As soon as I make my first deposit, I will be applying for their secured card. Will keep you posted.

BUT A DECEASED PARENT OR SPOUSE STILL MAKES YOU ELIGIBLE AT NAVY FEDERAL, AS WELL AS SOMEONE WHO SHARES YOUR RESIDENCE! And this is as of June 1, 2017. I didn’t need any outside organization affiliation.
Hope this helps








***UPDATE!!!*** as of June 12, 2017 I am the proud owner of an UNSECURED NFCU rewards Visa! My credit scores have to be in the low 500s. I have no idea how this happened but between this bank having customer service agents available 24-7, and me being approved for a $2000 unsecured card, I am a member for life.

I got the unsecured card by asking to apply for a secured card and the woman asked if I had money in my new checking account to fund the secure card. I told her that the transfers from my prior bank had not made it to Navy Federal yet and I told her that I would call back when that happened. She said well why don't we just apply for an unsecured card and see what happens. I giggled and said well I have nothing to lose, sure go ahead. I know it will be a rejection. She said let's think positive. We filled out the app, and she screamed lol she was literally as overjoyed as I had ever heard a CSA. She was screaming I told you to give it a chance, you're approved!!!! $2000 Visa rewards!!!

I love NFCU.