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NFCU Interes Rate Adjustment

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klondike
Valued Member

NFCU Interes Rate Adjustment

I have an existing NFCU new auto loan at 14.8%. It has been open 2 years and paid on time. I know they will redo loans brought in from other lenders, but has anyone had any luck getting them to lower an existing NFCU loan intereste rate?

 

I called and they said no, but it doesn't hurt to ask Smiley Happy


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HoldingOntoHope
Valued Contributor

Re: NFCU Interes Rate Adjustment

Very few if any institutions are going to refinance their own loans. It's not in their best interest. You can do a boomerang with NFCU though. Find another lender with a lower rate than your current NFCU loan, refinance and pay off NFCU, then refinance the new loan with NFCU if they can beat the rate. It's going to make a mess of average age of accounts and inquiries and may not be the smartest thing you could do.

 

Or alternatively you could find a lower rate with someone else and refinance and be happy with it. Next time you are looking for a new loan I'm sure NFCU will provide you a more competitive rate if your credit is solid.

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StartingOver10
Moderator Emerita

Re: NFCU Interes Rate Adjustment


@HoldingOntoHope wrote:

Very few if any institutions are going to refinance their own loans. It's not in their best interest. You can do a boomerang with NFCU though. Find another lender with a lower rate than your current NFCU loan, refinance and pay off NFCU, then refinance the new loan with NFCU if they can beat the rate. It's going to make a mess of average age of accounts and inquiries and may not be the smartest thing you could do.

 

Or alternatively you could find a lower rate with someone else and refinance and be happy with it. Next time you are looking for a new loan I'm sure NFCU will provide you a more competitive rate if your credit is solid.


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Message 3 of 6
Elcid89
Contributor

Re: NFCU Interes Rate Adjustment


@klondike wrote:

I have an existing NFCU new auto loan at 14.8%. It has been open 2 years and paid on time. I know they will redo loans brought in from other lenders, but has anyone had any luck getting them to lower an existing NFCU loan intereste rate?

 

I called and they said no, but it doesn't hurt to ask Smiley Happy


Unless the installment contract allows for it, and few do, they can't change the interest rate on a contractually specified loan agreement (which is fixed for the term of the agreement). It would be a breach of contract.

 

Getting the rate changed invariably involves refinancing the loan, which they are also not that amenable to doing with their own paper.

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Dustink
Valued Contributor

Re: NFCU Interest Rate Adjustment

USAA likes to compete with NFCU. You could just try refinancing with them.

 

As another poster said you could then refi again back to NFCU.

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Creditaddict
Legendary Contributor

Re: NFCU Interest Rate Adjustment

apply to capital one refi if you want to.

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