Installment Loans - max duration

[lord_kinbote]

Morning. I am looking to add an installment loan to the credit profile of wife and daughter. Their scores are around 760, so I am not concerned about unsecured loans. I joined Alliant for my wife, but I noticed in their verbiage, new members are not eligible for personal unsecured loans - wth?

I am looking for a good credit union they both can join and then app for an unsecured installment loan for the max duration. Loan amount can be small, as the only purpose for this is to add to credit mix.

Thanks in advance for the help.

[Anonymous]

Can you quote us the exact verbiage you see?  Even better would be a screenshot.  Also helpful would be if you'd talk to a loan officer at Alliant and see what he or she says.

Alliant is the right fit for you (given that you are fine with an unsecured loan) if we can figure out what is going on with this issue you are describing.

[lord_kinbote]

Certainly.  Here is the verbiage I am referencing;

Alliant Verbiage Screenshot

Additionally, I fired off an email to Alliant and and asked specifically about being a new member and how that relates to an unsecured loan and their response was as follows;

"Hello,

This is in fact the case when it comes to personal unsecured loan. Due to the fact this is a non collateralized loan, we do require a relationship history with Alliant. Please note, we may have other loan options available and a loan consultant would be happy to assist. Someone can be reached M-F 8am-6pm CT at 800-328-1935."

To summarize, all I am trying to do is to add some type of installment loan to their credit mix.  Obviously, I do not want to go buy a car or something of that nature to accomplish, so I was looking for an unsecured or secured (does any does this anymore?) loan in a small amount for an extended duration.

[lord_kinbote]

Well obviously, some things have changed at Alliant.  I am a member of NASA FCU, so I joined under wife (instantly membership approval due to relationship) and app'd for a very small loan.  I requested only 500 and they approved me for 1000 for 36 months.  I know Alliant had the kick ass ability to pay it off to under 10% out of the gate and then not worry about it, but again.. not available to new members, so oh well.  It was more imporant for me to get an installment into the mix and I didn't need the $$, so I am going to stick the 1k into the new nasafcu savings account and pay from that source.  I am gong to repeat this process for daughter.  

[Anonymous]

Hey, I didn't see your reply the other day. 

Certainly simply adding a loan will help the credit mix portion if the report contains no installment accounts of any kind, including closed ones.  But the scoring advantage will be much greater if you can get a loan, pay it down to less than 8.9% of the original loan amount, and then keep the loan open for the full term.

Alliant was the easiest choice for that when they offered Share Secured loans (i.e. until Jan 2 of this year).  A good alternative is Navy Fed.  We are looking for other options still.

[lord_kinbote]

No worries.  Yes, neither of them have any type of installment loan of any type reporting (closed or open).  I wish I had a better option that permitted paying off under 10% and letting the term ride.  I will contact NASAFCU and see if its possible on this unsecured loan, but I doubt.  Thanks for the assistance and I hopefully some alternatives come up in the future.

[lord_kinbote]

Speaking of NavyFed. I heard they closed the loophole? No family members associated with armed forces or current members, so I doubt membership is possible.