The Quest for an SSL alternative to Alliant

[Anonymous]

Is there a recap page for the current results? I am looking to use this technique in the near future and if someone hasn’t tested a specific CU/Bank I’d be willing to try. Starting score around 688, looking to improve to 720...just because I’d rather have prime rate scores than not. I have access to two CUs but they are very picky (employees only) and would serve no purpose for the masses. I have up to $40k to spare for use. Does that make a difference regarding score increase (I.e. higher loan, higher score increase)? I would generally think so, but I am not certain.

[Anonymous]

Higher loan does not give you a bigger score bonus, though at many lenders the term of the loan depends on how big the loan is.  E.g. at Navy Fed to get a 60 month term loan you need an original loan amount of at least $3001 (IMO it makes more sense to go with $3100 and not cut it to within a buck).

[Anonymous]

Ok, I c & ty...any specific banks need to be checked out?

[Anonymous]

It would be nice to see a confirmation that the Alliant unsecured loan still works -- i.e. that the CU will extend the Due Date way into the future after the borrower makes a huge payment at month 1 or 2.  Bear in mind that the unsecured loan will have a hard pull.

I suggest you send Revelate a PM and ask him if he has any particular CUs or banks that he'd like tested.  You might ask SouthJamaica as well.

Finally, I am curious whether Wells Fargo might work.  They certainly offer Share Secured Loans.  Unless someone has a particular reason to think they do not extend due dates upon prepayment, they'd be a great fit for most people.

[Anonymous]

PPS.  Revelate has chimed in on another thread and confirmed that Wells Fargo definitely works (in terms of prepayment pushing the due date way into the future).  He has proven this in terms of his own personal experience.  Naturally I am delighted to discover this.

Since WF offers true SSLs, I urge you to go with them.

If you are willing to do a full test, I'd love it if you could drop me a note here and as a PM, and I'll walk you through how to make it a perfect test.

[Anonymous]

OMG, if somebody could confirm this, that would be amazing!

[UncleB]

Wells Fargo would be a great choice for me, but while poking around their website I found this (emphasis mine):

• If you have a Wells Fargo CD or Savings Account, you may be able to use it as collateral for a loan to meet your financial needs and build your credit history while preserving your savings. Please note the amount in your collateral account equal to the full amount of the loan will not be available for use until the CD/Savings Secured Loan is paid in full.

https://www.wellsfargo.com/help/loans-and-lines/personal-credit-faqs/

It sounds like a hold for the entire amount of the loan is kept on the savings account until it is PIF, which is different from the Alliant and NFCU SSLs.  This is a show-stopper for me, since I wouldn't want to be locked out of the entire amount of the loan until it is PIF.

A few more details:

Why get a Wells Fargo CD/Savings Secured Loan?

• Get your funds, often by the next business day, if approved.
• Preserve savings. You can continue earning interest on your savings and avoid early withdrawal penalties on CDs.
• Lower interest rate. You may get a lower annual percentage rate by providing approved collateral (such as a Wells Fargo CD) to secure your loan.
• Fixed term and rate. You know exactly how much you’ll pay each month, making it easy to budget.
• Loan amounts from $3,000 - $250,000
• $75 origination feeFootnote 2

[Anonymous]

Not ideal, but I wouldn’t mind having 500$ sit somewhere for 2-3 years if it massively boosted my score.

[UncleB]

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@Anonymous wrote:
Not ideal, but I wouldn’t mind having 500$ sit somewhere for 2-3 years if it massively boosted my score.

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I just edited my post to add that the minimum appears to be $3k. 

[Anonymous]

Ugh.