Alliant Credit Union Auto Loan Review | LendingTree
If you want to save money on an auto loan, consider financing through credit unions, which are nonprofit organizations that can sometimes offer lower interest rates and better terms than their bank counterparts. Illinois-based Alliant Credit Union offers a number of vehicle loans, including financing for older vehicles.
in this review, we’ll cover:
Reading: Alliant car loan review
- about alliant credit union
- alliant credit union auto loans at a glance
- how to apply for funding
- the fine print
- pros and cons of financing through alliant
- the bottom line: who is alliant best for?
- employees or retirees of selected companies or organizations
- domestic partners or immediate family members of existing alliant members
- members of selected organizations
- those who work or reside in qualifying communities
- supporters of a partner charity
- aprs: the total cost of a loan, expressed as an annual percentage rate, in 84-month terms for new car loans are set 1 percentage point higher.
- creditworthiness and other factors can affect the apr you can receive and the amount you can borrow
- indicated rates include an automatic payment discount of 0.4 percentage points
- low rates
- easy membership requirements
- many types of vehicle financing
- no prepayment penalties
- quick loan financing
- rates are 1 percentage point higher for longer loans
- no upper end of apr range given
- the apr for loans without an automatic payment is higher
- members with good credit
- those looking to finance a new or used car for less than 84 months
- those looking to finance a new or used car that is less than 10 years old
about alliant credit union
Alliant Credit Union is the largest credit union in Illinois and one of the largest in the US. USA, with assets of more than $11 billion. The company was founded in 1935 as the credit union of the employees of United Airlines.
members can apply for new and used car loans, as well as refinancing. The credit union also offers a wide range of non-auto financing options, from RVs to boats.
alliant requires membership before you can apply for one of their auto loans. You can easily become a member in the first step of your loan application, or you can register independently. eligibility is open to the following types of people:
You can verify your business’s eligibility through a tool on the credit union’s website. If you don’t qualify through any of the traditional methods, you can join the credit union’s charity of choice, Foster Care for Success, with a $5 donation.
residents of all 50 states can receive auto loan financing. for many customers, it may be worth taking the necessary steps to join an alliant credit union.
alliant credit union auto loans at a glance
here are some additional things to know:
for a new vehicle auto loan, the car must be current year or newer and purchased in like-new condition within the last 180 days.
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alliant also offers auto refinancing and used car loans for 10-15 years, though not much detail is provided on the alliant credit union website. Like other types of loans, the apr you can receive will be based on multiple factors, including your credit score, your payment method, and your ability to pay.
The credit union also finances ATVs, RVs, new and used boats and watercraft, personal watercraft, and snowmobiles.
how to apply for funding
alliant facilitates the application process through five steps.
Step #1: Submit a Request
You can start the process online or by calling 800-328-1935, which you can do 24/7.
You will need to choose the type of financing, the length of the term and the amount of the loan you are seeking. then you’ll provide personal information, including your date of birth, address, and social security number. please note that you must be at least 18 years old. In the last two steps of the application, you’ll provide information about your income and your collateral, specifically the car you want to finance.
Step #2: Get Pre-Approved
alliant will review your application and let you know if it was pre-approved, usually the same day.
Step #3: Negotiate
once you have your pre-approval, you can use it to negotiate with an auto lender. alliant also offers a car buying service where you can work out deals with pre-approved dealers that include a 0.50 percentage point rate discount.
Step #4: Complete Your Loan Documents
after reaching an agreement with a car dealer, alliant can finalize your loan documents.
step 5: get your funding
alliant will deliver your funds overnight via fedex to you or your distributor.
the fine print
alliant credit union does not charge additional fees on its auto loan products. Although it lists the lowest rates for its auto loans, there’s no indication of what the upper range may be for customers with less than stellar credit. to find out the rate you will receive, you will need to go through the application process.
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Although alliant finances both new and old vehicles, you’ll face a completely different (and much higher) rate schedule for vehicles that are at least 10 years old. It’s also important to note that the rates advertised on the Alliant Credit Union website include the auto pay discount. loans without automatic payment do not include the 0.4 percentage point discount.
pros and cons of financing through alliant
alliant credit union offers low auto financing rates for those with good credit. The online loan process is easy through the website or by phone. Funding is fast and arrives overnight via fedex. alliant offers a wide range of auto financing options, including new and used vehicles and auto refinancing.
Rates can be high for people with bad credit, but it can be difficult to find the high end of the range before completing an application.
There are 58 complaints about alliant credit union on the better business bureau website, while online reviews of the credit union on some sites are negative. It is important to note that lenders cannot verify complaints or site reviews submitted by bbb.
alliant auto loan highlights
With the national average for 48-month and 60-month new car loans at 5.27%, alliant credit union stands out in the comparison.
Borrowers with good credit can get an APR as low as 1.94%, a full 2 percentage points below the national average. Although the loans are only available to members, it’s easy to qualify. with alliant, you can finance both old and new cars, as well as refinance existing loans.
To help make the loan process easier and cheaper, alliant offers a car buying service that can put you in direct contact with dealers and give you a 0.50 percentage point discount. once approved, funding is fast, usually less than 24 hours. if you want to pay off your loan even faster, alliant doesn’t charge prepayment penalties.
worst thing about alliant auto loans
To get the best alliant auto loan rates, you’ll want to avoid longer-term loans, as alliant charges an extra percentage point on 84-month loans. You’ll also want to set up automatic payment or you won’t get the 0.4 percentage point interest rate reduction.
However, keeping a short-term car loan is a best practice that financial advisors often recommend. Combining a longer term loan with a higher interest rate will result in excessive interest charges over time.
the bottom line: who is alliant best for?
alliant credit union is best for:
For these types of borrowers, Alliant Credit Union may be a good option. The credit union offers low rates on short-term loans for those with good credit, and that’s the main factor for many loan buyers. If you need to finance a car that is at least 10 years old, or if you have bad credit, you can probably find a better car loan elsewhere.
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