- Auto Loans, new and used
- Extended Warranty and GAP Insurance coverage on our vehicle loans
- Recreational Vehicles, new and used
- Motorcycles, new and used
- Truck Loans, new and used
- Personal Loans
- Savings Secured Loans
- Boat Loans, new and used
- Line Of Credit (overdraft protection)
- Home Equity Loans (Online applications not accepted for home equity loans. To apply, call the Credit Union directly at (651) 602-8105.)
Things To Look For When “Shopping” For A Loan:
- There are no pre-payment penalties at the Credit Union.
- The interest you pay is always calculated on the unpaid declining principal balance for the actual number of days you use the funds.
- There are no hidden charges.
- We offer flexibility of payments. You can pay any extra amount at any time.
Note: Loan policy is subject to change without notice. Stop by or call for more specific details on rates and terms.
What’s the Catch with 0% Vehicle Financing?
If you’re interest in buying a car, you’ve probably seen a lot of low-interest special offers and incentives from various automakers. Many brands offer 0% interest, which suggests you can finance a car and pay no interest over the term on the loan. Does that offer seems to good to be true? It may be.
How is it possible?
Since you’re not giving the bank any incentive to lend you money, you might be wondering just how it’s possible to get a 0% interest rate. The answer is usually it isn’t the bank doing the lending but rather the automaker itself.
The way an automaker can make money with a 0% deal is simple: It still earns the same amount it would earn on any car deal, but now the money is earned over a longer span. So, the money isn’t made on financing but rather the car itself. This means that 0% deal usually aren’t a scam.
Bait and switch?
While 0% financing isn’t usually a scan, it can often be difficult to qualify for, and that where many shoppers run into disappointment. Dealers will often advertise 0% interest, for example, even when it’s only available on select models or to shoppers with the absolute highest credit scores and a long credit history.
Dealers love to offer 0% financing as a way to get customer in the door, but the reality is 0% financing is quite hard to get. While many customers come for the great financing deal, as few as 10% will actually qualify. Additionally, these loans typically have shorter terms, which means higher monthly payments and hidden fees.
Compare Your Options
Taking the 0% financing will typically require you to forfeit the rebate money and/or your ability to negotiate a better price. The rebates and/or discounted pricing could save you hundreds, even thousands of dollars over the term of the loan.
|Metropolitan Services CU||Auto Dealership|
|Monthly Payment over 5 Yrs||$310.00 (at 3.49%)||$334.00 (at 0%)|
|Sales Tax (6.5%)||$1,105.00||$1,300.00|
This is an example of the possible savings when choosing whether you should take the rebate or the 0% financing. As you can see above, the 0% financing is not always going to be your best option. If you would like some help deciding what route to go, please call or stop in and we’ll gladly go over the options with you and try to help you decide.
Home Equity and Home Equity Line of Credit Loans
- Up to a maximum of $75,000.00 and 80% of the appraised value of your home, or up to 80% of the value stated on your property tax statement, less any liens against the property.
- Home Equity Lines of credit are a variable rate that are subject to change on January and July 1st.
- The rate cannot exceed 1% increase per change date. The minimum rate is 6% and the maximum rate is 18%.
- Online applications not accepted for home equity loans. To apply, call the Credit Union directly at (651) 602-8105.
Interested in Joining Our Credit Union?
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Member of the Minnesota Credit Union Network, CUNA and regulated by the NCUA.
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