What You Should Know Before Financing Your Car

03/09/2021

What You Should Know Before Financing Your Car

When shopping for a new set of wheels, your first stop should be right here, at Family Trust Federal Credit Union. Though many people start their process on the dealer’s lot, you’ll enjoy a simpler loan application, potentially a lower rate, and other benefits by choosing to finance your car with your credit union.

This is why people are increasingly choosing to finance their cars directly through credit unions. In fact, auto loans comprise more than a third of all the active loans across the 5,600 credit unions in the U.S.

Let’s take a look at the differences in the auto loan process at a car dealership versus Family Trust Federal Credit Union.

Financing an auto purchase at a car dealership

When you visit a dealer’s lot with the intention of purchasing a car, the dealer will likely ask you how much you’re willing to spend on your vehicle of choice. You may have already worked out your numbers, or, you may just have a vague idea of how much you can realistically afford. Either way, the dealer will probably try persuading you to push your self-imposed limits to the max or even to go over your ceiling price.

But, if you’re financing your car through the dealer, that’s only the beginning. Once you’ve chosen the car you’d like to buy, you’ll need to submit a complicated auto loan application form, which the dealer will send to the finance companies it partners with. This can include lenders and financial institutions – even Family Trust Federal Credit Union! The dealer will then share the lenders’ offers with you and ask you to make your choice.

However, in most cases, the dealer is only the middleman. This means they are going to present your options in a way that most benefits them – and not you. 

Financing an auto purchase at a credit union

Getting an auto loan with your credit union is a completely different experience. Why? Because we exist to serve your best interest.

When you apply for an auto loan directly with Family Trust you’ll be dealing with people who understand what your financial reality is like. No one will try to push you into a loan you can’t afford.

The process of applying for a Family Trust Federal auto loan is simple, quick, and easy. Apply in three easy steps on the mobile app or at familytrust.org

A key advantage you’ll enjoy from financing directly with Family Trust is a more relaxed setting when determining how much you can afford to pay each month toward your new car. There’s no rush and no pressure when you’re sitting on your couch or in one of our branches and working out your budget. In contrast, when you’re standing in the dealer’s lot surrounded by cars you wish you could afford, you’re far more likely to make a decision you’ll later come to regret.

If you’re in the market for an auto loan, make Family Trust your first stop. You’ll enjoy lower rates and the friendly, professional service you’ve come to expect at Family Trust Federal Credit Union.

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