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Financing a Car Loan With Freedom Credit Union

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

In fact, more and more people are choosing to finance their cars directly through credit unions. Auto loans make up a significant portion of loans across the 5,600 credit unions in the U.S., and for good reason.

Let’s take a look at how financing through a car dealership compares to financing with Freedom 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. While you may have already worked out your budget, the dealer will often try to persuade you to push your limits and go over your set price.

If you’re financing through the dealership, things can get even more complicated. Once you’ve chosen a car, you’ll need to fill out a loan application, which the dealership will send to multiple lenders. The dealer will then present you with the offers and ask you to make a choice.

However, in many cases, the dealer acts as the middleman. The loan options presented to you are often marked up, with the dealer’s profit built into the rate. For instance, the dealer might receive offers from multiple lenders with varying rates, but instead of offering you the best deal, they will present the one that benefits them the most. Even if a lender offers you a great rate, the dealer may not show it to you, or they may present it in a way that’s less favorable to you.

For example, if one lender offers you a 5% APR and another offers 7%, the dealer might push you toward the higher rate if it allows them to pocket a larger commission. You might not even know that a better rate was available until after the fact.

Financing an Auto Purchase at Freedom Credit Union

When you choose to finance your car purchase through Freedom Credit Union, you’re dealing directly with a trusted financial partner who has your best interests at heart.

At Freedom Credit Union, we make the auto loan process simple and transparent. The application process is quick and straightforward, and you can even apply online or over the phone. Plus, as a member, you already have a head start on getting pre-approved for your loan.

One of the biggest advantages of financing through Freedom Credit Union is our lower APR. Because we work directly with you, you’ll receive the actual rate we offer, with no added markup from a middleman. As a member-owned institution, we’re committed to providing competitive rates and personalized service.

In fact, credit unions, on average, offer auto loan rates that are lower than those from banks and large lenders. According to Bankrate, the average APR on a credit union auto loan was a full percentage point lower than the rates offered by banks at the start of 2019.

Another key advantage is the relaxed environment when you’re working with us to determine how much you can afford. We take the time to help you assess your budget, and you won’t feel the pressure or rush that’s often present at a dealership, where it’s easy to make an impulse decision.

If you’re in the market for an auto loan, make Freedom Credit Union your first stop. You’ll benefit from lower rates, transparent terms, and the friendly, professional service you expect from a trusted financial institution.

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