FRESNO, Calif.-Credit unions across the country are trying to push the industry's old stand-by: auto loans.
* Educational Employees CU said it will begin offering car loans with interest rates as low as 2.99%, several points below the national average.
The rate is good for new purchases or refinances, and the credit union is even offering 100% financing. The deal is only good in Merced and applies only to 2006 model years or newer.
* In Alexandria, Va., Pentagon FCU, has lowered its new and used car loan rates to 3.99%. The rate is available to members who apply online for new or used auto loans with terms up to 60 months. That compares to a nationwide average rate of 7.25% a 48-month loan. Pentagon's rate of 3.99% for the same term would save over $1,400 in finance charges over the life of the loan on a $20,000 loan.
* In Grand Rapids, Mich., six area credit unions are hoping that their participation in the Michigan International Auto Show will help drive auto lending activity.
Each of the CUs taped a 15-minute ad that aired during the WOOD TV Gala kickoff live event Feb. 4. Each of the ads will be mixed into two, 30-second ads that will run on local TV during February. WOODTV.com is also housing an "Invest in America" page with each credit union's logo and links back to their auto lending page promoting the nationwide loan discount for U.S.-made autos.
