Make your life easier with WRCH and American Eagle Financial Credit Union.
Chuck Taylor and Howard Brady, Chief Lending Officer for American Eagle Financial Credit Union, are guiding us through solutions to the biggest financial questions we all have.
Do you know how to get the best rate on a loan?
How to find the best dealer when you’re shopping for a car?
Or why it makes sense to bank with a credit union?
Find out now, and listen to more expert advice from AEFCU every Monday at 4:45pm on WRCH!
The Difference Between Banks & Credit Unions
What is the difference between a bank and a credit union? A bank is a for-profit organization, owned by sharehiolders, while a credit union is owned by its members and is not for profit. This puts credit unions in a unique position where they can put their members in the center of every decision they make, and reinvest money back into the business to deliver better technology, products and services to help their members achieve financial success.
If you’re looking for something like a car loan, credit unions will often provide better rates, agreeable fee structures, and great terms. The best thing is, even if you have a loan through a bank already, you can transfer it to a credit union by simply walking into a branch, calling the credit union, or visiting them online.
Refinancing Your Car Loan
You often hear about people refinancing their homes… but what about car loans? The answer is yes, and the main reason to refinance a car loan is to save money.
In a perfect world, you want to reduce the rate and keep the term the same, which is something you actually can find. For example, American Eagle is running a promotion which will take 2% off the interest rate of your auto loan. It may not seem like a lot, saving about $20 per month, but over the course of a 5-year loan that will save more than a thousand dollars.
How do you make sure to get the best rate on an auto loan? Doing research is key. Look around at your options– credit unions are a great choice, and dealerships have access to great rates as well, to help you get financing at the point of sale.
Car Buying: What’s The First Step?
Chuck wants to buy a car… how should he start that process?
The best first step is to contact a credit union and get pre-approved, so you understand how much money you qualify for. This helps you get the right sized loan to set you up for success. The next step is to find the right vehicle. One smart solution is to look 2 or 3 years back from the current model year, which lets you find a good, certified, mechanically sound car while avoiding the depreciation that comes with a new car purchase.
Find a good dealership, which you can research on the Better Business Bureau website (bbb.org), which will let you read ratings with any dealership before you step foot inside their building. And remember, a car purchase actually contains three transactions baked into it– the trade in, the purchase of a new car, and the financing.
There’s a number of things you can do before you hit the lot, to set yourself up for success!
Presented by American Eagle Financial Credit Union