Navy Federal Credit Union Auto Loan Review

4.2 _/5

LendEDU Rating

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Auto loans

• Car manufactured in last two years is considered “new”
• GAP coverage available
• Find vehicles through its platform
• Discounts for military members

• Must choose shorter repayment term to get lowest rates
• Must be credit union member

Rates (APR)	Starting at 4.09%
Loan amounts	Up to 100% of financing
Repayment terms	36 – 96 months

Auto loan refinanceView Rates

• $200 bonus available when you refinance your loan from another lender
• Discounts for military members
• Competitive rates the same as new auto

• Must be credit union member
• Repayment terms capped at 72 mos.
• Must choose shorter repayment term to get lowest rates

If you’re an active or retired member of the military, or you’re related to one, you have a great opportunity to finance a new or used car with one of the best auto loan rates around with Navy Federal Credit Union’s auto loans.

In addition to its wide array of banking products and services as well as being one of the largest credit unions in the country, NFCU offers highly competitive loan products, including credit cards, mortgages, and personal loan. Its auto loan products in particular are considered to be among the most flexible and competitive in the industry.

Navy Federal Credit Union new auto loans

What’s unique about Navy Federal auto loans for new cars is not that it offers one of the lowest APRs available; it’s unique because of the way it classifies a new car.

To NFCU, a “new” car or truck was manufactured this year or the year before and has less than $30,000 miles. So, for 2024, vehicles made in 2023 or 2024 qualify as new.

Both new and late model purchases get the same rates. You’ll pay higher rates for longer terms.

The lowest APRs in all loan ranges are reserved for the most creditworthy borrowers with a credit score of at least 700. Buyers with less than stellar credit can expect to be charged APRs of 15 percent to 19 percent depending on the length of the loan term.

Navy Federal Credit Union used auto loans

Used auto financing is available for any 2022 and older model or any model year with more than 30,000 miles. Loan terms of used auto loans go up to 72 months, and starting APRs are slightly higher than new car loans.

Refinancing with NFCU

NFCU also offers auto loan refinancing. The same APR ranges and loan terms that apply to its new, late model, and used auto financing also applies to refinancing loans for vehicles in the same categories.

That means, for people with great credit, there is an opportunity for a considerable rate decrease. In addition to the information and documentation you need to qualify for a loan, you will need to provide NFCU with the vehicle’s VIN, exact mileage, state of registration, current loan number, payoff amount, and lender information.

Whether you are buying a new, late model, or used car; or you are refinancing, the application takes a short time to complete and approvals can be fast as well. You can also receive a preapproval for up to 60 days so you can go out and shop as a cash buyer. Loans cannot be used for a private seller.

GAP coverage available

A great feature of NFCU auto loans is the availability of GAP coverage. For a one-time payment of $399 (or rolled into the loan), NFCU will cover the difference between your vehicle’s actual cash value and the outstanding balance of the loan when it is totaled in an accident or stolen and not recovered.

GAP coverage is available for up to 150 percent of the MSRP for new vehicles and 150 percent of the actual cash value on used vehicles. GAP coverage can be especially valuable if you finance more than 80 percent or 90 percent of a vehicle’s value. GAP coverage can also be added to an existing loan or when refinancing a loan.

The application takes just five to ten minutes to complete online and approvals take a few hours. You can also receive a preapproval so you can go out and shop as a cash buyer. Loans cannot be used for a private seller.

How we rated Navy Federal Credit Union auto loans and refinancing

We designed LendEDU’s editorial rating system to help readers find companies that offer the auto loans and refinancing. Our system awards higher ratings to companies with affordable solutions, positive customer reviews, and online transparency of benefits and terms.

We compared Navy Federal Credit Union to several auto loan and refinancing lenders, using hundreds of data points from company websites, public disclosures, customer reviews, and direct communication with company representatives. We weighted, scored, and combined each factor to produce a final editorial rating.

This rating is expressed on a scale from 1 to 5, with 5 being the highest possible score. Our take is represented in our rating and best-for designation, recapped below.