Getting a Car Loan from a Credit Union: What You Need to Know

Why Choose a Credit Union for Your Car Loan?

Credit unions are not-for-profit financial institutions that prioritize their members. That means lower interest rates, fewer fees, and personalized service. Westerra Credit Union, for example, offers:

• Competitive rates for new and used vehicles

• Flexible terms tailored to your budget

• Up to 140% financing, which can include taxes, GAP insurance, and extended warranties

• Fast approval and friendly member service

• AutoSMART tools to help you research vehicles, trade-in values, and pricing

Types of Car Loans Available

Whether you're buying from a dealership or a private seller, Westerra has options to fit your needs:

1. New and Used Vehicle Loans

Get financing for both new and pre-owned vehicles with affordable monthly payments and terms that work for you.

2. Private Party Purchase Loans

Buying a car from a friend or family member? Credit unions can help you finance that too. This is called a private party purchase, and it’s a great way to avoid dealership markups.

3. Refinancing Your Existing Auto Loan

Already have a car loan with another lender? You may be able to refinance with Westerra to get a lower rate, reduce your monthly payment, or change your loan term. This can save you hundreds—or even thousands—over the life of your loan.

4. Cash-Out Auto Refinance (Title Loans)

If your car is worth more than what you owe, you might qualify for a cash-out refinance. This lets you borrow against your vehicle’s equity and use the cash for other expenses, like home repairs or debt consolidation.

Common Questions Answered

Can I refinance my current car loan?

Westerra offers refinancing options that may lower your interest rate or monthly payment. It’s a smart move if your credit score has improved or rates have dropped since you first financed your car.

What is a private party auto loan?

This type of loan is used when buying a car directly from an individual rather than a dealership. Credit unions like Westerra make this process easy and secure.

What does 140% financing mean?

It means you can borrow more than the car’s purchase price to cover additional costs like taxes, warranties, and insurance. This is especially helpful if you’re short on upfront cash.

Can I get cash from my car loan?

Yes — if your car is worth more than what you owe, you may be able to access up to 100% of its equity. It's similar to a home equity loan, but for your vehicle. This can be a smart way to tap into extra cash when you need it.

How do I know what I can afford?

Westerra offers tools like the Auto Loan Calculator and Car Affordability Calculator to help you estimate monthly payments and determine your budget.

Final Thoughts

Getting a car loan from a credit union like Westerra is a smart, budget-friendly choice. Whether you're buying new, used, or from a private party, or you’re refinancing, Westerra’s member-first approach ensures you get the support and flexibility you need.

Ready to hit the road? Apply for an auto loan today and explore your options with confidence.