Navy Federal Credit Union (NFCU) was founded in 1933 and is a member-centric financial services organization dedicated to providing maximum value for more than 13 million members worldwide
With $178 billion in assets, NFCU fosters financial health and well-being for the military, veterans, and their families with various options, including a wide range of home, auto, and personal loans.
Navy Federal Credit Union VA Loan Options
The Department of Veterans Affairs backs VA loans and offers exclusive mortgage benefits to eligible servicemembers, veterans, and eligible surviving spouses. A certificate of eligibility is required and can be obtained from the VA by your home loan advisor.
Your available entitlement determines maximum loan amounts. If partial entitlement is available, the property location will also be one of the determining factors for the maximum loan amount.
VA Loan Benefits
- Lower mortgage rates
- Lower or no down payments
- No private mortgage insurance (PMI)
- Excellent refinance programs that could help qualified veterans lower their payments or get cash back from equity
- More flexibility if you have a limited housing budget
- Approval with less than perfect credit history in some cases
- Help with closing costs through seller concessions
- There is no penalty fee if you pay off the loan early
Navy Federal Credit Union is a top VA lender and was included in 9 Best VA Lenders in March 2024 by money.com.
Who is Eligible for a VA Loan?
To begin to qualify for a VA loan, a veteran must have:
- 90 consecutive days of active service during wartime and/or
- 181 days of active service during peacetime, and/or
- more than six years with the National Guard or Reserves
A surviving military spouse who hasn’t remarried could also be eligible for a VA loan. The surviving spouse must have been married to a qualifying servicemember who died in the line of duty or as the result of a service-related disability.
You must provide a valid Certificate of Eligibility (COE) to demonstrate eligibility. Your loan officer can obtain your COE through the Department of Veterans Affairs. A copy of your DD-214 may be needed to request the COE.
To estimate your loan payment, you can use Navy Federal’s VA Loan Calculator based on your home’s purchase price, down payment amount, loan terms, and interest rate.
VA loans currently have an interest rate as low as 5.750% and an APR as low as 6.451% on loans ranging from 10 to 30 years. (Rates are subject to change.)
The Military Choice loan is a good option for servicemembers, reservists, and veterans who have already exhausted their VA loan benefit. Military Choice loans currently have an interest rate as low as 7.0% and an APR as low as 7.331% on loans ranging from 16 to 30 years. (Rates are subject to change.)
Navy Federal Credit Union’s Home Loans
NFCU’s home loans offer several attractive benefits for borrowers.
- Preapprovals in seconds
- No-refi rate drop—buy now, and you could get a lower rate later
- Special Freedom Lock for a protected rate
- VA Loan expertise
- Loan options with no down payment
- No PMI required
- Rate match guarantee
At least one borrower must have an NFCU membership for initial loan approval. Any additional non-member borrower(s) must become a member as a condition of loan approval.
You can use Navy Federal’s home loan calculators to help estimate closing costs, decide how much home you can afford, and more.
NFCU’s Home Buying Center has everything you need to learn about your loan options, the benefits of a Verified Preapproval letter, and the different ways you can save money.
Using RealtyPlus
You could also get up to $9,000 cash back using RealtyPlus. There’s no catch or hidden cost. This service is free, and you do not have to pay for it somewhere else. The real estate company splits its commission with the vendor when you buy or sell a home through the RealtyPlus program.
Based on your specific needs, you can select a specially trained agent from one of the most recognized real estate brands to assist you in your home search. You will work with a personal RealtyPlus Coordinator throughout your homebuying experience to facilitate a smooth transaction and ensure you have the best possible real estate journey.
Home Equity Loan Types and Rates
Fixed Rate Equity Loan
A Fixed-Rate Equity Loan is a great option if you need a specific amount of money for a one-time expense. You’ll receive a lump sum, pay zero closing costs, and enjoy a fixed rate for the life of the loan with set monthly payments.
There are no closing costs, application, or origination fees, and you can borrow up to 100% of your home’s equity. Loan amounts range from $10,000 to $500,000, and terms range from 5 to 20 years.
Home Equity Line of Credit
Navy Federal’s Home Equity Line of Credit offers flexibility, and you’ll pay zero closing costs.2 It is an ideal loan option if you anticipate ongoing expenses. You can borrow as you need, when you need it, up to your maximum credit limit.
You can borrow up to 95% of your home’s equity from $10,000 to $500,000. There are no closing costs, pre-payment penalties, origination, annual or inactivity fees. This loan is a variable rate loan based on the U.S. Prime Rate and comes with a 20-year draw period, followed by a 20-year repayment period.
Rates can be locked after the application completion. Your processor can assist you with completing the request. Rate locks can be accommodated throughout the loan process.
Senior Enlisted Personnel (E7 through E9), Active Duty or Reservists for all military branches and Coast Guard or National Guard can receive a $250 Loyalty Card with a new home equity loan or line of credit, plus special credit card offers and membership referral bonuses.
You can view current loan rates here.
How to Get a Preapproval Letter and a Verified Preapproval Letter
Preapproval Letter
The preapproval letter includes an estimate of your potential borrowing amount based on what you tell NFCU about your income, assets, and debts. You will need to submit documents to confirm this information later in the process, so it’s a good idea to start collecting your information immediately.
Since documents aren’t required upfront, your preapproval letter is usually ready within minutes. Although a preapproval estimates how much you could borrow, it’s not a commitment to lend.
Verified Preapproval Letter
After a full underwriting review and approval of loan documentation and creditworthiness, a verified preapproval letter is issued. When you apply for a verified preapproval, you must provide documentation about your financial history upfront.
This letter includes the amount you’re approved to borrow and states that income, assets, and credit have been verified.
With a verified preapproval, you can take advantage of Navy Federal’s Lock and Shop program. This allows you to lock in your interest rate for up to 60 days while you find your home and then up to another 60 days to process and close your loan after you submit a purchase agreement.
If rates go down after you secure a purchase agreement, you’ll have a one-time opportunity to float down to that lower rate at no additional cost.
Both letters are good for 30 to 90 days if you contact your home loan advisor.
Navy Federal Credit Union Auto Loans
If you want to buy a new or used car or refinance your auto loan from another lender, NFCU can assist you with an auto loan. In most cases, you can get a loan application approved in seconds, and preapprovals are good for 90 days.
Refinance Car Loans can lower your interest rate, decrease your monthly payment, or both. You may also qualify for $200 when you refinance your auto loan from another lender.
Here are some important auto loan details you should know.
Rates are subject to change, and advertised “as low as” annual percentage rates (APR) assume excellent borrower credit history. Your actual APR may differ based on your credit history, model year, term, and loan amount.
Loan terms over 72 months are only available for vehicles with fewer than 7,500 miles. The minimum loan amount is $30,000 for terms of 85-96 months.
As of 2024, new and late-model used vehicles (2023 and newer model years) must have 30,000 or fewer miles. Used vehicles are defined as 2022 and older model years or any model year with over 30,000 miles. Vehicles 20 years or older (based on model year) are considered classic or antique and subject to Other Eligible Vehicle rates.
If you’re not a member, you can apply for an auto loan, but you’ll need to become a member to complete your loan.
You can get preapproved to know exactly how much car you’re preapproved for before you shop. Your auto loan preapproval is good for 90 calendar days from the check date.
Through the mobile app or online banking, you can apply for your auto loan in just a few minutes. There’s no fee to apply, and most decisions are made instantly. Navy Federal will send you an email or a text when applications require more attention. You can also apply over the phone at 1-888-842-6328 or at a branch.
To apply for an auto loan, you’ll need to provide the following for yourself and any co-applicant:
- Contact information (phone number and email)
- Current housing, employment and income information
- Any vehicle trade-in information (title or loan information, registration, etc.)
- Amount expected to finance (including vehicle purchase price, taxes, tags, title, and warranty, minus any down payment)
- Length (term) of the desired loan
If you’ve already picked out the vehicle you wish to buy, you’ll also need:
- the 17-character vehicle identification number (VIN)
- the state where you’ll register the vehicle
- the exact mileage reading
- the dealer or seller’s name
For refinance loans, you’ll need to give us specific vehicle information such as the VIN, exact mileage, lender contact information, and payoff amount.
After your loan is approved, you can receive your check by mail at the address you provided or by picking it up at a branch.
Go here to find out Navy Federal’s current auto loan rates.
Navy Federal also offers other vehicle loans for:
- Motorcycles & mopeds
- Personal watercraft (boats, jet skis, etc.)
- Campers & recreational vehicles (RVs)
- Travel trailers
- All-terrain vehicles (ATVs)
- Snowmobiles
Navy Federal Credit Union’s Personal Loans
Navy Federal offers several personal loans to help you consolidate debt, finance home improvements, or cover unexpected expenses. There are no origination or prepayment fees, and you’ll enjoy same-day funding in most cases with a fixed monthly payment at a competitive rate.
Personal loan options include:
Personal Expense Loan
If you need a personal loan, Navy Federal has an option to fit your unique needs—and we may even be able to deposit funds directly into your checking or savings account.
This is an outstanding all-purpose loan for vacations, moving and relocating, and other significant purchases. Loans are available from $250 to $50,000.
APR ranges from 8.99-18.00% for loans of up to 36 months and 14.29-18.00% for loans from 37 to 60 months.
Home Improvement Loan
Get cash to finance your home improvement, repair, or efficiency upgrade projects. No collateral is required on loans with a minimum loan amount of $25,000 for 61 to 84 months and a minimum of $30,000 for 85 to 180 months.
APR for loans up to 36 months range from 8.99-18.00%. APR for loans from 37 to 60 months ranges from 14.29-18.00%, and loans of 61 to 180 months range from 14.79-18.00%
Debt Consolidation Loan
Consolidate high-interest debt and simplify your finances at a competitive, fixed rate with an NFCU debt consolidation loan. Loans range from $250 to $50,000 and feature affordable monthly payments. APR for loans up to 36 months ranges from 8.99-18.00%. APR for loans from 37 to 60 months ranges from 14.29-18.00%.
Savings Secured Loan
Get financing without dipping into your Navy Federal savings account with a Savings Secured Loan. Your Navy Federal savings account secures loans with extended terms of 61 to 180 months available for certain loan purposes. Savings continue to earn dividends and become available to you as the loan is paid off.
APR on loans up to 60 months is the share rate plus 2.00%. APR on loans of 61 to 180 months is the share rate plus 3.00%.
Certificate Secured Loan
You can borrow 100% of your certificate’s principal balance for various terms at 2.00% APR above the certificate’s rate. Your loan amount cannot exceed the certificate balance, and the loan term must equal to or less than the certificate term. The APR is the certificate rate plus 2.00%.
Navy Federal Career Kickoff Loans
Career Kickoff Loans are designed for juniors and seniors at U.S. military service academies or those attending certain officer training programs. Competitive rates make monthly payments more affordable, which you can use to set up your household, consolidate debt, pay for uniforms, and more. Deferred payment options are also available.
Navy Federal Private Student Loans
NFCU offers loans to help students pay for college or grad school to cover costs that federal loans and scholarships don’t cover.
Loans may be available up to the school-certified cost of attendance, including tuition, fees, books, computers, meals, and housing. You can apply for one semester or a full academic year in five minutes or less.
There are no application or origination fees, and you can take advantage of several payment options while you’re in school to help reduce your overall loan costs for five or 10-year term loans.
After 24 consecutive, on-time principal and interest payments, a co-signer release may be requested. Variable APR rates can be as low as 7.79% with autopay (subject to change) or 4.75% APR for fixed-rate loans.
Student Refinance Loans
If you have private or federal student loans, you can refinance them and combine them into a single monthly payment. Even if you only have one loan, you can still take advantage of highly competitive interest rates, including a 0.25% interest rate reduction when you sign up for automatic payments on a 5, 10, or 15-year loan.
There are no application or origination fees, and a co-signer release may be requested after 12 consecutive, on-time principal and interest payments.
Parent Refinance Loans
If you’re paying off high-interest federal Parent PLUS loans or private parent loans for your child, you may be able to parent refinance through Navy Federal to save on interest and lower your monthly payments.
To be eligible for a Navy Federal Student or Parent Refinance Loan, you must have a monthly income of at least $2,000 and an established credit history, or an income of at least $100 a month and a creditworthy co-signer whose monthly income is at least $2,000
You must also meet credit and underwriting requirements and be a:
- Navy Federal Credit Union member
- graduate of an eligible school (excluding parent refinance loans)
- legal adult in the state in which you reside (age 18 in most states)
- U.S. citizen or legal resident
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