Installment loans: Banks and Credit Unions

[Ravenous Wolf]

In my recent attempt to obtain a personal unsecured signature loan for 10k or more for 48 months (to consolidate my bills into one loan), I noticed a very big difference between credit unions and banks.

I have recently spoken to loan officers of about one dozen credit unions and local banks and this is what I got:

Credit Unions

I can walk off the street, become a member, apply for a loan that day, and if the credit score is right as well as my debt to income ratio, etc., I can get approved for such a large amount for 48 months.

Banks

Not even possible.

They are unwilling to go past 24 months and anything near 10k requires collateral. And many small banks require a relationship with that bank for a number of years.

I haven’t tried any of the very large banks though.

However, I was wondering if anybody else has also come up with that impression. Or is it because of the city and state I live in.

Incidentally, it is the sub-prime outfits, like Wells Fargo Financial, CitiFinancial that are the only ones that want to do 36, 48 months or longer. I realize that they want to extend the loan as long as possible so they rake in the big profit from the enormous interest that they charge.

[wert]

Wolf-

Pretty much the same conclusion. Credit Unions act like the banks of old-they seem to actually trust you and care about helping you. Banks nowdays are a whole different story.

It's the times and the attitude, not just the location (state)!

[pjwife27]

Oh I agree credit unions are much easier.

Back when my credit was good and I was 18 (lol) I walked into my local credit union and got a 20K car loan, co-signed motorcycle loan for DH and took out a 5K signature loan. All this and I had only been on the job for three months!