For those who are serving and have served our great country, we thank you, but you would probably appreciate being able to get military car loans as a more sincere token of our gratitude. For people who served in the military, many US Lenders have offered been offering special loans of all types to our veterans. And today, that number of lenders has actually grown.
Reasons Why Lender Can Offer Good Military Terms
To be more specific, these military auto loans provide lower interest rates and even more favorable pay back options. Lenders can do this for several reasons. The first is that there are only a limited number of people in the military, so they will only have a small quantity of these loans in the portfolio. And number two, since the government is paying the salaries of the borrowers, it gives lenders more financial security should they ever have to garnish their wages – because the government obeys all court rulings. This is why these lenders will many times accept those with bad credit for these military car loans.
Duration of Active Service Not an Issue
When repaying these loans, the military will make things easy by taking car loan payments straight out of the pay of any active military member. When active duty members are willing to use this arrangement, it makes it much easier for the lender to approve the car loan. But it is also important to mention here that the duration of military service is not a factor in getting your auto loan.
Let’s face it, when people leave the military, they will still need a car to drive in most cases. It is because of their loyal service that these lenders are willing to extend a good car loan deal to them. In most cases, the military borrower only needs to furnish their DD 214 discharge form or even a Military ID stating they are in the Inactive Reserve (IRR). Either of these is enough to confirm and validate your military service. From that point, you just have to supply the normal stuff like pay stubs, address, banking information, and so forth.
Always Be Cautious
From this point, it is very important for any military member out there, either active or inactive, to do their research and perform proper due diligence before agreeing to any type of car loan arrangement. Just because you were in the military and people wish to honor you, it doesn’t mean that won’t rip you off. In fact, sometimes as they shower you with praise for your service, they are trying to mask their real intention. Be on the lookout for bad things in the terms – such as sneaking in an outrageous interest rate after the first year, or demanding a huge balloon payment after so many months so they can repossess your car, etc.
What an amazing time to be living in – you can actually find a car loan online. In fact, there are some cases when neither the lender nor the borrower has to even leave their computers! Every single thing is conducted electronically in a very simple manner. This is also a great way to shop around for the very best terms available. And you can find out right away if they offer special terms for military members.
Usually all that is required is that you give them your details and they will let you know very quickly if they can do business with you and at what terms. Remember, they will generally do this fast because they want your business and there many other who do too. If they take too long, then move on to another lender.
Find out more about military car loans here: https://www.navyfederal.org/products-services/loans/auto/auto-loans.php