Ravenous Wolf
03-25-2004, 01:47 PM
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.
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.