- 1 A brief overview of PenFed Credit Union
- 2 PenFed Credit Union: What is it?
- 3 Do you know how PenFed Credit Union works?
- 4 PenFed Credit Union: How do I qualify?
- 5 The BBB rating of PenFed Credit Union
- 6 FAQs – PenFed Credit Union
- 6.1 What are the fees charged by PenFed Credit Union?
- 6.2 Are there any prepayment penalties?
- 6.3 What is the impact of PenFed Credit Union on your credit score?
- 6.4 Can I cancel PenFed Credit Union?
- 6.5 PenFed Credit Union: Is it legit or a scam?
PenFed Credit Union offers a variety of financial services to its members, including competitively-priced certificates, checking and credit cards, personal loans, mortgages, and auto loans.
A brief overview of PenFed Credit Union
PenFed Credit Union has received a lot of attention, but is it the right choice for your financial needs? Find out in this PenFed Credit Union review.
After investigating their website, we discovered some interesting facts about their website and terms and conditions.
Our attention was drawn to the following items.
- Rates for Personal Loans range from 7.74% to 17.99% APR.
- The loan amount ranges from $600 to $50,000.
- Loans are subject to a minimum $50 monthly payment.
- A term of 60 months is available.
- In determining your APR, various factors will be considered, including your credit history and the length of your PenFed membership.
- We are an Equal Housing Lender and federally insured by the NCUA.
PenFed Credit Union: What is it?
With over 2.8 million members worldwide and $36.6 billion in assets as of June 30, 2022, Pentagon Federal Credit Union, or PenFed, is the second-largest federal credit union in the country.
PenFed Credit Union has provided financial services for many years. In the past three years and 242 in the last 12 months, they have had 541 complaints closed and an A+ rating from the BBB. This gives them a 1-star out of 5-star rating.
The PenFed headquarters is located in McLean, Virginia. The company can be reached at (800) 247-5626 if you have any questions or concerns.
Do you know how PenFed Credit Union works?
You can get a personal loan in a few steps. First, check your rate without affecting your credit score. Next, select from multiple pre-approved offers. Finally, receive your money in 1-2 business days.
PenFed Credit Union: How do I qualify?
Depending on your needs, PenFed Credit Union may require additional documentation, including recent pay stubs, retirement statements, bank statements, or tax returns. During the verification process, they may also ask for a copy of your passport or driver’s license, a recent utility bill, and/or your social security card.
A loan application does not require membership, but membership is required once approved.
The BBB rating of PenFed Credit Union
A few customers have complained about PenFed Credit Union in the past. On the BBB website, they currently have a 1-star rating out of 5 stars, with 200 reviews and 541 closed complaints over the last three years. However, they still maintain an A+ rating.
Some reviews are below:
Dianne M 07/19/2022
I got a letter from this bank, telling me I had opened up an account. I informed them that it was not me. Things just went downhill. This is identity theft. After talking to so many people about this, could not get them to throw their heads. They just blow me off. Instead, they informed me that my credit score will take a hit. Again I tell them this is identity theft.
Got to know where. This bank has done me wrong. They also sent me a letter two days ago on how I was a valued customer and welcomed me as a new member. ARE YOU KIDDING ME? Do not bank here if you value your identity. What a joke.
Johnny B. 07/12/2022
I would give them zero stars if I could. Take your money somewhere else even if you get lower rates. As a result of their error, PenFed opened up two money market certificate accounts instead of one. My external checking account now has a negative balance and yet every time I call PenFed gives me the wrong information. Atrocious customer service, and a terrible website. Stay far away from them if you want peace of mind.
Brian C. 06/23/2022
DO NOT TAKE ADVANTAGE OF ANY PROMOTIONS OFFERED BY PENFED! My experience with PenFed, in the beginning, was a good one. I got a personal loan with a good interest rate. I should have stopped there. They sent me an offer where I would receive a $250 bonus if I opened a checking account and had my loan payments auto-debited from that account. After THREE payments I was supposed to receive a $250 deposit in my checking account. They said it can take up to TWO months after the three payments for the $250 to show up in my account. Why it takes two months to process something so easily, I don’t understand.
But, fine. After two months passed, I called about it. I was on hold forever, then the person I spoke with had no idea what I was talking about. Put on hold again while they tried to find someone who knew about the promotion. Spoke to someone who couldn’t give me an answer as to when to expect the $250, but said he would send my request to the correct department.
I let another month and a half go by, and still no $250. So, I called today. Again, the first person I spoke with had no idea what promotion I was talking about. Placed me on hold. Spoke to someone else. Confirmed my information AGAIN (last four of SS#, email address, phone number, date of birth, etc.).
The customer service rep finally found the promo information and read it back to me, I confirmed that that was, indeed, the promotion. He has to put me on hold AGAIN. Gets back on the line, and starts asking me what dates I made my first three payments. I admit it — I lost my patience and said “you have my account information in front of you – look it up!” He said something about needing me to tell him when those three payments were.
Finally, I said, just close out my checking and savings accounts and send me a check for the total amount. I’ll now just pay off my PenFed loan from my other credit union, which is a much better institution. Now I’ll never get that $250, but at least I’m done dealing with them.
FAQs – PenFed Credit Union
What are the fees charged by PenFed Credit Union?
There is a minimum monthly payment of $50 on PenFed Credit Union’s loans, and returned payments incur a $30 fee. APRs range from 7.74% to 17.99%. Upon failure to make a payment on time, a late payment fee of $29 applies.
Are there any prepayment penalties?
No early payoff penalty, origination fee, or hidden fees apply.
What is the impact of PenFed Credit Union on your credit score?
Your credit score will not be affected by checking your rate; however, if you apply for a loan after viewing your rates, you will have to submit a full credit report inquiry, which will affect your credit negatively. Your credit score can be lowered by this type of inquiry, which is viewed by third parties.
Can I cancel PenFed Credit Union?
If you are considering taking out a loan from PenFed Credit Union, you should be aware of all the terms and conditions associated with it. You cannot cancel or reverse the loan once you receive the funds; therefore, you need to be certain a loan is the right decision for you before committing.
If you are struggling to make ends meet, here are some tips to help you.
- Sticking to a budget is the best way to ensure you only spend what you can afford.
- A financial advisor can also help you explore your options and develop a plan that is right for you.
- Last but not least, don’t despair if you’re already in debt. Most companies will work with customers to arrange a more manageable payment plan.
PenFed Credit Union: Is it legit or a scam?
In addition to having an A+ rating from the Better Business Bureau and an average of 200 customer reviews, PenFed has been in business for over 80 years. In the past three years, they have closed 541 complaints, and 242 within the last 12 months, giving them a 1-star rating.
Consider all of your options when considering taking out a loan, compare rates, and read customer reviews before choosing. This way, you can avoid taking out a loan that you cannot afford.
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PenFed Credit Union
PenFed Credit Union
PenFed Credit Union Review
If you are considering taking out a loan from PenFed Credit Union, you should be aware of all the terms and conditions associated with it. When you receive the funds, you cannot reverse or cancel the loan; thus, before committing, you must be certain it is the right decision.