PenFed Personal Loans offer flexible financing options with low fees, quick funding, and various purposes, catering to diverse financial needs.
APR
8.49% - 17.99%
Loan Amount
$600 - $50,000
Term
12 - 60 months
Min score
650
PenFed Personal Loans offer flexible financing options with low fees, quick funding, and various purposes, catering to diverse financial needs.
APR
8.49% - 17.99%
Loan Amount
$600 - $50,000
Term
12 - 60 months
Min score
650
Overview
PenFed Personal Loans offer a way for people to borrow money for various needs, like debt consolidation, home improvements, or unexpected expenses. With loan amounts ranging from $600 to $50,000, PenFed gives borrowers flexibility to meet their financial goals. They offer repayment terms between 12 to 60 months, allowing borrowers to choose a timeframe that fits their budget.
One of the appealing aspects of PenFed loans is the low fees. There are no origination or prepayment fees, making it easier for borrowers to manage their finances without unexpected costs. Additionally, PenFed provides quick funding, with funds typically available within one to two business days.
While PenFed does require a membership to finalize the loan, becoming a member is straightforward and accessible to anyone. However, borrowers should note the minimum credit score requirement of 650 and ensure they meet the income and citizenship criteria.
What It Takes to Qualify?
To apply for a PenFed Personal Loan, there are several clear requirements you need to meet:
Credit Score Requirements: A minimum credit score of 650 is needed to qualify for a PenFed Personal Loan. Higher scores may result in better terms and rates.
Income Requirements: While PenFed does not list a specific minimum income, applicants need to have a verifiable source of income to demonstrate their ability to repay the loan.
Co-signers and Co-applicants: PenFed allows applicants to include a co-borrower to improve their chances of approval or secure better terms. However, co-signers, who share responsibility for repayment only if the primary borrower fails, are not permitted.
Additional Documentation: Along with meeting credit and income requirements, applicants must provide personal information such as their Social Security number or taxpayer identification number, address, and birth date. Proof of income, which can include W-2s, pay stubs, or tax documents, may also be required.
PenFed Repayment Options
PenFed offers borrowers various repayment options to manage their personal loans effectively:
Payment Options: Borrowers can choose between manual payments or automatic payments through autopay, which may qualify them for a rate discount.
Changing Payment Dates: Borrowers may be able to change their payment dates by contacting PenFed's customer service and discussing their situation.
Difficulties Assistance: PenFed provides financial hardship programs to assist borrowers facing difficulties, allowing them to temporarily pause or adjust payments to prevent default.
PenFed Personal Loan Pros & Cons
Pros | Cons |
|---|---|
Low Fees | High Minimum Credit Score |
Quick Funding | Membership Required |
Co-borrowers Permitted | No Direct Payments to Creditors |
Financial Hardship Programs | |
Discounts | |
Soft Credit Check for Pre-qualification |
- Low Fees
PenFed Personal Loans come with minimal fees, including no origination or prepayment fees, helping borrowers save money.
- Quick Funding
Borrowers can typically receive funds within one to two business days, providing fast access to cash when needed.
- Co-borrowers Permitted
PenFed allows applicants to include a co-borrower, improving their chances of approval or securing better terms.
- Financial Hardship Programs
PenFed provides hardship programs to assist borrowers facing difficulties, allowing them to pause or adjust payments temporarily.
- Soft Credit Check
Applicants can pre-qualify online without affecting their credit score, allowing them to explore loan options without commitment.
- Discounts
Borrowers can qualify for a rate discount by signing up for autopay, helping them save on interest over the loan term.
Also, membership to PenFed Credit Union offers access to discounts on various services, including car insurance and financial literacy programs.
- Membership Required
Borrowers need to become a member of PenFed Credit Union to finalize their loans, which may involve additional steps and deposits.
- No Direct Payments to Creditors
PenFed does not send payments directly to creditors for debt consolidation loans, requiring borrowers to manage payments themselves.
- High Minimum Credit Score
PenFed requires a minimum credit score of 650, potentially excluding some borrowers with lower credit scores.
Customer Experience
Customer reviews for PenFed Personal Loans are generally positive, with a TrustPilot rating of 4.6 out of 5 from about 400 reviews.
Most complaints relate to account issues such as pending applications, payment complications, and mischarges.
PenFed | |
|---|---|
iOS App Score | 2.9 |
Android App Score | 3.5 |
BBB Rating | A+ |
Contact Options | Phone/chat |
Availability | 24/7
|
You can reach PenFed customer service through multiple channels. For phone support, you can call their toll-free number at (800) 247-5626, available Monday to Saturday from 8:00 a.m. to 8:00 p.m. ET. Additionally, PenFed offers a 24/7 live chat option through their Help Center on their website.
For inquiries outside of regular business hours or for immediate assistance, the live chat feature provides convenient access to customer support representatives.
What Else You Should Know?
Before applying for a personal loan with PenFed, it's important to understand additional factors that could impact your borrowing experience:
-
Can I get a PenFed loan with a 600 credit score?
-
Can I pay off the PenFed loan early?
-
What is the funding time?
The funding time for PenFed Personal Loans typically ranges from one to two business days. Upon approval of the loan application, borrowers can expect to receive their funds swiftly, either through direct deposit or ACH transfer.
However, if a borrower opts for a check, it may take slightly longer, typically five to seven business days.
What Can a PenFed Personal Loan Be Used For?
Permitted uses include debt consolidation, home improvement projects, transportation expenses, medical and dental bills, as well as personal events like weddings and vacations. These loans provide flexibility and can help borrowers manage their expenses effectively.
However, there are certain purposes for which PenFed personal loans cannot be used. These include refinancing student loans and financing secondary education expenses.
PenFed Personal Loan FAQs
PenFed typically does not offer a grace period for payments, so it's essential to make payments on time to avoid late fees.
Once a loan is approved and finalized, the repayment term is typically fixed and cannot be changed.
No, PenFed does not offer personal loan refinancing; however, they do provide student loan refinancing.
Yes, PenFed allows applicants to include a co-borrower to improve their chances of approval or secure better terms.
No, PenFed does not charge origination or prepayment fees on personal loans, making them more cost-effective for borrowers.
