Refinancing Your Auto Loan with Navy Federal

If you’re looking to lower your monthly car payments or save money on interest, refinancing your auto loan with Navy Federal Credit Union could be a great move.

Currently, they are offering a $200 bonus if you switch your auto loan of $5,000 or more from another lender to them.
 

Current Interest Rates

Interest rates (listed as APR, or Annual Percentage Rate) vary based on how long you want to take to pay back the loan and whether your vehicle is considered "New" or "Used."
 

• For "New" Vehicles (2025 models or newer)
  • 1 to 3 years: Rates as low as 3.89%
  • 3 to 5 years: Rates as low as 4.29%
  • 5 to 6 years: Rates as low as 4.59%
  • 6 to 7 years: Rates as low as 5.99%
  • 7 to 8 years: Rates as low as 7.39% (Requires a loan of at least $30,000)
• For "Used" Vehicles (2024 models or older)
  • 1 to 3 years: Rates as low as 4.79%
  • 3 to 5 years: Rates as low as 5.29%
  • 5 to 6 years: Rates as low as 5.39%

 

Important Things to Know

1. What counts as a “New” vs. “Used” vehicle?

Navy Federal has specific rules for how they label your car:
 

1. New Vehicles: These are 2025 models or newer. They usually have fewer than 7,500 miles. If your car has between 7,500 and 30,000 miles, it might still qualify for certain new vehicle rates, but it won't be eligible for the longest loan terms (over 6 years).
2. Used Vehicles: These are 2024 models or older, or any car that has more than 30,000 miles on it.
3. Classic Cars: If a car is 20 years or older, it is considered a classic or antique, and different rates will apply.

2. How your rate is decided

The "as low as" rates listed above are for borrowers with excellent credit. Your actual rate will depend on:
 

• Your credit history.
• The type of loan and the year of the car.
• How many miles are on the car.
• The total amount of money you are borrowing.

3. Special Restrictions
 

• Long Loans: If you want a loan longer than 6 years (72 months), your vehicle must have fewer than 7,500 miles.
• Large Loans: To get a loan term between 85 and 96 months, you must borrow at least $30,000.

 

Summary

If you have a car loan with another bank, switching to Navy Federal could put $200 back in your pocket and potentially lower your interest rate.

Just keep in mind that the best rates are reserved for those with high credit scores and newer, low-mileage vehicles.

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