First Time Auto Buyer Program

For our members with limited credit history

Auto Loans for First-Time Car Buyers in Washington

Buying your first car is a huge step in life. You’re not just getting a car. You’re getting the freedom and responsibility that comes with it. To support you on this journey, Peoples’ Community Federal Credit Union offers the First-Time Auto Buyer Program. 

Our First-Time Auto Buyer program is more than your standard auto loan. It’s perfect for individuals like you with limited credit history or no credit history at all who have had difficulty getting a car loan because of it. With this specialized loan program, we work with you to help finance your first car purchase with favorable terms. It also paves the way for you to start building a positive credit history, so you can be ready for many more financial milestones further down the road of life.

Must be 18 years of age or older to apply.

How Does Our First-Time Auto Buyer Program Work?

As a young person, you need a car for many reasons. From getting to work, to hanging out with your friends. People’s Community Federal Credit Union’s First-Time Auto Buyer program is designed to help you get the wheels you need with terms that won’t leave you in a lurch.

First-Time Auto Buyer Loan Features:

• Loan amounts up to $10,000
• Terms up to 60 months
• Great loan rates
• 8.00% APR* if vehicle is 3-years or newer
• 9.00% APR* for vehicles greater than 3-years and 7-years or less
• Low Monthly Payments
• No Co-Maker Required
• Start establishing good credit

Am I Qualified for a First-Time Auto Buyer Loan?

People’s Community Federal Credit Union is a Washington-based credit union and our goal is to support as many local first-time car buyers as possible.

To qualify, loan applicants must meet the following criteria:

• Must be 18 years or older and reside in Washington State
• Minimum down payment of 10% of purchase price
• Minimum 12 months employment with present employer
• No credit required, however, no derogatory credit is allowed
• Proof of automobile insurance is required before funding
• Have not previously financed an auto in your name
• Must meet current debt-to-income ratio requirements

Example: If you borrow $1,000 for 60 months at 8.00% APR, your monthly payment would be $19.93.

*APR = Annual percentage rate. Subject to credit approval.  No other offers or discounts apply.

What Credit Score is Needed for a First-Time Car Buyer?

The required credit score can vary depending on the institution lending you the money. Often, car dealerships will require a minimum credit score in the 600s to finance through them. Some dealerships may be willing to go lower than 600, but you’ll end up paying much higher interest rates in return. 
Generally, you need a good credit score to get the best rates. But our First-Time Auto Buyer is designed for people who don’t have the necessary credit to attain the best rates. This lending program is designed to help you build that credit score higher so you will be well-equipped for major purchases that require good credit later on – like a home loan.

How Much Down Payment Should I Put On My First Car?

The more you put down as a down payment, the less of the purchase price will remain for you to finance. That means there will be less money you’re paying interest on. In that respect, the larger the down payment the better.

However, we don’t recommend making a down payment that puts you in uncomfortable financial territory. There’s a sweet spot and it’s different for every auto buyer.

Apply for Our First-Time Car Buyer Loan Program Today!

Buying your first car is and exciting time! People’s Community Federal Credit Union wants to be there with you as you drive off the lot through our First-Time Auto Buyer program. If you’re a Washington resident aged 18 or older getting ready to make your first car purchase, find out how we can set you up with financing that helps you now – and keeps helping you years from now.

Call us today and speak with a friendly and knowledgeable loan officer.