Reviews: Pentagon Federal Credit Union (PenFed) - Auto Loan
Reviews: Pentagon Federal Credit Union (PenFed) - Auto Loan
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Most helpful negative review
I didn’t have a good experience at all. The communication from pen fed is very limited, it takes a long time for them to even start the process. And their income verification process is honestly the most cumbersome I’ve every experienced. I’m a physician with really good credit and a fairly high income, and the process to try and buy a $30,000 used minivan was honestly the worst experience ever. I work at multiple hospitals and have a few sources of income, and the lending department couldn’t, for the life of them, understand. And they have a policy where you “can’t be in contact with the loan under-writers”. Which is fine if that’s their policy…. But it makes it VERY difficult to try and communicate. You basically have to get on the phone with a “loan salesman”, and that person keeps both of you on different lines, and plays telephone with both of you. It’s frustrating as hell. Imagine if you went to the doctor, and he stood in a different room, and only communicated to you through the nurse. And you needed to get something across, but the doctor refused to talked to you. That’s how I felt. 3 weeks later, basically having to check every day for updates, 2 applications, at least 10 uploaded documents later …… I had no solution. All to try and get the 1.99%. Save yourself the headache and I guarantee SOME local credit union will get you 2.5-2.75% with a MUCH easier and friendly process. In the end, the dealership got me 2.5% with zero down, and ZERO documents needed to verify. Wish I woulda just done that from the start. PenFed has some good reviews, which is why I gave it a try. But my experience was the worst one ever.
All member reviews (21)
They are a fraud. They will not help you if you become disabled. I tried to sell my car they ignored me until the repo guy came because they didn't want to help me. It was their idea fir me to sell it, they said auction wouldn't bring enough money so I needed to find people to make offers because I owed more than the car was worth. They denied both offers made then said it would bring more and just kept ignoring me and wouldn't take anymore offers. The car ended up being repossessed
I was really hopeful about PenFed after I read about them, but my experience was horrible. I applied about a week ago for an auto loan and was preapproved for an excellent rate. I submitted to lock in the rate and move forward, and shortly after I got an email saying they needed more info. I logged in to their portal to see what they needed, and it said it was still under review and no action needed. Maybe an hour later, I got an email that the application was withdrawn due to a linking error. We called to find out what was up, and they said my husband had previously had an account with a lender that they acquired a few years ago so he needed to reactivate an account with them to move forward; mind you, I wasn't a member either. So we do that, and reapply a few days after everything is sorted. The interest rate had increased 0.7%! I called to see if they could honor the previous rate because it was their bad, but no, they could not. Terrible communication, terrible system, and now I will be out several thousand more than I needed to because they withdrew the application without contacting us to resolve the linking error in their system.
Don't do it. Worst CS ever from anybody I've dealt with. We went with Navy Federal
Pen Fed has the most antiquated process I've ever experienced. My partner and I went to purchase a used car about 2 hours away from where we live. We called customer service to get an idea of what rate they could offer before going to the dealership. Once at the dealership, Pen ended up having the better rate, so decided to go through them. Went through all of the paper work, paid the agreed money down, and then called Pen to complete the transaction. Should've been easy right? WRONG. When financing through Pen, you must PHYSICALLY sign the check, so either have it sent to you in 7-10 business days OR go into a branch to sign and pick it up. I HAVE NEVER EXPERIENCED THIS WHEN PURCHASING A CAR FINANCED THROUGH A BANK. Needless to say, we now have to drive the 2 hours back home to where the closest branch is and then drive ANOTHER 2 hours back to the dealership in order to have the car released to us. So much for living in 2023. Do not recommend this bank, we will definitely be parting ways.
The customer service here is really the worst of the worst. Right after buying the car, I charged $350 for not having insurance for two weeks and it took my credit down 75 points. I found out about all this while checking up my credits. They have never sent me any notice and forced me to take out insurance, make a claim, report my credit, Even though they had been making an auto pay out of my account every month for over a year. But what's even more ridiculous is that my car has been in the mechanic shop for a month right after purchase. The reason is that there are some problems with the car. I tried to explain to them, but it was difficult to even connect with the person in charge. This loan company seems to create a deliberately planned and legitimate scam. If you need a car loan, look for another company.
I guess I'm in the minority, but I have had two very positive experiences with PenFed. 1st was a personal loan to fix up our house before we sold it. Paid it off after our house closing. 2nd was just recent, a Private Party Purchase for a used car. I was not finding any lenders besides those offering extremely high interest. PenFed approved me and the whole process was pretty painless - and the interest rate was great, much less than dealers offer for used cars these days. I called customer service with a question and the person was extremely helpful. I think if you have good credit and all your documents in order, it will be a good experience.
PenFed is incompetent. They’re stuck in 80’s technology and apparently short-handed which makes customer service non-existent (at least in my experience). After being tentatively approved for an auto loan, 10-days of uploading the same documents repeatedly was followed by a credit denial. I feel like a buffoon for having remained a loyal member but no longer.
Stay far away from penfed. They will certainly ruin you and care very little to help you in any way. Penfed currently considers y loan past due, though it was totaled and they have received several payments to the account. Worst decision I have ever made. Account still being considered late even with a payment made to account last week. This company and everyone who works for them is a Joke.
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