Skip to main content

1st-Time Car Buyer

Are you a First-Time car buyer? 

Shopping for your first car can be intimidating, so Valley Oak is here to help! 

With Valley Oak's First Time Auto Buyer Program, we have the perfect auto loan for you. Financing a vehicle is possible, even if you have a lack of credit history.  Even if this is your first time financing a vehicle, or your first time taking out a loan, Valley Oak is rooting for you to get that new ride!

Valley Oak offers First-Time Buyers with low or no credit history an auto loan that rewards your on-time payments with reduced rates and gives your credit a chance to improve.

Your auto loan rate will be reduced by 0.25% every six months as long as you make your monthly payments on time*

Apply Today View Rates Calculate Your Loan Payment

Our Auto Buying Guide will help you make the right choices when it comes to buying a vehicle!

Click here for the 2019 Fuel Economy Guide. We know fuel economy is an important factor when looking to buy your next vehicle. You can also visit fueleconomy.gov.

It is the member’s responsibility to contact the branch every 6 months to request a 0.25% decrease on their loan. If Valley Oak is not contacted every 6 month mark, your loan rate will not decrease, nor will it be pro-rated or back dated.

*Rates and loan terms subject to credit approval. Loan interest accrues from loan origination date. Other conditions may apply. Membership eligibility required. Rates are subject to change. Contact the credit union for full details.

Program Guidelines: 

Payment Example: A $20,000 credit builder auto financed at 10.95%APR; 60 monthly payments of approximately $435.00 each. 

Requirements:  Must be at least 18 years old, No derogatory credit history. No previous auto loan. Loan must be approved through normal underwriting guidelines. A member qualifies for this program if their credit score is 639 or below. Minimum 20% Cash Down payment (excludes rebates and trades). At least 3 lines of good credit established 12 months or more. Proof of Insurance required prior to funding. No Luxury or Exotic Vehicles (Acura, Audi, BMW, Infinity, Lexus, Land Rover, Jaguar, Porsche, Mercedes, etc.) Employed for a minimum of 12 months with same employer. Minimum Gross Monthly Income of $2000. Must be Able to Verify Income and length of employment.  A W-2 from the previous year will be required prior to funding.

$100 Flat Dealer Reserve

Eligible Loan Types: All vehicles. Vehicle cannot be older than 10 years. Mileage cannot exceed 80k miles

Ineligible Loan Types: Any mortgage loan including home equity lines of credit, overdraft & unsecured lines of credit, share/certificate secured, credit card and Recreational Vehicle.

Loan Amount: Loan amounts will vary based on credit, income, employment, etc. Valley Oak will work with the member to find an amount appropriate for the member’s situation. 

Maximum Loan Amount: up to $15,000

Minimum 20% Cash Down payment (excludes rebates and trades)

Maximum Loan Value: up to 80%including tax, license, up to 90% LTV with back end charges included.

Repayment Terms: Terms will vary by loan type however payments will be level throughout term of the loan. The minimum term is 12 months, maximum term is 60 months.

Minimum Loan Amount: The minimum loan amount is $7,500 for up to 48 months. Minimum loan amount is $10,000 for 49-66 months. Minimum loan amount is $15,000 for 67-78 months. Minimum loan amount is $20,000 for 79-84 months. 

Interest Rates: Rates are determined by the member’s credit score and the loan term. Rate will be reduced by 0.50% for AutoPay on an established VOCU checking. Any other autopay is 0.25% . If the member makes on-time payments for 6 consecutive months, their interest rate will be reduced by 0.25%. This process will continue for the life of the loan.Rate will match Tier 4 base rate plus 2 points

Rate Deduction: It is the member’s responsibility to contact the branch every 6 months to request a 0.25% decrease on their loan. If Valley Oak is not contacted every 6 month mark, your loan rate will not decrease, nor will it be pro-rated or back dated.

Fees: There is no processing fee. Late charges will be assessed 6% of the payment due or $20.00 whichever is greater.

Early Payoff Penalty: None.

Skip-a-Pay Program: Credit Builder Auto Loans are not eligible for Valley Oak’s Skip-a-Pay Program.

CPI Program: If Valley Oak has to add-on force placed insurance the loan will not be eligible for the .25% rate discount during the current 6 month period. If the member gets their own vehicle insurance and the force placed insurance policy is cancelled, then the loan will be eligible for the .25% rate discount during the next 6 month period.

*All existing Valley Oak Credit Union loans do not qualify for this program.