DCU Loan Review: Multiple Personal Loan Options for Members

What you need to know about DCU loans

Digital Federal Credit Union, or DCU, is a nonprofit financial institution with more than 800,000 members across all 50 states. DCU members can access their accounts at one of DCU's branches in Massachusetts and New Hampshire, online, by phone, or at one of DCU's shared branch locations nationwide.

DCU offers several types of personal loans that we will detail below.
Multiple loan optionsDCU offers non-mortgage and secured personal loans. Here is more information on the types of personal loans that DCU offers.

Traditional personal loans - DCU offers traditional personal loans to people who need a larger amount of cash. Loan terms of up to 60 months and interest rates - including 0.5% automatic payments and relationship discounts - are very competitive.Credit Building Loans - DCU's credit building loans can help you build or rebuild your credit. You can apply for a loan of $500 to $3,000 with a loan term of 12 to 24 months. But remember that with credit building loans, you don't have immediate access to your loan fund. Instead, the money you borrow is transferred to a savings account held by the lender. To help you build credit, DCU reports all your monthly payments to the credit office. And when you pay off the loan, you will receive money from the account.Fast Loans - If you have imperfect credit or need help recovering from a financial emergency, DCU offers a "quick loan." You can sign up for $1,000 without a credit check. If you qualify, you'll have up to 12 months to pay your loan.Secured Loans - DCU also offers a secured loan in which you can use your DCU savings account as collateral. DCU secured loans have a lower starting APR than uns secured personal loans and they have repayment terms of up to 120 months.Required membershipBefore you can borrow a DCU, you need to be a member. To be eligible, you need to meet one of these eligibility requirements.

Related to an existing member

Work at a qualified companyBelonging to an eligible organizationLive in a qualified communityDCU publishes a list of eligible organizations, employers, and communities on its website.

Keep in mind that if you want to apply for a loan quickly, you must be a DCU member for at least 90 days.
Interest rate discountIf you qualify for a traditional DCU personal loan, you may be eligible for interest discounts of up to 0.5%. To receive a discount, you must choose automatic payments and maintain Plus or Relationship benefits on your DCU checking account.
Even if you qualify for an interest discount, you should still shop around to make sure you're getting the best interest rates and loan terms for your situation.

Take a closer look at DCU's personal loan loans

No application for preliminary application - If you are considering a DCU loan, you will need to apply to check your potential terms as DCU does not provide a preliminary application. DCU said it determines your interest rate based on your "personal credit history, account relationship, and payment method."No up-payment penalties - If you want to pay off your loan early, you can do this at any time without additional fees or penalties.No principal charge - DCU does not charge the principal for processing your personal loan.Allow co-applicants - If you're struggling to qualify for a personal loan or want to qualify for a lower interest rate, signing up with a co-subscriber can improve your chances of getting approved.Multiple repayment options - DCU offers a variety of ways to repay your loan, including periodically paying from your DCU savings or checking account, paying by phone, by mail, or online.Who is the right PERSONAL LOAN for DCU?A traditional DCU personal loan can be a good choice if you want to a debt aestoly or fund home renovation and are already a DCU member or eligible to become a member. DCU's lowest interest rate is competitive, but see if you're eligible for an interest rate discount if you're comparing potential interest rates from other lenders.
DCU's quick loan can make sense if you have little or no credit but need money for a financial emergency.

But remember: You must first be eligible to become a DCU member before you can borrow or open an account. If you do not qualify, you will have to find another personal loan.
How to apply for a DCU loanYou can apply for a DCU personal loan online. There is no application for preliminary selection. You need to provide the following information when applying:

First name and address E-mail

Date of birthNumber of membersSocial Security number

Mortgage or rent amountEarnings = earningsEmployment statusYou can also add co-subscribers at this stage if you want.

Not sure if a DCU loan is right for you?

Consider these alternatives.Marcus of Goldman Sachs: If you have strong credit but are not eligible to become a DCU member, a personal loan from Marcus of Goldman Sachs may be worth considering as it also offers competitive rates and on-time payment rewards.Avant: If you have less perfect credit, Avant may be a good choice. You can also check your potential rate with a preliminary application without affecting your credit score. (Your final terms or approvals may change if you formally apply.)