Auto & Consumer Loans
Lending Products
The Lakota Federal Credit Union offers secured and unsecured loans to our members.
Secured Loans
A secured loan is a loan in which the borrower pledges some asset (e.g., a car or property) as collateral for the loan, which then becomes a secured debt owed to the creditor who gives the loan. The debt is thus secured against the collateral — in the event that the borrower defaults, the creditor takes possession of the asset used as collateral and may sell it to regain some or all of the amount originally lent to the borrower.
Secured Loans
Our Secured Loans offer qualified members up to $100,000 for the purchase of a vehicle, RV, ATV, or trailer. Rates vary and are based on the applicant’s credit score and term. Repayment terms range from 12 to 84 months.
Share Secured Loans
The amount of Share Secured Loans are secured by the balance of a member’s share account, up to $250,000. This type of loan benefits our members when rates on savings accounts are high.
Unsecured Loans
An unsecured loan means the lender relies on the borrower’s promise to pay it back. Due to the increased risk involved, interest rates for unsecured loans tend to be higher.
Unsecured Signature Loans
The Unsecured Signature Loan provides up to $8,000 to our members with repayment terms of 12 to 36 months. Loan amounts and terms are based on the applicant’s credit score and discretionary income.
Unsecured Line of Credit
The Unsecured Signature Loan provides up to $8,000 to our members with repayment terms of up to 12 months. Loan amounts and terms are based on the applicant’s credit score and discretionary income.
Unsecured Single Pay Loan
The Unsecured Signature Loan provides up to $8,000 to our members with repayment terms of up to 60 days. Loan amounts and terms are based on the applicant’s credit score and discretionary income.
Which Loan Product is Right for You?
| Loan Details | Secured Loan (Auto) | Secured Loan (RV, ATV, or Trailer) | Share Secured Loan |
|---|---|---|---|
| Maximum Amount | $100,000 or aggregate of 10% of unimpaired capital, whichever is lower | $100,000 or aggregate of 10% of unimpaired capital, whichever is lower | Equal total share or certificate balance or aggregate of 10% of unimpaired capital, whichever is lower |
| Rates | 5.50%-14.85% | 5.50%-14.85% | 3% plus current share or share certificate account |
| Repayment Terms | 12 – 84 months | 12 – 84 months | 12 months or term of certificate securing the loan |
| Loan Details | Unsecured Signature Loan | Unsecured Line of Credit | Unsecured Single Pay Loan |
|---|---|---|---|
| Maximum Amount | $8,000 | $8,000 | $8,000 |
| Rates | 9%-15% | 9%-15% | 9%-15% |
| Repayment Terms | Up to 36 months | Up to 12 months | Up to 60 days |