Low-interest small-dollar loans for students, faculty, staff and family members.
New York University Federal Credit Union (NYUFCU) offers personal loans to its members at competitive interest rates and with relatively lenient requirements. Read on to find out if NYUFCU personal loans are right for you.
|Product Name||New York University Federal Credit Union Personal Loans|
|Min Loan Amount||$250|
|Max. Loan Amount||$10,000|
|Interest Rate Type||Fixed|
|Maximum Loan Term||5 years|
- NYUFCU member
- Credit score of 550+
- Debt-to-income ratio 45% or less
What makes NYUFCU personal loans unique?
NYUFCU personal loans are useful for students and staff who need to borrow cash to pay for just about anything, from a vacation, to holiday shopping, to small emergencies. Small-dollar loans typically to come with higher interest rates. But NYUFCU’s APRs are relatively low — they cap at 16.5% for those with low credit scores.
Many of these loans are secured with a percentage of the amount you borrow — 10% for most personal loans — which it calls a “pledge at funding.” You must have at least this amount in your NYUFCU savings account until you pay back your loan in full.
What are NYUFCU personal loans?
The majority of NYUFCU personal loans are low-interest, fixed-term loans. Only the share secured loan offers a variable rate.
Depending on your needs, you can choose from loans that range in amounts offered, APR, security amounts and repayment terms.
|Loan type||How it works||Amounts||APR||Terms||Pledge at funding|
|Personal loan||Fixed-term loan to cover any legitimate personal expense.||$500–$10,000||9%–16.5%||Up to 60 months||10% of loan amount|
|Vacation or holiday loan||Fixed-term loan for covering the cost of a trip.||Up to $3,000||8%–11.99%||Up to 12 months||10%|
|Share secured loan||Loan by which you borrow against the value of your share draft account to lower interest rates.||95% of your share account balance||Dividend rate + 3%||36-month fixed-rate, 144-month variable-rate with quarterly changes||105%|
|Credit-builder loan||Deposited a small amount of money into a savings account to build or rebuild your credit and start an emergency fund.||$500–$1,000||10%–16.5%||Up to 12 months||100%|
|“Life happens” loan||Fixed-term loan to pay for emergency expenses.||$1,000–$2,500||16%||12 months||None|
|Quick cash loan||Small-dollar interest-free loans to pay for emergency expenses. No minimum score required, but you’ll pay an application fee of $10 to $20, depending on how much you borrow.||$250–$500 (no more than 20% of your paycheck)||0%||Up to 4 months||None|
Bill consolidation loansNYUFCU also offers what it calls “bill consolidation loans” — essentially a debt consolidation loan — which it advertises as separate from its personal loans. Here, you can borrow up to $45,000 with rates ranging from 10% to 17.5%. You have from 12 to 60 months to repay your bill consolidation loan.
Eligibility requirements for bill consolidation loans are more strict than those for personal loans. To qualify, you need a credit score of at least 620 and a strong credit history. For loans of $10,000 or more, you’ll need a credit score of 740 or higher.
What are the benefits of getting a personal loan from NYUFCU?
- Low rates. Rates on NYUFCU personal loans stop where other short-term lenders start. Its secured options come with even lower rates and its quick cash loan doesn’t come with interest at all.
- Small amounts available. You can borrow as little as $500 on most loans — less if you qualify for a quick cash loan — without having to pay high rates or fees.
- Credit-building options. Students with no credit history might want to take advantage of a credit-builder loan, which can help you establish a credit history or boost your score while building up savings.
- Helpful for emergency expenses. While any NYUFCU loan can be used to cover emergency expenses, its unsecured “life happens” loans can provide up to $2,500.
What to watch out for
Like most small financial institutions, funding can be slow, glitches happen and customer service can be a mixed bag at NYUFCU. Other points to take into consideration before applying for a loan:
- Requires “pledge at funding.” For a few loan options, NYUFCU requires borrowers to deposit 10% of their loan amount in an account — and more for loans backed by your share account.
- No large-amount loans. You can’t borrow more than $10,000 with an NYUFCU personal loan.
- Longer turnaround. Credit unions typically aren’t as fast as online lenders. Expect turnaround of at least three to five days.
- You can’t prequalify. You can’t get personalized quotes of loan amounts, rates and terms you might qualify for without actually applying — which involves a hard credit check.
- Limited hours. You can only visit its office or contact a member service line weekdays from 9 a.m. to 3 p.m.
Compare more personal loan options
What does the Internet say about NYUFCU?
Not much. Because NYUFCU is such a small institution, it’s no surprise that it doesn’t have much of an online presence.
The reviews you can find are mixed. While it earns an A+ rating from the Better Business Bureau (BBB), BBB’s reviews include a complaint from a customer who was rejected for a loan they planned to tide them over before starting a job. It appears they didn’t meet NYUFCU’s debt-to-income requirements.
It doesn’t have a Trustpilot page, but a handful of reviews on Yelp average three out of five stars. Customers report inconsistent experiences with the staff: Some say customer service is wonderful and they know NYUFCU employees by first name; others claim the staff members they dealt with were incompetent and unprofessional — enough to end their NYUFCU membership.
Am I eligible?
- You must be an NYUFCU member.
- Your credit score must be 550 or higher.
- Your debt-to-income ratio must be 45% or lower.
“Life happens” and quick-cash loans are only available to NYU employees who’ve worked at the university for at least two years. You must also be an NYUFCU member for at least six months.
NYUFCU membership eligibility
To be eligible for NYUFCU membership, you must be either:
- A current or former NYU employee.
- An NYU student or alumnus.
- An immediate family member of an NYUFCU member — a spouse, child, step-child, sibling, step-sibling, parent, grandparent, grandchild or step-grandchild.
- Someone who shares financial responsibility of a household with an NYUFCU member.
You can apply by filling out an application on its website, opening a savings account with $50 and paying a $10 one-time membership fee.
How do I apply?
- Complete and submit your online application.
- Wait to receive an email requesting documentation.
- Upload your documents and pay your $25 fee, which you can pay by check, in cash or a deduction from your account.
- After you receive your loan documents, read them carefully, sign them and submit them to NYUFCU.
- Receive your funds.
The funding process take at least three to five business days.
What documents do I need?
NYUFCU needs documentation showing proof of income. You can provide one of two combinations:
- Two of your most recent pay stubs and a W-2 form OR Bank statements for the last six months, tax returns for the last two years and a completed reference form — available on its website
I got a personal loan from NYUFCU. Now what?
It’s time to start thinking about repayments. NYUFCU allows you to repay your loan by check, mobile deposit, autopay from your account or automatic payroll deductions. Consider signing up for one of the automatic options. That way, you don’t have to take time to manually make repayments each month.
Autopay doesn’t mean you should forget about your loan, however. Automated systems sometimes make mistakes, so you might want to keep an eye on your loan balance, account or paycheck. If you notice something unusual, reach out to NYUFCU’s customer service line or visit one of its branches.
NYUFCU personal loan options could help students, recent graduates and staff build credit or cover small personal expenses like vacations or medical bills.
If you’re looking to make a big-ticket purchase or pay for a wedding, you might want to consider another lender, as NYUFCU’s personal loans only go up to $10,000. Compare lenders with our comprehensive guide to personal loans or check out other New York credit union personal loan offers.