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The Navy Federal Credit Union is an institution that offers financial services to members of the armed services, which include Army, Navy, Marines, Coast Guard, Air Force, veterans and Department of Defense employees and their families. Membership is not guaranteed because you are in the service, it merely makes you eligible to apply for membership. The website specifically says that by applying for membership you allow the credit union to do a credit check. The other standards for membership are not articulated beyond the list of service members who are eligible and the familial relationship required to make membership possible for non-service members.

The Specific Homebuyer’s Choice Home Loan Program

NFCU offers both conforming and jumbo HomeBuyers Choice mortgages. The maximum loan limit for conforming loans is typically $424,100, though the loan limit can vary by state and county. Jumbo loans are for amounts greater than $424,100. Some of the qualities of the program are fixed rate (payments stay the same through term), no down payment options,
no private mortgage Insurance (PMI) or upfront mortgage insurance premium (UMIP) required, which takes a huge chunk out of monthly and annual payments. Jumbo financing available up to $1 million, refinance options available (Note: The maximum loan-to-value ratio for refinances is capped at 97%.) Seller contribution up to 6% allowed, 1.75% Funding fee can be waived for an increase of .375% to the interest rate. Most of the program’s features eliminate both upfront and long-term costs.

Education and Transparency

Their website is very well arranged and organized. The site includes a very detailed information about each of the above loan options. There a several different digital tools created to make it easier to compare loan options. The  Navy Federal Credit Union also includes lots of information and descriptions to educate first time buyers, new customers and those who are unfamiliar with the loan process. Applications are processed online..