Neighborhood CU Lets Members ‘Walk Away From Your Loan’
Members of the $314 million Neighborhood Credit Union who experience a reduction in their income can walk away from their auto loan obligation for a certain time period.
The opportunity to do so comes under the Dallas-based cooperative’s Vehicle Return program, which provides coverage for six months, according to the credit union. If a member wants to continue the coverage, they have that option to purchase.
Neighborhood recently launched its Empower program, which is a suite of insurance products. The package includes the vehicle return promotion as well as three months of free coverage for tires and wheels, three months of free paintless dent protection and three months of limited power train engine and transmission coverage.
Members have the option to purchase additional coverage after the three-month periods.
Last week, the credit union also rolled out an auto loan promotion that offers a 2.74% annual percentage rate for qualified borrowers.
Neighborhood serves more than 31,000 members.