• Minimum Credit Score Required : 640
  • Loan Amount Range: $2,500 - $5,000
  • Annual Percentage Rate (APR) : 7.24% -17.95%
  • Approval and Deposit Time : 1 - 2 business days

USAA Reviews - A Complete Overview for 2021 [Pros, Cons, & Pricing]

  • Minimum Credit Score Required : 640
  • Loan Amount Range: $2,500 - $5,000
  • Annual Percentage Rate (APR) : 7.24% -17.95%
  • Approval and Deposit Time : 1 - 2 business days

Best For

Fixing Your Credit While Taking out a Loan

STRENGTHS

  • Quick approval
  • No origination fee
  • Offers a USAA debt protection program

WEAKNESSES

  • You have to be a USAA member
  • Must have a high USAA personal loan credit score

The USAA is a financial services company that offers insurance, banking, and different types of loans. USAA reviews show that its mortgages, car loans, and personal loans can benefit customers in a variety of financial situations.

In this review, we’ll do the following:

  • help you pick the right type of loan for you
  • answer whether USAA has a credit builder loan or a credit building program to help you improve your credit score
  • answer FAQs
  • provide information on how to become a USAA member

Keep reading to find out more.

Types of Loans Offered By USAA

There are three types of loans the USAA offers its customers. If you want to buy a house, take a look at the USAA offers on mortgages. There are also auto loans and personal loans the company offers. Take a look at the USAA reviews below on the three loans you can opt for depending on your needs.

Personal Loan Review 

Do you want fast funding for something you really need? Then a personal loan from USAA might be what you’re looking for. This type of loan helps you finance travel expenses, items you may need for university, or simply buying food or clothes for your family when you’re low on funds.

What’s more, the USAA personal loan rates are quite low so it’s ideal for those who don’t want high repayment rates. You’ll also appreciate that the personal loan terms are between 1 to 7 years giving you enough time to pay back the amount you’ve borrowed.

There may not be a USAA credit builder loan but a personal loan can help you improve your credit score.

Minimum Credit Score Required Loan Amount Range Annual Percentage Rate (APR) Types of Personal Loans Approval and Deposit Time
640 $2,500 – $5,000 7.24% -17.95%
  • Relocation expenses
  • Home improvement projects
  • Pay off high-interest debt
1 – 2 business days

Pros

  • Quick approval
  • No origination fee
  • Offers a USAA debt protection program

Cons 

  • You have to be a USAA member
  • Must have a high USAA personal loan credit score

Mortgage Loan Review

The USAA home mortgage loan has an excellent reputation because they have competitive rates. This loan offers a first-time homebuyer program and investment property financing. The only drawback to this type of loan is that it’s not available to everyone.

This mortgage loan is specifically intended for veterans. So anyone who has ever served in the US armed forces can benefit from the USAA mortgage loan. What’s more, military members’ families can also benefit from the USAA mortgage home loan.

USAA doesn’t charge fees on VA loan refinance. You’ll also appreciate that business is either done on the phone or online so you don’t have to visit a branch.

The USAA mortgage pre-approval may take a few minutes but the entire process can take up to a few weeks because home loans take more time. If you have an excellent credit score, the process may go faster.

Minimum Credit Score Required Loan Amount Range Annual Percentage Rate (APR) Types of Mortgages Approval and Deposit Time
620 $50,000 – $3 million 3.125%
  • Purchase
  • Refinance
  • Fixed
  • Adjustable
Can take a few weeks

Pros 

  • USAA mortgage rates are competitive
  • Offers online convenience
  • Offers a USAA first-time home buyer program

Cons

  • Doesn’t offer second mortgages
  • Limited information on mortgage rates
  • Only for military members

Auto Loan Review 

The USAA also offers auto loans for new and used cars with a low annual percentage rate (APR). Your exact rate will be calculated according to your credit report. Additionally, you can lower these rates by signing up for USAA’s autopay discount.

Again, the only drawback is that you have to be a USAA member to be approved for an auto loan. You’ll find that the USAA car interest rates are suitable for those who want to keep their finances in check by not spending a lot on APR.

With the USAA auto loan, you get repayment terms of up to 84 months. This type of loan has no prepayment penalty and no application fees. You’ll notice that USAA auto loan reviews from lenders show that customers are satisfied with the quick approval process.

Furthermore, loan applications can be done on your mobile device for quick and easy services. You’ll find that the USAA credit score for auto loan is quite low so you may get approved if you have a minimum credit score of 560.

Minimum Credit Score Required Loan Amount Range Annual Percentage Rate (APR) Types of Auto Loans Approval and Deposit Time
560 $5,000 – $50,000 2.19%-2.89%
  • Flexible
  • Specialized disabled vehicle loans
1 hour

Pros 

  • Loan application is quick and easy
  • Offers a loan rate discount
  • Offers flexible terms

Cons

  • Have to have a USAA membership to apply
  • There’s no pre-qualification option

USAA Credit Building

Are you struggling to build credit so that you can get a loan? To do that you need to know how credit building works.

What is Credit Building?

Credit building is the process of increasing your credit score so you have a better chance of getting approved for a loan. The way a credit builder loan works is that you pay money to a lender in specific installments. All this cash goes into a savings account which you will then be able to use at the end of the payment term.

According to the USAA personal loan requirements you may need a high credit score in order to be approved. So, to create an excellent credit report you can take out a credit builder loan to assist you.

Credit builder loans can come in installments of $300 to $1,000. You’ll pay this loan with fees between these increments over 6 to 24 months. You won’t be able to withdraw this money until the loan term is over.

The loan company will report your payments to the three credit bureaus – Equifax, TransUnion, and Experian. The advantage of this is that you’ll accumulate money and improve your credit report in a short amount of time.

Although there are no USAA credit builder loan options, the company does help its members build credit by giving them advice on which banks will approve you for credit if you have a low score.

USAA Tips on How to Establish Credit 

To get a USAA loan approval you’ll need a high credit score. But some people don’t have the credit score they need to get a loan. Take a look at the following tips on how you can build credit to increase your score so you have more chances of getting approved for loans.

Become an Authorized User on a Relative’s Account

Sometimes you may need help to build credit. If you have a family member that has an excellent credit report, you can become an authorized user on their account if they let you. You don’t have to spend money from the card or transfer any funds to be an authorized user on a family member’s card.

As long as the USAA member pays the card on time and uses it regularly, it will improve your credit score if you’re an authorized user on their card. But you have to make sure that the credit score and spending habits of the main cardholder are solid. Find out what the USAA pros and cons are in our review above before becoming a member on someone else’s card.

Get a Secured Credit Card

Another easy way to build credit is by opting for a secured credit card. The credit limit on the secured card is equal to the amount of money you put into a savings account. This money is used as collateral in case you can’t stick to the repayment terms.

The money can’t be withdrawn from your savings account while your credit card is linked to it. With USAA, even if your credit score range is bad you can sign up for a secured credit card because there is no risk to the lender.

To build credit, use your secured card regularly for small purchases and then pay off most of the balance every month. Having a balance on your credit card improves your score if you have a bad or minimum credit score.

Repay Student Loans

Repaying a loan amount on a student loan can help you improve your credit. You can do this by adding new accounts to your credit report and making payments to them every month. There are student credit cards designed for college students that you can opt for.

Add a Co-Signer to Your Loan Application

Sometimes you may not get a USAA qualification on your own. So the best way to get approved is to get a co-signer for the loan. The co-signer will also be responsible if the repayment terms aren’t met. If the co-signer is willing to take that risk, you can easily build your credit.

Make sure you stipulate what the loan purpose is and what the closing costs are to your co-signer so they know what they’re signing up for and what the terms are.

Free USAA One-On-One Counseling Appointments

For USAA members, the company offers free credit rebuilding and loan management. You can get one-on-one credit counseling from a USAA professional when you need it.

So if you’re struggling with financing, the counselor will go over your credit report to see which banks will accept you for home loans, auto loans, and personal loans. You can also get advice on what the USAA mortgage fees and rates are.

The USAA ratings and reviews from customers for loan counseling are quite high because the company offers professional advice and helps those who are struggling to get approved for loans.

Eligibility

To be eligible for a USAA loan of any kind you’d have to be a direct family member of someone who served in the military. Or you have to be an armed forces veteran. Military members that are officer candidates in commissioning programs are also eligible.

Widows and widowers of late USAA members can also be eligible to apply for any USAA loan provided they have a good credit score. USAA reviews and BBB ratings from customers show that the company is easy to work with and the counseling feature is extremely helpful.

Take a look at the section below to see how you can apply for a USAA loan.

How to Apply For a USAA Loan

  • Become a USAA member: In order to benefit from USAA loans, you’ll need to sign up to become a member, providing proof that you’re related to a military member or have served in the armed forces yourself.
  • Collect and submit required documentation: You’ll need bank statements, proof of income, W-2 forms, your Social Security number, and any debt history to apply for a USAA membership. USAA customer reviews show that this can be a tedious task but it’s necessary in order to be approved.
  • Learn your rate: You must learn what the rates are for your loan so you can budget for repayments every month.
  • Get your money: Now that you’ve become a USAA member you can wait for your loan to be paid into your account.

Conclusion 

USAA offers quality banking services to its members. Whether you take out a mortgage, auto loan, or you simply want to take a USAA personal loan with early payoff, you’ll get the services you need.

Contact USAA to become a member or opt for their counseling services if you’re struggling to get approved for a loan. You’ll find that mortgage, auto loans, and personal loans have low rates and they’re easy to sign up for if you have a good credit score.

As long as you or someone in your family are in the armed forces, you can sign up to become a USAA member and get a loan with the company.

FAQ

Does USAA offer student loans?

No, the USAA doesn’t currently offer student loans. This service has been canceled in 2016.

Is USAA a good company?

Yes, the USAA is a good company as can be seen from the high level of customer satisfaction. They also offer counseling to help you build credit and find the best loan for your needs.

Is USAA a good mortgage lender?

USAA reviews from customers show that the company is an excellent mortgage lender for military members. They have low competitive rates compared to other banking services and they offer a 3% down payment for first-time homeowners.

ABOUT AUTHOR

Proudly South African, I have a history in psychology, as well as administration, but writing is my first love. I've been a full time copywriter for four years and create SEO friendly blogs, case studies, web content, landing pages, reviews, whitepapers and more. I cover many topics but especially enjoy writing about digital marketing, healthy living (body and mind) as well as some technical niches.