Alliant Credit Union Mortgage Review 2022: Low Down Payment Options

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Types of loans offered

Compliant, Jumbo, Alliant Advantage Mortgage, HELOC

Types of loans offered

Compliant, Jumbo, Alliant Advantage Mortgage, HELOC

  • Offers a 0% mortgage with no PMI for “well-qualified” first-time homebuyers; others have a 5% down payment option, no PMI
  • See personalized rates without registering
  • The Home Rewards program offers cash back at closing
  • Easy online application
The inconvenients
  • No government backed mortgages
  • Must be a member of Alliant Credit Union
  • No other credit data
More information
  • Mortgage lender online only
  • The Alliant Advantage Mortgage program allows borrowers to secure a mortgage with as little as 0% or 5% down without paying PMI
  • Fixed rate mortgages are not available in Maryland
  • Minimum credit score and down payment shown are for conforming mortgages

Overall Lender Rating

Advantages and disadvantages

Mortgage Interest Rates and Fees Alliant Credit Union

Alliant’s website lets you easily customize rates to suit your situation by scrolling to its main mortgage page and clicking “Get Your Custom Rates.” You’ll need to provide basic information about how much you plan to borrow, the location of the home you’re buying or refinancing, and your credit score range.

Alliant Credit Union charges origination fees on its mortgages, and the exact amount you pay will depend on the type of mortgage you get. Fixed rate mortgages come with an origination fee of $1,795, while the fee for variable rate mortgages is only $995. According to the Alliant site, setup fees can go up to $1,930.

Mortgages Alliant Credit Union vs. Connexus Credit Union

*Alternative forms of credit are only permitted on ARMs for borrowers with a limited credit history.

Alliant and Connexus are both

credit unions

with similar offerings, but there are a few key differences between these lenders that may make one a better choice than the other, depending on your needs.

Alliant Credit Union’s most attractive mortgage offering is its Alliant Advantage Mortgage program, which allows first-time homebuyers to buy a home with no down payment and no private mortgage insurance (PMI). Repeat buyers can also get a PMI-free mortgage with a 5% down payment.

In contrast, the lowest down payment you can make on a Connexus Credit Union mortgage is 3%, and you will have to pay PMI on down payments below 20%. Alliant borrowers who do not qualify for the Alliant Advantage Mortgage program can also obtain a mortgage with 3% down payment with PMI.

Connexus may be a better option for borrowers with limited credit history. Although this lender does not accept alternative credit data for those with no credit or bad credit, it may consider alternative data from those with thin credit records. However, he can only do this for his adjustable rate mortgages.

Alliant Credit Union vs. Ally Mortgages

Ally is a fully online bank that offers conforming and jumbo mortgages that require as little as 3% down payment. For buyers who want to deposit less than that, or those looking to avoid PMI on down payments of less than 20%, Alliant’s Alliant Advantage Mortgage will likely be the best option, provided your credit is strong enough to do so. be eligible.

When it comes to fees, Ally is the clear winner, with no loan fees. However, there are a handful of states in which Ally does not do mortgages, while Alliant offers mortgages in all 50 states, with one small exception: it does not do fixed rate mortgages in the Maryland. (ARMs are available in all states.)

How Alliant Credit Union Mortgages Work

Alliant’s mortgage application is completed online and over the phone. Borrowers can get a mortgage from Alliant in all 50 states, but can’t get a fixed rate mortgage in Maryland. Alliant Advantage mortgages are not available in Florida or Nevada.

Alliant Credit Union offers conforming and jumbo mortgages for purchase and refinance transactions. It also offers a low down payment option for what it considers “qualified homebuyers” called the Alliant Advantage Mortgage program. These mortgages allow first-time home buyers to purchase a home for up to $500,000 with 0% down payment and no PMI. Repeat buyers can buy a home for up to $650,000 with 5% down (or refinance with just 5% equity) and no PMI.

For its traditional mortgage offerings, borrowers can potentially deposit as little as 3% with PMI.

Alliant charges setup fees ranging from $995 to $1,930. Borrowers generally need a credit score of at least 640 to obtain a mortgage from this lender. Since Alliant is a credit union, you will need to become a member before your mortgage closes. However, you do not need to be a member to apply for a mortgage.

To become a member of Alliant Credit Union, you must meet one of the following criteria:

  • Be an employee of one of the companies or organizations with which Alliant is partnered
  • Be a domestic partner or immediate family member of a current member
  • Live or work in one of the eligible communities near the credit union’s Chicago headquarters
  • Be a member of Foster Care to Success (Alliant will pay your $5 membership fee)

If you have any questions, you can email or call Alliant Customer Service between 8:00 a.m. and 6:00 p.m. CT Monday through Friday and 8:00 a.m. and 2:00 p.m. CT Saturday.

Is Alliant Credit Union Trustworthy?

Alliant Credit Union has an A+ from the Better Business Bureau. A company’s BBB rating is based on its honesty in advertising, the transparency of its business practices, and the effectiveness of its response to customer complaints. Alliant also has strong customer reviews on its Zillow lender profile and has no recent public scandals.

Alliant Credit Union Mortgage FAQs

What credit rating is needed for Alliant Credit Union mortgages?

Alliant Credit Union generally requires mortgage borrowers to have a credit score of at least 640.

Are credit unions safe for mortgages?

Yes, as long as you work with a reputable organization, credit unions are as safe as other mortgage options.

Is Alliant legit?

Yes, Alliant Credit Union is a legitimate credit union that has been around since 1935. According to its site, Alliant has over 600,000 members. Alliant deposit accounts, including savings accounts and

check accounts

are federally insured by the National Credit Union Administration.

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