Tenet vs. Skyla Credit Union: Which offers better auto loans?
Key takeaways
- Tenet is best for borrowers looking for fast funding or current EV drivers wanting to refinance.
- Skyla Credit Union is ideal for drivers who need to finance an expensive EV.
- As you compare Tenet vs. Skyla Credit Union, consider that Skyla has lower interest rates but Tenet offers longer repayment terms.
If you’re considering financing an electric vehicle, both Tenet and Skyla Credit Union offer advantages.
Credit unions’ perks include competitive rates, attentive customer service and member discounts. Skyla Credit Union offers financing options for electric and gas vehicles.
By comparison, Tenet is an online auto lender that caters only to those financing electric vehicles. The platform assists with the entire process, including navigating tax incentives and charging arrangements.
Tenet vs. Skyla Credit Union at a glance
There is no perfect auto loan for every driver. Instead, there is the right one for your needs and background. Weigh the specifics when determining which can make your EV dreams come true.
| Tenet | Skyla Credit Union | |
|---|---|---|
| Bankrate score | 4.4/5 | 4.4/5 |
| Better for |
|
|
| Loans offered | New and used EV loans, refinancing | New, used, refinancing |
| Loan amounts | $15,000–$95,000 ($150,000 for refi loans) | $3,000–$150,000 |
| APRs | 5.99%-16.20% |
|
| Loan term lengths | 36–84 months |
|
| Fees | No fees | No fees |
| Minimum credit score | 640 | Not specified |
| State footprint | 31 states and Washington, D.C. | 50 states |
| Time to funding | As soon as one day following approval | Not specified |
| Autopay discount? | Yes, 0.25% | No |
| Refinancing restrictions |
|
Not specified |
Tenet
-
Available for borrowers in 31 states nationwide and Washington, D.C., Tenet serves those refinancing or funding an electric vehicle. After choosing the right electric vehicle for your needs, Tenet can assist in the complicated tax incentive process. The lender also offers a unique way to reduce your monthly payment: Borrowers can defer making payments on 20 percent of the vehicle’s value and add it to the end of their repayment period. Note that interest accrues on the deferred amount. A Tenet spokesperson notes that many customers defer $7,500, the amount of the EV federal tax credit.
Skyla
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California-based credit union Parsons Federal Credit Union completed a merger with Skyla Credit Union in August 2023. The lender offers new and used car financing along with refinancing, catering to a range of credit profiles. You must be a member of the credit union to get a loan with them. Anyone can become a member through the American Consumer Council.
How to choose between Tenet and Skyla Credit Union
The right lender for an electric vehicle auto loan is one that meets your needs. How much financing do you need? How much will the loan cost? How big will your monthly payment be? Here’s how the two lenders compare on common loan characteristics.
APR range
Driving off in an electric vehicle can carry higher prices than a traditional option, so a low APR is important. Both these lenders offer lower rates than competitors as 2024’s first quarter national average was 6.73 percent, according to Experian.
Tenet has a minimum interest rate of 5.99 percent, and its rates may go as high as 16.20 percent. However, Skyla Credit Union has the lower starting rate at 4.50 percent.
Minimum credit score
Skyla Credit Union doesn’t specify the minimum credit score required for loan applicants, so it’s difficult to know who may qualify.
Tenet requires a minimum credit score of 640 to qualify for its loans. This means the lender is open to working with applicants who have a less-than-excellent credit score. A 640 credit score is considered fair credit (580-669), so anyone with good credit will likely qualify for a loan with Tenet also.
Repayment terms
Skyla Credit Union and Tenet offer similar repayment terms. With each, you can choose between spreading out your loan for smaller monthly payments or repaying quickly to save on interest.
Loan amount
Driving an electric car means more advanced technology and driving experience but also tends to mean a much higher price point. On average, a new EV sold for $48,644 in July 2024, according to Kelley Blue Book.
Your lender must offer the financing amount you need. Skyla Credit Union offers funding for up to $150,000. And while financing such a pricey vehicle might not be in your budget, the wiggle room can be handy. Tenet’s loan amount only goes up to $95,000 for new vehicles.
Skyla is also a good option if you need a small auto loan, as their loan amounts start as low as $3,000. Tenet’s lowest loan amount is $15,000.
Fees
Neither lender has any notable fees. Tenet doesn’t charge any application or origination fees. Similarly, Skyla Credit Union doesn’t charge any fees to apply for a loan or to originate the loan. Neither appears to charge prepayment penalties.
The bottom line: Which lender is better?
Both Tenet and Skyla Credit Union offer great auto loans whether you want to purchase a new ride or refinance your current loan. Your priority should be signing off on the right auto loan experience for your needs. Tenet is the way to go if you know which electric vehicle you want but prefer extra guidance specific to driving an EV. Meanwhile, Skyla Credit Union boasts similar rates with a wider range of loan amounts.
Compare more lenders before applying
When comparing Tenet vs. Skyla Credit Union, decide which lender best fits your needs. You may find the best auto loan with a completely different lender. Here are a few alternatives to consider:
