Alliant Mortgage Review

Alliant mortgage rates

ProductInterest RateAPR
30-year fixed-rate2.875%2.928%
15-year fixed-rate2.500%2.596%
5/1 ARM rate3.000%3.354%

The homebuying process can be both exciting and complicated. A lot of research, paperwork and decision-making goes into one of the most significant financial commitments you’ll ever make. Finding a good lender with competitive rates can make a big difference during the buying process and throughout the life of your loan.

If you like working with a community mortgage lender that offers digital tools and personalized service, Alliant may be the right fit to simplify the home loan process. Alliant Credit Union mortgage loans are ideal for first-time homebuyers, those looking to refinance or borrowers who don’t qualify for government-backed loans.

Why it might pique your interest

Alliant is the largest credit union in Illinois and came in at number eight on the list of Money Summit’s Biggest Credit Unions by Assets Size for 2020 — a list procured from the National Credit Union Administration (NCUA). Alliant was initially started in 1935 by a small group of United Airlines employees. Today, it’s grown into one of the largest not-for-profit financial cooperatives, with more than 500,000 member-owners located across the nation. While Alliant is physically located in Chicago, it offers a full range of financial services and digital tools online to members across the U.S. You can bank, borrow, invest, get insurance for home and auto and purchase life insurance.

Rates are current as of August 7th, 2020; rates shown reflect a 45-day lock period, are stated as low as, and can vary based on individual loan characteristics.

Alliant overview

Loan types:

  • 30 year fixed-rate
  • 20 year fixed-rate
  • 15 year fixed-rate
  • 3/1 ARM
  • 5/1 ARM
  • 7/1 ARM
  • 10/1 ARM
  • Refinance
  • Cash-out refinance
  • Jumbo loans
  • Down payment assistance loans through the Alliant Advantage Mortgage (AAM) program

Pros and cons

Pros

  • Credit union benefits with online convenience: Unlike most credit unions, Alliant offers unique, nationwide streamlined mortgage financing services with an online mortgage application, electronic signatures, document uploading and personal phone support from a loan officer.
  • Loan rate features: Receive regular updates on interest rates for the Alliant mortgage loan you want to apply for with Rate Watch. Once you find the right rate, Alliant offers a 60-day rate lock on purchase loans, a 90-day rate lock on refinancing loans and a 120-day rate lock on construction loans.
  • Up-front fee disclosure: Alliant does not charge application or escrow waiver fees, and you can use the custom rate tool to plan your budget.
  • Down payment assistance: The AAM program helps borrowers with down payment and PMI — especially helpful for those who don’t qualify for government-backed loans.
  • Home Rewards program: The Alliant Home Rewards program offers cash back when you buy and/or sell a home using HomeStory.
  • Alternative credit scoring models: Borrowers with credit scores as low as 620 and high debt-to-income ratios may be able to qualify for a home loan.

Cons

  • Must be a member: You don’t have to be a member to apply for a mortgage, but you will need to join before closing your mortgage loan. There are a few ways you can be eligible to become a member — as an employee, retiree or member of select organizations; by living or working in a qualifying community; or being a relative of an existing Alliant member. If you don’t qualify for any of these, you can become a member by making a small donation to Alliant’s partner charity, Foster Care to Success (FC2S).
  • No government-backed loans: If you want to apply for a VA, FHA or USDA loan, you will have to use a different lender.
  • Limited physical locations: Alliant Credit Union has one public branch located in Chicago, Illinois. Anyone outside the area will need to work with a loan processor over email or phone.

The final word

Alliant offers prospective mortgage borrowers a streamlined loan experience with personalized customer service, a full-service online application process, a wide range of digital tools and multiple home loan terms and rates to choose from. Alliant also makes it easy for anyone to become a credit union member. However, borrowers looking to explore government-backed loans such as FHA, VA or USDA loans will need to look elsewhere.

With over 80 years in business and over $12 billion in assets, Alliant is one of the largest credit unions in the country offering competitive financial products. Borrowers looking to finance a home loan through a credit union rather than a national bank should take a look at what Alliant has to offer.

FAQ

Is Alliant Credit Union good?

Alliant Credit Union offers the best of both worlds: a wide variety of banking and lending products with the personalized customer service of a credit union.

When it comes to mortgages, Alliant offers a streamlined mortgage process. You can receive preapproval by applying on their website, and the process only takes between 10 to 15 minutes to complete. If you are preapproved, it will help you determine how much home you can afford, making it easier when it comes time to shop.

What’s more, Alliant Credit Union offers some really good incentives for first-time homebuyers. This includes low and no down payment programs without private mortgage insurance through the Alliant Advantage Mortgage program. This lender also doesn’t charge an application fee.

This lender has several options for applying for a mortgage, which is another perk. You can start the process online or speak with one of the loan advisors on the phone. Alliant also offers personalized service throughout the process. With rate lock-ins of 45 days for a home purchase, it gives you ample time to find your next house.

Overall, it’s hard to beat Alliant’s streamlined mortgage application process, and its attentive customer service makes it a smart option for homeowners to consider.

What credit bureau does Alliant use?

Alliant states that Transunion is the main credit bureau it uses when checking your eligibility for its loan products. However, it also mentions it could use any of the three reports, so before applying, it’s a good idea to take another look at each of your credit reports. Make sure each one has current information and is accurate. Taking this extra step ensures you know the information the lender will receive, so there will be no credit-related surprises down the road. It could also help improve your chances of receiving approval for a mortgage.

Christine C. Renee

Contributing Writer

Christine C. Renee is a personal finance writer who enjoys delving into money topics like budgeting and fintech. She has been published in Careful Cents, Investor Junkie, and Money Mini Blog. When not writing, she uses her bachelor’s degree in business admin to help micro-businesses and solopreneurs manage time and money. On her days off, you may find her with a book on information technology and security.