Pentagon Federal Credit Union is offering car loans at extremely low rates for members. Luckily, anyone can take advantage of this great rate on car loans as PenFed membership is open to the public.

Three-year loans for new cars and trucks are as low as 2.49% APR, and five-year loans are as low as 3.49% APR. Those aren’t rates you usually see, since the average 60-month, new-car loan costs 4.74%, according to our national latest weekly survey of major lenders.

The country’s third-largest credit union is offering these low rates to its members who use the Pentagon Federal car-buying service and purchase a vehicle from an approved dealer. The car-buying service allows you to see the prices others have paid for an auto, so you can negotiate with confidence at the dealership.

If you choose not to use the new-car buying service, PenFed offers used-auto loans with rates as low as 3.49% for three years and 4.04% for 5 years — still less than the national average. Our car loan calculator can help you find to right price range for your budget.

Up to 100% financing is available for both new and used-auto loans, which means you don’t have to come up with the down payment qualify. The loans are offered up to $100,000.

We think you’ll have a tough time finding a better deal, but go ahead and compare auto loan rates from other lenders in your area.

You have to be a PenFed member to use their financing, but it’s not hard to join. Everyone who works for the government or a defense contractor, or has served in the military, is eligible to join based on their employment.

The rest of us can qualify for membership by making a one-time $15 donation to Voices for America’s Troops or a one-time $20 donation to the National Military Family Association. After qualifying, you would open a saving account for as little as $5 to establish membership.

The PenFed car-buying service is available in the continental United States and Hawaii. If you’re in Alaska, sorry, you’re out of luck.