The National Credit Union Foundation, in partnership with the Filene Research Institute, said 14 credit unions will participate in a product incubator for subprime auto loans.

The loan, a NCUF product, is one of five products in Filene's accessible financial services incubator funded by the Ford Foundation, according to both credit union organizations.

“Credit unions have a long history as being the proving ground for consumer centric, innovative financial products,” said Cynthia Campbell, director of innovation labs at Filene, “and partnering with the NCUF to test the viability of non-prime auto loans with mainstream financial institutions was a natural fit since their experience in working with low-to-moderate income consumers is extensive.”

Eighty-eight percent of Americans drive to work, according to Filene.

“Without a car, options for work, food, childcare and healthcare become limited. Economic mobility is strengthened through the mobility that comes with affordable, reliable wheels. This product increases access to affordable auto loans to those who have credit challenges,” Filene and NCUF said.

It is estimated that families can increase their income by as much as 25% with access to reliable transportation, said Gigi Hyland, NCUF executive director.

“We're excited to work with not only Filene on this project but also such a wide array of credit unions across the country to give affordable, safe and reliable used cars to those that need them most,” said Hyland.

The following credit unions will be testing the subprime auto loan product:

• $23 million CALCOE Federal Credit Union in Yakima, Wash.
• $192 million Cy-Fair Federal Credit Union in Houston
• $257 million Denver Community Credit Union in Denver
• $1.5 billion EECU in Fort Worth, Texas
• $315 million Freedom First Credit Union in Roanoke, Va.
• $39 million Laramie Plains Community Federal Credit Union in Laramie, Wyo.
• $383 million Missoula Federal Credit Union in Missoula, Mont.
• $9.8 billion SchoolsFirst Federal Credit Union in Santa Ana, Calif.
• $137 million Seasons Credit Union in Middletown, Conn.
• $100 million Shreveport Federal Credit Union in Shreveport, La.
• $147 million Soo Coop Credit Union in Sault Ste Marie, Mich.
• $1.9 billion Summit Credit Union in Madison, Wis.
• $1.6 billion University Credit Union in Austin, Texas

$929 million US Federal Credit Union in Burnsville, Minn.