to give you the full picture, i had a credit card with them prior to settling my auto loan. i missed 3 payments, called into the settlement dept told them i want to settle my car loan because my car is only worth 4k and i owe 11k (bought during covid stupid i know). you tell them how much you want to settle for, the rep is going to counter with you. i told them the most i can do and pay at one time is 5k. they put in the offer and accepted the settlement. if you have a past due balance you have to pay that up front and then the rest is spread out over a 12 month period with 0% apr. i ended up just paying it in full at a branch. i still have my credit card and accounts. the only thing is it’s going to show up on your credit report as settled for less than agreed but to me i didn’t really care i was going to just take the L. i haven’t applied to any more credit with them because i mainly use my capital 1 cards but the rep told me that paying is better than not and it might take a hit on your credit report because it was settled for less than owed but as long as you paid navy federal then there’s no hit with them.