Mortgage lender · Herndon, VA · LEI 549300OSZK2W0WJYS771

Northwest Federal Credit Union review: approval odds, rates and grade (2025)

Northwest Federal Credit Union earns a D, weaker than most mid-size mortgage lenders. It turned down 23.7% of the applications it decided on in 2025, which ranks in the 16th percentile for approval odds. Its median loan was priced 0.48 points above the average prime offer rate, ranking in the 22nd percentile on pricing. Compared against 581 mid-size mortgage lenders using 2025 HMDA filings.

2.1kApplications2025
60.4%Originatedof applications
23.7%Decision denial ratenational 22.6%
7.00%Median ratenational 6.63%
$233MLoan volume42 states

Northwest Federal Credit Union at a glance, 2025

Every figure is from the lender's own HMDA filing. "vs national" compares with all lenders combined.

20.0%Denial rate (all applications)+2.01 pts vs national
23.7%Denial rate (decided applications)+1.12 pts vs national
60.4%Origination rate+2.38 pts vs national
12.5%Withdrawn by applicant
3.2%Closed for incompleteness
7.00%Median interest rate+0.38 pts vs national
0.48Median rate spread (pts over APOR)+0.22 pts vs national
$115,000Median loan amount
$395Median total loan costs
$167kMedian applicant income
65%Median loan-to-value
0High-cost (HOEPA) loans

How the D grade breaks down

Each component is a percentile rank among 581 mid-size mortgage lenders. Higher is better. Components the lender does not report are left out and the weights redistributed.

Approval oddsdecision denial rate, weight 45%

16th23.7% denied

Pricingmedian rate spread over APOR, weight 30%

22nd0.48 pts

Processwithdrawn + incomplete share, weight 15%

55th15.7%

Closing coststotal loan costs ÷ loan amount, weight 10%

98th0.34% of loan

Trend, 2023–2025

YearApplicationsOriginatedDenial rateDecision denialMedian rateVolume
20232,6531,57423.8%28.6%7.13%$226M
20242,1951,27422.4%27.9%7.63%$207M
20252,0661,24820.0%23.7%7.00%$233M

What Northwest Federal Credit Union lends

Applications by purpose and loan type in 2025, with the denial rate for each. A lender's mix explains a lot of its headline rate: HELOCs and FHA loans are denied far more often than conventional purchase loans.

By loan purpose

Home purchase 293 14% · 8.9% denied
Refinance 73 4% · 9.6% denied
Cash-out refinance 817 40% · 27.1% denied
Home improvement 883 43% · 18.0% denied

By loan type

Conventional 2,051 99% · 20.1% denied
VA 15 1% · 0.0% denied

Also: 973 home-equity lines, 0 reverse mortgages, 2 manufactured homes, 55 investment properties.

Why Northwest Federal Credit Union denies applications

Primary reason reported for each of the 413 denials in 2025. Lenders can cite up to four reasons; this is the first one listed.

Debt-to-income ratio 330 80%
Credit history 44 11%
Collateral 21 5%
Insufficient cash 10 2%
Other 7 2%
Employment history 1 0%

How these reasons compare nationally →

Who gets approved at Northwest Federal Credit Union

Decision denial rate by applicant profile. Groups with fewer than 20 applications are omitted.

Applicant incomeApplicationsOriginatedDecision denial rate
Under $50k701174.2%
$50k – $100k36116942.9%
$100k – $150k39423228.6%
$150k – $250k78053114.4%
Over $250k4202818.0%
Applicant ageApplicationsOriginatedDecision denial rate
25–341367723.4%
35–4442223630.0%
45–5454935721.8%
55–6455434321.6%
65–7428617120.0%
Over 741125831.9%

Where Northwest Federal Credit Union lends

42 states and 317 counties in 2025. Click a state for the lender's full record there.

StateApplicationsOriginatedDenial rateMedian rateRank in state
Virginia1,19176617.6%7.00%#63
Florida1969128.6%7.00%#369
Maryland19411222.2%7.00%#164
North Carolina1126217.9%7.00%#306
South Carolina473212.8%7.00%#350
Georgia432125.6%7.00%#454
West Virginia381929.0%7.25%#155
Tennessee271429.6%7.00%#499
Pennsylvania262015.4%7.06%#569
District of Columbia231421.7%7.25%#112
Illinois231226.1%7.13%#578
California19936.8%6.75%#648
New Jersey13915.4%6.25%#504
Alabama11554.6%7.00%#459
Delaware9622.2%6.88%#251
Texas9522.2%6.50%#982
New York860.0%7.00%#487
Colorado7614.3%6.63%#562
Washington7228.6%5.88%#494
Maine6416.7%6.50%#263
Michigan6333.3%7.00%#576

Frequently asked questions

Northwest Federal Credit Union denied 23.7% of the applications it decided on in 2025. The national figure across all lenders was 22.6%. On approval odds it ranks in the 16th percentile of mid-size mortgage lenders.

The most common reason Northwest Federal Credit Union gave in 2025 was "debt-to-income ratio", cited on 79.9% of its denials. Lenders report up to four reasons per denial to the CFPB; the full breakdown is on this page.

The median interest rate on loans Northwest Federal Credit Union originated in 2025 was 7.00%, and its median rate spread over the average prime offer rate was 0.48 points. Rates on this page are what borrowers actually got, not advertised rates.

In 2025, 14% of its applications were for home purchases, 43% for refinancing (including cash-out), and 43% for home improvement or other purposes. By loan type: 99% conventional, 0% FHA, 1% VA.

Every figure on this page comes from the Home Mortgage Disclosure Act (HMDA) Loan/Application Register published by the CFPB, which lenders are required by federal law to file. We add the grade and the comparisons; we do not add facts.

About this data. HMDA data is published once a year by the CFPB. The current release covers applications acted on in calendar year 2025. Figures describe applications the lender acted on, including loans it later sold. Interest rates and costs are medians on originated loans only; some depository institutions are exempt from reporting pricing fields, which is why a few cells read "—". MortgageGrades is not affiliated with Northwest Federal Credit Union. Data sources · Methodology