Auto Financing


Olde Hornet

Olde Hornet

Well-Known Member
FYI

GM and Ford are offering 1.9% for three years on many models.

Toyota is offering 0% for three years.
 

You cant get those rates unless your credit is good.

You have to be on your game going to these dealers, they lie about everything.


The reality is that the financing comes from the financial divisions of the various automotive companies. The dealers lose out on the fee that they get when you got with a "local" company that they recommend.

The no to low interest rates are the best way to go, just work your deal.
 
Have you notice how they have also increased the timetable for regular financing from 60 to 72 and even 80 months. Thats 6 years or more for financing a new vehicle. Thats too long for me, although I currentl;y have a 5 year loan on my truck I will actually have it paid off in 4 1/2 years.
 
The truth is 0% means you will pay more for the car (by not getting the rebate(s). The last car I financed, I was able to get a 4.9% rate from the credit union and get the rebates and came out better than 0% financing that the dealer wanted to give me with GM financing.

I am now blessed to own a 2000 Ford Expedition and a 2003 Avalanche. Both of which I only drive in the city to/from work. I will RENT cars for out of town travel. I don't plan to purchase another vehicle until 2013 and that will be WITH CASH!
 
Da_Sperm said:
The truth is 0% means you will pay more for the car (by not getting the rebate(s). The last car I financed, I was able to get a 4.9% rate from the credit union and get the rebates and came out better than 0% financing that the dealer wanted to give me with GM financing.

I am now blessed to own a 2000 Ford Expedition and a 2003 Avalanche. Both of which I only drive in the city to/from work. I will RENT cars for out of town travel. I don't plan to purchase another vehicle until 2013 and that will be WITH CASH!
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The rebate was not offered when I bought my car, now they are offering $500. Believe me, for what I financed, the 0% beats that $500 and a higher percent interest rate.


I understand your point, each person has to do the math for their situation.
 
I don't know how true it is, but a guy I know who sales cars told me that even if you have the credit score to get the 0% they try to get you by saing your debt/ratio is to high. Has anyone else heard that?
 
CEE DOG said:
I don't know how true it is, but a guy I know who sales cars told me that even if you have the credit score to get the 0% they try to get you by saing your debt/ratio is to high. Has anyone else heard that?
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That is true. The higher the interest rate they give you, the more commission the finance manager gets. So if you have a credit score worthy of a 0% and don't get it, its because the credit manager's commission is higher to get you in a non-zero interest rate.

So the higher the interest rate, the higher the commission for the finance manager. The lower the interest rate, the lower the commission for the finance manager.
 
Da_Sperm said:
That is true. The higher the interest rate they give you, the more commission the finance manager gets. So if you have a credit score worthy of a 0% and don't get it, its because the credit manager's commission is higher to get you in a non-zero interest rate.

So the higher the interest rate, the higher the commission for the finance manager. The lower the interest rate, the lower the commission for the finance manager.
Click to expand...

Da sperm is correct - I miss understood your statement.
 
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