Finance Charges

BestTime · Oct 8, 2020

Since most of us are looking to finance our purchase, what are the best rates are you finding out there?

Nitro · Oct 8, 2020

The best rates I've seen so far is from a local credit union.

1.89% 24-66 Months
2.29% 72 Months

Loan Rates -

www.atfcu.org

SportyJames · Oct 8, 2020

I always use USAA and they are at 2.79

@Nitro thanks for that I will give them a call.

CRS2879 · Oct 8, 2020

My go-to CU's rates today:
2% x 48
2.4% x 63
2.95% x 75
3.75% x 84

KnightMare · Oct 8, 2020

I only use my credit union as a last resort...

Nitro · Oct 8, 2020

SportyJames said:
I always use USAA and they are at 2.79

@Nitro thanks for that I will give them a call.

I'm a USAA member and they have always treated me good. However I went through Austin Telco on my last car and they were easy to work with.

UBo32 · Oct 8, 2020

Is it better to go in pre-approved, or let the dealer shop for you?

Nitro · Oct 8, 2020

UBo32 said:
Is it better to go in pre-approved, or let the dealer shop for you?

I think it's a good idea to know what you are approved for before going into the dealership. That way you can give them a rate to meet or beat.

Brad1331 · Oct 8, 2020

UBo32 said:
Is it better to go in pre-approved, or let the dealer shop for you?

Its best to go in with a rate from your bank that they will give you but not tell the dealer you have already secured financing, then let them shop for you and sometimes you can get extra rebates if you go with their financing and occasionally they can get you a better rate...However if you don't go in knowing what your bank will give you for a rate some underhanded dealers will keep a holdback rate on top of your loan for doing the financing for you. For example you might qualify for a 3% through a bank and the dealer will charge you 3.75% and keep 0.75%

The other thing you can do is let them shop for you and then just refinance the loan with the best rate you can find after about 10 days. Think of refinancing like auctioning off your loan, where banks bid (via a low interest rate) to buy your loan....If you are a well qualified borrower this is most of the time the best option as with cars as long as you have sufficient down (at least 20%) banks are most likely to give you a competitive rate on a car you already own than on one you are just shopping for because a lot of time people add expensive (worthless) extended warranties and get scammed on crazy high bogus fees and "aftermarket" add ons that don't increase the value of the vehicle and decrease the loan to value ratio

KnightMare · Oct 8, 2020

UBo32 said:
Is it better to go in pre-approved, or let the dealer shop for you?

I always go in with my own rate and see what they bring to the table. I've gotten manufacturer financing to be lower and go that route a couple times with Ford Credit and VW Credit.

Loops · Oct 9, 2020

CRS2879 · Oct 9, 2020

Always best to know what outside rate you can qualify for before you get to the dealer's F&I office. Car dealers make ALL their profit in the service bays and F&I office. New car sales are really not the lucrative. Correction..."most" new car sales are not very lucrative. However, when you have a hot model, like the TRX, that can command ADM, then yes, these units will be very lucrative for the a dealers, at least initially.

BestTime · Oct 9, 2020

Nitro said:
I think it's a good idea to know what you are approved for before going into the dealership. That way you can give them a rate to meet or beat.

I completely agree. What has worked for me is the have a good rate and then see if they can beat it. Just like you would do shopping car prices under normal circumstances. You may be able to negotiate a better rate then they first throw at you. But, if you don't know where you stand before you go in, you are leaving yourself open to exploitation.

SportyJames · Oct 9, 2020

I have searched high and low and the 1.89 that Nitro posted is the best I have seen.

slopilot · Oct 9, 2020

If you have excellent credit, you should not accept anything over 2.99%. If you can get below 2%, grab it.

slopilot · Oct 9, 2020

To answer the OP more accurately I should say yes, be informed, and know what you can get, but let the dealer shop for you. They can often match or beat what you can get, and they do all the work. And you’ll typically drive away the same day.

ApexTRX · Oct 14, 2020

Very helpful thread. These rates posted are far better than what my local credit unions are advertising. A few years back one of the credit unions I was talking to said that in order to qualify, the member/borrower needed to reside in the same state AND that the vehicle could not be purchased out of state. Anyone have experience with this? I live in CA and my truck is coming from a dealer in CO.

Viking · Jan 12, 2021

Reviving this thread now that trucks are rolling out to customers and others are getting ready to take delivery. Any new info out there on rates? Dealer route or bring in your own?

CopBait · Jan 12, 2021

My Credit union (Coastal Credit Union) offered me 2.5 for 70. Last time the dealer beat my Credit union.. I'll let you know next week when I pick it up..

Kerry0805 · Jan 12, 2021

Brad1331 said:
Its best to go in with a rate from your bank that they will give you but not tell the dealer you have already secured financing, then let them shop for you and sometimes you can get extra rebates if you go with their financing and occasionally they can get you a better rate...However if you don't go in knowing what your bank will give you for a rate some underhanded dealers will keep a holdback rate on top of your loan for doing the financing for you. For example you might qualify for a 3% through a bank and the dealer will charge you 3.75% and keep 0.75%

The other thing you can do is let them shop for you and then just refinance the loan with the best rate you can find after about 10 days. Think of refinancing like auctioning off your loan, where banks bid (via a low interest rate) to buy your loan....If you are a well qualified borrower this is most of the time the best option as with cars as long as you have sufficient down (at least 20%) banks are most likely to give you a competitive rate on a car you already own than on one you are just shopping for because a lot of time people add expensive (worthless) extended warranties and get scammed on crazy high bogus fees and "aftermarket" add ons that don't increase the value of the vehicle and decrease the loan to value ratio

Good stuff, Brad.