Best option to finance a vehicle?

Almost everyone is offering 0% right now. Take it out as long as you can b/c you'll make more on the inflation.

If not pretty sure Ally and PenFed are offering 1.9 for 60. I have Ford at 0% for 72 mos and a GM at 0% for 36 mos.

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Traditionally I always use the dealership for financing

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Dealerships tend to have higher inception fees through an internal finance manager through a CUDL system (Credit Union Direct Link). Also, keep in mind that a lot of the time dealerships will give you financing through them, when in reality they are getting it from an outside bank and adding points to pack a car deal with added profit for them. Hidden fees arent so hidden anymore if you read the contract you are signing thoroughly and asking about evey cent on there.

Get pre-approved through a credit union first and don’t tell them your rate or pre-approval letter for the purchase until they present their numbers first. Once the “floor manager” or “closer” comes in to replace the sales guy with their rate and payment portions you’ll see 9/10 they’re always higher with the rate even with a top end credit score. Once you hit them with your credit union rate, and letter the Finance Manager will drop their pants and will frantically try and match or beat your rate.

If you prefer to save time, you can do this all via email. However, IMO, I’ve had better results in person if the dealership feels the pressure and you always have the option to walk away, which the GM will run out to keep you from leaving.

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They believe (I agree) that these carmax, Carvana types are over extending offers and in another 2-3 years will be in financial hell; as a result, they aren’t trying to match those either

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Idk, if they offer you 10 and sell it for 15 they are making money. The dealer may offer you 6 and then hit you with a market adjustment in your new vehicle. They are fricking you.

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If you cannot afford the payments on a 3-year deal

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LOL

Just check the manufacturer financing options before going on the vehicle you want. A lot of times that is the best rate you'll get assuming you can qualify (not close to everyone does). Almost 100% of cases if you cant get that, you're probably better off getting a credit union/bank loan instead of the rates the dealer will pull. The rate the dealer will pull they always tack on a little extra to make a cut, this is part of how dealers make money on new/used car sales themselves. So if you can get say 2.9% from Bank of America for example, they may say they can finance you for 3.4% from Bank of America, they pocket that extra 0.5%.

Not near everything is 0% right now, although that certainly exists for a lot of models, it's not the standard by any shape of the imagination. A lot of 0% offers though are only for 36 months (see: Honda right now), so unless you have a substantial trade in or cash down, expect very large payments if you're financing say a $30k-$40k vehicle for just 36 months. A lot more American manufacturers run 0% for longer periods like 60-72 months.

I only buy vehicles with 0% financing and negotiate purchase price down beforehand. The process of dealing with people is exhausting but do some research for baseline numbers and never go in blind. Remember to keep it simple and take time to read line item charge by line item charge.

Never ever let them present financing to you in terms of a monthly payment. They will try that on people they perceive as suckers.

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Never ever let them present financing to you in terms of a monthly payment. They will try that on people they perceive as suckers.

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Otherwise known as 4-square method.

Negotiate trade separate from vehicle sale.

Get the price of the vehicle out the door, get the price they are willing to pay for trade in (separately). Then you try and get the interest rate/term you want.

108 month at 4.9% baw get you that platinum f250

Why is Toyota not doing 0%? Was doing the build options on the new Tacoma’s and they were showing 4.49%…

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if you do finance, don't do it for a period longer than 3 years. If you cannot afford the payments on a 3-year deal, get a cheaper car.

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worst advice in this entire thread