anyone here work for them?

 

I have several close friends that work at different levels within Ford Credit.

 

What's your question dog???

 

Let me tell you about the "getting credit at the dealership SCAM"

Lets say you want to buy a new car and the dealerships talks you into "well just for kicks, lets see if I can get you a lower %apr than what you ahve on your pre-approved loan".
The dealership calls Ford Motor Credit.
They talk to a guy like me (or used to be me before I quit)

I run you information, I look at everything, credit cards, insurance, absolutely everything, if you put it on the applicaiton or not. I see it.
Then the computer spits out a NUMBER.
that is the interest rate if you are approved by the "computer".

I call the dealership back, or take him of hold and tell him the number. Lets say 5%.

The car sale guys goes up to you and says, well you are financed right now through your bank for 7%. I can beat that. I can finance you for 6.75%. Of course you are going to take it because it costs you less money and you are better off, Or are you?

You will pay the 6.75% to Ford motor credit. and Ford motor credit will kick back that extra 1.75% to the dealership.

so not only does the dealership make money off selling the car and all the extras, they make money off the financing as well.

The "financial manager" at the dealership is nothing but the guy who calls Ford Motor Credit and decides how high to increase the quote.

That is why I pay cash for my cars.

1. Talk them down to the lowest possible price
2. Then tell them you have a trade in and you won't take less than "X" dollars.
3. If they won't give you what you want, LEAVE another delaership will.
4. Then pay cash and walk away.

My Theory:
if you can't pay the vehicle off in 3 years, you shouldn't be buying it in the first place becuz you can't afford it.

 

It's not just Ford Credit that plays that game, every lender participates in one way or another. The only way Ford Credit (or any lender) can stay alive is to compete for the dealerships business.

I don't see a big problem with it, everyone is entitled to make a living, and no one puts a gun to your head in the finance booth.

If you have the good fortune of having squeeky clean credit, in most cases a little shopping around will produce a finance rate low enough that your money would be better off well invested, rather than paying cash for a vehicle that lost a large chunk of its value as soon as it hit the street.

 

Exactly. I see lots of people on here complaining about truck payments and then they go out and drop X amount on mods. Not very wise IMO and that's probably why you see so many Lightnings for sale in the classifieds.

 

I disagree, there's some people that could probably pay off their cars in one year, or pay cash even, but most of them choose to spread their checks out on house payments, multiples cars, boats, nice vacations, etc... Just my 2 cents, to each is own.

 

taxx,

Your opinion on car payments is moot.

 

l-menace let me ask you a question that Ive wondered about.

My L is the only vechile Ive ever financed.
When I bought it the finance guy started blowing smoke up my *** about how great of an intrest rate he had gotten for me.

I asked him how much, and he said 8.5%.

I laughed and said "No Way!"

Anyway we went back and forth for a good 45 minutes and finally got down to 5.3% with Chase Auto Finance.

I told the guy I didnt want to finance with Chase,I wanted to finance with FMC. He told me Ford would not approve me for anything lower than 8.5.

Anyway I think that is BS and that they get a bigger kickback/percentage from Chase.

What do you think?

BTW, I should add that I put $18K down,financed for 36 months,and have flawless credit.

Andy

 

A little harsh no?

Basic economic principles at work here. I may not have paid for my own truck, but rest assured I know exactly where and how the money came. Don't sell me short just yet

 

mswaim email me please...
tech@autopcsystems.com

 

EXACTLY:

they COULD pay it off in 3 years. but choose not to.

they CAN afford it!

 

I'm no financial consultant, I'm just a poor low student (woohoo 2/3 of the way through)

8.5% is CRAZY.. the Fed lowered interest rates to 1% to financial institutions. this is the lowest since like 1958.

if you think you are paying too much, call around and find a lower interest rate and re-finance.
I'm sure you have a LOT of Positive Equity in your truck and Lenders LOVE that, as rare as it is.

when I bought my truck I paid cash except for about $5K. (paid $17k used) I wanted to keep money in the bank for the truck (ie, replace intercooler, chip, MAf, intake, tranny, slicks, tractionbars etc...)

I'd look around for a lower interest rate...

Go download a program that calucates interest rates, and see how much you will actually lower your payment and save in the end.

if you only have a year left on your truck at lets say 7% and you refinance for 3 years at 5%, that's just crazy. But if you are relatively new into the loan then it might make sense to refinance.

DON'T TAKE ANY EQUITY OUT OF THE TRUCK. i don't think you could, but if you can DON"T! that's just crazy


My Opinion:
all this advertising for consolidating loans has really changed the publics view. IT'S NOT A GOOD THING.

all these companies advertising if you have a job, we can finance you IS NOT A GOOD THIN

all these ads giving anyone credit is NOT A GOOD THING, (this is what happened in 1931, which led to the stock market crash)

TOO MANY PEOPLE WITH TOO MUCH CREDIT, OVEREXTENDING THEMSELVES WILL BE THE DOWNFALL OF OUR ECONOMY.

OK OK OK I'm stepping off my soapbox.

 

Thanks for the insight.

I financed for 36 months but I'll have it payed for in 20.{just a couple more months}

Andy

 

I-menace, you're full of ****. Ford Credit does not give a specific rate to a dealer then kick them back the difference in what they charged the customer. FMC runs the credit then advises the dealer the level and pop score of the applicant. The dealer then refers to a matrix that determines the rate FMC will lend to. The dealer and only the dealer decides what interest rate to charge the customer. Just like any other bank FMC has no say in what the dealer does. Get your facts straight before you malign a good organization.
Jeff