I don't know the interest rates or residuals for RCL. Also I'll admit I don't know much about leasing in general. So are rates and residuals the only things one needs to know?
The shortcut is that, with the same amount down, the monthly payments will be $70 less and you'll pay $5000 more over three years and the buy out price will be much higher.
I was thinking about putting the entire purchase on the card not the down. I can see how accepting the down would work for them. As for the $500 deposit they already have counting against the limit: Shhhh. LOLYep! Every dealer has its own policies, of course. I put $3k of the Fiesta on credit card. That was its dealer's limit. Different dealer this time (and 8 years later) and so this time the limit is $3.5k.
Now that I think about it though, most of us put at least *some* amount of deposit on our cards already. So if my dealer thinks it through, then they'll only let me put another $3k on card since I have $500 already deposited by card.
Ford dealer offered an amount that was below both offers. So I told them no thanks since I had two better offers in writing. They asked about them and then very slightly beat the better offer.
Yeah I'm not good at this, either.
So the 30% down payment limit on Options is based off of your Total Cash Price (line 1 amount). The Total Cash price could include the sales tax (depending on your state's version of the contract).
Actually, this brings up a question: since I know my dinky little dealer near me is probably clueless, how will I know that they have me signing "Ford options" contract vs some other goofy thing? Will the contract explicitly call that out, or do I need to look for specific verbiage in the contract?So the 30% down payment limit on Options is based off of your Total Cash Price (line 1 amount). The Total Cash price could include the sales tax (depending on your state's version of the contract).
If your dealer does not put the sales tax on your financing contract, I'm assuming they will still have to put the tax amount on your purchase order because I'm assuming they have to prove they collected the sales tax to the tax authority.
I would think that it would be OK just like if you were to pay cash for anything else for the vehicle like the Doc Fees or Accessories, you're paying for it outside of the financing agreement. But I'm not in from the legal dept., so there's that.
Sample contract below: Always read your contract before signing.
Long reply here, sorry but thought some might be interested. I picked up my Mach E tonight (super excited, car is beautiful & drives great!) and my dealer quoted the options with a 4.5% APR even though my credit score is over 800. He said that was tier 1 rate. Where did you get a quote with the 2.5% APR on option plan? I am planning to finance with one of the credit unions they partner with for lower rate when they open in the morning. Look close when you get the details in writing. When they apply the APR rate and sales tax it's based on the full price rather than how a lease I always think of as based on the "part of the car you use over life of lease" for sales tax & cost of money/interest. The finance cost on their breakdowns were over $6k on 3yr option plan and almost $8k on 4yr. So even with the 2500 credit it seems like a lot of interest to pay for about $30k of car ($59k FE price less the residual value to buy car of $22-26kk or so at end of term).
The 2.5% APR comes from the Ford Calculator. AFAIK a credit score of 700-750 would be considered Tier 1 by Ford Financing. Over 750 would be Tier 0 as would a credit score of over 800. Your score of 800+ should put you in the Tier 0/Tier 1+/A+ class. Perhaps @hybrid2bev can confirm that or explain where this is mistaken.
Something is not right. The 2.25% options rate is right on Fords website when you select your socal zipcode. see the screencapture
I don’t think they quoted you the actual Ford Options financing. That should be 2.25% for 36 or 48 months. If you go to the Ford website and go through the ordering process for a Mach E and then click the financing options it’ll show you the interest rates for Ford Options and for financing. Financing you can get 0.9% for 48 months or 1.9% for 60 months.
