Ford not accepting outside financing on Mach-e?

[Skip Towne]

Probably. They wouldn’t make anything off it.

When I bought mine, July 2021, dealer told me it would cost $1k more if I didn't finance. I told them I would take the advertised Ford Credit - 1.9% for 60 months.

The F&I goon called me a few hours later to report they got me "a sweet deal" with XXX monthly payment. Only after pressure did he reveal the sweet part was 4.69% interest (no doubt with a big kick-back from the bank)

Only after much arguing did did F&I goon acquiesce to FMC - but 48 months @ 0.9% - thinking I was adverse to larger payments. I jumped at that (remember, I wanted to pay cash - to avoid the F&I games) But, if I was going to finance in today's market - 0.9% was a pretty sweet deal-- at least in my view

Moral of the story - every dealer plays the game differently. Be willing to keep pushing and if it sounds screwy - ask them to put it in writing.

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[Avelli]

So if the dealer is still being stupid do it with Ford credit and then just pay it off in full the next day using your preferred bank loan. You then get the rate you want and the dealer doesn't get the kickback as you paid it off in full before the relevant time has passed.

Nah. Do it on day 89.

 

[scoopman]

My dealership called and said my car was in, to which I was very excited. They then told me that they were not accepting outside financing on Mach-e's and that if I was planning on financing that I would need to go through Ford, to which I was not very excited.

This is the first I've heard of such a policy, and the previous conversations I've had with them seemed to indicate that the financing I have through my bank was acceptable. Is this actually Ford policy or are they just trying to screw me? If they are trying to screw me, what options do I have to work around this? The Ford financing is a good percent and a half higher than what my bank will give me.

Thanks.

What lovely dealer is doing this one? That's insane.

 

[scoopman]

Putting my cynical hat on the dealers are probably doing this as they get a kick back from Ford for the purchase on ford credit finance. However they only get that after 90 days, double check but Ford credit normally has zero early payment penalties.

So if the dealer is still being stupid do it with Ford credit and then just pay it off in full the next day using your preferred bank loan. You then get the rate you want and the dealer doesn't get the kickback as you paid it off in full before the relevant time has passed.

This is normally why the bad dealers out there will give some BS reason about not paying the loan back in full for at least 90 days.

Yep just do this, I'm sure the dealer will really screw with you on the interest rate I'm betting.

You can go to an online bank like lightstream (or a credit union) and walk in with a check for the stealer dealer assuming you have good credit. They aren't refusing to take cash for the deal, are they?

 

[mjs020294]

Just get a Suntrust lightstream loan. Pretty good interest rates and they don't require a lien. The money is usually in your bank account within 48 hours of application. Then just pay cash.

 

[ChuckA]

Does that mean they also prohibit buying with cash?

If they really force you into financing you don’t want, just go with Ford Options for the rebate and immediately refinance with your outside loan.

Why not finance through Ford? Is any bank going to offer a lower rate? Sounds like this dealer just wants to make paperwork easy for them. If you show up with a payment the dealer shouldn’t care the source.

 

[ecom]

We just purchased our Mach-E Premium and the dealer would only work with Ford credit. We were fine with it because we have a credit union that beats anyone's rate by half a percent. We just made the down payment big enough to get the best possible Ford rate (still in the mid 2s) and before the first payment is due will have refinanced with our credit union.

 

[connoisseurr]

Does that mean they also prohibit buying with cash?

If they really force you into financing you don’t want, just go with Ford Options for the rebate and immediately refinance with your outside loan.

This. Definitely go Ford Options to get the Ford Credit incentive that's available for your state. Then, immediately refinance the existing note with the lender of your choosing. By doing so, this pays off the Ford Credit contract and the dealership is now responsible for the Ford Credit incentive that was handed to you for using Ford Options.

I also wouldn't bring too much heat into the dealership because if they are truly forcing you to use their financing channels, they can jack up the interest rate as much as they wish. So, even if you hold the financing contract for a month or two, you could end up paying unnecessary interest.

In short, take Ford Options, get an incentive from Ford Credit, and then refinance as soon as you have an account number with Ford Credit.

 

[RickMachE]

Does that mean they also prohibit buying with cash?

If they really force you into financing you don’t want, just go with Ford Options for the rebate and immediately refinance with your outside loan.

This.

Paying cash gives up the rebate. Free money

 

[Nklem]

Putting my cynical hat on the dealers are probably doing this as they get a kick back from Ford for the purchase on ford credit finance. However they only get that after 90 days, double check but Ford credit normally has zero early payment penalties.

So if the dealer is still being stupid do it with Ford credit and then just pay it off in full the next day using your preferred bank loan. You then get the rate you want and the dealer doesn't get the kickback as you paid it off in full before the relevant time has passed.

This is normally why the bad dealers out there will give some BS reason about not paying the loan back in full for at least 90 days.

"So if the dealer is still being stupid do it with Ford credit and then just pay it off in full the next day using your preferred bank loan. You then get the rate you want and the dealer doesn't get the kickback as you paid it off in full before the relevant time has passed"


Exactly.......

 

[MW1515]

My dealership called and said my car was in, to which I was very excited. They then told me that they were not accepting outside financing on Mach-e's and that if I was planning on financing that I would need to go through Ford, to which I was not very excited.

This is the first I've heard of such a policy, and the previous conversations I've had with them seemed to indicate that the financing I have through my bank was acceptable. Is this actually Ford policy or are they just trying to screw me? If they are trying to screw me, what options do I have to work around this? The Ford financing is a good percent and a half higher than what my bank will give me.

Thanks.

Not only are you price protected for any increase in MSRP from the date that you ordered, but you can get the incentives from the day that you ordered. I just picked up my MME last week and got 0% apr for 36 months bc that was available back in October. I bet Ford will be better when comparing last Fall to an outside banks rate's from now.

 

[All Hat No Cattle]

I never finance, so I'm not well informed about this stuff.

But, I remember reading this yesterday on the Lightning forum, applies to Mach E also.

It might explain why the dealer is doing what he is doing, or am I off base???

Ford Credit has released its "Always-On Rate" financing rates, effective May 6, 2022.

Always-On Rates are aimed at providing consumers with "a transparent and simple pricing experience." This means that dealers may not mark-up the finance rates.

Always-On Rates apply for Standard Retail, Options and Flex Buy Contracts on the F-150 Lightning.

Rates (up to 72 months) as follows:

Tier 0-1 Credit: 4.90%
Tier 2 Credit: 6.90%
Tier 3 Credit: 8.90%
Tier 4 Credit: 14.90%
Tier 5 Credit: Standard Rate

https://www.f150lightningforum.com/...ng-rates-released-effective-may-6-2022.10351/

 

[Mach-E-avelli]

Yup, they're screwing you! Bought mine 5/7/22. Ford rates were a point plus higher and they didn't seem interested in honoring the ford options plan so financed through a local Credit Union.
Good Luck!

 

[entenna]

Not true. I just picked mine up today. Ford offered 3.99% for 60 months but I financed with 1.99% through CEFCU (based on my request) which the Ford dealer had no issue offering.

 

[AKgrampy]

I would like to see a follow-up to the OP’s post. Why would a dealership go down this route as there really is no reason for it. Their job is to sell cars and whatever financing works to get the car sold is normally what the will do. The dealer can also up-charge in-house financing other than Ford Credit. Plus this certainly would not be their first rodeo and they know the purchaser can refinance the car right away and they would get nothing so why force them down this route? I realize many of you distrust dealers, and for good reason, but this would be cutting off their nose to spite their face. So I am curious to see if they forced you down the Ford Credit route or if you were able to secure other financing.

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