Ford Options questions

[hybrid2bev]

Another question regarding options...if I select the 48 month option but then want to, say, get into a GT in 34 months or something am I able to do that by turning/trading in the car? Does it act like normal financing like that or is it a hard 48 months?

If you turn the car in Ford Credit will apply a credit equal to the balloon amount towards the amount that you owe. You would still be responsible for any remaining balance still due after that plus mileage/wear and the disposal fee.

Or because Options is a retail installment contract (you own the vehicle) you could trade it in at any point just like a normal retail contract.

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[DBC]

Another question regarding options...if I select the 48 month option but then want to, say, get into a GT in 34 months or something am I able to do that by turning/trading in the car? Does it act like normal financing like that or is it a hard 48 months?

It's kinda like a lease in that you're on the hook for 48 months. But it's kinda like "normal financing" in that you can buy it by paying off what is owed, including the balloon, and then selling it, to the dealer or someone else. So I'd say on balance that "it acts like normal financing", with the caveat that you'll likely owe more than you would with standard financing.

 

[DaveQ]

How does a trade in work with options when there is a loan payoff? I owe 10k but my trade is worth about 19k. Does the full 19k come off the price of the car when figuring the max down payment or just the net of 9k?

 

[hybrid2bev]

How does a trade in work with options when there is a loan payoff? I owe 10k but my trade is worth about 19k. Does the full 19k come off the price of the car when figuring the max down payment or just the net of 9k?

Just the net equity balance of the trade in would count as down payment.

 

[DaveQ]

Does this look right?

 

[hybrid2bev]

Does this look right?

At first glance it looks like you're over the 30% max down payment. Should be around $16,900 max down. Cash Price x 30%. You'd have to double check with your dealer to confirm.

 

[hybrid2bev]

Does this look right?

Also when you're calculating the monthly payments remember that it's 35 or 47 monthly payments.

Excel PMT function

Rate/12, 35 monthly payments, amount financed, (-Balloon)

 

[DaveQ]

At first glance it looks like you're over the 30% max down payment. Should be around $16,900 max down. Cash Price x 30%. You'd have to double check with your dealer to confirm.

Got it! The additional cash I can put down is only $6,410.24 due to net trade being considered part of the 30% of cash price.

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