Ford options strategies

[Pidg133]

I'm planning on going through Ford options plan and am looking for the group's thoughts on how to set it up. I'm planning to keep the vehicle through the end of the term and either balloon payment or refinance it, or may sell at some point before then. Since I really don't plan on just returning it is there any reason not to put the minimum miles for the options plan to reduce the monthly cost? (Other than if I were to return at the end of the term getting a fat bill)

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[macchiaz-o]

I'm planning on going through Ford options plan and am looking for the group's thoughts on how to set it up. I'm planning to keep the vehicle through the end of the term and either balloon payment or refinance it, or may sell at some point before then. Since I really don't plan on just returning it is there any reason not to put the minimum miles for the options plan to reduce the monthly cost? (Other than if I were to return at the end of the term getting a fat bill)

Sure... Get the lowest mileage option and, once you have enough saved to cover the balloon, pay the other month's payments at an accelerated pace and then pay off the remainder.

Personally, I chose the Options plan that's closest to my expected annual mileage. This way I still have the Return option in my back pocket in case that somehow turns out to be my best fit (though unlikely).

I am making the 36 monthly payments on schedule. Not accelerating them... My thought is that 2.25% (the rate on my loan) is sufficiently low such that I feel I'm better off dumping that ~$43k into in my retirement account rather than paying it off early to Ford Credit.

 

[Motomax]

The price of the vehicle doesn’t change. So Just ask yourself if you want a smaller or bigger balloon payment. Technically you’ll pay more interest with a smaller monthly payment but it won’t be much difference.

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