Ford Options...Ugh

back_at_it_19

Well-Known Member
Joined
Jul 9, 2020
Messages
362
Reaction score
321
Location
Seattle area
Vehicles
Soon: GB FE; Now: 15 Fusion Energi, 15 CMax Energi
Country flag
The Fed Box @RedStallion shared looks like the generic LAW contract that is used in CA. It won’t have the exact same language as the Ford Credit proprietary contract would (like mine here in MI that I shared). But don’t worry the CA LAW contract will still be put on the books under the Options program and serviced accordingly. There should have been a separate mileage disclosure form signed in addition to the contract form.
Good to know!!





Advertisement

 

RedStallion

Well-Known Member
Joined
Mar 9, 2021
Messages
176
Reaction score
180
Location
Bay Area, CA
Vehicles
Mach-E, Nissan, BMW
Country flag
The Fed Box @RedStallion shared looks like the generic LAW contract that is used in CA. It won’t have the exact same language as the Ford Credit proprietary contract would (like mine here in MI that I shared). But don’t worry the CA LAW contract will still be put on the books under the Options program and serviced accordingly. There should have been a separate mileage disclosure form signed in addition to the contract form.
The contract does have Odometer disclosure in it. There is a separate document about the incentives assigned to the dealer, which includes program number and amount.
1615656267232.png

There isn't anywhere on any forms any verbiage about the Ford Options terms though.
 

hybrid2bev

Well-Known Member
Joined
Dec 4, 2019
Messages
1,767
Reaction score
4,590
Location
USA
Vehicles
2021 Mustang Mach-E Premium 4X, 2020 Explorer ST
Country flag
The contract does have Odometer disclosure in it. There is a separate document about the incentives assigned to the dealer, which includes program number and amount.
1615656267232.png

There isn't anywhere on any forms any verbiage about the Ford Options terms though.
The generic California LAW contract is used by multiple auto lenders (not just Ford Credit) so it's not going to have language on it for Ford specific programs. Your loan will still be serviced under the Ford Options program.

You should have signed a forms that looks like these that describes your mileage selections and Options terms:

1615657521423.png


1615658587917.png
 
Last edited:

RedStallion

Well-Known Member
Joined
Mar 9, 2021
Messages
176
Reaction score
180
Location
Bay Area, CA
Vehicles
Mach-E, Nissan, BMW
Country flag
The generic California LAW contract is used by multiple auto lenders (not just Ford Credit) so it's not going to have language on it for Ford specific programs. Your loan will still be serviced under the Ford Options program.

You should have signed a forms that looks like these that describes your mileage selections and Options terms:

1615657521423.png


1615658587917.png
Alas, I haven't received or signed any of those forms.
 

hybrid2bev

Well-Known Member
Joined
Dec 4, 2019
Messages
1,767
Reaction score
4,590
Location
USA
Vehicles
2021 Mustang Mach-E Premium 4X, 2020 Explorer ST
Country flag
Alas, I haven't received or signed any of those forms.
If you want to be proactive contact your dealer. Otherwise your dealer will contact you when Ford Credit notifies the dealer that the forms are missing.
 

RedStallion

Well-Known Member
Joined
Mar 9, 2021
Messages
176
Reaction score
180
Location
Bay Area, CA
Vehicles
Mach-E, Nissan, BMW
Country flag
If you want to be proactive contact your dealer. Otherwise your dealer will contact you when Ford Credit notifies the dealer that the forms are missing.
Called the dealer. He said I signed the addendum electronically on iPad. The whole contract was on iPad in tiny font, impossible to read. Then he told me that the computer doesn't print that page. I requested a copy, he promised to try. He sounded like I was burdening him with unreasonable requests.
Big thanks to this forum, otherwise I would never knew this information.
 

VegStang

Well-Known Member
First Name
Leo
Joined
Jan 30, 2020
Messages
753
Reaction score
922
Location
Silicon Valley
Vehicles
Pacifica PHEV, Mercedes BEV (Past Fords- Escape Hybrid, 67 Mustang Convertible)
Occupation
Artist, animal rights activist
Country flag
So, would you know why the sales tax on a Ford Options loan be different than on a standard loan, car price being the same? I'm looking at 2 contracts now and confused why the Options loan shows about $140 less tax, all other entries, downpayment, car price, incentives are the same.

Sorry if this was already covered. Thanks again for all your guidance and help on the forum.

If you want to be proactive contact your dealer. Otherwise your dealer will contact you when Ford Credit notifies the dealer that the forms are missing.
 
Last edited:

hybrid2bev

Well-Known Member
Joined
Dec 4, 2019
Messages
1,767
Reaction score
4,590
Location
USA
Vehicles
2021 Mustang Mach-E Premium 4X, 2020 Explorer ST
Country flag
So, would you know why the sales tax on a Ford Options loan be different than on a standard loan, car price being the same? I'm looking at 2 contracts now and confused why the Options loan shows about $140 less tax, all other entries, downpayment, car price, incentives are the same.

Sorry if this was already covered. Thanks again for all your guidance and help on the forum.
Without seeing the details of the two contracts it’s hard to say for sure.

Options should be taxed the same as a normal retail contract, unless there is something different and specific to how your tax authorities treat balloon contracts. Or one of the contracts has an error.

Your dealer should be able to give you the purchase agreement details that were used to generate the contracts. Those purchase documents should have all of the values itemized so it should be easier to figure out the difference.
 

VegStang

Well-Known Member
First Name
Leo
Joined
Jan 30, 2020
Messages
753
Reaction score
922
Location
Silicon Valley
Vehicles
Pacifica PHEV, Mercedes BEV (Past Fords- Escape Hybrid, 67 Mustang Convertible)
Occupation
Artist, animal rights activist
Country flag
Thanks, yes this is an odd one, leaning towards an error since everything else is the same, only the tax is different on the actual purchase contracts. Of course since one is paying out the entire amount over 3 years while the other has the balloon the payments are different, but really weird- long story how we ended up with both. ;)

Without seeing the details of the two contracts it’s hard to say for sure.

Options should be taxed the same as a normal retail contract, unless there is something different and specific to how your tax authorities treat balloon contracts. Or one of the contracts has an error.

Your dealer should be able to give you the purchase agreement details that were used to generate the contracts. Those purchase documents should have all of the values itemized so it should be easier to figure out the difference.
 

phidauex

Well-Known Member
First Name
Sam
Joined
Dec 8, 2020
Messages
174
Reaction score
296
Location
Colorado
Vehicles
2006 Prius, 1997 Tacoma, 2021 MachE 4EX (someday)
Occupation
Renewable Energy Engineer
Country flag
So, would you know why the sales tax on a Ford Options loan be different than on a standard loan, car price being the same? I'm looking at 2 contracts now and confused why the Options loan shows about $140 less tax, all other entries, downpayment, car price, incentives are the same.

Sorry if this was already covered. Thanks again for all your guidance and help on the forum.
Is the Options loan taking advantage of the $2500 incentive? If so, that might be reducing the sales tax. $140 on a $2500 incentive would be a 5.6% sales tax rate, which is plausible.
 

VegStang

Well-Known Member
First Name
Leo
Joined
Jan 30, 2020
Messages
753
Reaction score
922
Location
Silicon Valley
Vehicles
Pacifica PHEV, Mercedes BEV (Past Fords- Escape Hybrid, 67 Mustang Convertible)
Occupation
Artist, animal rights activist
Country flag
The $2500 incentive is treated as down, so isn't factored in before the tax is figured. Along with the utility/California rebate- which actually makes even more sense, but still happens after tax is calculated. I'll work it out with dealer.

Tax in my county is 9.25%, higher than 84% of california...

Is the Options loan taking advantage of the $2500 incentive? If so, that might be reducing the sales tax. $140 on a $2500 incentive would be a 5.6% sales tax rate, which is plausible.
 
Last edited:

stmache

Well-Known Member
First Name
Scott
Joined
Oct 24, 2019
Messages
444
Reaction score
534
Location
Syracuse, NY
Vehicles
2021 Ford Mustang Mach-E, 2017 Ford Mustang EB
Occupation
IT Manager, Photographer
Country flag
What the scuttle on the current incentive being extended into/passed March 31st? My Mach E is due for delivery on April 2nd :confused:...
It should be renewed as it has been the last two quarters.

BTW, my dealer's finance person has no clue. I mentioned Ford Options twice in an email to her and all I got back was info on the Red Carpet lease and Ford/Bank finance options. Sigh...time to go look for those Ford docs to send her.
 
Last edited:

prdude

Well-Known Member
First Name
Bill
Joined
Feb 15, 2021
Messages
178
Reaction score
124
Location
pleasant ridge, MI
Vehicles
Space White w/Gray MME Prem ER RWD, 01 Miata
Occupation
engineer
Country flag
It should be renewed as it has been the last two quarters.

BTW, my dealer's finance person has no clue. I mentioned Ford Options twice in an email to her and all I got back with info on the Red Carpet lease and Ford/Bank finance options. Sigh...time to go look for those Ford docs to send her.
It took my dealer over a week to figure out Options. But once they did, all the numbers they showed me were exactly as expected.
 

Advertisement





 


Advertisement
Top