Goodwill Customer Satisfaction: Jan '23 purchases, PCO receiving Ford Pass rewards points and transitional PCO (Ford Video Guy) YT video....

[MachKet]

With the Ford Option the customer owns the car. They will be paying the full balance with the balloon payment coming up.

Yes, but they also can turn the car into ford at the agreed residual value the loan was calculated at and choose not to pay off the balloon. I'm assuming ford is covering themselves from incurring too much negative equity in the future

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[4sallypat]

Yes, but they also can turn the car into ford at the agreed residual value the loan was calculated at and choose not to pay off the balloon. I'm assuming ford is covering themselves from incurring too much negative equity in the future

What's nice about Options is that you can buy it out at the end (agreed upon residual).

The big question I have is since they tax the entire vehicle at inception, would a buy out make you pay twice (residual value) on sales tax (California) ??

 

[dmac1418]

Wow, I missed the fine print about Options being the same as a lease. That is some BS considering (like others have said) that it is a retail contract.

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