JellyBelly

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The Ford incentives change quarterly, correct? It's the expectation that the $2500 Options instant rebate will be extended? My car is being built March 8th so it will be a photo finish to see if it makes it by quarter's end...
Reasonable to think they will extend the same incentives for next quarter for MME but no guarantees. Current incentives have been the same since last quarter of 2020
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Papa Sm

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I picked my Mach-E up on 2/2 and my dealer, Encinitas Ford, has been terrific. There was a $2500 credit from Ford (still not sure why) and $1500 from California Clean Air so that knocked $4,000 off the top right away.

They really encouraged the service contract, which I laughed at thinking just how many oil changes would I need and Discount Tire rotates tires for free. But they took the time to explain it and I think what Ford's doing is making the contract attractive so they can keep tabs on its status and performance for their own data and records. Net result, the service contract covers everything including tire rotation, wiper blades, cabin air filters, and brakes. A full set of brakes can run $1,000! The contract was for 70,000 miles and the price was only $800. That was a bargain.

Now for the Ford Options. Since mine was the first one the dealer struggled with Ford and the programming to get it all done. The contract I signed Tuesday had to be cancelled and re-done Wednesday with the new numbers.

Here's how it works: They take the total selling price of the car - sales price off the sticker, add sales tax (because the Options is actually a purchase tax is up front on the total rather than on each payment with a lease), license, add service contract and any other fees for documents, etc.. From that number, subtract the Ford credit and Clean Air credit if you're eligible, and any money you want to put down. That's the starting number. I took a 3-year Options plan so they set the "balloon payment" for 36 months from now. The difference is the amount financed. In my area the interest rate for a standard purchase finance is currently 4.75%. The rate under Options from Ford is now 2.15%. Huge savings. It's all worked out even better than I anticipated from what's been available to read about it.
I contacted my dealer today to learn more about the Ford Options program here in Nevada. He knew nothing about it and asked the Finance Manager. He found out that the Ford Options program is NOT AVAILABLE in Nevada, New Hampshire, North Carolina, or Washington, DC!! Any finance "wizards" out there have any ideas WHY NOT in these states? Does it have to do with the balloon payment at the end?? Any of you in those states know about this?
 

macchiaz-o

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I contacted my dealer today to learn more about the Ford Options program here in Nevada. He knew nothing about it and asked the Finance Manager. He found out that the Ford Options program is NOT AVAILABLE in Nevada, New Hampshire, North Carolina, or Washington, DC!! Any finance "wizards" out there have any ideas WHY NOT in these states? Does it have to do with the balloon payment at the end?? Any of you in those states know about this?
Move to Arizona. We have saguaros. ?
 

vf1j527

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Keep in mind, even with an incentive, Ford Options might not cheaper than Standard financing, given that a 48 month loan can be had for 0.9% instead of the 2.25% of Ford Options. Basically that cash incentive is kind of partial compensation for the higher interest rate.

Assuming you are financing a total of $55,800 (what I got with premium awd/extended, black color, and no down payment), Ford Options will cost you $1893.21 more overall than standard financing after 48 months, after factoring in a $1,000 Ford Options incentive (the amount offered where I live in Michigan).

If your loan amount is lower, because you put in a down payment, bought a cheaper model, or plan to pay it off earlier, then Ford Options will be relatively better in value since the lower interest rate will have a lesser impact while the $1,000 cash bonus is same value regardless of loan amount or term length.

That said, there are unique advantages to Ford Options, such as a lower monthly payment and a high-depreciation insurance (guaranteed trade-in value at the end). If you were to invest the amount saved in the lower monthly payments (options was $384.64 less in my example per month) over the course of the 48 months, I calculated you would need to earn around a 4.9% rate of return on your investment (after taxes) to make up the $1893.21 saved by financing at 0.9% instead.

If you are in a location with a $2,500 incentive for using Ford Options, I would say it is always the best option; basically get a lower monthly payment and depreciation insurance for free as the total finance costs are about the same. However, if it is only a $1,000 incentive, it is a tougher call and I could see either Options or Financing being better depending on your particular financial situation and needs; neither a clear winner over the other.
Not to mention Ford Options also allows you to take scant age of the Federal Tax Credit?
 

VegStang

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The front of the cars look better too ;)

Move to Arizona. We have saguaros. ?
There is probably a state regulation against balloon loans on cars since those are used often by used car dealers to, shall we say, pad profits.

I contacted my dealer today to learn more about the Ford Options program here in Nevada. He knew nothing about it and asked the Finance Manager. He found out that the Ford Options program is NOT AVAILABLE in Nevada, New Hampshire, North Carolina, or Washington, DC!! Any finance "wizards" out there have any ideas WHY NOT in these states? Does it have to do with the balloon payment at the end?? Any of you in those states know about this?
 


generaltso

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My car is being built March 8th so it will be a photo finish to see if it makes it by quarter's end...
I wouldn't count on it being that close. Mine was built on 1/19 and has an ETA of 4/2.
 

Ma9573

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I wouldn't count on it being that close. Mine was built on 1/19 and has an ETA of 4/2.
Yeah I figured as much. Lol. In the end, as long as they keep the $2500 incentive for Options into the next quarter it doesn't really matter to me. But I guess if it did go away, I'd just go with the .9% financing.

With regard to your dates....There's gotta be something else going on there though, right? I feel like plenty of other people who've had there's built in mid January have received them, right?
 

generaltso

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With regard to your dates....There's gotta be something else going on there though, right? I feel like plenty of other people who've had there's built in mid January have received them, right?
Could be. My car did get delayed a week by going back to "in production" after it was already "awaiting shipment". Other than that, I guess it's just long travel time to Vermont. Why it's so much longer than NY or other surrounding states, I have no idea.
 

supertramp

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Question for the knowledgeable audience (I think I know the answer, but wanted to confirm - and of course, I will confirm with my dealer when it's time)

if I select Ford Options and chose 12K yearly miles, for example, but, at the end of the 3 years contract I had 40K miles on the car, will I have to pay for the mileage difference (40K - 36K) only I if I refuse to take the car in? Or I will have to pay the difference anyway (I hope not)?

Just a side question - never leased a car - sorry: if I chose 12K annual mileage, they are not checking it every year, right? They only check at the end of the contract and it should not exceed Number of Years x Yearly mileage (in my case 12K x 3 years) ? Do I understand it correctly?

Btw, everybody is talking about $2500 Ford Options incentive - and I see $2600 for my zip code in X-Plan :)
 

KAustin

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Correct, only if you don't but the car will you get charged the extra miles.

No, they don't check every year. Only if returning.

The $2600 is $2500 rebate plus $100 for early adopter noting that the self-driving system is not available yet.
 

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Thank you for sharing useful information for future funding. Many buyers face the problem of payment and purchase. Ford always takes care of their customers, so I prefer its products. By choosing Ford, you get not just reliable and comfortable cars but also profitable financing opportunities for purchases, world-class service, and at fixed prices. In addition, the probability that the bank will approve the loan is higher. The main thing is not to have overdue checking accounts. You can read here about how to close them — https://www.girokontokuendigen.de/de/. And Ford's unique warranty service program, if necessary, can be additionally extended for up to 5 years.
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