ALLIANT 1.49% promo rate NOT applicable to model 3? Also no CA?

[xanatos]

I already have a used tesla loan with alliant, and this morning logged in to check on things.
On a whim I clicked on "apply for a loan" to see what to expect when I am allowed to order the model 3.
But was very surprised to see the details explicitly say that their promo rates DO NOT apply to model 3. Furthermore, California is explicitly excluded as well!

Does anyone have confirmation that indeed the above is true? If so that's a shame since they used to be the go to bank for many Tesla owners (new and old), many of which are in CA. Copy and paste of the terms below:


New Tesla Loan

• Vehicle has NOT been previously titled
• Vehicle is 2016 or newer
• Vehicle has less than 4,000 miles
• Promotional rate not offered in the following states: AZ, CA, CO, FL, GA, HI, IL, MD, MA, MN, MO, NV, NJ, NY, NC, OH, OR, PA, TN, VA, WA. Please see Tesla Finance for promotional rate
• Promotional rate of 1.49% does not apply to Model 3 applications
• If your loan is preapproved and is a Model 3, Alliant reserves the right to adjust the rate prior to closing
• Please call an Alliant loan representative for more information

Used Tesla Loan

• Vehicle has been previously titled
• Vehicle does NOT have a salvaged or branded title

 

[run-the-joules]

1.49% is well below market rates and the only reason they offer it for S & X is because Tesla is subsidizing it for promotional purposes (when the bank isn't getting the money from you, they're getting it from someone. Rule of thumb). There's no need for them to do this on the 3.

 

[Enadler]

Try Penfed. They are offering 1.49% for 36 months. I did not see any restrictions.

 

[K-MTG]

If anyone finds something at 1.49% or less please share.

I got a 72 month loan at 1.49% when I got my X for 72 months. I paid it off within two months...much earlier but wanted to do something similar with the 3 (will likely pay it off in a month or two)

 

[insaneoctane]

Paid it off in 2 months.... Give me a break. Oh, and you'll probably do it again for your model 3....why are you even reading this thread?

 

[K-MTG]

Paid it off in 2 months.... Give me a break. Oh, and you'll probably do it again for your model 3....why are you even reading this thread?

Because I have no idea if I will have the spare cash right now...doing some home renovation, family vacation, and I can’t find anyone to rent my old home.

If things work out...I will pay it off early. If not, I would assume the worse and get a loan

 

[insaneoctane]

If I was unsure if I was paying my $100K or $60K car over 2 or 3 months, the rate really would not matter in the least. At 1.49% $100,000 costs $125 per month. If I have that in cash available to drop on my car, I don't see why you would give half a sh!@ what the rate was....
Sorry if my jealousy comes off as anger...

 

[K-MTG]

If I was unsure if I was paying my $100K or $60K car over 2 or 3 months, the rate really would not matter in the least. At 1.49% $100,000 costs $125 per month. If I have that in cash available to drop on my car, I don't see why you would give half a sh!@ what the rate was....
Sorry if my jealousy comes off as anger...

I started saving for my X after I placed my initial reservation and did likewise with my 3. I statrted saving since March 2016.

But since I have all these projects going on....I may have to use some of my cash towards them instead of the 3.

 

[LCR1]

Why would pay off your car at 1.49% even a standard super safe money market typr account would be 3-5% which nets you 1.5-3.5% profit. I'll never understand how people manage to waste money.

DCU gave me 1.99% for 65 months.

 

[voip-ninja]

Why would pay off your car at 1.49% even a standard super safe money market typr account would be 3-5% which nets you 1.5-3.5% profit. I'll never understand how people manage to waste money.

DCU gave me 1.99% for 65 months.

Exactly. This year alone if you just bought an index fund you made 12% or better. Paying cash for a car when money is so cheap is just throwing your money away. If you don't know how to invest it they have people who will do that for you.

 

[jtpassat]

back on topic - let's get those banks and their rates posted!

 

[Qbenjamin]

Because I have no idea if I will have the spare cash right now...doing some home renovation, family vacation, and I can’t find anyone to rent my old home.

If things work out...I will pay it off early. If not, I would assume the worse and get a loan

1st world problems...

 

[K-MTG]

Why would pay off your car at 1.49% even a standard super safe money market typr account would be 3-5% which nets you 1.5-3.5% profit. I'll never understand how people manage to waste money.

DCU gave me 1.99% for 65 months.

I didn’t pay any additional rates when I paid off. (Except for the first two months).

 

[LCR1]

I didn’t pay any additional rates when I paid off. (Except for the first two months).

You're missing the entire point. If you paid an $80k loan @ 1.49% over 72 months you'd pay $1,162/mth and pay $3,679 in interest over the life of the loan.

If you put that $80K into a conservative investment account @4% compounding only monthly you'd end up with $101,659; a gain of $21,659. In that same time you'd have spent the $3,679 in interest on the loan so your profit would be $17,980. Even with a basic US government bond, you'd profit $7,598 after paying interest on the car loan.

 

[SageBrush]

Exactly. This year alone if you just bought an index fund you made 12% or better. Paying cash for a car when money is so cheap is just throwing your money away. If you don't know how to invest it they have people who will do that for you.

The more honest ones will tell you that past performance is not a promise of future returns.

 

[SageBrush]

If you put that $80K into a conservative investment account @4% compounding

Does that exist today, at a fixed rate ?

I agree that a 1.5% APR loan is probably a good idea,
but banks are not in the habit of losing money on the arbitrage.

 

[voip-ninja]

The more honest ones will tell you that past performance is not a promise of future returns.

My broker actually believes the current market is over-valued, by a lot. However he still made me plenty of money this year and well more than what I would pay in interest on a modest auto loan.

If you can't make better than 2% in the current financial environment you're doing it wrong.

 

[K-MTG]

Just spoke with Alliant...don’t want to do 2.49%.

Anything other than penfed?

Will need to check with Tesla or another lender on their rates. Or you will have to pay cash.

 

[DR61]

Just spoke with Alliant...don’t want to do 2.49%.

Anything other than penfed?

Will need to check with Tesla or another lender on their rates. Or you will have to pay cash.

SafeAmerica Credit Union is offering 1.49%, but for only 24 months if that is manageable.
Auto Loans – SafeAmerica Credit Union

 

[LCR1]

Tech credit union and DCU will both do 1.99

If your going to pay something off in a few months why are you worrying about a percentage point? You're talking 25-$50 difference between loans.