APR for Financing Model 3

[WierdMobile]

The Model S configurator currently uses 1.99% to estimate monthly payments. While the screenshots posted in this thread show that the Model 3 configurator uses 2.74%. I was expecting to be able to get the same financing rate on the Model 3 as the Model S, but it looks like the offer for the Model 3 is 0.75% higher. I wonder why that's the case. From the lender's perspective, wouldn't a smaller loan be less risky?

 

[mrongey]

Loan rates have been going up the last several months. It's possible that Tesla secured a rate for the S and X that they are still able go use, but had to open new negotiations for the 3. Another possibility is that there is probably a higher risk of default for people that are buying the 3 vs. the S or X.

 

[dsvick]

Keep in mind too that that is just an estimate. Your real rate will depend on several other factors and different lenders will, undoubtedly, have different rates so it never hurts to shop around.

 

[John E.]

I remember reading in one of the MS threads that it was cheaper to go to a credit union for financing instead of using Tesla's program.

 

[HumanGenome]

Alliant was offering 0.99% through end of Sept.

 

[Paladin732]

Tesla's configurator now shows the 0.99 for me

 

[Iggbastic]

Tesla's configurator now shows the 0.99 for me

Are you an employee and already can configure?

 

[WileyTheMan]

Are you an employee and already can configure?

Pretty sure they are talking about the loan for the S/X. It is at 0.99%.

 

[jtpassat]

I'm hoping the Alliant rates will stay low going into Nov. On the plus side, no new rate increases from the Feds.

 

[DAMON FELKER]

As of today (9-23-17)there is no leasing options for the Model 3 according to the Tesla store in San Diego UTC. Does anyone plan on using a banks or credit Union to pay for their model 3?

 

[rolson1011]

Tesla subsidzes the Model S and X considerably with their partner banks. They can chalk up the losses as expenses at the end of the year vs directly discounting vehicles.

Model 3 will have zero subsidies so will have the prevailing market rate for new vehicles which currently hovers around 2.5%

 

[ebwb]

Exactly. No need for subsidized rates on Model 3, which has tremendous demand.

 

[c1916]

At the risk of bumping an old thread back to life, I wonder if anyone with a recent Model 3 delivery date (or shortly upcoming delivery date) has stumbled upon deals that they might be willing to share regarding financing outside of Tesla.

I used Alliant for my Model S, so I'm not averse to going that route again, but the current rate there doesn't seem terribly enticing.

For the sake of argument, let's assume I have bullets credit and would be looking at a 24 or 36 month loan for something in the 55K range.

 

[SlicedBr3ad]

Btw, the rates went up or so I hear. Anyone financed through tesla and can confirm this rumor?

 

[EscoguyS75]

I did a four year at 1.75% with PMCU. Anyone can join.

 

[S3XY]

I did a four year at 1.75% with PMCU. Anyone can join.

It looks like you have to live in Southern California to join.

 

[Blurry_Eyed]

Btw, the rates went up or so I hear. Anyone financed through tesla and can confirm this rumor?

Financed my Model 3 today with Tesla. Received a 2.99% loan for 72 months ($53,000 financed). Loan provider is US Bank for my loan thru Tesla.

I looked around a bit and was seeing local bank and credit union rates around 3.45% to 3.99% with the recent rise in rates.

 

[smak]

US Bank shows they give you .5% off for a green loan. Did they mention anything like that to you?

That could be the difference.

It looks like Tesla's 72 month rates are usually pretty good, but they aren't as competitive when it's a 60 month period.

 

[bhzmark]

Penfed has 1.49 for 36mo

 

[Pinot.Noir]

I did 1.44% for 24 months with UNCLE Federal Credit Union in the tri valley.