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CPO loan rate change

Discussion in 'Model S: Ordering, Production, Delivery' started by lookmtb, Jul 14, 2017.

  1. lookmtb

    lookmtb Member

    Joined:
    Jun 18, 2017
    Messages:
    13
    Location:
    Columbus Ohio
    Hello all!

    I'm a fairly new member here and a (soon to be) proud owner of a CPO P85+. I'm currently still working out financing this thing and I've run into a situation that I'm not sure what to do about.

    Around June 11th I sent out a bunch of loan applications. Several came back approved, others didn't. The one I was planning on going with was Digital Credit Union. They had a decent rate that I felt comfortable with. I should note the rates were only communicated via phone. I got no paper work or anything like that stating the rate.

    Now, several weeks later I call again to make sure things are good and to ask about sending them my purchase agreement, and suddenly they've adjusted their rates.... Significantly, and not in the good direction.

    So my question is this: can they do that?! It seems very strange/ kinda shady that they can adjust the terms whenever they feel like it. I suppose because I hadn't officially accepted it maybe?

    Anyways I appreciate any input or advice. Thanks in advance!
     
  2. Mickie

    Mickie Member

    Joined:
    Jun 23, 2016
    Messages:
    402
    Location:
    Chicago
    If they ran your credit and approved you, your rate should be locked in for 30 days. At least this is how it was with Alliant Credit Union. Double check on that…
     
  3. Az_Rael

    Az_Rael Supporting Member

    Joined:
    Jan 26, 2016
    Messages:
    2,329
    Location:
    Palmdale, CA
    You should have gotten a memo in writing with your approval, the rate and how long the rate was locked in for. That's how my credit union does it.

    If you applied online there should be a paper trail somewhere.

    If you did everything over the phone, you will need to contact the loan officer who ran it the first time and ask them why it changed.
     
  4. lookmtb

    lookmtb Member

    Joined:
    Jun 18, 2017
    Messages:
    13
    Location:
    Columbus Ohio
    @Mickie thank you for the response. That was assumption on how it should go. Also I should have noted that their offer is good for 45 days, so I still have some time to figure this out with them.

    @Az_Rael I'll have to double check. It's kinda weird with these guys because of the whole membership thing. They wouldn't let me log in online to see until I became a member, which I did before I knew about this rate hike... And they didn't exactly send much through snail mail.
     
  5. candersoh

    candersoh Baltonomous Farms

    Joined:
    Dec 14, 2014
    Messages:
    40
    Location:
    Boulder co
    what rate are they quoting you?
     
  6. lookmtb

    lookmtb Member

    Joined:
    Jun 18, 2017
    Messages:
    13
    Location:
    Columbus Ohio
    @candersoh originally it was 2.99 for 72 or 4. 5 for 84. Their "adjusted" rates are 3.74 for 72 and 5.2 for 84. They also added a slight stipulation that if I opened a checking account with them that would cut my rates, but still not as good as it was originally... Keep in mind I'm young with not much credit history.
     
  7. JohnnyG

    JohnnyG Weee!

    Joined:
    Jun 24, 2016
    Messages:
    277
    Location:
    Columbus, OH
    Now that you're a member, have you been able to login to see your account and check if they have a document repository with a digital copy of your original rate/term agreement?
     
  8. lookmtb

    lookmtb Member

    Joined:
    Jun 18, 2017
    Messages:
    13
    Location:
    Columbus Ohio
    So just to close this out, one last update for those who might find this later. I called back and spoke with another person at the bank. They told me I was approved for the original rates. When I asked what these rate changes were about, she told me that while there was a rate change in the company I was not affected because they had already quoted me. Short of the story is the other dude didn't know what he was talking about.

    Thank you all for your helpful responses.
     
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