Financing options

[Sousaphil]

I was conditionally approved with PenFed. I faxed two paystubs and I just received an email that my application was approved. Now they need the following for processing:
- Year
- Make
- Model
- Vehicle Identification Number (VIN) of the auto selected
- Mileage
- A copy of the front and back of the Vehicle Title
- Name of Auto Dealer/Seller (or financing company*), including the address
- Amount to Finance (or 15 day payoff*)
- Does the vehicle have a current warranty plan? If so, purchase date.
- Are you interested in Mechanical Breakdown Protection (MBP)?
- Are you interested in adding Guaranteed Asset Protection(GAP) to your loan?
- A signed promissory note is required for all used auto loans and the vehicle
title reflecting Pentagon Federal's lien must be received within 150 days of
finance date.

I figure I'll just call their customer service hotline. They must be familiar with Tesla Model S by now!

 

[capt601]

I've been conditionally approved for a PenFed loan after 48 hours. Previously, I went on the Navy Fed site and found I was ineligible. They have a "Membership Wizard" with a series of questions about any (even tenuous) Navy, Coast Guard or DOD affiliation. I had none so the message read I was not eligible. Maybe there's an angle here that Capt601 used?

I had 2 previous loans with USA federal credit union and that CU merged with navy federal. However both of those loans were paid off before the loan for the Tesla. So maybe I had an in because of that. They didn't ask me any questions to check m eligibility. And I am not military at all. When I was in the local office they said it was fairly easy for others to get loans through them, even non-members. Maybe they were incorrect. Either way, at least for me, it was a very easy process.

 

[pete8314]

I was conditionally approved with PenFed. I faxed two paystubs and I just received an email that my application was approved. Now they need the following for processing:
- Year
- Make
- Model
- Vehicle Identification Number (VIN) of the auto selected
- Mileage
- A copy of the front and back of the Vehicle Title
- Name of Auto Dealer/Seller (or financing company*), including the address
- Amount to Finance (or 15 day payoff*)
- Does the vehicle have a current warranty plan? If so, purchase date.
- Are you interested in Mechanical Breakdown Protection (MBP)?
- Are you interested in adding Guaranteed Asset Protection(GAP) to your loan?
- A signed promissory note is required for all used auto loans and the vehicle
title reflecting Pentagon Federal's lien must be received within 150 days of
finance date.

I figure I'll just call their customer service hotline. They must be familiar with Tesla Model S by now!

Yeah, call them, they're confused. Everyone I've spoken to so far (all two of them) have been familiar with the Model S, and factory purchase model. They will not finalize the loan until you have a VIN and final MVPA showing exactly what you need to finance (ie showing whatever down payment you've made).

 

[SteveH]

They will not finalize the loan until you have a VIN and final MVPA showing exactly what you need to finance (ie showing whatever down payment you've made).

Not going through PenFed, but having similar problems with my local CU. After several phone calls and e-mails I think they finally understand that I'm not buy the car from a dealership. But they won't fund the loan without an MVPA from Tesla showing the loan amount. I haven't yet wired Tesla my additional deposit. So if I understand correctly my next steps are:

1. Wire my deposit out of my saving account.
2. Once the wire goes through then I need to call Tesla and ask them to produce another MVPA showing the amount still due.
3. My wife and I will have to electronically sign the new MVPA.
4. Tesla will have to sign the new MVPA.
5. Send the fully executed MVPA to may bank and pray that they haven't forgotten everything we've talked about so far and that I don't have to go through the whole, "So wait, why aren't you buying from a dealership? Is it legal to buy directly from a manufacturer?" thing with them again.

Does that sound correct?

 

[pete8314]

Not going through PenFed, but having similar problems with my local CU. After several phone calls and e-mails I think they finally understand that I'm not buy the car from a dealership. But they won't fund the loan without an MVPA from Tesla showing the loan amount. I haven't yet wired Tesla my additional deposit. So if I understand correctly my next steps are:

1. Wire my deposit out of my saving account.
2. Once the wire goes through then I need to call Tesla and ask them to produce another MVPA showing the amount still due.
3. My wife and I will have to electronically sign the new MVPA.
4. Tesla will have to sign the new MVPA.
5. Send the fully executed MVPA to may bank and pray that they haven't forgotten everything we've talked about so far and that I don't have to go through the whole, "So wait, why aren't you buying from a dealership? Is it legal to buy directly from a manufacturer?" thing with them again.

Does that sound correct?

Yep, think so. Tesla told me they won't produce the final MVPA (showing my contribution) until the VIN is known, which I hope is within the next few days, given my delivery window starts next Thursday. Being in Texas, and therefore slightly screwed in terms of including the sales tax in the total amount, I did ask PenFed if they'd cut 2 checks. The one guy I spoke said yes, but only if its on the MVPA, which it won't be, Tesla said they'd be able to provide an estimate of taxes, which won't wash for PenFed.

 

[JerryNycom]

Just called PenFed and joined over the phone for $20 total, which $5 goes into my account. He than took my app over the phone, confirmed they will do a loan for a Tesla Model S, and explained the loan will be 1.49% for 60 months, $70,000 max. They add $6/month for GAP insurance. Need to wait 24-48 hours for approval which than they need the purchase order from Tesla. Joining and application was 1-2-3. I just got my Finalize Now email so i figured i would try PenFed. You cant beat 1.49% right now.

 

[Enadler]

Just called PenFed and joined over the phone for $20 total, which $5 goes into my account. He than took my app over the phone, confirmed they will do a loan for a Tesla Model S, and explained the loan will be 1.49% for 60 months, $70,000 max. They add $6/month for GAP insurance. Need to wait 24-48 hours for approval which than they need the purchase order from Tesla. Joining and application was 1-2-3. I just got my Finalize Now email so i figured i would try PenFed. You cant beat 1.49% right now.

Jerry how long is the approval good for and is your rate locked for the entire period. Finally are you required to purchase the GAP insurance? Doesn't seem prudent if you are putting money down as they will only finance up to $70k.

 

[tdiggity]

Jerry how long is the approval good for and is your rate locked for the entire period. Finally are you required to purchase the GAP insurance? Doesn't seem prudent if you are putting money down as they will only finance up to $70k.

Rate locks in as soon as the check is cashed, I believe.

You are not required to take the GAP insurance.

 

[JerryNycom]

Jerry how long is the approval good for and is your rate locked for the entire period. Finally are you required to purchase the GAP insurance? Doesn't seem prudent if you are putting money down as they will only finance up to $70k.

Gap is optional and the approval is good for 90 days, but believe rate is not. When I got my FINALIZE NOW email I called Tesla and they are pushing anyone with the 85KW battery to build their car and delivery they claim, is within 3 months. Thats why I wanted to try PenFed and and take the 90 day window and risk maybe re-applying if it expires. All they really do at that point is make sure your credit score didn't change. I know hitting my credit again isnt the best thing but worth the 1.49% they offering. Still waiting on my approval which they said could be 24-48 hours.

 

[spatterso911]

It goes pretty quickly once they conditionally approve you. They then want the revised MVPA that indicates that they are on the hook for the amount requested and another funding source (yourself, sugar mama, whatever) will cover the remaining balance. Once that is done, they cut a check and send off. You can send via regular mail or express delivery ($15). They are incrementally populating the databases for Tesla, and once you have the VIN, I suggest moving quickly to get the above done.

 

[loganss]

I've got a 1.99% for 84 mo from my local credit union. I'm kind of surprised they have that low a rate for so long but I'm not complaining.
Loan Rates

 

[mrjohnlnguyen]

School's first credit union in SoCal is offering 1.99% up to 100% fin and no payments for 90 days!

 

[SteveH]

For those financing a car in Texas there are a few extra steps that I've discovered (so far, car still not received). They are posted here for reference.

 

[carrerascott]

Just wanted to add my experience with USAA today. I had a loan for $90k (60 mos) at 2.25% approved with them. I called them up and told them about the PenFed 1.49% rate, and they changed my rate down to 1.48% (same $90k and 60mos). They said it was several factors (my time with them, investments and banking with them, insurance with them, etc) -- so YMMV -- but if you have a good relationship with USAA, you may be able to get a pretty great rate (IMHO).

 

[riceuguy]

And I did a pre-approval with Amplify FCU...they've done a number of Model S and can handle the special Texas requirements (e.g., a bridge loan for while the car is in transit). They will do a loan of up to 125% (no specific upper limit) of the value of the car so that you can include things like extended warranty and sales tax (for states where it needs to be paid separately). The only bad news is that the rate lock is for 90 days, and it went from 1.69% yesterday (when I applied) to 1.99%, and it sounds like my car may not be ready in 90 days. :-(

 

[LagunaDallas]

And I did a pre-approval with Amplify FCU...they've done a number of Model S and can handle the special Texas requirements (e.g., a bridge loan for while the car is in transit). They will do a loan of up to 125% (no specific upper limit) of the value of the car so that you can include things like extended warranty and sales tax (for states where it needs to be paid separately). The only bad news is that the rate lock is for 90 days, and it went from 1.69% yesterday (when I applied) to 1.99%, and it sounds like my car may not be ready in 90 days. :-(

Any chance you have a specific contact there? I've narrowed down financing to the last few options and need to pull the trigger quickly. Thanks!

 

[artsci]

I highly recommend PenFed. I've had a great experience with them so far as I've sought 90 day pre-approval.

 

[pete8314]

I highly recommend PenFed. I've had a great experience with them so far as I've sought 90 day pre-approval.

They're good, 'old-fashioned' (which I think they are) has pro's and con's, they're great until you're in a pants-on-fire hurry, then it gets a little more stressful. Still, I like em, and the rates are excellent.

 

[artsci]

They're good, 'old-fashioned' (which I think they are) has pro's and con's, they're great until you're in a pants-on-fire hurry, then it gets a little more stressful. Still, I like em, and the rates are excellent.

Having read many of the comments on the PenFed thread I'm getting out in front so I don't have to rush anything when I get delivery notice. I want to have all of the ducks in a row.

 

[highedu]

Anybody know of any good rates being offered in the Bay Area? I say that because I would like to do a 72 or 84 month term and it seems like you have to be military to get a good rate with those terms. Under 2.5% would be ideal.