Wow. Thank you for the heads up!
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Thanks Bobbyducati! This forum is awesome. However my wife was making fun of me last night for being on a forum about a car! She doesn't understand a man's obsession with cars.
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financing
- Thread starter Rawad H.
- Start date
Wow. Thank you for the heads up!
- - - Updated - - -
Thanks Bobbyducati! This forum is awesome. However my wife was making fun of me last night for being on a forum about a car! She doesn't understand a man's obsession with cars.
MarcG
Active Member
I posted this in the "Energy Federal Credit Union" thread (mods should merge) but I also got a low $50k loan limit, despite excellent credit and strong mortgage history. EFCU claimed little car loan history 
Given that I was approved with Alliant for $100k loan (could go higher but chose to put 20% down on my P85D), this seems strange and I'm beginning to distrust EFCU - notwithstanding the old-school mail-in forms and antiquated website.
Anyway, last step is to apply through Tesla financing to see if it's worth getting the Resale Value Guarantee through them. I'll apply next week to be on the safe side of delivery since Tesla only allows 30 days between application approval and delivery.
Will keep you posted.
Given that I was approved with Alliant for $100k loan (could go higher but chose to put 20% down on my P85D), this seems strange and I'm beginning to distrust EFCU - notwithstanding the old-school mail-in forms and antiquated website.
Anyway, last step is to apply through Tesla financing to see if it's worth getting the Resale Value Guarantee through them. I'll apply next week to be on the safe side of delivery since Tesla only allows 30 days between application approval and delivery.
Will keep you posted.
MarcG
Active Member
Update: I was approved for a $100k loan with Tech CU at 2.99% up to 60 months, then 3.24% for 72 months and 3.74% for 84 months.
I was also approved for a $100k loan with Wells Fargo through Tesla at 1.99% up to 60 months, then 2.19% for 72 months. Chase's rates were slightly higher than Wells Fargo's. They both include Tesla's Resale Value Guarantee (assuming I service my P85D once a year).
So it's a no-brainer: I'm going with Tesla's financing, underwritten by Wells Fargo. I'm not sure what the deal with Energy FCU was, but they were the only ones to limit my loan to $50k.
I was also approved for a $100k loan with Wells Fargo through Tesla at 1.99% up to 60 months, then 2.19% for 72 months. Chase's rates were slightly higher than Wells Fargo's. They both include Tesla's Resale Value Guarantee (assuming I service my P85D once a year).
So it's a no-brainer: I'm going with Tesla's financing, underwritten by Wells Fargo. I'm not sure what the deal with Energy FCU was, but they were the only ones to limit my loan to $50k.
Marc - and anyone else who has some info, 2 questions:
1. Tesla financing was 1.99% at what down payment - is that the default 10% or did you go higher? I asked some time ago and Wells Fargo did go as low as 1.8% if you had a 40% down payment (that was maximum allowed to qualify for the guaranteed buy-back by Tesla).
2. Did you compare that with the new lease?
I usually lease cars, and I am almost sure I will return the P85D in ~3 years. On the Tesla website, the lease and loan seemed to be a wash in terms of total pay for first 3 years. If that be the case, might as well buy it.....
Thanks for the help
MarcG
Active Member
The new lease was still not attractive enough to me, as they tag on the $7500 tax credit the lessor gets back onto the residual value at year 3, making it a much more expensive option to buy at year 3 than financing through Tesla, yet having the RVG option in your back pocket to exercise a lease-like option.
I got the 1.99% rate for a 60-month loan with 20% down as my P85D was configured to come out to a price of just over $125k. Since I wanted to finance $100k of it, I chose to put down $25k + taxes/fees up front. Had I gone for the default 10% down Tesla assumes for a 72-month loan, I believe the rate would have been in the 2.3-2.4% range.
I got the 1.99% rate for a 60-month loan with 20% down as my P85D was configured to come out to a price of just over $125k. Since I wanted to finance $100k of it, I chose to put down $25k + taxes/fees up front. Had I gone for the default 10% down Tesla assumes for a 72-month loan, I believe the rate would have been in the 2.3-2.4% range.
majorlance
Member
I have an application in to EFCU for a P85D in Maryland... I should have rates in the next couple of day and will post results. They re-stated to me that they discount their rates by 1% for electric vehicles. I've leased high end cars for years and (since my wife pays the bills) have a strong credit score. I'm looking for about $100k in financing. I looked at Tesla lease and it isn't bad but the residual will sting if you plan to buy off of lease. But it helps to lower the payments.
I'll post rates once I receive them.
I'll post rates once I receive them.
preilly44
Member
I applied to Energy FCU and Alliant CU today for an 84 month loan for $120k. ACU said they needed 2 years of W2s and the past two pay stubs. Their rate was 3.24%. EFC sent it to under writing today and the rate was 1.36%.
My credit score is around 775 I think.
My credit score is around 775 I think.
For folks who financed through EFCU, do you have to fill out some kind of power of attorney letter? Mary said she will mail the form today. This is going to take forever I guess and who knows what exactly is that for? I am wondering if I should be lining up other source of financing now.. thanks
majorlance
Member
I was approved today and they are sending me the forms... My delivery is scheduled for the end of December (at least currently showing that) and I didn't get the feeling at all that the paperwork would be an issue. All they've requested to date is a paycheck stub.
I'm putting about 20% down and financing over 60 months.
The power of attorney I thought was a bit odd as well. They claim they need it for the DMV to attach the lien. On my P85+ I used Alliant, and I just had to agree to list them as the lien holder. I took care of the DMV paperwork since Tesla could not. Then once the title was issued, I set Alliant the receipt with proof that they were listed (Virginia uses an electronic title.) So in the case of EFCU, I think they just want the limited power of attorney to be able to attach the lien in case the borrower doesn't. They're very risk adverse and old school.
majorlance
Member
andrewket-
Did you go with EFCU? I'm in Maryland... I'll have to ask if Tesla will do the registration for me. Funny, I've purchased from Virginia dealers and they always were able to register in Maryland.
Did you go with EFCU? I'm in Maryland... I'll have to ask if Tesla will do the registration for me. Funny, I've purchased from Virginia dealers and they always were able to register in Maryland.
I did go with EFCU this time. Tesla can't register in VA.. or MD, I don't think. It's the whole tesla can't sell directly to consumers issue. Technically you're buying the car in California and taking out of state delivery. Once Tesla has the Tyson's location this will likely change; they will have a VA DMV license.
preilly44
Member
EFCU got back to me today saying they would only finance $85k instead of $120k. I'm debating if I should pay a little more interest and go with Alliant so I can invest the $35k difference.
gg_got_a_tesla
Model S: VIN 65513, Model 3: VIN 1913
If you believe all the crazy Tesla fanboys, $35k in Tesla stock today could pay for your car in 5-6 years.
Well, if I had left the money in TSLA that I put into my first MS back in Jan 2013 instead, I'd have had enough to buy atleast 3 P85Ds outright now
It's what it is; same with AAPL - one would always do better investing in the stock than buying the product.
But, someone's got to buy the stuff
gg_got_a_tesla
Model S: VIN 65513, Model 3: VIN 1913
On the financing front, going with Bank of America with their 2.34% for upto 60 months. With a Preferred Rewards Gold status, can knock an additional 0.25% off.
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