on the home stretch, EFCU should be receiving my POA today, car is arriving any day now at rockville. EFCU has been very smooth, other than having to snail mail items to them. Hope to have at least a day or two lead time on delivery of the vehicle so the check can be overnighted to TM in cali. the DS is being very quite in regards to an early delivery date, even though at this point its 100% going to happen (car is a day or so from rockville, and scheduled date is 17th).
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financing
- Thread starter Rawad H.
- Start date
It's because of the buy back guarantee at 3 years. They won't make enough $ from you to cover the liability expense. If you don't care about the buy back, check out EFCU. Much better rates.
EFCU gap will also not cover loans of more than 100k. At least this is what the rep at EFCU told me.
Yep. Turns out my insurance offers GAP for $145k 96 months for just $40 per year and you can remove it whenever you want. EFCU offer was $299 for life of loan, but as pointed out above, they only cover loans under $100k and 84 months.
I called Allstate and they don't offer GAP. They offer "new car" insurance which is replacement value, not fair market value, but it was +~$200/6-months more, and I suspect only available for the first year.
Trev Page
Member
Just out of curiosity, how many are financing their cars over 72 and 84 months? Is it to help spread the cost the car to keep the payments lower? I've never bought a car with anymore more than 5 years of payments. I could never imagine paying for something that depreciates like a car for 7 years.
If you can get a low enough interest rate, you can get the longer loan. Idea here is that you will have more money to invest that will make more than you have to pay in interest. But I bet most will spend that money elsewhere. Also, if you can get a longer loan at a low interest rate, one may do it in order to have a little safety net in case they need lower payments for a few months. You can pay off more principal per month than the loan calls for with being penalized. For me, i'm doing the 0.61 for 5 years which keeps my interest to about 2000 dollars for the loan (incredible). If I went with 1.11 for 7 years I'd be paying interest of $5100
paco3791
TMC OG
Just depends on what your other options for the money are. For example my credit union offers 3.09% to 5.09% interest on balances up to $20k. So any loan that's under that interest rate is basically paying me money to finance the car. Or for example I have other loans that are at higher interest. Paying off those loans with money saved by having a longer term lower rate auto loan, with a lower payment, is money in the bank. Of course all of this depends on your risk tolerance and where you are in life, stable job, etc.
Plus most auto loans do not have pre-payment penalties, so if you decide you want to "shorten" the term of the loan at some point just start paying extra, I just like having the flexibility to make that decision as my finances change.
Plus most auto loans do not have pre-payment penalties, so if you decide you want to "shorten" the term of the loan at some point just start paying extra, I just like having the flexibility to make that decision as my finances change.
Hey all, like many, working with EFCU given their very attractive rates. They are offering .87% on a 60 month loan of $70K for a P85D. To finish the application they are saying they need an MVPA showing that I have paid my down payment ($50K) and an outstanding balance of $0 with their financing included. Tesla is saying they won't furnish that unless I pay the down payment. So I have to go $50K in on the car before taking delivery, which isn't awesome. EFCU's request seems unique, perhaps that is the price you pay for their low rates, but I wanted to see if others are having any other experience. Thanks.
@Rossh I am borrowing from EFCU (second Time).
What you can do is
1. wire the funds into EFCU for the down payment.
2. Change the purchase agreement from Tesla to show the whole amount coming from EFCU.
3. Have EFCU write a check to Tesla for the whole amount.
In this way, you don't have to give Tesla any funds until you pick up the car.
What you can do is
1. wire the funds into EFCU for the down payment.
2. Change the purchase agreement from Tesla to show the whole amount coming from EFCU.
3. Have EFCU write a check to Tesla for the whole amount.
In this way, you don't have to give Tesla any funds until you pick up the car.
so here's some GAP thoughts and a question...
tesla's finance offer does not offer GAP.
Alliant offered GAP.
people report that EFCU offers GAP.
allstate in CA today told me they will offer GAP but only if you're an allstate customer.
geico does -not- offer GAP in CA, and they've quoted me a rate that's 44% lower than other major competitors.
so... if i go with Tesla's financing (which will be ~$50 more a month, will include the buyback guarantee, but won't include GAP), does anyone have any clever ideas about getting GAP insurance another way?
NuclearPowered
Member
What credit union are you a member of that is paying that kind of interest on deposits?
On another note, has anyone financed a used car at these rates?
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