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Getting Close to a Reservation, Financing and other Questions.

Discussion in 'Model S: Ordering, Production, Delivery' started by jeffro01, Feb 19, 2013.

  1. jeffro01

    jeffro01 Active Member

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    Good Morning,Afternoon,

    My apologies up front if I ask anything that has been answered and I just missed it during my search.

    So essentially I am eager to get my Model S reserved, finalized, and delivered. My wife is mostly on board with this process except for the fact that she is the financially practical one and I'm well... Not... So as part of this process we, well she, has come up with a set of questions\concerns that I must address before I can make this process go forward. I have sat on this for a few weeks while I make sure that I'm 100% committed to this before I waist mine, and more importantly, any of the forums time. So here is goes.

    1. While I have not applied, my plan is to finance with KeyPoint CU here in the Bay Area. It seems to get good reviews here and it's local to me which is important to me. I bank with Bank of the West normally but haven't approached them on this since their rates are not likely to compare at all.
    1a. This is where it get sort of complicated, I have a 2008 Silverado that I want to "trade-in" on this but where I'm stuck is Tesla's trade-in process appears to be more of a joke than a serious attempt by them at this time. Considering the other challenges they have faced I can see why this isn't a major focus right now. In addition to that, like a lot of people who have been trading and buying ICE for years, I have some negative equity on that vehicle. What I'd normally do is just take the negative equity and apply it to the loan for the "new" vehicle. Does Tesla allow that? Does anyone have any experience with that? I realize that KeyPoint is going to play a role here so anyone with any input on that side is appreciated as well.
    2. I got a quote for the additional outlet in my garage but since I rent right now I'm going to use the 8911 tax credit to help convince my landlord to pay for some, if not all of it, anyone tried this with success before?
    3. Anyone have any experience with the rear-facing jump seats and CA law? I tried finding a good answer but the information is all over the place, just looking for a clearer picture on this.
    4. My understanding, and please, please correct me if I'm wrong, is that you put the $5K down and then you finalize but if for any reason you can't purchase when the car is done you have simply forfeited that $5K and Tesla sells your car to someone else. Is that accurate? While I don't anticipate that being an issue as I have a great job and "perfect" credit, you just never know and I hate surprises...

    Thank you for your time and input, help, guidance. Because of the amount of miles I drive a month (will fit nicely with the 85KWH) and the way the company I work for reimburses my mileage, the car almost half pays for itself...

    Jeff
     
  2. neroden

    neroden Happy Model S Owner

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    My recommendation, after yelling at Tesla for several hours for the third or fourth time over things which should be much simpler? Don't even try. Tesla is dreadful at dealing with anything even slightly out of the ordinary.
     
  3. NigelM

    NigelM Recovering Member

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    That didn't get you what you wanted? Hmmm, strange.

    - - - Updated - - -

    Best advice is to talk to your nearest Tesla store and see what they can do. Some States aren't even doing trade-ins yet and I believe those that are go through AutoNation or similar. If Tesla gets the total sum of money matching the sales price, I doubt that they will care how you get there.

    Try looking around or asking in the local section for California.

    You are correct. I don't recall any forum stories of people losing their deposit but that maybe because 99% of the folks on here couldn't wait to get their car.
     
  4. jomo25

    jomo25 P4398

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    Were you trying to finance 100% of the price? Or just some? It depends on your CU's policies. For example, some CUs will let you finance 100% of the sticker price. So, say you are $2000 in the hole for the current truck. If you can get a loan for the total price of the car, then you'd basically just have to pay the $2000 to get out of the current car and apply the loan money towards the S. Some CUs let you even finance up to 110% of the sticker. Mine does normally. In this case, it'll really help if you are under water on your current car and don't want to put anything down. (That said, my CU does have a special policy for EVs - they will only finance up to 90% of the sticker. Not sure why, probably just because they don't have enough residual value data to feel confident doing 100% or more)

    As stated above, Tesla just wants the money for the car. How you get there, doesn't really matter (though timing of checks and getting paperwork done right might be some trouble due to their newness as some might say).

    As for what happens if you don't take it after finalizing. Yes, you'd likely forfeit the $5K. Now, the MVPA seems to imply that it could be more (legal fees, reselling fees, etc.) These aren't stated directly. But it says you may be liable for any cost due to your not taking delivery plus the forfeiture of any down payment.
     
  5. jeffro01

    jeffro01 Active Member

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    Sorry for my late reply... Thanks for the info provided thus far.

    In any case, outside of the 5K down I do not want to put any more down on the car. So depending on the percentage there is a chance that I'd need a little over 100% financing of the car. I think, even though I hear from more than one source that it's not worth the effort, that I'll just go ahead and reach out to Tesla and see what they say. :) Maybe I'll be pleasantly surprised. :)

    Thanks!!!

    Jeff
     
  6. Objective1

    Objective1 Member

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    @jeffro01 Are you sure you want to do this? 100% financing a $60,000+ car, when you are underwater on your last vehicle purchase, doesn't sound very wise. Can you manage to pay off the Model S within 5 years?
     
  7. Trnsl8r

    Trnsl8r Blue 85kwh since 12/8/12

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    I'm not one to tell others what to do, but this is sound advice. My thoughts exactly.

    - - - Updated - - -

    What's the concern here?
     
  8. jeffro01

    jeffro01 Active Member

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    I'll be fine. :) I usually don't have cars longer than two years and I have yet to pay one off which is why I always carry a little negative equity with me as I trade car to car. Payments wise, etc... I make plenty of money to cover I just am not car payment adverse, I know plenty of friends of mine that pay cash and hate having payments, I am the opposite.

    Regarding the jump seats, CA is an odd state with minimum ages and weights before you can move from a car seat to a booster seat to a regular seat. It's my understanding that because of the harness that it qualifies as a booster seat. That's what I'm trying to make sure I do or do not understand. :)

    Thanks for the help and concerns. :)

    Jeff
     
  9. montgom626

    montgom626 Active Member

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    You yelled for hours? I would have hung up on you. Why would anyone expect to be yelled at for hours? If you yelled at them for hours, then shame on you.
     
  10. brianman

    brianman Burrito Founder

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    Also, what is your number and how much do you charge? I have this neighbor that needs a good yelling at...
     
  11. Trnsl8r

    Trnsl8r Blue 85kwh since 12/8/12

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    Well I just got mine installed and here is a pic of the label that is front and center on the seat. Take it for what it's worth...

    Skärmavbild 2013-02-23 kl. 22.20.22.png
     
  12. jeffro01

    jeffro01 Active Member

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    That certainly helps. :) Thanks!!!

    Jeff
     

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