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Tesla Loan - additional payments are not applied towards principal and only a credit for future payments due

I bought a 2022 Model X Plaid in April 2022 and I got my loan directly through Tesla. This loan is not service by US Bank, Chase Etc.
My down payment was only $13k because we got an opportunity to get the car the same day and didn't have the cash available that same day (I don't want to get into how we go the car in 1 day on this thread)
Since then, I have made additional payments of $48,000.
I asked for my payoff today which can only be obtained if you call Tesla finance directly because Tesla finance said Tesla loans are new for them and they "are still working out the details on the App and Website."
My payoff doesn't include the additional $48,000 payment. The payoff quote they sent me was $140K.I have no idea where they are getting $135k from the email they sent me.
Tesla finance told me that the $48,000 is just a credit and that I still need to pay the $135k to satisfy my loan. Below is the exact email:

-----------------------
"Please see attached for the requested payoff quote for your Tesla Model X. The payment instructions are included in the payoff letter. Please not that you have a credit of $48,000.00 in the account. In order to satisfy the loan you will need to make a payment of the difference $135,481.70 by 05/27/22. If the payment is sent in a method not listed, you may be responsible for any additional charges that occur due to delayed application of said payment.

Please reach out, if your financial institution does not authorize a wire transfer and we will provide you with our address of where to send a payoff check.

Once the payment has been received, and account audit has been completed, the title will be released to you and sent to the address that we have on file. If you require the name or address to be different, please let us know and we will do our best to accommodate the request. Please note that there may be a delay in our ability to send the title depending on if we have received the title from the state.
"
Best Regards,

xxxxxx S
Financial Services
12832 Frontrunner Blvd. Suite 100, Draper, UT 84020
E. [email protected] T. 844.xxx.xxx

-----------------------
Cost of car = $158k
Downpayment = $13k
Additional Payments = $48k

Has anyone else had this issue where their additional payments are not applied to the principal of the balance? Technically, the additional payments are not reducing my daily accrual of interest.
 
I did talk to Tesla finance today. The initial payoff was $140k and the additional payments just sit as credits in the account.
  • Tesla finance said their auto loan system is very new at Tesla where they do not have the functionality to display:
    • Current balance
    • Payoff amount
    • Additional payments made towards principal
    • The monthly statement also does not display the current balance, only amounts paid
  • All the above have to be requested by calling Tesla Finance and calculated manually.
Either way, I called and they said they will be able to manually calculate my payoff and send me a Payoff quote for $92k.

Tesla, why are you servicing auto loans if your systems aren't fully built out.
 
@ATPMSD, Using Tesla finance was the easiest option because we needed to made a decision quickly, same day, on whether we were getting this car. I got denied by USBank and Chase during the application. It might of been because we only put down $13k.
We did not have a reservation for the X. Coming up with $160k in a few hours wasn't possible. If we waited another day, the car would have gone to the next person in line.
We also knew we were going to pay the car off in a month or so. Tesla gave us a 5.49% rate for 72 months.

I don't recommend using Tesla finance either, until they get their stuff together.
 
So I have an update.
Tesla Finance received my payoff check on May 26th @ 9:30 AM PT.
20 days later, they still can't find the check, they are so unresponsive and they continue to deduct my monthly payment.

This will definitely be the last Tesla I own. Their cars aren't worth the customer service headache.
 

ATPMSD

Active Member
Mar 12, 2021
1,445
1,366
Atlanta, GA
So I have an update.
Tesla Finance received my payoff check on May 26th @ 9:30 AM PT.
20 days later, they still can't find the check, they are so unresponsive and they continue to deduct my monthly payment.

This will definitely be the last Tesla I own. Their cars aren't worth the customer service headache.
If they are drawing from your Bank, tell the Bank to stop paying.
 

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