I have been looking to buy a new Diesel F-350 King Ranch. I've decided to special order one through my local dealership, but have no prior experience with this. We built my truck and my salesman gave me a price (which seemed fair), then gave me his estimated value on my trade-in (which wasn't as good as I'd like). He said that he would need a deposit of $1000, which would go towards my down payment. He also said that he would run my credit and figure out financing when the truck arrived in 8-10 wks. Does this seem right? I believe my credit is fairly good, but could they potentially increase the loan interest rate even if I qualified for a better rate just to increase their overall profit after the truck is built and they already have my $1000? Should I get them to commit to the financing before the order? I would appreciate any input from others, especially those who have special ordered a truck.

 

I recommend you get financing elsewhere. You can do MUCH better than at a dealer.

Do you belong to a credit union? If not, JOIN ONE! All it takes is a $5 deposit. They have great rates on financing. You can go to the dealer with an approval letter.

Some dealers have been known to approve financing, let you take the truck home, and a few days later call to say there is a problem and you were not approved. Then they tell you that you are approved at a higher rate. No honest dealer does this, but it is a common way for the dealer to up their profits. They often make more money on financing than they do on selling the truck. Don't fall for this.

 

An offer of financing is likely only good for 30 days anyway. I've been able to get 1.9% from Ford on my last two purchases, no one else around could touch it.

Mark is right, secure your own financing and work that against what Ford credit will offer. Settle for the better of the two.

As for your trade, they may take another look at it once your new truck comes in. This happened to me many many years ago and they ended up blowing me off the lot with a low ball offer after my ordered vehicle arrived.

Again, honest dealers don't do these things.

 

They'll have you by the ***** if you order it and wait on their financing, no reason they won't come up with 10% interest because you bought the truck and then would pretty much have to take whatever they give you.

As for the trade in aspect all you need to worry about if the difference doesn't matter what they give you for your truck or charge you for the new one, those numbers can be played with all day, the difference can't.

 

I would look for alternative financing. Doesn't mean you won't wind up with the dealer's package but you at least know what market rates are and can evaluate accordingly.

 

Don't take their first offer on the trade-in. That's negotiable too. If you have a popular truck, a private sale might get more money for it too.