Check to see if you refinance with your credit union if it counts as a new car or used car. I came across a similar deal but I asked my credit union for the rate and was told it wasn’t considered a new car any more. I think it was .5 % difference maybe more. For me it was a better deal to use the credit union from the start instead of taking the money from ford.

 

FC needs to issue an acct # before another bank can buy out the loan. Takes a few weeks, but you usually have a month or so before first payment is due, at least that's what I experienced.

 

I checked with my local credit union and it won’t be a problem refinancing at new car rate. In fact, 2013 to 2019 vehicles have the same rate with them.

 

Last Friday I just bought a 2019 F150. The rebate for financing with FMC was $750 on the F150 and dealer said needed to finance at least $10,000.

I also asked what is max I could put on a credit card to get points. They said $5,000, At 1.5% cash back on the Credit Card I get $75 back. Then I wrote a check for $11,500 to bring the remaining balance to $10,256 to get the $750 finance rebate.

I just called FMC at 1-800-727-7000. and got my account number by automated phone system AND just paid off the loan today.
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I've attached the sales contract below.

$44,550 MSRP (Sticker top line was $44,550 then minus $2,250 in ford pkg discounts, so $42,300)
$34,083 price after Ford pkg and dealer discounts
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+$3,483 Sales tax, dealer fees and Tags
$ 37,506 sub total after fees, taxes and Tags
-$10,750 in Rebates, incentives and PCO
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$26,756 Out the door price.
-$5,000 put on credit card
-$11,500 paid with check
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$10,256 financed at 72 months @ 5.87%
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You can call FMC at 1-800-727-7000. a few days after buying the car and get the loan number from their automated phone system using your last name and Social Security number. Then create an online account and set up payoff.
If you want to refinance it just give the loan number info to your credit union and they will do the rest.

I just paid my 5 day old loan off today.

 

You might feel like you got a great deal, and I'm sure you did, but that dealer wasn't entirely honest with you either. Why would you have to finance the entire amount to get the loan? You don't, in fact, you don't really even need them to get that loan, you can get pre approved through FMC beforehand. They must have been telling you that to get a larger kickback or whatever it is, if you do actually make 3 payments. That $1k is from Ford, not the dealer, they were playing some weird game that would have pissed me off if I was the one buying. All that really matters at this point is that you are happy with the deal, and it sounds like you are.

I wonder what dealer discount they would have tried to offer if you said, "nah, I only want to finance $30k, and maybe I'll make 3 payments". I bet they wouldn't have changed thier discount enough to make you walk. If you dont mind sharing the breakdown of discounts, I would be interested to know.

As for the high rate, that's typical on the Superduty when going 72 or 84 months with the rebate. I was shown 2 rate sheets for FMC financing, one had the rate and terms that get you the rebate, they called it "standard rate", and the other sheet, while much lower, did not get the rebate. I took the high rate with incentive, knowing I was going to refi as soon as possible. I didnt think there was any negotiation on those FMC rates, the post above, saying they matched another banks rate and gave him the financing rebate is new to me.

 

The high rate I got was on a 60 month loan, not a longer term. As far as the deal, the purchase and sale shows the msrp minus $3250 in rebates and then they added $14,180 to the agreed upon trade allowance. They gave me $40,000 but on the contract it shows $54,180 for trade allowance.i don’t think it matters how they list it as long as the cash difference is the same.

 

If you truly have good credit they could have done a hell of a lot better than that crappy rate but the truth is it was not in their interest to do so because they will recoup some of that "rebate" money from you. I would not give a second thought to calling my credit union first thing in the morning and not giving that finance office a dime. I would have been pissed off actually when they tried floating that idea. The people that come up with this BS think we are idiots.

 

You did good! The way they wrote the contract didn’t affect your out the door cost but they did that for a selfish reason.

1- it inflates their gross dollar sales dollars for the month
2- They can claim they have $54,180 into your traded in truck to a buyer when they put it on their lot.

I once bought a Nissan 300zx and they listed the sales price $5,000 OVER MSRP and they added $8,000 to my trade in value. That way they can show other buyers that people are paying OVER Sticker. It’s a game they play and that’s why I only negotiate “Out the Door” price when shopping and comparing deals between dealers.

 

I usually walk in knowing what I can get for interest someplace else. I tell them if they can match it or better it, then go for it. Saves me the legwork. If they can't, I can go to my other source.
I put a loan calculator app on the phone before shopping too. Then I can come up with my own payment figures instead of relying on a sales or finance manager before I sign anything.

 

We're talking FMC financing, I'm still not sold on the idea that they can adjust the rate and terms when using Ford credit with rebate. In my area the promotional FMC rate is 7.9% on an 84 month loan, it progressively gets lower as th term is less. 36 months is 1.9%, those are advertised rates that can be found on Ford.Com.When I purchased in May, it was 7.9%/72 month. Now those are only if you want the $1k rebate, if not there are many other choices. Without that rebate the dealer will absolutely search other lenders and quote a much more competitive rate.

 

^^^^^this^^^^^^ yes, Ford rates are very high, for heavy duty commercial trucks. Even though most of us aren't commercial. Just a way for them to make money. Buy it & get the rebate, then check with a bank or financial institution & refinance. It was worth it to me. I have excellent credit & couldn't believe their rate. I took their $1000 rebate & refinanced after the first payment.

 

That's why I bring a loan calculator on the phone. Can run figures for different interest rates/term and with/without rebate.
I know I bought a few trucks in the 90's or early 2000's where it was cheaper in the long run to skip their rebate and get financing someplace other than Ford Credit. I like to explore all the avenues.

 

It sounds like you felt that your trade was worth $40k (what was it?), and rather than showing a dealer discount, instead they applied it to your trade allowance. Based on the rebates it looks like there was no "aged inventory"($750), but instead an additional $1k from somewhere.

 

It doesn't matter how high the rate is, you just take the rebate and refinance. It can sometimes be done before the first payment is due. Many, but not all lenders consider the vehicle "New" if its 2 model years or newer. So you still get the best rates when refinancing.