should I buy a car on ford finance? - Page 2

Rodp · 31-10-2005, 09:19 AM

Quote:

Originally Posted by CarBroker

Just one exception: If you can put it on your house mortgage, it'll be the cheapest option.

Not if you pay it off over the standard term of the loan, otherwise it's significantly more expensive. It only appears cheaper as the repayment schedule is spread across a longer term. Ultimately, the interest you pay is several times more than if you were to take out a loan for 3-5 years.

Yummy Mummy · 31-10-2005, 10:41 AM

Quote:

Originally Posted by deesun

Make sure whoever you get to do the loan you get all the fees written down. All the costs EXACTLY, this is very important. Ask them put it down on paper so you can understand it. Ask 3 or 4 places to do you up something for exactly the same amount. No good asking company A to quote on 15k and company B 20k fees and charges are different for different amounts.

Ask to see their comparison rate schedule rather than going off their quoted interest rate.

The comparison rate takes the annual interest percentage, adds all fees and charges you will incur over the term of the loan and puts this into a percentage.

You may find one company offers you 8% but their comparison rate is 9.5% as they have high fees, whereas another company might offer you 8.5% but their comparison rate is 8.9% as they have lower fees.

vztrt · 31-10-2005, 11:04 AM

Quote:

Originally Posted by XR6 Martin

Wont be long before we're seeing car companies offer 0% finance like in the US.

Banks in the middle east dont charge interest (but they might soon), but they have large fees instead. No such thing as a free lunch!

I went with RACV after I got 3% less than what I was going to get with ESANDA. There arn't to many fee's and only have to pay an extra $70 if I pay the car off early.

Just try to get accepted for finance first (if your considered a higher risk), I was told that once you get finance at one place than most other companies will accept you.

KUZMIN · 31-10-2005, 11:32 AM

Quote:

mate, if you think you can get a decent BA XR6 Turbo or XR8 for anywhere NEAR 20k you are dreaming.

I saw some on ebay last nigfht rtanging between 19-27k...
Saw a black BA XR6 turbo that has slight damage for $12,500!-this was a few months back though.

Thanks guys,
Youve all been a great help!
Im going to speak to a few places and a few mates before I go ahead..
Cheers!

XR06T · 31-10-2005, 02:52 PM

ford credit SUCK!!
i bought my xr6t through them after believing the finance guy tell me they were competitive.
got the paperwork an 16.5%!!!
was my 1st big loan but that was horse$h!t.
refinanced through a broker an it went to 10.5%, and $5 a week more after throwing the stamp duty into the loan too..
NEVER AGAIN FORD CREDIT!
i would recommend a broker using 9% as a reasonable figure considering your new to the credit caper..

SSBUB · 31-10-2005, 03:06 PM

16.5% is robbery!!!!!

EL_futuraistic · 31-10-2005, 11:24 PM

ok, Places like Ford Credit can offer very low interst. (eg 7%) HOWEVER if your are as you say "never done this before" and you have no credit rating then you are high risk. They are more likely to Approve you for finance than banks as its in their interests HOWEVER you will more likely get an interst rate of 15% becuase of this.

Personally i would not go with a finance company again, your Bank should be more than happy to accomodate you and if not plenty of banks offer 8% car loans that will take your business.

I guess the point is, you dont want to be paying off a vehicle that you owe more money on in interest than it is actually worth

turbo00007 · 31-10-2005, 11:43 PM

Try Zenith finance located in Balmain financed my last few cars there never had problem and great rates

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MrSparkle · 31-10-2005, 11:52 PM

My experience with Ford Credit last week was truly diabolical. I ring FC direct, and ask for their current interest rate on a finance lease, (and provided them with the parameters), only to be directed to my nearest dealership. Ok fine, pretty unprofessional but maybe the dealership finance person can give me the "not all that hard really" numbers.

On to the local dealer, and wouldn't you know it, I COULD NOT GET A SIMPLE INTEREST RATE OUT OF HIM. Apparently "it varies with too many factors"!!!!!!! Um, the last time I checked, it was pretty simple to determine with about three variables, all of which I provided to him. Twice. I have had more professional dealings with cold calling Indian telemarketers.

Truly inspiring stuff and I can say with total euphoria that I have signed a new lease with someone else who :
a) Knew what they were doing
b) Gave a F about what they were doing
c) Gave a F about the customer
d) Could give me an entire lease repayment schedule within a minute of me providing the parameters

Maybe Ford Credit could improve their service levels by outsourcing to India?

SSBUB · 01-11-2005, 12:06 AM

perhaps the 'factors' were 'depends on how much we can screw ya for....but im aiming for 12% if you sign up with us'

VilkasBAMIIXR6T · 01-11-2005, 12:31 AM

Before getting car on finance make sure you look at penalties for early payout etc. You may decide to sell car or trade in early, and if you get hit with a penalty fee, not too good. I have used Ford Credit many times and had no issues, not sure if they penalties though for early payout. I have currently got my car on a novated lease. They are the best way to go if an option. Btw Dealers get kick back for putting customers on to Ford Credit.

gozza · 01-11-2005, 10:17 AM

Quote:

Originally Posted by Waggajag

I bought mine from a Ford dealer in Melb through Esanda 3 months ago @ 9.65%.

Never having borrowed any money could be a drawback, most finance companies like to see some sort of credit history. yeah I know, how do you get a credit history if you've never had credit!

going off on your point i got a credit card and my mates started giving me grief....ya know the type...."ohh stuff credit cards...u'll be poor and owing the bank money blah blah blah....when the fact is if you have a credit card and use it sensibly its gonna be good for you in the long run....when the times comes for me to approach my bank for a home loan or car loan they'll be more likely to lend me money cos they can see that ive been using credit/borrowing money and have managed it accordingly

The G6ET Spot · 01-11-2005, 06:08 PM

Bought a Mk2 XR8 six weeks ago financed through ford credit interest rate of 6.85%. No penalties for early payout. Your interest rate will be a little higher than this being a second hand car, but if you go in with a couple of other interest rate quotes and haggle hard they will 9 times out of 10 better those rates. Good luck. And remember BARGAIN HARD.

F6Tornado · 01-11-2005, 06:37 PM

One quickie here. Before you decide how you get the vehicle (either mortgage, personal loan, finance company), compare the insurance costs. Insurance on a vehicle with finance on it (and they don't classify borrowing against your mortgage as having finance on the vehicle - as the vehicle isn't the collateral in the loan) is higher than a vehicle without, as the vehicle is the collateral for the loan.

We put the F6 against the mortgage, but then again we'll have the mortgage paid off a lot faster than the finance options we were looking at, as well as paying less for it over that time.

Schaz

VilkasBAMIIXR6T · 01-11-2005, 07:30 PM

Quote:

Originally Posted by RAPID XR8

Bought a Mk2 XR8 six weeks ago financed through ford credit interest rate of 6.85%. No penalties for early payout. Your interest rate will be a little higher than this being a second hand car, but if you go in with a couple of other interest rate quotes and haggle hard they will 9 times out of 10 better those rates. Good luck. And remember BARGAIN HARD.

That is a rather good rate. When I got my last car through Ford Credit my rate was around the high 8%. I thought was great as employee rate, obviously you can do much better.