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Buying a Ford Transit

Old 02-27-2012, 07:11 PM
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Default Buying a Ford Transit

I am buying a Frd Transit for the business, and of course looking for the best deal. I have always bought vehicles we use personally at this point. I am having the business buy this one. Here are my 2 questions. First, the interest rate is 8.5% or so. I am not used to paying rates this high. The commercial guy at the dealership says this is normal for commercial vehicle loans. Any truth to this?

2nd question. The MSRP is $22,800 or so. The dealer tells me he is starting out at $300 under invoice at $21,600. I'm thinking...so Ford expects you guys to only make $900 if you sell a car at full MSRP. It just doesn't add up. Plus, why does he not get fired for selling a car under invoice

I am not so concerned with what I pay, we need the thing. But I do have a hard time swallowing the whole "invoice" BS and would be pissed if I left obvious money on the table. We have enough threads on here about dealers, and negotiating and all that stuff. I guess I am just wanting to know what sorts of deals you guys have gotten on Transits, there must be some of you on here. And I bet lots of you can chime in on the commercial interest rates. Thanks!
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Old 02-27-2012, 07:23 PM
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Mark up on the vehicle is about right.

Don't know your credit. Here is what we are offering. With a guarantor 3.9%

Without a guarantor 4.9%

Credit score can and does effect rate.
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Old 02-27-2012, 07:37 PM
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Originally Posted by yachtjim View Post
I have always bought vehicles we use personally at this point. I am having the business buy this one. Here are my 2 questions. First, the interest rate is 8.5% or so. I am not used to paying rates this high. The commercial guy at the dealership says this is normal for commercial vehicle loans. Any truth to this?
Yeah, Jim, unfortunately this is true. This is hard for me to swallow as well, I have a couple of purchases that are solely business financed, but for this reason, I ultimately end up going person purchase on most things.

Hurts a little when I need personal finance, but nothing our bookkeeper can't validate with about an hours notice.
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Old 02-27-2012, 08:58 PM
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His numbers sound pretty close. Ask him to show you the invoice.

You didn't mention what model you are getting but I just went to www.edmunds.com and on the Cargo Van XL w/Side & Rear Glass the base MSRP is $22,290 and the invoice is $20,794. You also need to pay the destination fee of $825 and there appears to be a $500 rebate so at $300 under invoice he is actually making $200 plus the holdback (probably 3% of MSRP).
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Old 02-28-2012, 08:07 AM
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I found this link of another Ford dealerhip advertising rates and all the rates are low except for the Commercial loans on the Transit Connect. http://www.mcreeford.com/onlinespeci...inefinance.jsp

So I guess its just a dumb vehicle to finance, Maybe we'll just pay it off quickly.
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Old 02-28-2012, 08:24 AM
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Just bought a new commercial truck. Through Toyota Credit they offered 5 years at 6% or 6 years at 5.75%.
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Old 02-28-2012, 08:31 AM
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Rebates and Financing
Rebate Information
Current rebates provide cash back to the buyer after purchase of a new Ford Transit Connect Wagon

Expires on April 02, 2012

$500 Cashback Rebate

Special Financing Incentives
Special interest rates for financing a new Ford Transit Connect Wagon. Total interest payments based on MSRP.

Expires on April 02, 2012

4.9% for 24 months $1,333.03 in total interest payments

4.9% for 36 months $1,988.70 in total interest payments

5.9% for 48 months $3,216.46 in total interest payments

6.9% for 60 months $4,763.49 in total interest payments

http://autos.yahoo.com/ford/transit-...financing.html
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Old 02-28-2012, 01:33 PM
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I was able to get the rate down to 5.25 for 60 months. Good enough. Now its time to call SignZoo to get it wrapped!
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Old 02-28-2012, 01:54 PM
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how much does it weigh?
you may be able to pay with a company check, and expense it immediately
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