Best Finance rates you can find available to all

[Sephiroth]

It is a credit union and i do not think they will increase the apr that high.

It doesn’t really have anything to do with APR vs APY (if that’s what you’re saying, although they do generally play that game). It’s more in line with measurement of risk (periods, amortization, credit history, amount of the loan and etc.).

They’ll advertise as low as xx, but it’ll generally apply to Honda accords that cost 20K. It’s a hook.

 

[Bluto]

Just got approved for 2.04 for 6 years through bank of America for a new rav4 prime. Normal rate on new vehicles is 2.39, then if you're a preferred rewards member you can get some points knocked off. It was a little lower than my local credit unions in Oregon.
With rates this low, you can make more money by financing and investing your liquid money versus paying cash. Especially if it's in a Roth or other tax advantaged account.

 

[vamsye]

It doesn’t really have anything to do with APR vs APY (if that’s what you’re saying). It’s more in line with measurement of risk (periods, amortization, credit history, amount of the loan and etc.).

They’ll advertise as low as but it’ll generally apply to Honda accords that cost 20K.

I’m not sure how much you know about this bank, i have my truck financed with them for 1.49%.

 

[Sephiroth]

I’m not sure how much you know about this bank, i have my truck financed with them for 1.49%.

I don’t know anything about them. Do you have a loan application in hand? If you do, you’re good.

 

[KOBRA2848]

RBFCU is offering 1.95% for 66 months. The lowest rate I have seen is 1.74% at Air Force Federal Credit Union with certain hoops to jump through.

Mark

 

[Lags]

Yeah true but goal is to pay quicker with cheaper payment each month so it's really personal preference, I'm able to get mine down to 800-900$ month after gen 1 sale and other down payment stuff so it works. I'll have interest paid asap first then make extra payments and have it paid off in 5-6 tops.

This is my jam as well. I always take the longest amortization opportunity, which makes for the lowest monthly payment possible, but I always throw down an extra $2000-$3000 a year on it. Usually pay it off in 5-6 years or less, but it’s nice knowing I have a low monthly of something ****** was to happen.

I shared this same argument in another thread: personally, I could pull $80,000 cash out and buy it outright, but why the hell would I do that. My $80,000 is earning me more than 3.5%, so why not make the gov. carry the risk? Money is cheap as **** right now. Don’t be so rate driven, especially when we are talking about 1% difference over such a short period of time, and not a significant loan amount. It’s not a mortgage.

I say go with the 84 month at a credit union.

good luck!

 

[WannabeRaptor]

If you're dealer participates in Penfed Car Buying Service (not all of them do of course) you might snatch 0.99% /60mo or 1.99% /72mo.

Otherwise, you can get 1.79% 36mo | 1.99% 48mo to 60mo | 2.39% 72mo | 3.99% 84mo

Longtime Penfed member and they are bar none the best I've dealt with.

 

[Jaeis62]

If you qualify for USAA, it's 1.89% for up to 63 months, 2.29% up to 75, and 3.49% for 84.

Be careful of USAA, they baited and switched me on my Raptor loan. Initial rate was 1.89% for 60 months then when I went to sign they raised it to over 3.5%, they said they reviewed my credit history and I didn’t qualify for the excellent credit rate. I’m 15 points short of an 850.

 

[RogueAdvisor]

You said exactly what I am thinking. Ramsey is good for people with a ton of debt trying to get out from under it. When you don't have credit card balances, aren't paying off student loans, and have disposable cash, you need to look at the opportunity cost of investing that money elsewhere. Buying an $80K truck isn't the best decision for some, but for those who's income exceeds their expenses, are already plowing money into 401Ks, and know what they are doing, spend your money how you want. Finance it if it makes sense.

Hit the nail right on the head my friend.

 

[Sephiroth]

Be careful of USAA, they baited and switched me on my Raptor loan. Initial rate was 1.89% for 60 months then when I went to sign they raised it to over 3.5%, they said they reviewed my credit history and I didn’t qualify for the excellent credit rate. I’m 15 points short of an 850.

That’s my point all along, but no one wants to listen....

Hit the nail right on the head my friend.

What Ramsey is trying to say when you amortize a financial instrument you’re paying off the interest first rather than the principle. They’re also using NPV to assign a numeric value to your loan. You’re basically using the value of the note in the future (the 84 period payments plus inflation), and purchasing it with today’s money. It’s more than just the interest rate you are paying (it’s a discounted cash flow).

It’s the same thing if you were to win the lottery: If the total value of that winning is $100M, what you’ll end up getting is about $25M in lump sum cash (50% discounted cash flow that will take you to 50M and 50% hit on the taxes because it isn’t ordinary income).