Buy outright or max out the 3 year, 0% from Ford?

[ychuck46]

We're in a similar situation. I'm going to see how much they'll allow me to put on a CC ($30k limit, 2% cash back, 0% APR until January 2023) and then finance the rest for 3yrs. If, by total miracle, they allow me to put the entire thing on the card, we'll probably go with that and just pay it off next January.

As someone who is a credit card hacker, particularly for the cash rebate cards, I can assure you that most dealers caught onto the CC use a long while ago and stopped it. You might find one that will allow a grand or two, but they have no desire to cover the cost the CC issuer will hit them for.

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[stoptothink]

As someone who is a credit card hacker, particularly for the cash rebate cards, I can assure you that most dealers caught onto the CC use a long while ago and stopped it. You might find one that will allow a grand or two, but they have no desire to cover the cost the CC issuer will hit them for.

As I mentioned earlier, we've purchased two cars in the last 6yrs. In one instance the dealer allowed $3k on the CC, in the other it was $10k. It appears to just depend on the dealer.

 

[Newmav]

I put 4000 on a card for the cash back and took the o% for 3 years. I would rather play with my own money.

 

[pmcdonald387]

My 8/3 ordered OW XLT Hybrid Lux Mooned Maverick should be arriving to my dealer soon. I'm interested in opinions as to weather to pay cash or have 3 years of higher monthly payments at 0% interest of say five to six hundred per month. At those monthly payments I'll need to layout only 10k or so at time of sale. I'm thinking that IF my vehicle turns into a lemon I wouldn't have laid out too big a chunk for it. What do ya think?

The classic compare interest rates. Keep your money in an interest bearing bank account and make monthly payments at 0 interest. I wouldn't put anything down and keep the $10k working for you in your account.

 

[huunvubu]

I put $3000 on the FordPass Visa card as part of the down payment.

I earned 30,000 FordPass points for the $3000 along with 11,000 FordPass points as a bonus for the first charge along with a $100 statement credit.

That worked out to be a $305 value: (41,000 points / 200) = $205 + $100 = $305
I paid off the FordPass Visa card in full on the first statement so no interest was paid.

The rest of the $8,000 down payment was paid with a check for $5,000 and I financed the remaining balance of $18,000 using Ford Credit 36 month at 0%. The payments are $500 a month and I have already paid two of them so the loan balance is now $17,000.

I used the original 42,000 FordPass points from purchasing the Maverick along with the 41,000 points from the FordPass Visa card along with the $100 statement credit to buy for free: Splash Guards and the Hard Drop-in Bedliner.

The Splash Guards and the Hard Drop-in Bedliner were originally on my order from last August but I dropped them because they were late availability so it was great to get them for free after I had gotten my Maverick.

 

[Andy704]

My 8/3 ordered OW XLT Hybrid Lux Mooned Maverick should be arriving to my dealer soon. I'm interested in opinions as to weather to pay cash or have 3 years of higher monthly payments at 0% interest of say five to six hundred per month. At those monthly payments I'll need to layout only 10k or so at time of sale. I'm thinking that IF my vehicle turns into a lemon I wouldn't have laid out too big a chunk for it. What do ya think?

Max out the 0.0, that's what I plan on doing, and if you get tired of making payments, then pay it off, it didn't cost you anything. I have a First edition Hybrid arriving in 2 weeks, (fingers crossed), and I want to put it all on 0.0% for 36 months, payments should be around $1100, but it's only for 3 years and it won't cost me anything but principle!

 

[DryHeat]

I can assure you that most dealers caught onto the CC use a long while ago and stopped it. You might find one that will allow a grand or two, but they have no desire to cover the cost the CC issuer will hit them for.

That's exactly my experience.

My dealer didn't really want anything on a credit card but allowed me to make a $2000 deposit (down payment) using one. Probably because I didn't have a checkbook with me and he wanted to lock down the deal. (This was very early on before the dealer knew that he would be able to sell as many mavericks as he could get.)

Knowing that it was my only chance to get credit card points I made the deposit as big as he would allow -- which was $2000.

 

[WesM]

Get a gov’t i bond which pays 7.12%, limit is $10,000 per year but if your married $10,000 per person. Got $20,000 late last year and $20,000 already this year. I’m going with 3 year finance and 0%, worst case is .9% for 3 years.

For those considering this, keep in mind:

"I bonds earn interest for 30 years unless you cash them first. You can cash them after one year. But if you cash them before five years, you lose the previous three months of interest. (For example, if you cash an I bond after 18 months, you get the first 15 months of interest.)"

 

[HALWADE]

What @PNWMaverick said. I did exactly that with the $27k my local Chevy dealer game me for my 5-year-old Colorado:

• $15k down on the ‘22 Maverick, the balance of $32k OTD on 0% Ford credit
• Gave my day-trading old lady $12k and said “do something smart with it.”
• She bought $6k in Dogecoin and turned it into $12k in six weeks. Cashed out the original six and now we’re playing with house money.

IN three years the Maverick will be paid off, and I suspect the remaining 6k in wife’s Coinbase wallet will be worth seven nickels.

Still ahead…

 

[Bmr4mav]

I don't believe in down payments. Everyone I talk to that used a large down payment did so to keep a low monthly rate which is really only a factor if you don't have great credit and get stuck with a bad rate.

When rates are under 2% I'd rather keep my money liquid/soft liquid (easy to pull out investments) and get GAP insurance.

The only thing I have ever considered is trading in for the tax benefit but these days you can get a lot more money from Carvana, Vroom, Carmax etc and forget about the tax break (sometimes the dealer will match enough to make it even). When my Maverick is ready I'm selling my current vehicle, keeping that money and putting nothing down on the truck.

So obviously my advice is to get the free loan.

 

[Michael Dietzel]

As I pointed out earlier even at 0.9% you would be ahead. You're borrowing money at 0% in 2022 dollars we have just entered a era of hyperinflation you will be paying them back in 2024 dollars for you which will buy you about 80 cents on the dollar. I agree with some of the earlier subscribers I would borrow as much money as I could at 0% interest.

 

[Michael Dietzel]

Bought my new Maverick for $22900 out the door with Ford co-pilot 360 trailer hitch sliding rear window etc. Sold my Toyota Tacoma that I bought used 5 years ago for $21,000 for $20,800 today. Financed my Maverick through Ford motor credit 0.9% which means it will cost me $340 for the 18 Grand I borrowed for 4 years. I would not lend my mother $18000 for 4 years for $300. I'm buying a thousand shares of Ford stock for $15,800 out of the check carvana is giving me this Afternoon I will put the rest of it in my checkiing account. This will of course allow me to participate in the Ford x program for the next Maverick I want to buy and whatever other Ford I want to buy yeah I know I have to wait 6 months. Ford stock is paying $2.80 dividend right now so I'm pretty sure I'll break even and hopefully Ford stock will go up a buck or two between now and then.

 

[nickmav]

Man Ford Canada sucks lol.

I think they are offering like 4% right now. no promos. And when i ordered it was around 3%.

So my options are - pay cash or take loan from company (self employed) at 1%. In either case im still using 'my' money, and in either case I could invest the personal funds or corporate funds at similar after tax rates...

Id definitely prefer to get the funds elsewhere, but doesnt seem like i can avoid using cash to pay it off one way or another

 

[Paapamuski]

My 8/3 ordered OW XLT Hybrid Lux Mooned Maverick should be arriving to my dealer soon. I'm interested in opinions as to weather to pay cash or have 3 years of higher monthly payments at 0% interest of say five to six hundred per month. At those monthly payments I'll need to layout only 10k or so at time of sale. I'm thinking that IF my vehicle turns into a lemon I wouldn't have laid out too big a chunk for it. What do ya think?

Inflation will be high in the next few years. Get a 0% loan for as long as possible and invest extra funds wisely.

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