topic Can a dealer do better than this? in Auto Loans

Can a dealer do better than this?

tisch0791 — Thu, 20 Dec 2012 12:39:06 GMT

Just got pre-approved from my CU and CapOne. CU is $35K 72 mos. 3.49 interest.

CapOne is 38400, 72 mos, and 3.65 interest.

95% sure we will be buying a Nissan Maxima.

Anyone think a dealer could beat this rate? We're using it as a leverage tool to see if they can do better, but figured I'd throw this out there to see if anyone has had experience with negotiating the interest!

Regular EQ scores are 699 and 665 so I'm sure auto enhanced will be higher since payment records on auto loans are clean.

Re: Can a dealer do better than this?

maiden_girl — Thu, 20 Dec 2012 12:43:43 GMT

If I were you...I would not go past 60 months. 72 months is too long to be paying on a car loan. Plus way more costly in the end despite the lower payments. A dealer will typically try and negotiate with their finance company if they are trying to earn your business.

I was preapproved by Chase at 4.9% at 60 months. Hyundai initially came back with 6.99% at 72 months. I turned them down and was firm about going to Chase. They came back with 4.9% at 60 months with GAP and 4 year maintenance included. Lol. I couldn't resist afterward.

Re: Can a dealer do better than this?

Anonymous — Thu, 20 Dec 2012 12:44:42 GMT

Those offers are pretty good. I know that a lot of dealerships are running 0.9-0% APR holiday sales but most often the term is 1/2 what your offers state so the monthly payment may be higher but you would save on interest. It doesn't hurt to show your offers to the dealer to see if they can beat it but be sure they can under the term you want before having them load you up with more inquiries.