wlepse Posted August 26, 2011 Report Share Posted August 26, 2011 So we recently purchased a Ford and financed the minimum amount to get the extra $1000 rebate. During the test drives etc we were told that Ford requires you hold the loan for 3 months then you can pay it off. Then the day we are picking up the car they tell me to make at least 5 payments. So which is it? And what does this minimum payment really mean? I guess my concern is that they still weren't sure about how many months I need to pay, so I am left wondering what the real requirement is. Say I make one payment then the next month pay it off, do they take back the $1000 or is that not possible since we have a contract of sale and no where does it mention minimum payments. So is this minimum payment thing really just for the dealership? Meaning that by 5 months Ford gives them their commision/kickback for the loan origination? A few extra payments is no big deal since the interest rate is low, but I would be pissed if I made 6 payments, end up paying more interest and I lose the 1k incentive. Does anyone know the truth behind this? Quote Link to comment Share on other sites More sharing options...
NWS Alpine Posted August 26, 2011 Report Share Posted August 26, 2011 So we recently purchased a Ford and financed the minimum amount to get the extra $1000 rebate. During the test drives etc we were told that Ford requires you hold the loan for 3 months then you can pay it off. Then the day we are picking up the car they tell me to make at least 5 payments. So which is it? And what does this minimum payment really mean? I guess my concern is that they still weren't sure about how many months I need to pay, so I am left wondering what the real requirement is. Say I make one payment then the next month pay it off, do they take back the $1000 or is that not possible since we have a contract of sale and no where does it mention minimum payments. So is this minimum payment thing really just for the dealership? Meaning that by 5 months Ford gives them their commision/kickback for the loan origination? A few extra payments is no big deal since the interest rate is low, but I would be pissed if I made 6 payments, end up paying more interest and I lose the 1k incentive. Does anyone know the truth behind this? Everything I have seen is 3 months. You should be handed the loan terms before you sign anything and it should be stated in there (or the incentive terms). I am ordering a 2012 so no finance incentives. They also came back with 9% APR which is a joke! I think they were just trying to pull a fast one because I do have excellent income and credit. I am already pre-approved for 2.5% through PenFed and 2.75% through Alliant Credit Union. Quote Link to comment Share on other sites More sharing options...
wlepse Posted August 26, 2011 Author Report Share Posted August 26, 2011 I didn't see it mentioned anywhere in the documents I signed, the only thingI could find was that there is no early prepayment fees. I think if it were written in the contract the dealer would have been sure of teh time period. That is why I think they were hedging their bet and saying 5 months because maybe Ford isn't paying out the incentive as fast as they used to??? Quote Link to comment Share on other sites More sharing options...
akirby Posted August 26, 2011 Report Share Posted August 26, 2011 There is no issue between you and Ford Credit - you can pay it off at any time and still get the rebate. Like you said - there isn't anything in the paperwork. I've heard the dealer only gets the kickback after 3 months but I've never seen that confirmed. Dingo? Quote Link to comment Share on other sites More sharing options...
Dingo Posted August 26, 2011 Report Share Posted August 26, 2011 Right-o. The dealer doesn't get their kickback until 3 months. You can pay it off any time you want, but it usually takes a week or so to set up the account. Now, that being said, I actually like my dealer, so I'm doing all three months. Quote Link to comment Share on other sites More sharing options...
wlepse Posted August 26, 2011 Author Report Share Posted August 26, 2011 OK that is what I figured. like I said earlier pying 2 more payments won't mean much to me and it would be useful to keep a good relationship with the dealer since they are close to my office. I just wanted to make sure if I paid in 5 months that I wouldn't loss the 1k and be paying interest. Quote Link to comment Share on other sites More sharing options...
jeff_h Posted August 26, 2011 Report Share Posted August 26, 2011 OK that is what I figured. like I said earlier paying 2 more payments won't mean much to me and it would be useful to keep a good relationship with the dealer since they are close to my office. I just wanted to make sure if I paid in 5 months that I wouldn't loss the 1k and be paying interest. We bought my wife's Edge in NJ, got the extra $1k for their financing... a couple days later I started the process with my credit union to refinance, ended up making one payment to Ford Credit, refinance paid off the rest, there was no restriction or penalty. Quote Link to comment Share on other sites More sharing options...
cal3thousand Posted August 26, 2011 Report Share Posted August 26, 2011 OK that is what I figured. like I said earlier pying 2 more payments won't mean much to me and it would be useful to keep a good relationship with the dealer since they are close to my office. I just wanted to make sure if I paid in 5 months that I wouldn't loss the 1k and be paying interest. Dingo re-financed all but $400.00 and paid it over 4 months or something to make sure the deal went through. Quote Link to comment Share on other sites More sharing options...
Dingo Posted August 27, 2011 Report Share Posted August 27, 2011 Ford Credit phone number says my next payment isn't due until November 2015. I didn't refinance. I just paid it. Quote Link to comment Share on other sites More sharing options...
akirby Posted August 27, 2011 Report Share Posted August 27, 2011 We bought my wife's Edge in NJ, got the extra $1k for their financing... a couple days later I started the process with my credit union to refinance, ended up making one payment to Ford Credit, refinance paid off the rest, there was no restriction or penalty. We already established there is no restriction or penalty on the buyer. But there's a good chance your dealer missed out on a cut from Ford Credit. Quote Link to comment Share on other sites More sharing options...
igcitng Posted August 27, 2011 Report Share Posted August 27, 2011 I was told 30 days. Quote Link to comment Share on other sites More sharing options...
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