Interest rate

[EllwynX]

Originally Posted by Rodrunner

Yep, I went to buy my 350Z with a Cap. One blank check in hand, approved to a limit and a competitive rate at the time.

Currently Capital One's rates aren't bad at all.

36 Months— APR as low as 5.44%
48 or 60 months— APR as low as 5.54%
66 or 72 months— APR as low as 6.44%


Other than special deals through the manufacturer, I haven't seen any that are less.

[99b4c]

Originally Posted by Speedy1975

With both Honda and Toyota offering very low rates (1.9% and 0% respectively) anything over 3.9% is high to me. Maybe I'm just spoiled?

0% is what GM should offer right now, to help sell some cars.

[trm0002]

Originally Posted by 99b4c

0% is what GM should offer right now, to help sell some cars.

GM can't set the interest rates anymore; they only own 49% of GMAC. When you see a reduced interest rate, GM is actually PAYING GMAC some money to offset the interest. They don't have money for toilet paper much less paying down someone else's interest...

[Chevyrocker]

Thank you for someone understanding the banking industry right now. If you want to see ANY kind of incentivised rate, you need to pray that GMAC can come up with some serious cash flow so taht they can get their "bank status" again and start helping GM out with the loans. As I understand it, the only way GMAC will write a loan at this point is if you have a 700 or better beacon score and are financing invoice or less (including tax, tag, and title). Even then, rates are nowehere near what everyone is posting 0.0-3.9%.

The only reason Toyota and Nissan are able to offer 0%-1.9% is because they are the respective owners of their primary lending institutions. GM owns (as stated above) 49% of GMAC. Cerberus owns the remaining 51% and we all know how bad that company suck a$$.

[Rodrunner]

So you're saying GMAC can't compete and is therefore doomed?

[99b4c]

Originally Posted by Rodrunner

So you're saying GMAC can't compete and is therefore doomed?

If GMAC wont give me the 0-1.9% than I wont be interested in ordering a Camaro, I will buy a used 1SS...and GM made a mistake by not having control of their lender.

I wonder how they expect to sell all these Camaros if GMAC cant compete?

[99b4c]

Originally Posted by trm0002

GM can't set the interest rates anymore; they only own 49% of GMAC. When you see a reduced interest rate, GM is actually PAYING GMAC some money to offset the interest. They don't have money for toilet paper much less paying down someone else's interest...

When did GM make this mistake and lose control?

[Inspector 17]

Originally Posted by 99b4c

If GMAC wont give me the 0-1.9% than I wont be interested in ordering a Camaro, I will buy a used 1SS...and GM made a mistake by not having control of their lender.

I wonder how they expect to sell all these Camaros if GMAC cant compete?

Unless you have perfect credit and there is an absolute turnaround of the current economic situation, I don't see you getting 0-1.9%.

[Camaroinmo]

State Farm Bank Credit Union is 4.25% for any term new or used. I will likely finance with them unless GMAC or someone does better when the time comes.

[trm0002]

Originally Posted by Rodrunner

So you're saying GMAC can't compete and is therefore doomed?

Look at GMAC, for all intents and purposes, just like your local bank(s). All banks offer auto loans. Your dealer most likely deals with 10-12 lending institutions on a regular basis. GMAC is "pushed" because of their link to GM just as Ford Motor Credit is pushed by your local Ford dealer. GMAC is far from doomed; in fact, it's been rumored that Cerberus wants to trade ALL of Chrysler for the other 49% of GMAC. You don't push that trade when you already own 51% unless GMAC is in great financial standing.

Originally Posted by 99b4c

When did GM make this mistake and lose control?

April 2006
http://www.businessweek.com/magazine...7/b3981062.htm