brownan

I just did something with Truist and was 5.9% for 60 mos.

nyca

The same credit union has 5.3% CDs. And you can do better with A rated corporate bonds. You don't have to risk a stock investment to clear that hurdle. It's not much of a spread to be sure, but the hidden benefit is also that you remain more liquid.

5senna5

My local credit union ( First Community Credit Union in St. Louis) will do 6.24% for 66 months

Falcon01

8% isn't stupid. That seems to be about market right now. 7-8% that is. You can likely get slightly lower from a CU or other bank (I've seen 6.5%), but it may complicate the transaction. I guess it depends if you are trying to carry the loan to term or not. I financed my Audi S5 just because it was more of a spur of the moment buy, but I didn't care about rates or term because I knew I'd pay it off in a few months.

gellie

Don’t forget, interest on the loan is not tax deductible, while the interest on the bonds are taxed. You also have duration risk with bills/or short term CD’s in your trying to match 3/5 year auto loans.

PBoxS986

Since when did buying a Porsche become a savvy financial move?…pay the 8%… its expensive being poor

Motorin Mark

Absolutely agree with all of this. I work in basically the same type of field (Honda Motorcycles) training our dealers to make the transaction for our customers as easy and simple as possible. And yes the dealer does make money if you finance with them, but it is very easy and quick. So when I got my new 911 I simply explained to the F&I person that I do the same thing for a living and he appreciated that and just asked me to keep it financed for three months (payments) so that he would not get a charge-back on his commission. Of course I could of gone to my credit union and done all of that extra steps above, but my time is extremely valuable these days to save one or two points of interest. We have lots of cash buyers in our business too that just want to ride out with their new bike today. We ask them for the same 90 day "favor" before payoff and most all do that for us. So I guess my point is, as stated above if you want it nice, simple and quick, just do it at the dealer and then re-finance with whoever after three payments if you want a lower rate. These cars are just too much fun to stress out about interest rates today.

nyca

Well sure, but you had better be getting something for that 3 month ride with PFS. The refi rate at many lenders can be a point higher than the new car rate, so when you close out the PFS loan, you'll pay for that. You need to at least break even with a lower price on the car, or inclusion of something like a maintenance contract.

F250to911

Just pay with cash.

shrimp money

How do you guys keep falling for these threads?

Schwarz992C4S

And if you are a military retiree and set a DFAS retirement pay allotment to NFCU they will give you another ½ % off the loan.

Crusje

I am not sure how filing a loan is extremely time consuming? You apply online beforehand which is easy if you're ordering a car, then navy federal will FedEx you the check. I was going to pay cash but this seems like a better option. I won't get the car until May/June anyway.

Motorin Mark

This all depends on your bank/credit union and location. Here in Florida, with so many scammers arriving here daily, it can be a pretty drawn out process. Most banks/credit unions here now require W-2's, proof of residence in Florida, Florida drivers license and a personal visit from you to sign out with them, at that point they give you what is called a "draft" to give to your dealer and said dealer receives funds when and only when the title work is completed showing said lender as the lien-holder. Big PIA for most folks we deal with, and not too appealing for the dealer to jump through all these hoops just to get funded. Nobody ever sees anything from the dealers point of view, but honestly some dealers do really care and making loans easy to get is what they are trained to do. And yes they make money on getting you financed with Porsche, but so do the banks/credit unions that are lending money to you...Nobody works for free these days. Financing through Honda/ Porsche/ Harley Davidson requires a seven line application and approval takes all of 3-5 minutes. They do not need to verify anything, your credit score is your approval. Much, much simpler. Never dealt with Navy Federal so they could be the same. YMMV again depending on some of the above factors.

2thHappy

Correct. Rather cry once than every month.

Jimmy-D

Just got a 6.8% from PFCU for my M550I that I am buying off lease next month.

My Car Allowance I get from my Company just about covers the cost minus $20 so no brainer..