Hey all. New to the forum and leasing so… yeah I’ overwhelmed. Contacted a few brokers but nobody responded or could help so I’m giving it my best shot.
Anyway, trying to negotiate one of the few leftovers 2023 Lightings in the tri state area but they all seem to be leftover for a reason. I’ve been attempting to create a reasonable deal in the Lease Calculator tool but I cant even see to replicate the deal on ford’s website. My hypothesis is that the money factor (0.00395833) isn’t right in the calculator but not sure. Anyone care to share how to create an aggressive but realistic deal on one of these?
Ratefinder does not have correct MF for Lariat. Take a look at the XLT or Platinum trim subverted program MF and use that for your Lariat calculator. I think you will be in for quite a struggle finding a 2023 at a proper discount in NJ. Suggest you look further out of (tri) state, even in Midwest or South if you are serious. It maybe a better idea to wait for Ford to starting blow out the 24’s…
FMC uses an interest rate, not a money factor. However, your MF equates to an interest rate of about 9.50%. As far as I know, your only source for the interest rate is the dealer. Ask for the buy rate if you qualify. So, if the buy rate is 7.20%, divide 7.20 by 2400 to get a good estimate of the money factor.
Not sure if the LH Calc provides the FMC interest rate. I doubt it. Most likely, they provide an estimate of the equivalent MF which is perfectly fine.
For 23 Lightning XLT and Platinum trims, Ratefinder has the correct subvented program with the right rate (0.00010417). For Lariat, it is missing the subvented program altogether.
Although very close, technically it is not the correct rate. It is only an estimate of the MF associated with Ford’s subvented interest rate. In fact, .00010417 is not a valid MF. An MF has the format .00XXX. The only correct and accurate way to represent FMC’s rate is as an interest rate such as 0.25%.
In your defense, we’re only talking a difference of pennies as far as payment is concerned. And, for practical purposes and simplicity, it can be considered close enough IMO. The LH Calculator does have the caveat:
Leasehackr Calculator is in beta. Use for estimation purposes only.
Not long ago (May, I think), I structured an FMC lease that used an interest rate, not an MF. I guess my question is whether it’s possible that they use MF’s for some models and interest rates for others. Doesn’t seem likely.
As far back as 1993, I’ve always known FMC to use an interest rate. So, it’s surprising to see an MF in @z0lt3c post.
The SM (a fellow Rotarian) at a local Ford dealership was kind enough to give me a few pages from his FMC rate book. To my astonishment, I discovered that FMC was adding .001 to all their cap cost factors. What this meant is that for every 1000 of adjusted cap cost, lessees were being assessed $1 per month to account for the acquisition fee at that time. So, if the adj. cap = 30,000, lessees were paying $30 per month or $1080 over a 36-month term to cover the acquisition fee. As such, the acquisition fee assessed was dependent upon the Adj. cap and term of the lease. YIKES!
I believe a lawsuit was filed against FMC in 1998 because of non-disclosure issues. Don’t know the outcome but, I do know that they’re not doing it anymore.
I wouldn’t take anything in what he showed as evidence that FMC has changed that.
You have a 3rd party business giving a quote in what is probably a standardized format using a separate 3rd party tool. Either of which could be giving an equivalent mf value.
To me that isnt anywhere near on the level of all of the dealers that list mf as .00xxx%
I would love to see one of them get sued for marking the rent charge up 100x over the quoted rate.
Yeah, I would love to see them held accountable for their ineptitude and sloppiness. You’d probably have to name the desktop software provider and the dealership. However, I don’t think it would hold up in court. Too many loopholes coupled with lots of piss poor excuses not to mention truth-twisting attorneys who are great spinners and jurors that are clueless.
