Is it possible to find out what Volvo’s finance rates are for businesses for various amounts and terms?
I have a feeling that the finance manager is not being honest when I asked him about the rates. I was originally planning on financing through BOA the finance manager tried to convince me to do a lease instead. Since the rates weren’t that good I decided to buy it. After running the numbers I figured I could increase my down payment to reduce the overall interest. As I tried to put more money down the manager said that rates will go up if I do and it doesn’t make sense. The finance manager may just be lazy or shady but he made it sound like whatever rate he printed out was the best terms and best rates and by paying more down the rates are going to go up? I feel like they are not being truthful and is just to make more money off financing.
BOA is offering 3.09 percent on new car purchases with up to a .50 off for qualifying members. The rate is much better than Volvo’s at 3.3 or something. The guy kept saying BOA will be hard to work with since they require a lot of paperwork. Anyways, I’ll find out tomorrow and I’ll call Volvo to see about their rates as well. If I find anything I’ll share with you guys as well.
My plan is to buy, I drive only around 7500 miles a year so unless the residual is in the 60 percentile for 36 months and the interest is low I did t think it made sense to return a car with less than 20,000 miles on it and always pay a bank fee and a disposition fee every time.
I don’t know the rates differ or not, but what the finance guy was telling me smells fishy. I’ll try to get the lease through BOA, worst case scenario I’ll pay down the lease sooner. At 2.6 perfect it makes more sense to finance, at 3.3 percent its kind of a wash even though it’s a business expense.
Your posts are confusing. You say you want to buy but then say you will get the lease … I assume you mean finance. If you will be financing then yes go ahead and check with your local bank for better rates.
I think Volvo’s finance rates are in a matrix, so you don’t really know what they are until you submit an app. The sweet spot appears to be 60 months lately.
The finance manager telling you the rates go up with more down is not true. If anything, they go down with a lower LTV (loan to value). He just wants to maximize the flat fee on the loan by keeping the loan amount higher. Low 3% range sounds right for a best-case VCFS loan.
Just make sure you are approved at the rate BofA is quoting you and then ask for an either/or contract giving you 5-7 days to fund the loan yourself. If the dealer is signed up with BofA, he can finance it and get the flat fee from BofA. He may not get 2.59% like you can, though. Even if the dealer funds the loan, you can always refinance it with the same rates as the get-go.
Sorry about the confusion, I was planning on buying it since the lease rates were not that attractive. The dealer tried to sway me towards the lease since they weren’t going to make money off the loan if I were to go through BOA.
Hi KD6,
Thanks for the help. I called Volvo financial and corporate and they weren’t able to help. If 60 months is the sweet spot then it’s not too bad. I also called BOA and their business rate is 3.8% and even with the discount it’ll bring it down to only 3.3 which matches Volvo’s and there’s just more paperwork. I’ll just go through with the loan and assume the finance manager just got lazy and didn’t want to submit another quote. I wish there was just more transparency when it comes to shopping and this is one of the reasons why i chose to buy instead of lease this time around. BOA won’t add the company to the tittle if I got the personal loan at the discounted rate.
I ended up picking up a 18 T5 XC90 AWD, got a decent deal on it and it has just the right amount of options on there for me.
