collapse

Advertisement


Author Topic: New Truck - Loan APR  (Read 4656 times)

Offline pickardjw

  • Non-Hunting Topics
  • Trade Count: (0)
  • Sourdough
  • *****
  • Join Date: Oct 2019
  • Posts: 1424
  • Location: Pendleton, OR
New Truck - Loan APR
« on: June 06, 2023, 08:36:43 AM »
I have about $8k left on my truck loan with WECU. Blue Book is around $24k trade in value.

I really want to move to a crew cab regular bed with a cap so I can build a little sleeper setup. Something under the $30k mark probably. Dilemma is I have a 3.24% rate on my current loan and new rates are at least double that. Is there anyway to keep my rate if I trade in?

Online jrebel

  • Non-Hunting Topics
  • Trade Count: (+20)
  • Explorer
  • ******
  • Join Date: Feb 2008
  • Posts: 10678
  • Location: East Wenatchee
Re: New Truck - Loan APR
« Reply #1 on: June 06, 2023, 08:40:44 AM »
No, generally speaking, the only way to keep your rate down is shorter term with lots of cash down.  Banks are not going to loan below going rates, it doesn't make financial sense for them.   

Offline phildobaggins

  • Non-Hunting Topics
  • Trade Count: (+2)
  • Sourdough
  • *****
  • Join Date: Sep 2020
  • Posts: 1101
  • Location: Boise
  • big buck big buck big buck
  • Groups: RMEF, MDF
Re: New Truck - Loan APR
« Reply #2 on: June 06, 2023, 08:43:15 AM »
I have about $8k left on my truck loan with WECU. Blue Book is around $24k trade in value.

I really want to move to a crew cab regular bed with a cap so I can build a little sleeper setup. Something under the $30k mark probably. Dilemma is I have a 3.24% rate on my current loan and new rates are at least double that. Is there anyway to keep my rate if I trade in?

Sorry bruv, I'm in a similar boat with the 4Runner I don't really want anymore. Won't get a rate anywhere near that for used. Best bet for a low rate is a brand spankin' new something and financing with the OEM program when there is a special offer. I worked at a dealership for 8 years.

Online jrebel

  • Non-Hunting Topics
  • Trade Count: (+20)
  • Explorer
  • ******
  • Join Date: Feb 2008
  • Posts: 10678
  • Location: East Wenatchee
Re: New Truck - Loan APR
« Reply #3 on: June 06, 2023, 08:47:24 AM »
I would also add, Selling outright and not trading in appears to be the way to go right now.  Used vehicle prices are still very high.  I do like to the trade option to reduce the taxes....but with used prices now days, its hard to not to just sell them.  If your trade in value is 24K, I would have to assume your sell price is close to 30K. 

Offline phildobaggins

  • Non-Hunting Topics
  • Trade Count: (+2)
  • Sourdough
  • *****
  • Join Date: Sep 2020
  • Posts: 1101
  • Location: Boise
  • big buck big buck big buck
  • Groups: RMEF, MDF
Re: New Truck - Loan APR
« Reply #4 on: June 06, 2023, 08:51:16 AM »
and I will also add, you won't get KBB trade in from the dealer lmfao. They will find a way to say it's not in "good" condition one way or another, usually.

Offline pickardjw

  • Non-Hunting Topics
  • Trade Count: (0)
  • Sourdough
  • *****
  • Join Date: Oct 2019
  • Posts: 1424
  • Location: Pendleton, OR
Re: New Truck - Loan APR
« Reply #5 on: June 06, 2023, 08:56:48 AM »
Yeah I leveraged a Carmax quote last time I traded in, got me an extra grand. Only have the one vehicle so I can't sell and wait for used prices to come down.

I was looking at a Trail Boss but not sure I want a $25k-$30k auto loan in my life, at any APR used or new.

Not trying to dump any cash into a new vehicle now either, gotta but a house at some point...

Offline Caseyd

  • Site Sponsor
  • Washington For Wildlife
  • Trade Count: (0)
  • Frontiersman
  • *****
  • Join Date: Aug 2007
  • Posts: 2913
  • Location: Washington
Re: New Truck - Loan APR
« Reply #6 on: June 06, 2023, 09:00:59 AM »
If the dealer is a KBB member they have to honor the Instant Cash Offer provided by the tool.

Some salespeople hate that one.

Offline pickardjw

  • Non-Hunting Topics
  • Trade Count: (0)
  • Sourdough
  • *****
  • Join Date: Oct 2019
  • Posts: 1424
  • Location: Pendleton, OR
Re: New Truck - Loan APR
« Reply #7 on: June 06, 2023, 09:19:22 AM »
How about really short term? Not sure if banks/credit unions will do them, but say 24mo term. I can afford $500/mo. Not sure how well these online calculators work, but if I keep the principal below $12k on a 24mo term I'm looking at less than a grand in interest...

Offline KFhunter

  • Non-Hunting Topics
  • Trade Count: (0)
  • Legend
  • ******
  • Join Date: Jan 2011
  • Posts: 34533
  • Location: NE Corner
Re: New Truck - Loan APR
« Reply #8 on: June 06, 2023, 09:26:45 AM »
Do not buy a truck right now, here’s why

This is a 95k truck a few years ago at 3.9% rates



The amount you pay the bank is roughly $10k for the loan

Offline KFhunter

  • Non-Hunting Topics
  • Trade Count: (0)
  • Legend
  • ******
  • Join Date: Jan 2011
  • Posts: 34533
  • Location: NE Corner
Re: New Truck - Loan APR
« Reply #9 on: June 06, 2023, 09:27:43 AM »
At today’s rates with good credit, look at your payments now, and how much the bank gets

Offline KFhunter

  • Non-Hunting Topics
  • Trade Count: (0)
  • Legend
  • ******
  • Join Date: Jan 2011
  • Posts: 34533
  • Location: NE Corner
Re: New Truck - Loan APR
« Reply #10 on: June 06, 2023, 09:28:57 AM »
Now check out how big your down payment has to be to get that back down to $10k the bank gets, and your total cost of the truck after financing

Offline luvmystang67

  • Past Sponsor
  • Trade Count: (+4)
  • Sourdough
  • *****
  • Join Date: Oct 2010
  • Posts: 2216
  • Location: Coeur d'Alene
Re: New Truck - Loan APR
« Reply #11 on: June 06, 2023, 09:41:38 AM »
If it helps you think about it differently at all... the REAL amount you're paying the bank is the rate, minus inflation.

When you acquired your last truck loan, inflation was pretty steady at 2% per year, so a 4% loan means the bank actually "gets" 2% money. 

Inflation now is... what? Call it 6%.  So an 8% loan still gets them the same net 2%.

Don't believe in inflation?  I'll borrow money from you at 4% right now, and you'll lose in 5 years if we don't get inflation under control.

Point is, banks deal with what they have, you cannot expect to get a loan for less than inflation.  Inflation is real, and the actual cost to you is the net of inflation an interest rate.

If you can afford the monthly payment, then live your life.  However, I do expect prices on EVERYTHING people finance to drop if rates stay high for the very reason spelled out in this thread.  People hate paying interest, and it'll drive down the demand and price for the underlying asset (housing, cars, etc).


Offline luvmystang67

  • Past Sponsor
  • Trade Count: (+4)
  • Sourdough
  • *****
  • Join Date: Oct 2010
  • Posts: 2216
  • Location: Coeur d'Alene
Re: New Truck - Loan APR
« Reply #12 on: June 06, 2023, 09:45:01 AM »
Also, another fun way to think about debt is how much you're winning by right now.

Interest on borrowed money at 3.5% when inflation is at 6%... you're paying them back with deflated dollars.  They're paying off your truck for you because your loan turned out to be a pretty bad bet for them.  It may not feel like it, but you're paying back less than you borrowed in terms of real value.  Now your truck is also depreciating, but that is a separate issue.

Offline pickardjw

  • Non-Hunting Topics
  • Trade Count: (0)
  • Sourdough
  • *****
  • Join Date: Oct 2019
  • Posts: 1424
  • Location: Pendleton, OR
Re: New Truck - Loan APR
« Reply #13 on: June 06, 2023, 09:54:27 AM »
Also, another fun way to think about debt is how much you're winning by right now.

Interest on borrowed money at 3.5% when inflation is at 6%... you're paying them back with deflated dollars.  They're paying off your truck for you because your loan turned out to be a pretty bad bet for them.  It may not feel like it, but you're paying back less than you borrowed in terms of real value.  Now your truck is also depreciating, but that is a separate issue.

That is a fun way to think about it! I'm just gonna hate pitching a tent next to my truck all scouting and hunting season. I've already skipped a couple overnights because I didn't want to deal with it.

Offline phildobaggins

  • Non-Hunting Topics
  • Trade Count: (+2)
  • Sourdough
  • *****
  • Join Date: Sep 2020
  • Posts: 1101
  • Location: Boise
  • big buck big buck big buck
  • Groups: RMEF, MDF
Re: New Truck - Loan APR
« Reply #14 on: June 06, 2023, 09:56:38 AM »
If the dealer is a KBB member they have to honor the Instant Cash Offer provided by the tool.

Some salespeople hate that one.

They have a way out though, "the vehicle is not in as good of shape as you described it as in your submission"

 


* Advertisement

* Recent Topics

Trail cameras by DeadedKing
[Today at 11:21:54 AM]


Here goes idaho by fishngamereaper
[Today at 11:15:16 AM]


Winchester sx4 20 gauge by Irishbackwoods
[Today at 10:47:30 AM]


2024-2026 Hunting Season Proposals by Loup Loup
[Today at 10:09:30 AM]


WTS Possible Bags by Rem14
[Today at 10:06:32 AM]


2003 Pastime truck camper by bornhunter
[Today at 10:01:33 AM]


Post The Ammo/Reloading Supplies You Find In Stock Here! by Atlas1993
[Today at 09:41:07 AM]


$3 million per year by Platensek-po
[Today at 09:00:47 AM]


JM Marlin 1894 Cowboy Limited.357/.38 by bustedoldman
[Today at 07:57:33 AM]


FS: Caldwell the rock front rest by zugbug
[Today at 07:14:12 AM]


WDFW Predator/Prey study by nwwanderer
[Today at 06:40:21 AM]


F/S: 10k tilt bed trailer**(price drop) by Ghost Hunter
[Today at 06:35:08 AM]


Skree hardscrabble pants review by Skyvalhunter
[Today at 05:22:29 AM]


Area 11 March Opener by huntnphool
[Yesterday at 11:16:21 PM]


Decoys by bhammac
[Yesterday at 10:32:15 PM]


WTS/WTT: LNIB Leupold VX-Freedom 3-9x50 by LECLERC
[Yesterday at 09:57:01 PM]


Hancock land management by elksnout
[Yesterday at 08:49:42 PM]


Cougar/Bear Studies from Other Game Departments by Humptulips
[Yesterday at 08:31:30 PM]


WTS Big blue T box power distribution centers by bearhunter99
[Yesterday at 08:24:16 PM]


Some cool old hound pictures by Born2late
[Yesterday at 08:22:22 PM]

SimplePortal 2.3.7 © 2008-2024, SimplePortal