Credit Union Times PenFed to Offer Walk-Away Balloon Car Loans | Credit Union Times. Our students say Absolutely amazing app, but is there a way to copy a result? I had no problems getting 3 approvals at other banks at top rates inculding through BMW. To help the government fight the funding of terrorism and money laundering activities, Federal law requires all financial institutions to obtain, verify, and record information that identifies each person who opens an account. I'm seeing 3.74% for 84 months at DCU. PenFed Payment Saver Auto Loan. the same thing that happened with the housing pop is it not? E81 / E82 / E87 / E88Model Year: 2004 - 2011. Sound impossible? Has anyone ever used this program before? Welcome to the Greater Nevada Credit Union Payment Saver site. What are the pluses/minuses of financing using payment saver plan? My question is, if I do go forward with the pen fed . Rates and offers current as of and are subject to change.. 1 The PenFed Car Buying Service rebate of $350 will apply to new and used purchase loan applications with a qualifying vehicle purchase sourced through the PenFed Car Buying Service. Do you think it is worth trying to contact Pen Fed even though they declined my reconsideration or should I just accept it and move on with dealership? The content you are about to view is produced by a third party unaffiliated to Pentagon Federal Credit Union. Given your RV example, if the desired ownership term was only 6 months. If something happens to the income, they may never get paid the contracted balance. Products & Rates Choose Your Product Auto Payment Saver Auto Loan Estimate my payment, That could be why I cant find it, but Im not going to join until I decide if I want to use the loan, but dont know if I want to use the loan until I know the RV. Where there is no state sales tax, for example NJ when purchasing a zero emissions vehicle. This is from a different credit union, but it looks like all of the ones that offer payment saver loans use Auto Financial Group to calculate their payments. I am a bot, and this action was performed automatically. I just thought there would be interest in PenFed discontinuing their offering, given the flurry of recent discussion in other threads. 2. MountainCrest FCU (WA), When I add sales tax to my amount and put nothing down, I'm only a few bucks lower than a BMWFS lease with MSD and ED without the risk of being upside down and getting my MSDs back. Penfed payment saver loan? They had been very interested in leasing for years and then made a last minute decision to go with balloons based on a middle man who I think had a piece of the deal. Might have to call them and ask. The banks want nothing to do with that, and will happily turn you away. Back in 2019, PenFed briefly offered balloon loans with guaranteed residuals (you could walk away at the end of the initial term), but they quickly discontinued those also. Copyright AmeriCU Credit Union. Do you wish you could make paying your bills less of a hassle? Certificate Term. In one case, I was quoted $1500 for origination. It seemed like it was kind of like a lease, but without the option to just give the car back at the end of the term. Further information is available in our FICO Data Privacy Policy. I pulled one up for a Maserati Ghibli and it showed an MSRP of $48K and the car was a $91K sticker. Hopefully this is not the end of the line, because they are a great option where you can find a favorable RV. Learn more. Welcome to Park City Credit Union's Payment Saver calculator site. Rates current as of May 4, 2021. Idk what the full scope of the deal is, but if you make $10,000/month and owe $9,500/month in revolving debt and credit card balances, that leaves you with only $500/month of available buying power. Pentagon Federal Credit Union, or PenFed, serves over 903,609 members. Where the manufacturer is providing more rebates for purchase, versus lease. That really is an awesome deal! New and used motorcycle loans. SoFi offers personal loans ranging from $5,000 to $100,000, which is much higher than PenFed's $50,000 limit. Again denied!! 6 Months. I also got a decline the other day on a 700. BMW Buyers Guide - Dealers, Resources & Pricing. Payment Saver "Balloon" Loans Camaro Price | Ordering | Tracking | Dealers Discussions Payment Saver "Balloon" Loans - Camaro5 Chevy Camaro Forum / Camaro ZL1, SS and V6 Forums - Camaro5.com You are browsing camaro5 At minimum, expect a $725 origination fee for vehicles over $75K. Penfed payment saver loans (like bmw select with balloon) Bimmerpost Model Selection. balloon loans are dangerous and I think the interest rate on them usually fluctuates with prime. The bottom line: Pentagon Federal Credit Union, or PenFed, offers good interest rates for checking and even more competitive rates for online savings and money market . 0 Kudos. I'm new to Audi, but understand RS models maintain their equity, making the. Latest BALLON LOAN options (best to worst): CapEd Credit Union (https://capedcu.com/) A dealer can usually get it done because we have direct lines to the loan officers. Then at 2 years post bk7 dc i applied for the PCR, approved for 7.5k at 17.99, ymmv. Used car loan value based on NADA Retail Value. Does anyone know of anywhere other than PenFed that has auto loans with a balloon payment? 1.5% cash back for non-members. What happens if you can't refinance in time at the end of the loan? Does anyone know who else offers payment saver loans? I don't see it on their site anymore, did they stop offering it? Make a Payment. The content you are about to view is produced by a third party website that is unaffiliated to Pentagon Federal Credit Union. 2.70%. Thanks for the input thus far guys, very helpful. Refinance remaining balance and keep the vehicle. There are some exceptions where the Penfed payment saver has worked out better for me then a lease or traditional finance. When you register for our products and services, we also collect certain personal information from you for identification purposes, such as your name, address, email address, telephone number, social security number, IP address, and date of birth. My wife also works and makes over $200k a year.We currently lease and finance Volvos. But like all credit unions, membership is New vehicles are vehicles without previous owners and are of a current (2021) or prior (2020) model year with less than or equal to 7,500 miles. FTC's website on credit. AmeriCUs PaySaver Auto Loan program offers just that! 12 Months. Now you can leave those worries behind and use Access Bill Pay! Please review our most Frequently Asked Questions to see if your question has already been answered. i saw maybe less than month ago, but yeah seems to be gone now. Uses experian for credit score. I can't remember where I read it but I believe Payment Saver is no longer offered as of late last year. Here's an overview of PenFed Credit Union's Money Market Certificate rates. But regardless its clear that people generally arent doing these to save money. I have a PenFed Payment saver loan on my Tesla Model 3 and on a previously owned Challenger. Lowest available BALLON LOAN rate found was 2.49% but I did not qualify. I drive alot, PA charges 9% lease tax on leases, and of course BMW acquisition/leasing fees are not something you deal with when buying. Find out how you can save on your next car. Alright guys so I just had to report on my deal as the numbers are great! Paysaver rates not posted, but you can apply for paysaver loan via the website. https://www.penfed.org/auto/payment-saver. I've also been thinking about going this route. Penfed has a calculator which allows you to lookup MSRP and RV for a given vehicle. Anything branded payment saver is the afg balloon. Uses transunion credit for score. Couldn't find the ED price etc. Re: Penfed Pre-Approvals Credit Card. Anyone on here have any experience with these loans?? Go into a dealership and let them properly structure a deal to get an approval for you. Just log-in to PenFed Online (above right, anywhere you are on PenFed.org) and click the Pay Bills tab from the Main Menu of PenFed Online. More details on software and accessibility are available at WebAIM.org. Call 1-800-247-5626 for details. Flexible loan terms of up to 72 months. Financing Available for up to 110% of vehicle value. When more credit unions were leasing, they were also buying residual insurance from AFG. The only time this "Payment Saver" would make sense is if you had money tied up in stocks or property that wasn't liquid right now but that you knew would be liquid by the time the balloon payment became due. I really don't think it is terrible as long as you setup an auto deduction into a interest bearing acount for what you would save each month. White House Approves $17.4 Billion Auto Loans to GM & Chrysler. There website says it's an estimation based on their data & the mileage cannot exceed 15k a year. $465. Membership to the CU is possible via a $20 donation to CapEd Foundation. Had you not put down $10k, you would have been upside down. Would love to pick up other vehicles with this program. Minimum loan amount of $15,000 for vehicles financed with 60 to 72 month loan terms. Its not. Where the manufacturer has restrictive lease terms, for example Tesla or Mercedes, that limit your ability to sell/trade/transfer the lease and where you often will have equity. Vermont FCU (VT), For one reason or another penfed was difficult to get approval for, and I'm not sure I understand why. We use cookies to provide you with better experiences and allow you to navigate our website. Uses transunion credit for initial score. Just did the payment saver plan on the M4 we are picking up next weekend. Given most APRs are pretty low right now, the difference in interest paid, for such a short term, is fairly insignificant. No down payment required; Annual mileage options of 12,000, 15,000 & 18,000 available; No security deposit or acquisition fees; No early payoff penalty; Since the title is in YOUR name you have more options prior to loan maturity and at loan maturity. If I buy a car using the Penfed Payment Saver (balloon payment) program and say I want to put in $10,000 as a downpayment. 72 month finance would have been about $1018 a month, the payment saver was $639. How to pick a car? Expect a hard pull immediately after submitting your application online. I have my score from Credit Karma but the dealership told me they got a different score. If so, please share your experience with them. Did you go to a different page? To come up with that payment you have to either save it up while your paying the smaller payments or refinance the remainder at the end of the loan. APY. Looks a like 60 month balloon but cannot find any other info about it in terms of how to calculate residual.. could be an alternative to lease.. The advantage here is there are no terms to ownership (you own the car), no acquisition fee, no lease tax (as there is in PA that is in excess of sales tax), no other lease-associated fees. Other restrictions may apply. Solve Now. I just thought it may make sense in regard to the Odyssey and Sienna which lease terrible and tend to hold decent RVs. ; Sell it at maturity or anytime during loan term. Just not a pen fed customer to know what their RVs are on those two specific vehicles. Its also well established they dont verify the options you claim are actually equipped (driving up MSRP). I recently applied for an New Auto Payment Saver loan for $65k through PenFed Credit Union and was declined, the reason was Excessive Obligations in Relation to Income (Overextended). It's a lease-like program, but you OWN the vehicle, and there are plenty of end-of-term options:. Try Access Bill Pay today! Because their RVs are so low, youll have some equity at the end to trade with but your payments will be a lot higher than your other options with a lease. They didn't even have the 2016 M3 in their system when I applied. Including the ability to turn your vehicle in and walk away at the end of the loan term. Our payment quoting technology gives you the ability to build your vehicle of choice online, then compare the cost of the Payment Saver payment to a conventional loan payment. Keep in mind when you calculate the payments on BMWs site, it doesn't include taxes. My wife wants a Sienna or Odyssey and want to see what options I have. F40Model Year: 2019 + Previous Generations; F20 / F21Model Year: 2012 - 2018. I want to buy this car but being declined with them kind of shocked me and makes me worried.Will I be ok going through dealer financing?What should I do? I created both and getting $10 charged every month from my checking account since I only have minimum. I wonder if its worth trying to contact Pen Fed again or just cut my losses and work with the dealer. You can borrow between $10,000 and $100,000 with terms of 24 to 60 months. Thanks for the candid feedback. In my case i started with a 15 dollar savings account with penfed and let it sit for 7 months. or just a certain type of loan. . 1323 3 Only show this user. GPO's Payment Saver is a financing option that offers monthly payments that are considerably lower than conventional financing! Quite honestly joining for the $5 minimum deposit is a no brainer just for the TDM discounts they offer. Access Bill Pay: PenFed's Online Bill Payment System. penfed payment saver forum. On a typical (not speciality, not for purchase only incentives, not to avoid a closed-end lease) vehicle?? Bimmerpost Model Selection. Message 3 of 4. To Sign In or Enroll: Log-in to PenFed Online in the login box at the top-right of this page and click the Pay Bills tab from the Main Menu of PenFed Online. No security deposit or acquisition fees. PenFed dropping the balloons is very interesting. Debt to income is also a huge factor, as you said. All rights reserved. As far as the process goes though, I pretty much just need to get my exact total from the dealer (car, taxes, fees, etc) apply for the loan, then walk in and hand them the check? FORUMS. But unlike a lease, with the PaySaver Auto Loan program you own the vehicle and have all of the flexibility and benefits of vehicle ownership! If I total the car my . However, they do not take any action and the dispute . I did do this loan on my e90 M3 back in 08. I think thats the reason why he loves Penfed balloon loans. Lesser known benefits of the program, it includes GAP and deductible insurance. Applications and Car Buying Service dealership match must be received during the promotional period, between 2/1/2023 and 4/30/2023. BMW 1 Series Coupe Forum / 1 Series Convertible Forum (1M / tii / 135i / 128i / Coupe / Cabrio / Hatchback) (BMW E82 E88 128i 130i 135i), Ordering, Pricing, Options, Tracking Discussions. Will it impact my credit or look bad to banks if I immediately submit another application with PenFed - this time as a joint application? We can help you find an auto loan that meets your needs with our CarBuilder program. TT (Mk3) Discussion - PenFed - Anyone ever use PenFed's Payment Saver loan? So i don't think there a specific method, but if you had to guesstimate it will be around the RV = to the 36/15k vehicle & changes based on the term you pick. I ended up taking the truck even though it was more expensive because I'd rather take the risk on a truck instead of what will be an 7-8 year old cadillac at the end of the loan. Like a lease, the PaySaver Auto Loan program offers payments that are considerably lower than conventional financing. PenFed Credit Union offers low rates, particularly if you're interested in its car-buying service. I just had a giant lunch so I may be even less lucid than normal, so please bear with me. Were they easy app, approval or did you have to send in a bunch of docs. All vehicles that hold their value extremely well. I think this is the path I'm going to go. Stay tuned! The payment would be lower on the 50% RV, but with the larger payment wouldnt you end up with more equity and therefore spend less on interest over the same amount of time? Has anyone else had this experience with PenFed? Came back with a rate over 5%, Regional options (not-open-membership) to consider: Their customer service has been great so far. You will need to put in the rental income as "other income" on the credit app, and provide your tax returns showing that income, or sometimes the leases, or bank statements, etc. I was just wondering what the logic was behind wanting a higher RV on this type of balloon loan since a lower RV would cost less when it all washes out. You need to claim your rental income on the application. Ken had already updated the PenFed site to these new rates but haven't seen anything mentioned on the blog or in the forum. I love pen fed dont get me wrong and have used the payment saver 7+ times, but it was so much better years ago. Taxes on full vehicle price were paid on vehicle upfront. Note that fees charged between providers can vary. With the Challenger, Dodge was still offering power dollar rebates with a purchase, but not with a traditional lease. Insurance Investments Locations & ATMs Digital Banking EN ESPAOL (800) 421-6674. Im sure the dealer can get it done. My only thought is we have two rental properties/mortgages so might look like I have large debt but they actually provide income. Back in 2019, PenFed briefly offered balloon loans with guaranteed residuals (you could walk away at the end of the initial term), but they quickly discontinued those also. Forums. Access Bill Pay makes bill paying easy and secure. 0% balance transfer promo APR for 12 months, although a 3% fee applies on each transfer. If they truly killed it an didnt just pause it, there is almost no chance it comes back. The pen fed saver payment calculator estimates a rubicon unlimited with 53k msrp to be worth 34k in change after 3 years. We currently lease and finance Volvos. You may find these sections particularly useful; Will paying in cash or a large cash down payment offer me leverage in negotiations? Same APR. . Does anyone know how the RV is calculated in the PenFed Payment Saver program? Read PenFed car loan review. The last thing they want to do is repo your car. Hanscom Federal Credit Union (https://hfcu.org/) Original review: June 28, 2022. Never any issues with payments.My application only had me on it though, I thought my credit history and annual income would be more than sufficient to qualify. Instead you owe a large balloon payment at the end. Like, a super tiny fraction. PenFed's used car loans as of Dec. 31, 2018 were $1.5 . Mileage options apply only if you return the vehicle at program end. PenFed was their only national CU and the rest are all small that serve a group of counties in various states. Bring back /u/chooter, Press J to jump to the feed. I applied with neither and was approved. Anyone else skeptical about these loans? Create an account to follow your favorite communities and start taking part in conversations. 4.0. You can look through AFgs website in the press release section. I wasnt questioning the logic of a balloon loan vs. lease; I understand why someone would do one vs. the other in various scenarios. Please contact the moderators of this subreddit if you have any questions or concerns. Generally, I do think a balloon loan makes sense for short term purchases. dunn2500. My PenFed Visa has a $50K limit, which is their max. Better then a lease loan offering is backed by AFG at a 3.74% rate. You need to be a member to access it. basically you are taking the chance that at the end of the term of the loan your car is still in perfect condition. As far as balloon loans go, it's a very good program. You'll discover the ease and convenience of paying your bills online in almost no time. Plugged in same options etc and only getting a $740 discount. I used their calculator here for ballpark numbers: I am a member of PenFed and went under their Car Buying service. Did you get this quote via their PenFed website? penfed payment saver forumwhen will lego diagon alley be back in stock. New comments cannot be posted and votes cannot be cast, A place to ask questions from car sales professionals - sales people, finance and sales managers. For more information about the relationship between PenFed and PenFed Title, LLC, see the Affiliate Business Arrangement Disclosure. The lease numbers are just NOT favorable for me. Re: Has PenFed done away with Payment Saver (balloon finance) loans? Remember your panic when you were far from home and remembered that a bill was due? If you have a chance to be earning 3-5% on what your normal down payment is and go with this you obviously make some money.. if of course the car is still good at the end of the payment. CULA used to also offer balloons but we stopped about 5 years ago because the demand for that product was miniscule in most markets. Many factors affect your FICO Scores and the interest rates you may receive. MECF_728x90_top. Other features of the Payment Saver Auto Loan include: New and used vehicles up to five years old qualify. Penfed Credit Union allows customers to initiate a Non-Fraud Card Dispute process on a credit card transaction. Frequent Contributor. i hadnt really looked into this being as its my first loan but the biggest problem i see with it is, what if your car gets totaled. CU doesnt want your business. Just go to a dealer. *For security purposes you must use a 128-bit encryption browser to use Access Bill Pay. However the payment difference is hundreds per month between a lease and a balloon payment. This isnt a product thats useful to me. Should I add $500 so that I dont get charged a service fee or I can close the chrcking and just keep my share account? My wife also works and makes over $200k a year. I have great credit and am already approved for a normal loan through my credit union with affordable monthly payments, but am considering the payment saver loan because of how much lower it makes them. Theyll get you financing. I actually had a few grand in equity. So I sent a reconsideration letter telling them that and sent bank statements showing six figures in bank account and tax return showing our families income. They would only give me 1.9% on select but gave .9% on regular financing, Pricing, Ordering, Leasing / Purchasing, Delivery, https://www.penfed.org/auto/payment-saver. That being said, I did put like 10k down. I understand the difference the RV would make on the monthly payments, but its not like you can give the car back at the end of the term like on a lease (at least on the balloon loan PenFed most recently offered). Have they stopped all new vehicle finance options? Started the process online on Mondaycheck was at our doorstep on Thursday. PRIVACY NOTICE: When you visit this website we collect your browsing activities on our site and use that information to analyze and research improvements to the website, and to our products and services. High-Yield Savings Accounts; CD Rates; . You might also have luck in the r/whatcarshouldibuy subreddit. I need to differentiate multiple times in a row and there's no feature for that in the calculator nor can I copy the result so I can just d/dx it again. CALCULATE YOUR PAYMENT SAVER LOAN PAYMENT. Copyright 2001-document.write(new Date().getFullYear()) Fair Isaac Corporation. Using the balloon loan qualified me for thousands in additional rebates versus a CCAP lease. 2. There's so much else going on behind the scenes. Equal Housing Lender - Federally insured by NCUAMembership restrictions apply, New and pre-owned vehicles up to five years old qualify, Annual mileage options of 12,000, 15,000 & 18,000 available. If there is a CU of ours that you can lease through, that is the cheapest way to lease a sienna or odyssey. Also offers a 2.14% rate for 96 months, so one application gives you both options. You'll also face a balloon payment at the end of your loan. Not that I'm going to finance that long. The select looked attractive to me but they (BMW) managed to talk me out of it. Read: 35 Ways To Slash Your Car Costs. In addition, PenFed offers Payment Saver (Balloon) loan options for members seeking lower monthly payments. They used to have a payment calculator on the site where you could either enter a VIN or select make and model and it would show estimated payments, but it looks like they took it down. PenFeds new Payment Saver Plus Program removes the risk of credit damage for members. 2. In both cases it seems to me it would make more sense to simply take out a longer term loan in the first place to get your payments down. To Sign In or Enroll:Log-in to PenFed Onlinein the login box at the top-right of this page and click the Pay Bills tab from the Main Menu of PenFed Online. F80 M3 / M4 Pricing, Ordering, European Delivery, https://www.dcu.org/loans/auto-choices.html. Loan rates and terms are determined by each individuals credit history, underwriting factors, and loan-to-value and are subject to change without notice. 2% cash back for PenFed Honors Advantage Members. AFG runs a balloon loan program through a bunch of small CUs and a couple big ones (Pen Fed nationwide and SEFCU in NY). Membership via $15 one-time donation to American Consumer Council. Id guess they will turn on a lease program sometime in the next year or two. One quick question for those familiar with this loan: I pay sales tax on the entire vehicle of the car, right? Maybe you can reverse engineer a good guess on the RV by figuring out total cost of payments compared to MSRP. Thanks for the info. Hopefully this is not the end of the line, because they are a great option where you can find a favorable RV. G42Model Year: 2021 + F44Model Year: 2020 + Previous Generations . APR = Annual Percentage Rate. I have a credit score of 821 and $130k annual income. { BK7 DC 12/2019 } target 1300/ kohls 3000/ discover IT cb 6500 / 2nd discover IT cb 6000/mercury 4100 / firestone 2800 /legacy . That is what Chrsyler is estimating based on 64% residual with about 10k lease. Answering everything by email with responses taking less than 15-20 minutes. I have a lady coming by today who I got approved and she literally has a 412 score. The vehicle mileage may not exceed 15,000 miles per year based on the model year. Rates are current as of March 2023unless otherwise noted and are subject to change. To start viewing messages, select the forum that you want to visit from the selection below. New auto loans: PenFed offers up to 110 percent financing and terms from 36 to 84 months ranging from 1.49 to 3.49 percent APR. European Delivery. SEFCU (NY), Retiree with a solid pension and half a century of on-time car payments? As my grandfather would say, this place cant find its ass with both hands. 1. G42 Model Year: 2021 + F44 Model Year: 2020 + Previous Generations; F22 / F23 Model Year: . This is completely wrong. 1. AFG never sold residual insurance or residual values to credit unions. There website says its an estimation based on their data & the mileage cannot exceed 15k a year. Typically I lease my BMWs, whereas we traditionally finance my wife's. TTRS isn't yet listed on PenFed, but I imagine it will be more attractive than Audi leasing??? I have a lady coming by today who I got approved and she literally has a 412 score. "They don't have to . AFG Calculator. I don't believe they allow you to walk away from the car at the end though. PenFed vs. SoFi. Adnimation ATF. Chances are you owe too many people too much money and your CU sees this as a liability. *A typical new auto loan of $30,000 at 3.74% APR would have 71 monthly payments of $404 each month, and would include a balloon payment due at loan maturity of $5,475. I was told to just call back when I have the VIN. Since the title is in YOUR name you have more options prior to loan maturity and at loan maturity. Basically its a loan with a reduced monthly payment, but has a balance that must be paid or refinanced at the end of the loan. Payment Saver auto loans. See the difference? Membership to the CU is possible via a $35 donation to Nashua River Watershed Association. Only problem I had was getting approved. Remember your panic when you were far from home and remembered that a bill was due? Had no issues with penfed. AFG Calculator. AmeriCU Credit Union (https://americu.org/) This credit union is federally insured by the National Credit Union Administration. I don't see anyone doing the right thing with these loans. Disclaimer: Credit card offers are constantly changing. The term doesnt matter that much because you can sell, trade, or pay it off whenever you want. E81 / E82 / E87 / E88Model Year: 2004 - 2011. Just like buying new? F40Model Year: 2019 + Previous Generations; F20 / F21Model Year: 2012 - 2018. What state/county do you live in? PenFed's new Payment Saver Plus Program removes the risk of credit damage for members. With the Tesla, its about the ability to sell the vehicle, at any time, and not be forced to return it to Tesla. Thanks for turning me on to this. I've been researching some alternative financing and this Penfed loan seems to blow everything else out of the water (including Select finance). A balloon loan is fundamentally paying down a presumed balance between MSRP and residual value. Powered by Discourse, best viewed with JavaScript enabled, PenFed Has Stopped Accepting Payment Saver Auto Loan Applications, PenFed to Offer Walk-Away Balloon Car Loans | Credit Union Times. The share savings account gets you all the benefits, Powered by Discourse, best viewed with JavaScript enabled. Camaro Price | Ordering | Tracking | Dealers Discussions, General Automotive + Other Cars Discussion, Camaro5 Chevy Camaro Forum / Camaro ZL1, SS and V6 Forums - Camaro5.com, Find More Posts by joes3rdcamaro82/91/2010, https://www.penfed.org/productsAndRape=NEW&value=Y.