The share savings account gets you all the benefits, Powered by Discourse, best viewed with JavaScript enabled. Expect a hard pull immediately after submitting your application online. All Rights Reserved. PenFed Payment Saver Auto Loan. 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. If they truly killed it an didnt just pause it, there is almost no chance it comes back. 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. I calculated the residual value it gave me in it's car-specific calculator (i'm logged in as a member). FTC's website on credit. penfed payment saver forum. NerdWallet rating. 01-22-2022 02:06 AM. You need to be a member to access it. We currently lease and finance Volvos. They usually announce all the small CUs they sign each quarter. Had no issues with penfed. Its not. However the payment difference is hundreds per month between a lease and a balloon payment. They changed stuff over the years. Skip to content. 2. 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. Plugged in same options etc and only getting a $740 discount. Original review: June 28, 2022. Welcome to Park City Credit Union's Payment Saver calculator site. If you look at their terms there is no pre-payment penalty, and you can pay off early anytime. Lesser known benefits of the program, it includes GAP and deductible insurance. AFG never sold residual insurance or residual values to credit unions. 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. PenFed takes no responsibility for the content of the page. I think Brad is right. Why? Including the ability to turn your vehicle in and walk away at the end of the loan term. 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. I have a lady coming by today who I got approved and she literally has a 412 score. 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. 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 FORUMS. The content you are about to view is produced by a third party unaffiliated to Pentagon Federal Credit Union. 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. Better then a lease loan offering is backed by AFG at a 3.74% rate. Does anyone know how the RV is calculated in the PenFed Payment Saver program? European Delivery. PenFed dropping the balloons is very interesting. Go into a dealership and let them properly structure a deal to get an approval for you. Learn about the other ways you can use online and mobile banking. The term doesnt matter that much because you can sell, trade, or pay it off whenever you want. Reply. 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. 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. Anyone on here have any experience with these loans?? Does anyone know who else offers payment saver loans? Since the title is in YOUR name you have more options prior to loan maturity and at loan maturity. Take two $50,000 cars, one with a 50% RV and one with a 40% RV. Now you can leave those worries behind and use Access Bill Pay! G42Model Year: 2021 + F44Model Year: 2020 + Previous Generations . 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. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. PenFed takes no responsibility for the content of the page. I just emailed Penfed to ask for more info on how they figure the RV. You might also have luck in the r/whatcarshouldibuy subreddit. Find out how you can save on your next car. Read: 35 Ways To Slash Your Car Costs. APY. 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. Please review our most Frequently Asked Questions to see if your question has already been answered. Stay tuned! Generally, I do think a balloon loan makes sense for short term purchases. Mileage options apply only if you return the vehicle at program end. Yep, that is what I am going with as well. 2% cash back for PenFed Honors Advantage Members. APY = Annual Percentage Yield You can borrow between $10,000 and $100,000 with terms of 24 to 60 months. Out of curiosity, for those who have balloon loans, whats your APR? 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? You can look through AFgs website in the press release section. "They don't have to . What this means for you: When you open an account, we will ask for your name, address . All rights reserved. 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. 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. I actually had a few grand in equity. Read PenFed car loan review. To start viewing messages, select the forum that you want to visit from the selection below. PenFed Payment Saver Deal. Instead you owe a large balloon payment at the end. Will it impact my credit or look bad to banks if I immediately submit another application with PenFed - this time as a joint application? Latest BALLON LOAN options (best to worst): CapEd Credit Union (https://capedcu.com/) I have a PenFed Payment saver loan on my Tesla Model 3 and on a previously owned Challenger. 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. Copyright AmeriCU Credit Union. 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 . What are the pluses/minuses of financing using payment saver plan? White House Approves $17.4 Billion Auto Loans to GM & Chrysler. Id guess they will turn on a lease program sometime in the next year or two. They didn't even have the 2016 M3 in their system when I applied. We can help you find an auto loan that meets your needs with our CarBuilder program. You'll discover the ease and convenience of paying your bills online in almost no time. Frankenmuth CU (MI). Again denied!! We can help you find an auto loan that meets your needs with our CarBuilder Program. Plus dealers had to explain how it was different and 95% of the customers would choose a lease because it makes more financial sense for them. Make a Payment. I pulled one up for a Maserati Ghibli and it showed an MSRP of $48K and the car was a $91K sticker. Did you go to a different page? Become a member and take advantage of products and exclusive offers! AFG runs a balloon loan program through a bunch of small CUs and a couple big ones (Pen Fed nationwide and SEFCU in NY). Neither lease well and ran across this idea but didnt know how to calculate the RV. Remember your panic when you were far from home and remembered that a bill was due? Credit Union Times PenFed to Offer Walk-Away Balloon Car Loans | Credit Union Times. I created both and getting $10 charged every month from my checking account since I only have minimum. With the Tesla, its about the ability to sell the vehicle, at any time, and not be forced to return it to Tesla. I am going to guess that this is a terrible idea for someone that drives up to 20K miles / yr. F80 M3 / M4 Pricing, Ordering, European Delivery, https://www.penfed.org/payment-saverver-calculator. 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. You have to be an employee of a specific business, student/family in a specific school district, or active/retired military. That is what Chrsyler is estimating based on 64% residual with about 10k lease. You'll also face a balloon payment at the end of your loan. I have done 2 PenFed Payment saver loans (my 2014 C7 and my 2021 C8) The video after the finance guy is NOT about PenFed Payment Saver loans Last edited by jimmyb; 04-07-2021 . Any options I have found, the rate has been at 4% and greater. This happens most often with no option vehicle (ie Hellcat). Penfed offered me a balloon for $475 a month and a balloon payment of $15K where as my truck was purchase for $55K and have a balloon of $26K for $550 a month. Penfed Payment Saver for ED. Do you wish you could make paying your bills less of a hassle? Hopefully this is not the end of the line, because they are a great option where you can find a favorable RV. APR = Annual Percentage Rate. https://www.penfed.org/auto/payment-saver. That being said, I did put like 10k down. There are some exceptions where the Penfed payment saver has worked out better for me then a lease or traditional finance. Uses transunion credit for score. The vehicle mileage may not exceed 15,000 miles per year based on the model year. In my case i started with a 15 dollar savings account with penfed and let it sit for 7 months. 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. Just not a pen fed customer to know what their RVs are on those two specific vehicles. Used car loan value based on NADA Retail Value. Where Penfed has an unusually high MSRP, which does not properly align to the manufacturer MSRP. Including the ability to turn your vehicle in and walk away at the end of the loan term. (And no, not aware of anyone else other than Penfed that's doing it, cause I'm not in the market for a bad loan. This is completely wrong. Bimmerpost Model Selection. This may come as a surprise, but financing a car isn't that easy, and credit scores are only a small fraction of the total approval/decline. TT (Mk3) Discussion - PenFed - Anyone ever use PenFed's Payment Saver loan? Penfed payment saver loans (like bmw select with balloon) Bimmerpost Model Selection. 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 did do this loan on my e90 M3 back in 08. It doesn't hurt to try but it probably won't make a difference. High-Yield Savings Accounts; CD Rates; . Also offers a 2.14% rate for 96 months, so one application gives you both options. 72 month finance would have been about $1018 a month, the payment saver was $639. You may find these sections particularly useful; Will paying in cash or a large cash down payment offer me leverage in negotiations? I think folks that are considering that option need to give themselves a reality check, and say "Can I REALLY afford this car?" Balloons are purchases so youll pay sales tax on the full price of the vehicle and you wont always get the same incentives available on a lease. How to pick a car? Please note that verified professionals will have flair, take advice from non-flaired users with discretion. 12 Months. The pen fed saver payment calculator estimates a rubicon unlimited with 53k msrp to be worth 34k in change after 3 years. Rates current as of May 4, 2021. dunn2500. 1. We only did the 36 month term as I was wanting something more along the lines of a lease (Georgia stupid tax laws kill actual leasing) and I wasn't trying to speculate on the car's value 5 yrs from now. It gave me a ~$29.7k residual on a $72k MSRP. To estimate your vehicle payments, use our Payment Saver Auto Loan Calculator. Enables you to easily upgrade and/or change your vehicle every couple of years. They are difficult to get approved for compared to others as. Frequent Contributor. Had you not put down $10k, you would have been upside down. I am a bot, and this action was performed automatically. more or less this is the opposite of gap insurance. Debt to income is also a huge factor, as you said. 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. Where the manufacturer is providing more rebates for purchase, versus lease. A dealer can usually get it done because we have direct lines to the loan officers. To find out more about the PaySaver Auto Loan program, call or stop by AmeriCU today or go to the PaySaver Calculator to see for yourself how low your auto loan monthly payment can be! 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. What happens if you can't refinance in time at the end of the 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. Create an account to follow your favorite communities and start taking part in conversations. Put Your Money in Your Pocket with Mobile Banking, 8 Tips for Taking Reliable Mobile Deposit Check Photos. 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). AFG uses a derivative (90% iirc) of straight ALG for the RVs on their balloon loans. No early payoff penalty. Any chances this program comes back? I would rather keep the equity in my pocket, during that time period, then in the vehicle. I have had the Payment Saver on a FJ Cruiser, JKUR, JLUR and now my Raptor. I've also been thinking about going this route. In one case, I was quoted $1500 for origination. Quite honestly joining for the $5 minimum deposit is a no brainer just for the TDM discounts they offer. PenFeds new Payment Saver Plus Program removes the risk of credit damage for members. 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). Please contact the moderators of this subreddit if you have any questions or concerns. 1.5% cash back for non-members. Press question mark to learn the rest of the keyboard shortcuts. Affiliate Business Arrangement Disclosure. PenFed Credit Union offers low rates, particularly if you're interested in its car-buying service. 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. TERM APY* 6 Month 2.70%** 12 . New and used motorcycle loans. Financing Available for up to 110% of vehicle value. Payment came back very high, not sure what rates/fees they used. Taxes on full vehicle price were paid on vehicle upfront. If something happens to the income, they may never get paid the contracted balance. Flexible loan terms of up to 72 months. *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. $1,000. Note that fees charged between providers can vary. i saw maybe less than month ago, but yeah seems to be gone now. PenFed's new "Payment Saver Plus Program" removes the risk of credit damage for . Forums. I have a credit score of 821 and $130k annual income. Sorry, I do not. 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. 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. Damn I just picked my 2021 trd pro 4runner with this Penfed program back in June. Given your RV example, if the desired ownership term was only 6 months. CALCULATE YOUR PAYMENT SAVER LOAN PAYMENT. Like, a super tiny fraction. Did you get this quote via their PenFed website? For instance in 2014 I took out one for a loaded 781 Porsche Boxster S, fully loaded car. Came back with a rate over 5%, Regional options (not-open-membership) to consider: Credit Unions often offer what's called a Payment Saver Auto Loan. the same thing that happened with the housing pop is it not? F40Model Year: 2019 + Previous Generations; F20 / F21Model Year: 2012 - 2018. Solve Now. 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. Membership to the CU is possible via a $20 donation to CapEd Foundation. ; Trade it at maturity or anytime during loan term. I did this same type of thing with my E92 M3 and it was perfect. 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. This was the case for many of the Dodge products, when they were still doing Power Dollars (no more). Loan amounts range from $10,000 to $100,000 and APRs start at 2.99% and 3.74% for new and used cars, respectively. Thanks for the candid feedback. Access Bill Pay: PenFed's Online Bill Payment System. Not that I'm going to finance that long. 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. Anyone else skeptical about these loans? If there is a CU of ours that you can lease through, that is the cheapest way to lease a sienna or odyssey. CU doesnt want your business. Those would be your best bet to see if there is one you can work with. However, they do not take any action and the dispute . This credit union is federally insured by the National Credit Union Administration. 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! That means they are most likely not seeing the originations that afg sold them on. F80 M3 / M4 Pricing, Ordering, European Delivery, https://www.dcu.org/loans/auto-choices.html. I earn $xxxx per month, will I qualify for an auto loan or lease, and is it a good idea? Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. 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. 2.70%. 1. G42 Model Year: 2021 + F44 Model Year: 2020 + Previous Generations; F22 / F23 Model Year: . In normal times? Where there is no state sales tax, for example NJ when purchasing a zero emissions vehicle. With the Challenger, Dodge was still offering power dollar rebates with a purchase, but not with a traditional lease. For visitors with visual disabilities, access to this website, including our FICO Data Privacy Policy, is available through assistive technologies, such as BrowseAloud, JAWS, VoiceOver, Narrator, ChromeVox, and Window-Eyes. For more information about the relationship between PenFed and PenFed Title, LLC, see the Affiliate Business Arrangement Disclosure. 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. junio 16, 2022 . I don't see anyone doing the right thing with these loans. Loan rates and terms are determined by each individuals credit history, underwriting factors, and loan-to-value and are subject to change without notice. $869.13. 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. Payment and Shipping info for 1st Edition Camaro5 shirts, Americans increasingly going upside down on auto loans. Disclaimer: Credit card offers are constantly changing. E81 / E82 / E87 / E88Model Year: 2004 - 2011. I can't remember where I read it but I believe Payment Saver is no longer offered as of late last year. I've been researching some alternative financing and this Penfed loan seems to blow everything else out of the water (including Select finance). SoFi offers personal loans ranging from $5,000 to $100,000, which is much higher than PenFed's $50,000 limit. Has PenFed done away with Payment Saver (balloon finance) loans? I currently pay $800 a month on a auto loan, so trading it in for another $800 isnt a strain on my finances. For more information about the relationship between PenFed and PenFed Realty, LLC, see the Affiliate Business Arrangement Disclosure. PenFed vs. SoFi. Hopefully this is not the end of the line, because they are a great option where you can find a favorable RV. The banks want nothing to do with that, and will happily turn you away. For one reason or another penfed was difficult to get approval for, and I'm not sure I understand why. Greater Nevada Credit Union's Payment Saver Auto Loan Program allows you to get the low costs of leasing with the option to sell, trade, finance or return at program's end. Their MSRP for cars when doing payment saver are ridiculously off and by off I mean lower. F40 Model Year: 2019 + Previous Generations; F20 / F21 Model Year: 2012 - 2018; E82 / E83 / E87 / E88 Model Year: 2004 - 2011; 2. 1323 3 Only show this user. I have found cars with a 72 month term lower. The way the market is now I don't think I would touch it. Does anyone know of anywhere other than PenFed that has auto loans with a balloon payment? 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? Penfed Credit Union allows customers to initiate a Non-Fraud Card Dispute process on a credit card transaction. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. This isnt a product thats useful to me. There website says its an estimation based on their data & the mileage cannot exceed 15k a year. Answering everything by email with responses taking less than 15-20 minutes. I searched for this but still cannot find a straight answer. 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. ; Sell it at maturity or anytime during loan term. Did anyone have great luck with these, thought about doing one for a corvette. Uses transunion credit for initial score. I wonder if its worth trying to contact Pen Fed again or just cut my losses and work with the dealer.