A balloon loan is fundamentally paying down a presumed balance between MSRP and residual value. Does anyone know of anywhere other than PenFed that has auto loans with a balloon payment? 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. Penfed Payment Saver for ED. Forums. I applied with neither and was approved. Do you wish you could make paying your bills less of a hassle? the same thing that happened with the housing pop is it not? As my grandfather would say, this place cant find its ass with both hands. Does anyone know how the RV is calculated in the PenFed Payment Saver program? Lowest available BALLON LOAN rate found was 2.49% but I did not qualify. AFG Calculator. On a typical (not speciality, not for purchase only incentives, not to avoid a closed-end lease) vehicle?? 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. Expect a hard pull immediately after submitting your application online. NerdWallet rating. Solve Now. I think thats the reason why he loves Penfed balloon loans. 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. For more information about the relationship between PenFed and PenFed Realty, LLC, see the Affiliate Business Arrangement Disclosure. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Reply. 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.. Just not a pen fed customer to know what their RVs are on those two specific vehicles. In addition, PenFed offers Payment Saver (Balloon) loan options for members seeking lower monthly payments. 0% balance transfer promo APR for 12 months, although a 3% fee applies on each transfer. Not that I'm going to finance that long. They usually announce all the small CUs they sign each quarter. All FICO Score products made available on myFICO.com include a FICO Score 8, and may include additional FICO Score versions. They are taxed as a purchase, application was all done online and my approval was always instant. 1. Loan amounts range from $10,000 to $100,000 and APRs start at 2.99% and 3.74% for new and used cars, respectively. FTC's website on credit. When I applied last month, it was for conventional: new, used, and less than 1 year old refi. That being said, I did put like 10k down. APY = Annual Percentage Yield Open membership, anyone can join. I pulled one up for a Maserati Ghibli and it showed an MSRP of $48K and the car was a $91K sticker. 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. AFG never sold residual insurance or residual values to credit unions. 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. 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. 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. Also remember to add flair to your post by clicking the "Flair" link beneath it. 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. 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. 2% cash back for PenFed Honors Advantage Members. But regardless its clear that people generally arent doing these to save money. 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. You have to be an employee of a specific business, student/family in a specific school district, or active/retired military. ; Trade it at maturity or anytime during loan term. Annual mileage options of 7,500, 10,000, 12,000, 15,000 & 18,000 available. You can borrow between $10,000 and $100,000 with terms of 24 to 60 months. Hanscom Federal Credit Union (https://hfcu.org/) 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. Uses transunion credit for score. I just thought it may make sense in regard to the Odyssey and Sienna which lease terrible and tend to hold decent RVs. 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. F40Model Year: 2019 + Previous Generations; F20 / F21Model Year: 2012 - 2018. Membership to the CU is possible via a $20 donation to CapEd Foundation. 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! I traded my M3 in back in September after about 30 months and I actually had a few grand in equity. No security deposit or acquisition fees. That really is an awesome deal! I don't see it on their site anymore, did they stop offering it? F80 M3 / M4 Pricing, Ordering, European Delivery, https://www.dcu.org/loans/auto-choices.html. Disclaimer: Credit card offers are constantly changing. Remember your panic when you were far from home and remembered that a bill was due? Here's an overview of PenFed Credit Union's Money Market Certificate rates. See the difference? Thanks for turning me on to this. It seems many local credit unions offer them but all require specific membership criteria (impossible given I am not in their area). 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. penfed payment saver forum. 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. 0 Kudos. Credit Union Times PenFed to Offer Walk-Away Balloon Car Loans | Credit Union Times. Should I wait since I just had Pen Fed pull my credit or does it not matter? Including the ability to turn your vehicle in and walk away at the end of the loan term. Nothing good can come of it. PenFed's new Payment Saver Plus Program removes the risk of credit damage for members. Generally, I do think a balloon loan makes sense for short term purchases. MERGED: Has anyone read this (bankruptcy) about GM? $465. $869.13. Message 3 of 4. 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? Debt to income is also a huge factor, as you said. Paysaver rates not posted, but you can apply for paysaver loan via the website. If there is a CU of ours that you can lease through, that is the cheapest way to lease a sienna or odyssey. 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. It gave me a ~$29.7k residual on a $72k MSRP. Using the balloon loan qualified me for thousands in additional rebates versus a CCAP lease. For those looking to pay less upfront at a higher rate, they come with a lump-sum payment at the end of their term. AFG Calculator. I used their calculator here for ballpark numbers: I am a member of PenFed and went under their Car Buying service. 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? . Where the manufacturer is providing more rebates for purchase, versus lease. By clicking I ACCEPT, you consent to our use of cookies in accordance with our Privacy, GDPR and Cookie Policies. Bimmerpost Model Selection. Thanks for the candid feedback. 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 Copyright AmeriCU Credit Union. If so, please share your experience with them. European Delivery. 1. CALCULATE YOUR PAYMENT SAVER LOAN PAYMENT. All Rights Reserved. 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??? The banks want nothing to do with that, and will happily turn you away. PenFed vs. SoFi. What happens if you can't refinance in time at the end of the loan? Membership via $15 one-time donation to American Consumer Council. Credit Unions often offer what's called a Payment Saver Auto Loan. I wasnt questioning the logic of a balloon loan vs. lease; I understand why someone would do one vs. the other in various scenarios. Certificate Term. I wonder were these taxed at the full purchase price or taxed like a lease? The lease numbers are just NOT favorable for me. FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. AmeriCUs PaySaver Auto Loan program offers just that! Had no issues with penfed. E81 / E82 / E87 / E88Model Year: 2004 - 2011. I don't see anyone doing the right thing with these loans. That means they are most likely not seeing the originations that afg sold them on. Same APR. 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. Take two $50,000 cars, one with a 50% RV and one with a 40% RV. Adnimation ATF. Please review our most Frequently Asked Questions to see if your question has already been answered. Motorcycle, RV and boat loans. They offer a payment saver loan option (via AFG) at a 3.84% rate. Latest BALLON LOAN options (best to worst): CapEd Credit Union (https://capedcu.com/) However, PenFed's "Payment Saver Plus Program" removes the risk of credit damage, making a walk-away just another option to satisfy the balloon payment obligation. Chances are you owe too many people too much money and your CU sees this as a liability. Why? With the Tesla, its about the ability to sell the vehicle, at any time, and not be forced to return it to Tesla. 2. Learn more. They are difficult to get approved for compared to others as. 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). Used auto loans: You can get up to 110 percent financing with terms . I just emailed Penfed to ask for more info on how they figure the RV. Lesser known benefits of the program, it includes GAP and deductible insurance. 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. (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. The way the market is now I don't think I would touch it. Payment came back very high, not sure what rates/fees they used. Alright guys so I just had to report on my deal as the numbers are great! PenFed's new car loans as of Dec. 31, 2018 were $1.9 billion, up 7.7%, while the total among all credit unions was $21.2 billion, up 5.9%. ; Sell it at maturity or anytime during loan term. There website says it's an estimation based on their data & the mileage cannot exceed 15k a year. 1. One quick question for those familiar with this loan: I pay sales tax on the entire vehicle of the car, right? Your lender or insurer may use a different FICO Score than the versions you receive from myFICO, or another type of credit score altogether. In my case i started with a 15 dollar savings account with penfed and let it sit for 7 months. Welcome to the Greater Nevada Credit Union Payment Saver site. 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. To estimate your vehicle payments, use our Payment Saver Auto Loan Calculator. I earn $xxxx per month, will I qualify for an auto loan or lease, and is it a good idea? G42Model Year: 2021 + F44Model Year: 2020 + Previous Generations; F22 . Re: Has PenFed done away with Payment Saver (balloon finance) loans? i saw maybe less than month ago, but yeah seems to be gone now. Penfed payment saver loans (like bmw select with balloon) Bimmerpost Model Selection. Penfed Credit Union allows customers to initiate a Non-Fraud Card Dispute process on a credit card transaction. Instead you owe a large balloon payment at the end. Insurance Investments Locations & ATMs Digital Banking EN ESPAOL (800) 421-6674. Their customer service has been great so far. APY. Loan rates and terms are determined by each individuals credit history, underwriting factors, and loan-to-value and are subject to change without notice. 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 . I've also been thinking about going this route. I also got a decline the other day on a 700. A dealer can usually get it done because we have direct lines to the loan officers. Do we have to have a checking account open too or just share account is good enough? The content you are about to view is produced by a third party unaffiliated to Pentagon Federal Credit Union. You need to claim your rental income on the application. Uses transunion credit for initial score. Damn I just picked my 2021 trd pro 4runner with this Penfed program back in June. Stay tuned! Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. Has anyone else had this experience with PenFed? Bimmerpost Model Selection. White House Approves $17.4 Billion Auto Loans to GM & Chrysler. Plugged in same options etc and only getting a $740 discount. If you look at their terms there is no pre-payment penalty, and you can pay off early anytime. In normal times? Call 1-800-247-5626 for details. https://www.penfed.org/auto/payment-saver. 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. More details on software and accessibility are available at WebAIM.org. 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. This happens most often with no option vehicle (ie Hellcat). How to pick a car? Thanks for the input thus far guys, very helpful. Skip to content. If I total the car my . Try Access Bill Pay today! Has PenFed done away with Payment Saver (balloon finance) loans? Collapse. Popular programs such as PenFeds PSA Loan basically resembles a auto lease, but without th. 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? Anyone else skeptical about these loans? My wife also works and makes over $200k a year.We currently lease and finance Volvos. 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. No match for the 2.99% 36mo rate that PenFed offered. What are the pluses/minuses of financing using payment saver plan? Become a member and take advantage of products and exclusive offers! 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. Make a Payment. Anyone on here have any experience with these loans?? I can't remember where I read it but I believe Payment Saver is no longer offered as of late last year. Also offers a 2.14% rate for 96 months, so one application gives you both options. Uses transunion credit for score. Keep in mind when you calculate the payments on BMWs site, it doesn't include taxes. Sorry, I do not. Membership to the CU is possible via a $35 donation to Nashua River Watershed Association. F40Model Year: 2019 + Previous Generations; F20 / F21Model Year: 2012 - 2018. GPO's Payment Saver is a financing option that offers monthly payments that are considerably lower than conventional financing! Thanks, I was really intrigued buy the loan option Pen Fed was offering to lower payments. There's so much else going on behind the scenes. FORUMS. Used car loan value based on NADA Retail Value. or just a certain type of loan. Press question mark to learn the rest of the keyboard shortcuts. This isnt a product thats useful to me. For instance in 2014 I took out one for a loaded 781 Porsche Boxster S, fully loaded car. 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. You need to be a member to access it. Those would be your best bet to see if there is one you can work with. 2. Access Bill Pay: PenFed's Online Bill Payment System. Had you not put down $10k, you would have been upside down. Out of curiosity, for those who have balloon loans, whats your APR? 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. Yeah that's not uncommon for credit unions or banks that just use software to put it in as that. Financing Available for up to 110% of vehicle value. We currently lease and finance Volvos. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Minimum Deposit. What this means for you: When you open an account, we will ask for your name, address . Pentagon Federal Credit Union, or PenFed, serves over 903,609 members. Your actual credit score is only a small fraction of the equation. I have a credit score of 821 and $130k annual income. Make a Payment. They didn't even have the 2016 M3 in their system when I applied. Sound impossible? 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. Thanks for the info. Answering everything by email with responses taking less than 15-20 minutes. Payment Saver auto loans. Yes I know about the dangers of the loans, what I need to know is who is offering them (other than PenFed). Penfed payment saver loan? Couldn't find the ED price etc. I have my score from Credit Karma but the dealership told me they got a different score. I have a PenFed Payment saver loan on my Tesla Model 3 and on a previously owned Challenger. Came back with a rate over 5%, Regional options (not-open-membership) to consider: Including the ability to turn your vehicle in and walk away at the end of the loan term. Rates are current as of March 2023unless otherwise noted and are subject to change. *For security purposes you must use a 128-bit encryption browser to use Access Bill Pay. I don't believe they allow you to walk away from the car at the end though. Sample deal: I could get into a Flying Spur for nothing down and $0 per month until the end of the 10-year draw period. If something happens to the income, they may never get paid the contracted balance. You'll also face a balloon payment at the end of your loan. Applications are subject to credit approval. APR = Annual Percentage Rate. Refinance your current vehicle loan to reduce your monthly payments with the PaySaver Auto Loan program. Copyright 2001-document.write(new Date().getFullYear()) Fair Isaac Corporation. 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. Has anyone ever used this program before? 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. 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. "They don't have to . But like all credit unions, membership is 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 . Enables you to easily upgrade and/or change your vehicle every couple of years. Have they stopped all new vehicle finance options? All vehicles that hold their value extremely well. 1323 3 Only show this user. Affiliate Business Arrangement Disclosure. F40 Model Year: 2019 + Previous Generations; F20 / F21 Model Year: 2012 - 2018; E82 / E83 / E87 / E88 Model Year: 2004 - 2011; 2. This was the case for many of the Dodge products, when they were still doing Power Dollars (no more). Read: 35 Ways To Slash Your Car Costs. The pen fed saver payment calculator estimates a rubicon unlimited with 53k msrp to be worth 34k in change after 3 years. My wife wants a Sienna or Odyssey and want to see what options I have. As my grandfather would say, this place can't find its Auto Saver Loans. Please note that verified professionals will have flair, take advice from non-flaired users with discretion. 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. Refinance remaining balance and keep the vehicle. PenFed's new "Payment Saver Plus Program" removes the risk of credit damage for . I have a lady coming by today who I got approved and she literally has a 412 score. Our students say Absolutely amazing app, but is there a way to copy a result? 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. Put Your Money in Your Pocket with Mobile Banking, 8 Tips for Taking Reliable Mobile Deposit Check Photos. . 1.5% cash back for non-members. 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. Like, a super tiny fraction. That being said, I did put like 10k down. 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. I have a lady coming by today who I got approved and she literally has a 412 score. SoFi offers personal loans ranging from $5,000 to $100,000, which is much higher than PenFed's $50,000 limit. However the payment difference is hundreds per month between a lease and a balloon payment. A lot of credit unions buy residuals from AFG. Find out how you can save on your next car. 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. However, they do not take any action and the dispute .