Financing + Auto Loan Rates (APR %) -- Share What You've Found

[DavesTacomaShop]

Couldn't find a thread on this. If it exists, let me know and I'll remove this one.

Thought we could start a thread for those who might be financing all or some of their trucks. If you're paying cash, congrats, but this isn't the thread for you ;). I plan to pay cash for about half, and finance the rest. Sounds like my truck is coming sometime middle to end of Feb, so I've started to look into credit unions and auto loan rates.

Keen to know what everyone's plans are + what rates you're seeing.

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[Kielly]

Interesting idea. I'm curious to. I have $15,000 to throw down but the rates is what scares me the most, given 6% being considered "good" in this god awful economy.

I've heard in the past Toyota only does in house financing as in they won't look outside of their financing to help you get a loan, I also heard they get pissy when you go with outside lending so I'd definitely like to hear of people's experiences. I'm trading in, so I have a feeling dealer financing will be my only option.

 

[joemysterio]

I'm trading in my current vehicle, either at dealer, carmax or other, plus 5 to 10k cash, and finance the rest. Probably going to use my local credit union which is 6.5% and refinance it later if/when things drop, unless I find someplace else that's better in the mean time.

 

[tonescross]

Here is my experience with Toyota over 3 or 4 vehicles in the past dozen years or so. I have found they (Toyota) give me the best deal (out the door price) if I use Toyota financing, which is never the best (financing) deal. I don't put any or much down at all. Make one payment (or not), I then go to to my credit union and for $75 total, I refinance, put all my cash down 10k 20k whatever and always get the best interest rate, terms and reasonable payments.

 

[Drm919]

My CU has 5.49% for 48 months on 2024's

 

[Ruissimo]

My CU has 5.49% for 48 months on 2024's

Ouch. I have 6 payments left on my current car at 1.9%. That's gonna hurt.

 

[Drm919]

Ouch. I have 6 payments left on my current car at 1.9%. That's gonna hurt.

Yeah, I got 1.49% with Toyota on my 22

 

[bking]

Same boat. I have about $15K down with my trade, and they're giving me a decent price. I talked to the dealership and told them that there are several credit unions around with rates around 5.5% for up to 72 months. They said that was fine, but they'll see what they can do to match. Currently Toyota has 5.49% on 23 Tacomas, maybe they'll extend that to 24. They may have to in this environment for such an expensive truck if sales aren't what they hoped. I see that some dealers I had spoken with at the beginning that were charging ADM aren't anymore. We can only hope. Mine will be here the end of next month so I have a minute for rates to drop.

 

[PadyWagon]

Since I've got in writing that I'm paying MSRP (whatever that will be for a Pro), I couldn't care less how they fell about outside financing. I plan to finance half and give them a chance to match the lowest rate I've found. Currently seeing 4.54% for a 3 year loan from Navy Federal CU

 

[univurshul]

Here is my experience with Toyota over 3 or 4 vehicles in the past dozen years or so. I have found they (Toyota) give me the best deal (out the door price) if I use Toyota financing, which is never the best (financing) deal. I don't put any or much down at all. Make one payment (or not), I then go to to my credit union and for $75 total, I refinance, put all my cash down 10k 20k whatever and always get the best interest rate, terms and reasonable payments.

this is a good approach (if people can find a refi application fee that low, they're usually higher), but the best route this year specifically is to wait for the Fed (USA customers) to cut rates a few times, then refi.

Assuming people keep their credit in good standing, they should get a more favorable rate than if they refi immediately with these initial Tacoma deliveries. With softening inflation data, fed is looking to cut ~3-6x this year before the elections. March might not be on the table for a rate cut, but June & August we could see a drop in rates. So the right mix of down payment, and timing for easing rates, should be able to get a decent rate refinancing w/a credit unit before fall of this year.

I'm getting a hybrid, probably will be delayed, my deposit/waitlist order for a TH went in late July '23...net-net, my first payment probably won't be till ~August this year depending on delivery. We don't even have pricing for this truck yet, it's gonna be a slog waiting for it this spring. In terms of finance options, I'll probably do in-house Toyota, with a down payment that maxes allowable tax deductions for a vehicle under 6K lbs. Beyond the tax deduction max (which is like ~$12K for a taco) I think* I'll down payment ~$40K total, maybe $30K and buy a GFC if I can get it delivered this year as another ~85% business tool/accessory write-off for 2024. It's all about taxes.

If rates stay high, like 10%+, gonna pull from my SEP-IRA, pay the vehicle off month #1. The cost to borrow money at these levels is as insane as the cost & ramifications of borrowing from your retirement. Thankfully, I can do math and have options if I get some b.s. rate from the jabronis in the financing arm.

If anyone here has held & contributed to a universal life insurance policy for some time, you can take a loan out on the policy, great rates and flexibility on paying it back too. Bypass traditional financing if you can with rates where they currently are.

 

[StreeTaco]

Toyota finance will net you the best price on the vehicle.. However It’s not going to yield the best rate. No matter your credit situation, the dealer will shop 1,2, maybe 3 different lenders. The dealer is offered a Buy Rate from the lender, they’ll turn right around and offer you the Sell Rate, which is normally 2-4 percentage points higher than the Buy Rate. This offered rate is Always Negotiable! If at this time you whip out your preapproval from another lender with a lower interest rate,, you may have them backing up,, stating that the price of the truck just went up due to you choosing not to use their in house financing options.

If you’re trading in, please keep your trade and purchase as two separate transactions. If not, they are tricking you in to thinking you are getting a great deal using misleading terminology. Try to sell your car outright, either before or after your truck purchase, this will get you the most money that you can in turn pay down your loan with.

 

[bking]

Toyota finance will net you the best price on the vehicle.. However It’s not going to yield the best rate. No matter your credit situation, the dealer will shop 1,2, maybe 3 different lenders. The dealer is offered a Buy Rate from the lender, they’ll turn right around and offer you the Sell Rate, which is normally 2-4 percentage points higher than the Buy Rate. This offered rate is Always Negotiable! If at this time you whip out your preapproval from another lender with a lower interest rate,, you may have them backing up,, stating that the price of the truck just went up due to you choosing not to use their in house financing options.

If you’re trading in, please keep your trade and purchase as two separate transactions. If not, they are tricking you in to thinking you are getting a great deal using misleading terminology. Try to sell your car outright, either before or after your truck purchase, this will get you the most money that you can in turn pay down your loan with.

I plan on going in with my pre-approval from the CU. I've done this with other cars, granted not Toyota, and they've always been able to magically match the rate. They know I plan to check outside rates and say they don't care. I have my trade in writing and the vehicle is sticker, so not much room there. I did have one dealership tell me I could only use In House financing on a Tacoma. Told them to get bent. I'll never call them again.

 

[Snkrjeff020]

My plan is to wait until my build has landed, go get approved for like 10k (I am hoping the longer we wait, the better the rates will be). Seems like CU 5.5% for 48months is the lowest, so I'll probably put 40k cash down, maybe get between 7-10k for my trade, and finance the rest.

 

[bayman]

I can remember years ago here in Eastern Canada when I bought my Tundra with a 1.99% rate that the Tacoma rate was like 6-7% which I thought was nuts.

We are almost retirement ready and don't want any more lines of credit based on home equity so we will be going the Credit Union pre-approval route with most offering 5.00% to 5.50% rates on new 2024 vehicles.

We have a 2017 CR-V that we will sell privately and hope to drop $20,000 down. Used car prices are at an all-time high here as many folks can't afford new vehicles and many good used cars here are getting shipped off to Eastern US states via Nova Scotia and New Brunswick.

I figure the loan payment drops about $20 a month over 60 months for every $1000 downpayment so that drops about $400 on the monthly payment.

 

[oxi]

August 2022, I picked up my Corolla SE and got Toyota Financial at 2.9% for the loan.

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