how good is 10.85% financing?

Easter Bunny

Easter Bunny

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we've been approved for vehicle financing at 10.85% interest. what are my chances of getting anything better than that? prime is 9% if i'm not mistaken.
 
the dealership did the paperwork for us, but haven't given then the green light yet. today i'm gonna give it a bash everywhere. they didn't tell me who gave us that rate though.
 
Dealerships get a kick-back from the finance houses, so dealer rates are not always the best.

OTOH, dealers can get financing for deals that the banks refuse.

If you have a reasonable credit rating best try one of the vehicle finance houses direct.
 
Prime + 2.85 isn't too bad. My vehicle loan was prime + 3, but I was able to pay it off in a year instead of 5, so the interest wasn't so bad.
 
Got 10.9 which was later dropped to 10.24 linked. If you can manage to pay off the loan in say 3 years it shouldn't hurt too much. I personally think 10.85 is not that bad.
 
Well after standard bank &$%#@% up my credit rating I got 15% deposit and 15% interest. FML. After a letter from standard bank clearing stuff up wesbank gave me 10% deposit and 13% interest. Mind you this is my first VAF and it is a 2006 model with more than 100 000km. So I think I got off good in the end. And I am 22 :)
 
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got prime -4.5 but with bmw finance. not sure how they can do that though
 
I am making my final payment on my car in two months, and they (absa) asked me if I would be interrested in financing another vehicle... they offered me a 8.5% interrest rate on another vehicle, but I told them to take a hike since I have been on 7% for the past 4 years now.

There are good deals out there... just keep looking and negotiate...
 
I bought a Subaru two weeks ago. Wesbank bank offered me 9.5% linked or 10.49 fixed.
 
Damn there is a lot of people buying cars this year
 
I'm also looking at buying a "new" car, actually a second-hand with not more than 30 000km on the clock. Will shop around for finance options from the various banks.
 
according to the bank guy i saw today, i have a crt1 (corrections welcome) credit rating, so i should easily beat 10.85%.

that's got me motivated to go around town and see what the rest of the banks will offer me. i'm aiming for below prime now. a good interest rate might get me into a 1.6 i20... :)
 
Aim for prime, you won't get below prime on a vehicle very easily anymore.
 
I'm currently on 12%. Is it possible to get the banks to drop your rate?
 
i'm not sure if they will do that. that would mean that they end up getting less money than you agreed to give them in the beginning. banks don't like when you spend less.
 
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