PFS 2016 Q1 Money factor
#1
PFS 2016 Q1 Money factor
My 2016 GTS is finally here. Getting ready to pick it up. My sales told me the money factor went up in Q1 ( was .00200 in 2015 Q4).
Anyone has the latest Money Factor rate? I asume all 911 models share the same MF rate.
Please PM if sharing on the forum is not appropriate.
Thanks in advance
Anyone has the latest Money Factor rate? I asume all 911 models share the same MF rate.
Please PM if sharing on the forum is not appropriate.
Thanks in advance
#2
It did not change as far as I know. I am picking up my targa GTS tomorrow and will report back.
Also, I got a look at the rate sheet and the MF is lower than 0.002 for coups and cabs (both regular and GTS) except for targas (it figures 🤑
Also, I got a look at the rate sheet and the MF is lower than 0.002 for coups and cabs (both regular and GTS) except for targas (it figures 🤑
#3
Thank you. Mine is a GTS coupe. Greatly appreciated if you can tell me what the MF is.
#4
declines they are clearly playing you...
#5
This. As far as I know, it's still .0020 for a GTS Coupe. But ask them directly what the base rate is.
I've had dealers avoid telling me the base MF and I've walked out of the place. Don't give them the pleasure of screwing you on the MF, as that's where they can play around quite a bit.
#7
Supposedly, Q1 rate came out / effective on Jan 4th. 2-3 weeks ago was still 2015 Q4 rate. I was told 2015 GTS MF rate was below 0.002 but 2016 was the same 0.002.
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#9
#10
(Cap Cost - Residual)/ term + (Cap Cost + Residual) x MF = Lease payment
#11
If they quoted interest rates, then consumers would ask why the interest rates were so high. By calling it money factor, they can charge twice the going rate.
#12
this is exactly right. Because it is a mysterious Money Factor whose numbers seem to be so innocuous (0.002) they avoid calling it an interest rate. If it was called an interest rate, they would be subject to the same consumer protection laws and disclosure requirements in effects for consumer loans and credit cards. It is a huge money maker for the dealer and the manufacturers... so much so that sometimes other manufacturers are willing to sell a car at a small loss and offsetting it by healthy gains on the lease deal (at least that has been my experience)...
#13
this is exactly right. Because it is a mysterious Money Factor whose numbers seem to be so innocuous (0.002) they avoid calling it an interest rate. If it was called an interest rate, they would be subject to the same consumer protection laws and disclosure requirements in effects for consumer loans and credit cards. It is a huge money maker for the dealer and the manufacturers... so much so that sometimes other manufacturers are willing to sell a car at a small loss and offsetting it by healthy gains on the lease deal (at least that has been my experience)...
The residual is fixed by PFS, dealer cannot change it.
Looks like PFS is keeping the MF to the dealers only. Not much info on the current quarter ( MF rate is usually published quarterly)
#14
It isn't a loan. There is no interest rate. Worked in the industry for a while, though in capital equipment the term was lease rate factor... Shortest answer sans legalese is the "interest rate" should we call it that would be widely variable given the costs a lessor can capture. Or, for instance, sure you have a MF but what about the doc fee or lease return fee? Once you bake those into the actual time/cost of money, any quoted interest rate would be wrong. Then we get into over use aka mileage, excess wear & tear, etc. You could argue against paying those should the lessor use the term "interest rate".
Sorry I'm over simplifying a bit--on an iPad.
BTW, nothing wrong with a lease. A leased my car. But a lessor would never be comfy using the phrase interest rate....
Sorry I'm over simplifying a bit--on an iPad.
BTW, nothing wrong with a lease. A leased my car. But a lessor would never be comfy using the phrase interest rate....