zhecks

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

mdkrp

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 &#129297

zhecks

Thank you. Mine is a GTS coupe. Greatly appreciated if you can tell me what the MF is.

Larry Cable

ask him to show the the 1/4ly PFS price sheet - it is not confidential, it contains the MF and other factors (depreciation, etc) for each model. If the dealer
declines they are clearly playing you...

Cristophosphorus

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.

mdkrp

I saw the rate sheet at my dealer 2-3 weeks ago so can't recall exact numbers but they were less than 0.002 for coupe, cabs, and non GTS targas.

zhecks

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.

yashagrawal

What is MF and how do you use it..

mdkrp

MF x 2400 = interest rate
MF is what is used for calculating lease payments. I don't know why they just don't use interest rates to begin with.

991carreradriver

Here is the industry formula for determining lease payments:

(Cap Cost - Residual)/ term + (Cap Cost + Residual) x MF = Lease payment

TheEngineer

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.

LCW

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)...

zhecks

That's why it is important to know the money factor before signing the deal. The guy can say I will sell you the car for $1K less than your current deal but make it up by offering you a higher money factor to get $1500 interest in return. I just saw an Audi dealership did that to a recent purchase by a friend.

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)

c_Gio

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....

PMAA

Latest MF I was shown (Jan/2016) for a top tier borrower (760+) was 0.00212...