Nav Replacement - financing?
Thread Starter
Member
Joined: Oct 2002
Posts: 194
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From: Southern California
2003 E320
Nav Replacement - financing?
Hi everyone,
Did anyone have problems with their nav replacement in regards to financing?
I took out a loan for this purchase (paid 1/2 in cash and 1/2 financed) and got financing on my own (not dealer).
I called the finance company yesterday and they basically said that I need to payoff my loan amount and get a new loan. I don't want to do this because I paid a lot in interest so far (you know, how the loans are skewed so that you pay most of the interest early in the loan). I want them to just change the car that is on the loan and let me continue to make my payments.
I don't understand why they will not do this since the car that is on collateral is a more valuable car than what is on there right now. it is also the same year, make, model car...just newer with less miles.
As far as I know, isn't this pretty much the same situation as a lemon? If I have a lemon and the dealer gets me a new car, doesn't the finance company allow that?
Anyway...just a bit confused.
Rock.
Did anyone have problems with their nav replacement in regards to financing?
I took out a loan for this purchase (paid 1/2 in cash and 1/2 financed) and got financing on my own (not dealer).
I called the finance company yesterday and they basically said that I need to payoff my loan amount and get a new loan. I don't want to do this because I paid a lot in interest so far (you know, how the loans are skewed so that you pay most of the interest early in the loan). I want them to just change the car that is on the loan and let me continue to make my payments.
I don't understand why they will not do this since the car that is on collateral is a more valuable car than what is on there right now. it is also the same year, make, model car...just newer with less miles.
As far as I know, isn't this pretty much the same situation as a lemon? If I have a lemon and the dealer gets me a new car, doesn't the finance company allow that?
Anyway...just a bit confused.
Rock.
Newbie
Joined: Aug 2003
Posts: 1
Likes: 0
From: SoCal
I also purchased my car. The dealer told us it would be a collateral exchange, no worries on the loan (we financed outside MB). When he contacted the loan company, they would not do a swap, so we financed the replacement w/ MB Credit, and they paid off the old loan. Since we had it for nine months, I made the new loan 48 v 60 months, and although the payments went up slightly, I will make 3 less payments than I originally thought. Never did an interest analysis to see if I come out ahead or behind. You can always make additional principle payments to make sure you do not pay additional interest.
Thread Starter
Member
Joined: Oct 2002
Posts: 194
Likes: 0
From: Southern California
2003 E320
Originally posted by DMartin
I also purchased my car. The dealer told us it would be a collateral exchange, no worries on the loan (we financed outside MB). When he contacted the loan company, they would not do a swap, so we financed the replacement w/ MB Credit, and they paid off the old loan. Since we had it for nine months, I made the new loan 48 v 60 months, and although the payments went up slightly, I will make 3 less payments than I originally thought. Never did an interest analysis to see if I come out ahead or behind. You can always make additional principle payments to make sure you do not pay additional interest.
I also purchased my car. The dealer told us it would be a collateral exchange, no worries on the loan (we financed outside MB). When he contacted the loan company, they would not do a swap, so we financed the replacement w/ MB Credit, and they paid off the old loan. Since we had it for nine months, I made the new loan 48 v 60 months, and although the payments went up slightly, I will make 3 less payments than I originally thought. Never did an interest analysis to see if I come out ahead or behind. You can always make additional principle payments to make sure you do not pay additional interest.
I actually did some checking and found that my loan was a simple interest loan. i assumed that it was front heavy (like my home mortgage loan).
Rock.
