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The reason why I am asking is now, when bank rates as well as federal interest rates nearly zero with COVID-19 or Coronavirus scare/impact. I would expect Mercedes Benz to offer zero percent financing or leasing rates since they are lender & world economy is heading surely towards recession.
The reason why I am asking is now, when bank rates as well as federal interest rates nearly zero with COVID-19 or Coronavirus scare/impact. I would expect Mercedes Benz to offer zero percent financing or leasing rates since they are lender & world economy is heading surely towards recession.
So, might as well ask this question now?
Mercedes Benz 0% Interest Rate
Most I have heard from is that the economy wil bounce back at a “rapid pace.” So why would they?
Most I have heard from is that the economy wil bounce back at a “rapid pace.” So why would they?
I will have to disagree, economy will not bounce back at least till vaccine is out. That means mid of next year, it will be bigger recession then 2008. I wish I could be wrong, but this is the reality, so may be MB will offer some deals to increase their sales.
I will have to disagree, economy will not bounce back at least till vaccine is out. That means mid of next year, it will be bigger recession then 2008. I wish I could be wrong, but this is the reality, so may be MB will offer some deals to increase their sales.
However, as far as 0% APR is concerned, it is an illusion. You still pay a financing charge, it just happens to be hidden in the sale price of the vehicle.
By taking a vehicle that has an APR of say, 3%, versus the one at 0%, you will notice the starting selling price isn't the same. The finance company will still make the same amount off of you, just in a different way. You are basically paying the financing up front when selecting 0%. Ford does this a lot. You're much better off securing your own financing at a better rate than MB Financial offers, and save money that way. Unless you are like me and lease a vehicle, then you just have to take what they give you.
The reason why I am asking is now, when bank rates as well as federal interest rates nearly zero with COVID-19 or Coronavirus scare/impact. I would expect Mercedes Benz to offer zero percent financing or leasing rates since they are lender & world economy is heading surely towards recession.
So, might as well ask this question now?
Mercedes Benz 0% Interest Rate
No, they don't. I understand Mercedes does their own financing, and I found their finance rates were not very competitive. They couldn't come close to matching the rate at my bank (USAA). I can't speak to their leases.
There is a reason you don't see 0% auto offer's from Banks or Credit Unions - from any auto manufacturer 0% has a "hidden cost" - and the more straightforward offers are 0% "or" a rebate/discount - a la if you buy at 0%, yes you are paying a higher price for the vehicle for that 0% privilege - depending on the manuf/vehicle literally you can get ripped off big time .
The Fed cuts have VERY LITTLE to due with a Bank's/Credit-Union Prime Lending rate's to it's customer's Auto Loans....
You always have the right to shop for the best rate you can find... and frankly, most people with strong credit don't shop hard enough and long enough thru Credit Union Land..
I guess, I was right.
Mercedes Benz GLE offers 0% financing now.
Yep. I knew you were right. And also there will be massive discounting coming soon too. Unemployment is hitting 15%. And it's not just low income people being let go.
At this moment - yes - for "most" new models - MB has 0%/36 available - again with some model exceptions - and Mercedes Financial is paying that from their pocket as their marketing expense - the Dealer or you is not paying that cost.... so it's not like a GMC/Ford deal where it's 0% or $2500 price rebate.
Yes - MB financing also has 1st payment credit on "most" models for over 36mo term - and 1st payment deferral up to 90 days - both "extra's are model dependent and term dependent
Fortunate to live in a stable/successful area of the country - and frankly 35% of my business is are clients who always purchase their cars outright - they write a check as simple as that - 0%/36 gives them the flexibility of timing.
The major impact of this Covid-Era so far has been the "loosening" of auto credit requirements for "Lower Tier" ... if you can walk into a dealership with your heart beating you can qualify for a hefty auto loan for your income - with low/0 cash - almost irregardless of low credit rating - what used to be "special financing" has become more common financing... interest rates are hefty, but not super-excessive as "special financing" was just 3-4 months ago.
We used to buy cars outright but in hindsight there are better ways to burn money.
We switch cars every two years so leases provide good predictability plus it works better for business use.
what if you financed the car today at x rate and next month they reduced the rate, are you eligible for the new lower finance rate?
Who is “they?” Yes you have the option to get the lower rate if you refinance the car and qualify for that rate. Usually though when you refinance the car, it will not be considered “new” anymore and those low teaser rates might not apply. But again it will is dependent on who “they” are. You also have to consider that every time you “apply” for financing a small thing goes on your credit which sometimes doesn’t help or “look good” when trying to get those lower rates. (You have to consider your credit score)
Good luck.
Technically if you pay cash there is no financing involved so your comment doesn’t even make sense or help others on here.
Next answer!
Seems you do not understand my question.
I am saying after financing the car at certain rate with loyalty applied. Then next month the dealership where you picked up the car, reduced the financing rate, are you eligible for the new rate?. Having in mind that contract is binding.
I am in Canada, and contacted Mercedes Benz Canada, whom asked me to check with the dealership, and the dealership asking me to check with Mercedes Canada!
03-17-2020, 01:40 PM
Does Mercedes Benz Offer 0% APR interest rates?
