Ferrari financial current balloon financing rates

The person I replied to didn't mention FFS. I said if FFS is over 7, it's expensive. Thats a factual statement.

 

Those threads suggest the spread is 1-1.5% higher than banks. 10% would be closer to 4% higher.
Interested to hear what your dealer says.

 

I'm pretty sure they all mark up the rate because I've negotiated a lower rate with ffs with some push back and they are always higher than rates you can get elsewhere. Only reason is because it does help with your status and opens you up to the larger lines if you want them...

 

And a lot of people also do it because it doesn’t report on your credit.

 

Just confirmed the rates you are being quoted are correct and not marked up.

 

So 3-4% over bank rates, roughly?

 

Yes. They do have a .25 discount on Roma and .5 discount for being prior FFS customer. The published balloon rates, not marked up, are 8.49, 8.99 and 10.49 (I think the range is depending on term but don’t ask). FFS is always going to be higher but the fact that it stays off your credit is worth it for some people.

 

I just got my 296 GTS with FFS and it was 8.99% for fixed 60 months with zero down, they gave me 0.25 discount for being repeat customer.

My buddy who is using FFS for first time for his GTS is getting 9.99% with 10 % down fixed for 60 months. Even if he increased the down payment, the rate stayed at 9.99%.

We're both have >800 credit and are using FFS mainly to stay off the credit bureaus since I finance my RE investments. Another option for folks is using Putnam leasing who also does balloon financing and stays off credit reports. I heard they will do 7.5% as of last week but please confirm this yourself.

 

Is the idea to exit ownership before the balloon payment is due? I'm new to this concept.

 

Absolutely. You “may” be upside down when that final payment is due. The school of thought is it lowers your monthly payment and you have a large lump sum due at the end. If you sell if after a few years, and before the final payment is due, you should be in a decent position.

 

I've used FFS previously when financing my 458. From what I remember the rates were definitely higher (but not exorbitantly) than what other banks would have offered, but the selling point for me was simply that they don't report to credit bureaus.

Anyway, I do have a question to the general public. Do you know if FFS can be used to purchase one a non-Ferrari car and if the rates are higher as a result? Plus, does the repeat buyer discount still apply? For the record, I am interested in purchasing a Black Series AMG and would probably put down around 30-40%. Thanks.

 

It can not. Only used for Ferrari

 

FFS only finances Ferraris through the dealership only.
They do not report.
Therefore finance rates are higher than market by a few points. Balloon rates are higher than their finance rate.

 

Anyone have any insight to the current rates? Dealer telling me high 9% to high 10%. Putting 35% to 40% down. 840 fico and have bought many cars at the dealer before but this is the first time using the balloon financing.

 

That rate is accurate for FFS if not slightly low. FFS is really not a great option compared to 20% down with Woodside (15yr around 9.5%) or LCFCU (12yr around 6.5%) unless you need to keep the payment off your credit report. I suppose if you were looking to create a relationship with a dealer then maybe it’s worth it? Idk…ymmv