Ford Flex Plan on Broncos

[RjnCjn]

Hi, I am still waiting on my Bronco to be scheduled but was wondering, if anyone has used the Ford Flex plan to buy theirs? If so what was your experience?

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[frdfan]

if you're referring to the Ford Credit Flex Buy, it's basically the same as a regular 60 month finance contract--except your term is extended 6 months to 66 months. the first 36 months are at a lower payment, pmts 37-66 are a higher payment. The rate doesn't change, there is no balloon payment at the end, you can refinance it, trade it, pay it off early, etc...just like any other loan.

I've never used it--the less you pay upfront = more interest you pay over the course of the loan.

 

[RjnCjn]

Agree with @frdfan.

It's just like any other loan, but rather than paying a consistent monthly payment they give you some added flexibility. The thought process is your income will be higher in 3 years and therefore you'll be able to afford more of a monthly payment. But ultimately you'll just pay more interest in the end. So... gross.

In my personal (perhaps unpopular) opinion, if you cannot afford to pay off your vehicle in three years you cannot afford the vehicle. This doesn't necessarily mean you should always pick a 3 year loan, obviously pick the loan term that gives you the most flexibility without impacting interest rates. But if you need a 5+ year loan to pay for a vehicle then you likely don't have enough flexibility in your budget to handle unexpected expenses (job loss, health scare, tree-falls-on-house, whatever), and therefore you cannot afford the vehicle. Don't be a slave to your auto loan, it sucks.

Thanks, and I enjoy your videos. I totally agree and that is the plan. To pay it off in 3 years. If they allow me to do the Flex plan. Id rather pay 2.9 than 7.

 

[RjnCjn]

if you're referring to the Ford Credit Flex Buy, it's basically the same as a regular 60 month finance contract--except your term is extended 6 months to 66 months. the first 36 months are at a lower payment, pmts 37-66 are a higher payment. The rate doesn't change, there is no balloon payment at the end, you can refinance it, trade it, pay it off early, etc...just like any other loan.

I've never used it--the less you pay upfront = more interest you pay over the course of the loan.

thanks for the information. I was more curious if the Bronco is an exception to the the Plan since its so popular a vehicle.

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