Folks,

In another thread, some of you were discussing the lease vs buy options. In that forum, someone mentioned a credit union that could be joined with a Red Cross contribution.

But, more importantly, they offer a interesting option where you actually buy the car, but treated almost as a lease payment.

Can you clarify and direct me to that institution?

It would be greatly appreciated as I consider my first purchase, soon.

Oh - test drove a 15 (RWD) and 16 (AWD) R on Friday. Both are simply amazing cars. 120 mph on I78 in Allentown, PA. Sales guy was cool. The big dog has to hunt!

 

Think you're looking for this: https://www.penfed.org/Payment-Saver-Auto-Loan/

 

That's it... u da best, Shift...

Any advise?

 

sorry, haven't used it myself. But I'm sure others will chime in.

 

LynxFX has used this program before with much luck...

 

Although the post is titled about Leases... a LOT has been said in this thread...

https://www.jaguarforums.com/forum/f...-rates-142167/

 

Thanks, Tex..

Originally from Texas, myself. Dallas. You?

 

I went this way with my most recent purchase as well.

 

Merlin - can you explain your rationale? What differentiated this approach in your experience?

 

Well, I usually only keep my cars for 3-4 years and was originally looking at a lease, but the lease rates on the 2016 F-Type are terrible. Plus I wanted the flexibility to sell the vehicle early if I wanted to without having to jump through hoops. You can always buy your way out of a lease, but it isn't easy and ends up costing you much more in the end.

Now that I have the car, I am thinking I may want to keep it longer than 3 years, so I always have the option to refinance and convert the loan to a longer term if I like.

The only real disadvantage with the PenFed loan is that I have to pay taxes on the purchase price of the vehicle rather than just pay taxes on each lease payment. But I can deduct it from my taxes, so it'll end up working itself out in the end.

 

Brilliant... Thanks, Merlin.

 

Funny thing is... I was raised in Slatington, PA... I've been in TX for more than 10 years now. I used to drive Allentown to Parsippany, NJ five days a week for work. I know all the roads in your area. 78, 33, 209, and of course all the great back roads through the Delaware water gap up to the Poconos.

 

Penfed is a great option as long as their residual is accurate. Jaguars aren't exactly known for holding their values, so you could easily be $10k under water at the end of the three year term.

 

Too funny... I live in Malvern, PA and commute up to Teaneck, NJ most days for work. 1 1/2 hours. 1 way. On a good day. Brutal.

Moved to the area after being born and raised in Dallas until 36. Moved here 23 years ago. Originally had a 5 minute ride to work through the beautiful Willistown thoroughbreed horse country.

Not so much, now...

But, it's all good. I'll be taking those back roads...

 

From watching the residual value listed on penfed for the past 2 years I can say that they tend to be on the more conservative side than Jaguar.

The F-type is my 3rd loan with them. The last two I maintained positive equity with the car. One a Mercedes, the other an Audi.

 

The residual that PenFed quoted on my F-Type is lower than what the lease residual would have been. So at the least I should be better off than I would have if I wanted to buy the car at the end of a 36-month lease.

Of course, on a lease if the depreciation is underestimated, and I turn the car in, then I'm not the one who loses out.

 

Like what happened with the R8. Quite a few people that leased 1st and 2nd model years were able to buy them after the lease and then trade back into the dealer for essentially MSRP. Free R8 for 3 years.

 

I'm hoping that with the addition of AWD to the lineup that the F-Type will continue to build momentum, improve sales, and hopefully we will see resale values increase (slowing depreciation of the vehicles a bit.) I know we'll never see depreciation approach the point where the car pays for itself like with your R8 example, but I'd be happy to see 36-month depreciation under 40%.

 

The one thing that I can see dropping the residual values on this car is selling a 4 cylinder version which I keep seeing rumors about. A 4 banger F type would mean many more sales at much lower prices.

 

I suspect those will only be offered in Europe where the taxes favor smaller displacement vehicles. A 4 banger won't have much of a draw here in the States.