gmac finance credit needed for zero percent

Within each major category, we also considered several characteristics, including available loan amounts, repayment terms, APR ranges, applicable fees and available discounts. We chose the best lenders based on the weighting assigned to each category: LaNeve said GM is performing better than other manufacturers this month, but he said sales will be down for the month compared with December 2007.We reviewed 16 popular auto loan lenders based on 16 data points in the categories of loan details, loan costs, eligibility and accessibility, customer experience and the application process. Both are available for 4.9 percent for 60 months. Some of GMs top-selling vehicles, including the 2009 Chevrolet Malibu sedan and Silverado pickup, are covered under the cut-rate financing plan. GM plans to spread the word about the 0 percent loans and cash incentives by modifying its Red Tag sales promotion and using heavy Internet advertising, said GM spokesman John McDonald. “Any time a manufacturer offers 0 percent on any line, it piques interest,” he said. “There’s incredible pent-up demand, where a lot of people have sat on the sidelines.”Įven though the 0 percent APR only applies to five vehicles, the deal will bring out customers interested in different models, Rogin said. They are on the phone, calling customers,” said Rogin, who owns two stores in suburban Detroit. The sales people are walking on air right now. The speed of the decision to offer a 621 credit-score minimum and APR deals surprised dealers, said GMC and Buick dealer John Rogin. Sales have fallen 20 to 30 percent from December 2007, although they are up from the loss of at least 50 percent Sheehan saw in November.īesides 0 percent loans on some vehicles, GM is offering cash ranging from $500 to $4,250 on some vehicles. But his December sales still may not reach last year’s levels. Sheehan said he expects traffic at his store to increase 25 to 50 percent because of the GMAC financing news. “It certainly won’t appeal to them as much as if the prime rate was 6 or 7 percent, but we’re trying to move a market that’s a little dormant,” said Sheehan, who owns Sheehan Saab in Lighthouse Point, Fla., and is on GM’s National Dealer Council. “We’re going to continue to be a part of General Motors’ family, or we have a buyer lined up, and here’s the buyer.”īecause the 0 percent financing waives the cash rebates available for the vehicles, the interest rate doesn’t really provide a better deal for most Saab customers, Playter said.Īnother Saab dealer, Tom Sheehan, agreed.

“We need product, and we need a clear decision made” on Saab’s future, he said. “We’ve got two new products, and both of them have been shelved”-the new 9-5 sedan for six months and the 9-4X crossover for a year. “For viability for us, this isn’t the answer,” said Playter, owner of Glassman Auto Group in suburban Detroit. But the 0 percent deal is only “a shot in the arm,” he said, because it expires Monday. One of those dealers, Ken Playter, said the 0 percent interest rate on three Saab models is an attempt to help dealers who are waiting for GM to sell the brand. It brings a lot more customers into play for us.” “Anytime you can make credit available to a wider spread of buyers, that’s a good thing. “Any tool they can get to make credit available and put deals together is a good thing,” he said. LaNeve said GM dealers are happy to have GMAC writing more car loans.

Hopefully, we’ll have access to more of the market that is out there.” “Six hundred twenty is not a subprime score,” said LaNeve.

He said dealers now can offer loans through GMAC to consumers with credit scores in the 620 range. “We’ve been trying to hold onto market share with one arm tied behind our back,” LaNeve told reporters. LaNeve said this year’s credit crunch and other financial problems-which saw GMAC exit auto leasing and only offer loans to consumers with credit scores of 700 or higher-hurt dealers’ ability to close sales. 6, Mark LaNeve, GM’s North American vice president of sales, service and marketing, told reporters during a conference call on Tuesday. GM might expand the incentives starting Tuesday, Jan. Both 20 models are covered under the incentive program, which also runs through Monday. GM also is offering new cash incentives with other vehicles. 5, on the discontinued Chevrolet TrailBlazer, GMC Envoy and Saab 9-7X SUVs and on two Saab sedans, the 9-3 and 9-5. GM said on Tuesday it is offering 0 percent financing through Monday, Jan. Just hours after GMAC LLC accepted a $6 billion government bailout package designed to enable more consumer car loans, General Motors announced new incentives.

Gmac finance credit needed for zero percent