Difficulty closing finance with local banks/credit unions

Difficulty closing finance with local banks/credit unions

Just curious to know if anyone else has had difficulty closing on financing with local banks or credit unions.

In my case, I was fully approved, 100% financed, and had the deal fall through due to the "unique" nature of Tesla not being a typical dealership. Apparently there was some stalemate over my local credit union not releasing the check until they received the title ... and Tesla not releasing the title until they receive the check.

Anyone else have a similar experience?

So I'm now back to the drawing board trying to finance through another institution while my newly delivered Model S sits at the delivery center.

- Outraged in Ohio | 2013年8月1日

I worked my financing through USAA, which I guess helps, since they don't have any branches either. USAA sent me an e-check, which I sent to Tesla, then they sent paperwork to USAA, which then sent me a final addendum to the original loan paperwork.

Maybe you can try and get the DS and your finance guy on the phone at the same time to coordinate?


herkimer | 2013年8月1日

I had a similar issue when my local credit union gave preliminary approval for financing and then backed out of the deal when I went in to sign the papers. They first wanted to reduce the amount of financing to 25,000, then, when I protested, they withdrew altogether saying that they didn't believe they could resell the car if they needed to repossess, since there were no dealerships, it was a new company and the car was all electric! Had nothing to do with my credit score, they just thought the car itself was too high risk, even when financing less than 1/3 of the price!

Hmmmm, I found that ridiculous. But in the end it worked out fine. Try Alliant, not local (for me), but not afraid of the Tesla Model S, in fact they are used to it, having financed quite a few already!

Mathew98 | 2013年8月1日

ACU requires a $10 donation to a charity in order for you to become a member. It's a small price to pay to get 1.49% loan for up to six years. They will finance 100% of the payment and have dealt with quite a few Tesla loans.

Their process is extremely fast and everything is signed electronically. Call them and they should be able to send you a check within 2 - 3 days. Yes, they are that fast!

That is assuming your W2 and past two years income taxes are ready for review and a decent credit score.

Zero EV

randyy | 2013年8月1日

I'll second Alliant FCU & US Alliance.

Both of them will get your loan approved in a day if they need to.

earlyretirement | 2013年8月1日

Yep Alliant is GREAT! The application process is super quick. As long as you have 2 years of tax returns and a decent FICO score it should be very simple with them. They will send you a check before you take possession of the car. So far really impressed with them.

I normally just pay cash for cars but it was too good to pass up as they have 1.49% APR financing so almost like free money.

AmpedRealtor | 2013年8月1日

US Alliance will qualify you for more than Alliant. Alliant is sensitive to whether you have financed such a high priced vehicle before. If not, they will require a minimum 10% down payment. That's what they said to me, even though my credit was fine. I got $80k financed through Alliant, but $105k financed through US Alliance at the same interest rate.

Zero EV | 2013年8月1日

@omarsultan: I had them both on the phone, didn't help. I'm trying to work my way up the chain at the CU now to see if I can find someone to tell my why this is so difficult. I am also a USAA member, I will try them for financing.

Zero EV | 2013年8月1日

Thank you all for the references. I will work my way through them ... certainly somebody wants my money ;-)

AmpedRealtor | 2013年8月1日

There is always Tesla partner financing, but you may need to sign your papers in Oregon if the financing is not offered in your state.

George with SacEV | 2013年8月1日

Based on other threads here on the forum, the best finance rates are USUALLY with Alliant, BUT I was better with PenFed. Both are credit unions and are well experienced in doing business with Tesla.

Rates are between 1.49 and 1.74% last I checked.

My local CU, Golden 1, here in California wanted 2.99%.

JPPTM | 2013年8月1日

Call Nicole @ Alliant CU (Chicago) @ 773-462-2041. Fast, easy.

thranx | 2013年8月1日

Wonderful service from Alliant. Full amount that I requested, 72 months, 1.49%, simple interest, no prepay penalty. Entire process from sign-up to loan approval took less than a week.

Remarkable service.

SBerg | 2013年8月1日

Did you submit your loan request when you ordered your car or closer to delivery date?

Renegade | 2013年8月1日

Go with Alliant... haven't seen any other rates lower then 1.49% for 72 months. I applied with Alliant and got approved in 20min for 1.49%!! They didn't ask for any paperwork. I'm putting down 31% and only financing $56k.

Sailor | 2013年8月1日

I also went with Alliant.
Same story as everyone else and yes, I think they are excellent and easy to work with

jbunn | 2013年8月1日

No issues with PenFed, and it was a great rate at the time. My normal credit union BECU had "never heard of it" even though I started talking to them 8 months in advance, so I took my business elsewhere. Commercial banks were not an option, as I have no interest in overpaying for their services.

cohast | 2013年8月1日

No issues with the Virginia credit Union, the whole process was very quick and everything was done online.

KendallPB | 2013年8月2日

What the heck?! No problems here, with Apple FCU in the DC area. The woman was excited about my car and they gave me the "blank check" and everything was smooth.