Toyota Financial vs Credit union

Curious about how Toyota Financial is. I can currently get either $2000 cash back or .9% from Toyota. If I take the 2000 I can get 1.9 with my credit union. I really like my credit union and they are super easy to deal with. However if I take the .9 I save more over the total cost of the loan but if dealing with Toyota Financial is a headache Id rather give the business to my credit union.

 

We used them on my wife's Camry. Never had any problems, was able to pay it off early. Definitely would go with them again in the future. I'd take 0.9% over 1.9% any day.

 

Thanks for the reply! Was hoping to hear this.

 

Are you planning to pay it off early? I would run some numbers to see which one would put you off financially better off.

https://www.mortgageloan.com/calculator/auto-rebate-low-interest-financing-calculator

You can take the savings and spend it on mods

 

I’ve financed 6 vehicles thru Toyota financial and it’s been nothing but great, very easy to deal with and every time I’ve called they’re Americans on the other side. Highly recommend Toyota

 

Not sure why I never thought to ask here but I have a question about financing through Toyota Financial since they have potentially better rates than my bank.

If I finance through Toyota Financial do they source the loan and process payments? i.e. does "Toyota Financial" show up on the loan and title? I ask because when I inquired at the dealership they said they pick from various banks that they shop from and Toyota Financial doesn't actually do the loan themselves. Sounded very suspect like the dealer just wanted to shop a loan to profit themselves and say it was the "Toyota Financial" loan. I cannot talk to anyone to ask questions with Toyota Financial since the number on their site they provide to "ask questions about our services" requires an account or loan number (I've tried a few times to enter a bogus number and just say representative to no avail) and they haven't responded to my emails from 3 weeks ago.

 

As Brandisher indicated, run the actual #'s to determine what the better option is based on the amount financed and loan term. While you'll be paying slightly more in interest at the 1.9%, you'll also get the $2k cash rebate. For example, compared to the .9%, if the 1.9% results in you paying $1500 more in interest over the life of the loan, if you factor in the $2k cash rebate you'll receive, you'll be ahead a net positive amount of $500.

Run the numbers...

 

Toyota financial handled 100% of all my loans

 

Thanks. It sounds like they were blowing smoke with the "we have a number of banks that actually process the loan for Toyota Financial" song and dance

 

I bought through SE Toyota and used Toyota Financial. Before the first payment, 5/3 Bank was my loan owner/servicer. They’ve been easy to deal with though. No complaints.

 

Go with your credit union! If Toyota offers you the bigger savings, then take Toyota, then you can always refinance with your credit union.

 

I’ve had 3 vehicles through Toyota financial. I have no complaints.

 

I’d take the .9 if the math adds up better. I don’t think Toyota finance is very hard to deal with

 

I’ve had 3 loans with Toyota financial. All were with new cars and I’ve never had a problem with them. I also bought a used car and the dealership shopped the loan out to compare with my personal bank rate. It might be that credit rate, loan amount, or vehicle age determines what loan options they throw at you. Either way, run the numbers, as others have said.

 

.9%

 

I always use Toyota Financial Services as well. BTW I don't think you get the 2K if you don't finance through TFS it's an either or thing if you finance through them.

 

Run the numbers. The 1.9% with $2k rebate is the better deal. When I bought mine $1500 with 1.7% was a wash versus Toyota's 0% and no rebate. I was going to go through CU even though it was a wash. Why? I always pay off vehicles early. The CU messed up my application so I just went with Toyota. I have formulas in Excel and can run the numbers if you wish.

 

Go with your local credit union if that is the better deal. I will always go this route even if the dealership financing is slightly better. More than slightly I would go Toyota.
I am pro Credit Unions always.
Not for profit, member owned, not Wall Street driven and we give back to the communities we serve!

 

Financed a Tacoma and Matrix through Toyota Financial. Both times were easy, both times it was the better deal.
I always shop my credit union as well, Navy Fed and USAA. Sometimes they win, sometimes they lose.
Shop them both.

 

I ran some numbers for you. If you financed $45,000 @ .9% for 5 years payments would be $767. If you financed $42,500 @ 1.9% for 5 years payments would be $743. The $42,500 is $45k less rebate. Better off with CU and if you pay off early you would have more savings.

 

Which one is giving you a SIMPLE INTEREST loan????

 

I financed through Toyota just to get the best deal on everything else and my trade. Then refinanced at my credit union a month later lol. Got cash back on my gap too, as it was less than half at the CU. I forget the numbers but I saved a couple G.

 

never had a problem with Toyota Financial, they are great to deal with

 

I didn’t get any rebates. Just worked the best deal with everything else.

 

That strategy can work because dealers make money off financing. They make it regardless of whether you use Toyota or someone else. I usually work my deal separate from financing.

 

I have financed 5 vehicles in the last 1.5yrs though Toyota Financial with no issues. Very simple to make payments through the app. Like any other institution, just make your payments on time and there should be no problems.

 

Thanks for all the responses guys! I'm glad I posted this because at first I was just looking at the total cost in interest of the loan which obviously .9 comes in the winner but the 1.9 rate minus the $2000 would need to end up being over $2000 more in interest for the .9 to be the better deal correct? I went to my credit union today and they actually went up to 2.49% but even then running the numbers if I were to take out $30,000 at .9% for 60 months the total cost of the loan is $30,691. If I minus $2000 and finance $28,000 at 2.49% for 60 months the total cost of the loan is $29,808. A savings of $883 over the course of the loan plus I get to deal with my credit union where I already have money going to anyway. For the .9% to actually make more sense you would need to be financing $50,000+. I may still take the $2000 off and finance through Toyota if they will give me a better deal that way and then refinance with my credit union but we shall see. I'm still in the process of finding a dealer with the truck I want in stock and one I want to work with. This isn't the first time I shopped for Tundras, I was looking at getting one a couple years ago but it didn't make sense financially at the time. I'm looking to get a Black Platinum which seems to be like finding a needle in a hay stack around me here in Boston, they're definitely out there but if a dealer has one they literally just have one, I've noticed more dealers have TRD Pros in stock than Platinums right now. I really wish Toyotas website allowed you to truly search inventory to find what dealer has what. I know the last time I used Nissans site you could tell a dealer was getting a truck before the dealer even received it, Toyotas site just says theres a bunch of exact matches close to you but doesnt say exactly where so you need to check every dealers site in the area instead.

 

both those rates are better than my loan at 3.4%, and I have xlnt credit. I used toyota financial on my daughters Corolla, never any problems, now im with a credit union.

 

For the first time my CU couldn’t beat the Toyota finance rates, so I went with them and got the $2000 rebate (I didn’t get the ultra low rate however, my credit scores are > 800). Usually I do as others - take the dealer financing because it’s easier then refinance through my CU before my first payment is due! Usually get much better rates but not this time.

I have a freeze on my credit so that caused some minor glitches but finally got it figured out.