[fundamentals]

Purchased a new X6 40i traded a 2019 X5 40i Just got my first payment notice a few days ago. Interest rate at 60 months 5.49%

Only took the deal because it was last day of the month and the loyalty rebate. Got 6.5% off MSRP

Question: Keep the loan $795 per mo. payoff in full ( 1st payment due)
Payoff $41,000

I have the money to payoff but thought about getting a CD for 5.2% put the $41k there. My finacial advisor said pay it off, my account said do the CD?????

Any comments are appreciated.

[mattsrs]

This kind of question is not really a BMW X5/X6 related question and has been discussed ad nauseam all over the Internet as a finance question. The difference of 0.3% in interest rate on your CD vs loan for $50k is $150/year so not worth losing sleep over. So I would personally pay it off if I don't need the chunk of cash for something else during the life of the loan otherwise I would keep the loan. Just keep in mind that I heard when you get a loan from BMW, if you pay it off within the first 3-6 months, the dealer will lose some additional incentives they get from BMW FS for selling a finance product. So if you care about your relationship with the dealership, I would keep it a few more months.

[fundamentals]

I really don't care about the dealership,it's not my local dealer I I always use. They were shady when they did their final delivery numbers. They tried to pull a fast one on me at the last minute. The GM was very rude on the phone and they knew I was dealing with a very ill spouse. We had an arrangement that the car would be delivered at a certain time of day because I had to take my wife for chemo. The screwed the whole thing up and I wound up taking delivery at 8pm. I wasn't happy and they knew it. The GM never even called to say sorry. The client advisor was suppose to come and bring some accessorizes to make up for all the issues but that never happened.

Even if I payoff the loan the interest is $245. With any car loan from BMW financial the interest is always the highest during the first two years then starts to eat away at more principal.

I already asked BMW financial that in three months it would be $600 in interest.

[TurtleBoy]

Originally Posted by fundamentals

Even if I payoff the loan the interest is $245. With any car loan from BMW financial the interest is always the highest during the first two years then starts to eat away at more principal.

I already asked BMW financial that in three months it would be $600 in interest.

All auto loans are like that, just run the amortization schedule on it to see the principal and interest for each payment.

The dealer may get penalized if you pay it off before making three payments. Since you don't care about that, as mentioned above, if you don't need the cash/cashlike then just pay it off.

[fundamentals]

That's exactly what i'm doing. They were not professional with me and when the car was delivered it was dusk and the advisor spent 10 mins with me. He didn't call my ins co either, I was on the phone at 9pm trying to get a temp ins card.

I would never buy from them again. According to BMW financial no dealer has a say on how soon you can pay your car off. As a matter of fact there was a promo that if you paid cash for a vehicle on the lot BMW offered $2000 in form of a rebate. They did not disclose that.

I do understand about the dealer wanting me to keep the loan for a few months and under different circumstances i would. I've all about my issue with my wife when I was trying to order an X5 about 2 months ago.

Unfortunately since that point in time my wife just entered into hospice so I have more important things on my plate now.

[TurtleBoy]

I wish you and your wife the best, as you said, that is much more important.

[fundamentals]

Thank you. I'm so mad at myself. I should have just kept the 2019 X5 now I have a new car that just sits and my 2021 X5M comp with 1400 miles on it. I asked several peoples opinion about this when I was going to do this and two people said just keep the X5.

It's time to probably let the X5M go.

[TurtleBoy]

Originally Posted by fundamentals

Thank you. I'm so mad at myself. I should have just kept the 2019 X5 now I have a new car that just sits and my 2021 X5M comp with 1400 miles on it. I asked several peoples opinion about this when I was going to do this and two people said just keep the X5.

It's time to probably let the X5M go.

Don't be mad at yourself. My advice, and it may be worth what you paid for it, is to not worry about the vehicles, paying them off, whether they are used, etc. for right now. Put all of that on the back burner and spend time with your wife. You will have plenty of time to think about and deal with the vehicles in the future but you may not have plenty of time with her. Cherish it and her, the rest will work itself out.

[fundamentals]

Those things are so true and I agree that she is my priority unfortunately she is in cognitive decline due to brain cancer.

I lost who I used to know. It gets harder everyday with her, hospice isn't really great at what they offer. To bring in a health aid they get $35 an hour. If I bring her to a hospice facility they want $12k per month and then I depend on them. It's crap either way. I have to change something because I can't sleep and she won't eat much. Breaks me a little more each day.

Now I know what people go through when they deal with dementia and have to care for them.

[LDT]

Originally Posted by fundamentals

Those things are so true and I agree that she is my priority unfortunately she is in cognitive decline due to brain cancer.

I lost who I used to know. It gets harder everyday with her, hospice isn't really great at what they offer. To bring in a health aid they get $35 an hour. If I bring her to a hospice facility they want $12k per month and then I depend on them. It's crap either way. I have to change something because I can't sleep and she won't eat much. Breaks me a little more each day.

Now I know what people go through when they deal with dementia and have to care for them.

God bless you and yours.

[fundamentals]

Thank you.