essexcredit charges $459 loan fee

fj12ryder wrote:

DownTheAvenue wrote:

fj12ryder wrote:

DownTheAvenue wrote:

cchristanis wrote:
For those of you who have financed with essex (or other companies), did u pay a closing/processing fee? Just got approved for a loan today at 4.59/10 yrs (it's the American way :) for a 2013 torque 301 about $27k. it's in excellent condition at ballards camping center in hamburg ny. They want to charge me $495 for processing/closing fee. Wth, it's not a house. is this negotiable? Or any chance they would waive it? I have excellent credit.

They will not waive that fee, and that is why they can advertise a very favorable interest rate. This fee, if expressed as interest on your loan, would be 4.75%!!!!!

Might want to recheck that math.

That math is quite accurate

I would think that 4.75% on $27,000 over the life of a 10 year loan is going to be considerably more than $495. My calculations show that it amounts to over $1200 in interest in the first year alone.

Maybe I'm misunderstanding your thrust.

Would actually be closer to 4.9%

Total interest in the original quote would be 6,721.

4.9 would be 7,209. Delta is 488.

DownTheAvenue wrote:

fj12ryder wrote:

DownTheAvenue wrote:

cchristanis wrote:
For those of you who have financed with essex (or other companies), did u pay a closing/processing fee? Just got approved for a loan today at 4.59/10 yrs (it's the American way :) for a 2013 torque 301 about $27k. it's in excellent condition at ballards camping center in hamburg ny. They want to charge me $495 for processing/closing fee. Wth, it's not a house. is this negotiable? Or any chance they would waive it? I have excellent credit.

They will not waive that fee, and that is why they can advertise a very favorable interest rate. This fee, if expressed as interest on your loan, would be 4.75%!!!!!

Might want to recheck that math.

That math is quite accurate

I would think that 4.75% on $27,000 over the life of a 10 year loan is going to be considerably more than $495. My calculations show that it amounts to over $1200 in interest in the first year alone.

Maybe I'm misunderstanding your thrust.

It is what it is. Some companies charge a fee, some don't. The difference is reflected in the rates. Shop around for the best deal. This may be the best deal you can get or it may not be. You won't know until you comparison shop.

jwmII wrote:
Hold it right there. Stop and take the time to go shopping for a loan some where else. That is not the norm for consumer notes. Don't go along with it. If enough folks roll over for something like that these shyster dealers and lenders will try to make it the norm.

Yes. Do it for the children!

Bruce

Hold it right there. Stop and take the time to go shopping for a loan some where else. That is not the norm for consumer notes. Don't go along with it. If enough folks roll over for something like that these shyster dealers and lenders will try to make it the norm.

fj12ryder wrote:

DownTheAvenue wrote:

cchristanis wrote:
For those of you who have financed with essex (or other companies), did u pay a closing/processing fee? Just got approved for a loan today at 4.59/10 yrs (it's the American way :) for a 2013 torque 301 about $27k. it's in excellent condition at ballards camping center in hamburg ny. They want to charge me $495 for processing/closing fee. Wth, it's not a house. is this negotiable? Or any chance they would waive it? I have excellent credit.

They will not waive that fee, and that is why they can advertise a very favorable interest rate. This fee, if expressed as interest on your loan, would be 4.75%!!!!!

Might want to recheck that math.

That math is quite accurate

Under "truth in lending" federal law any fee for closing a consumer loan must be included in their annual percentage rate "APR" quote. They should give to two interest rates 1) the simple interest earning rate and 2) the APR which includes the earning interest plus any closing costs other than legal filing fees. The APR is what you should use to compare other creditors rates.

If they are not quoting an APR they are in violation of federal law and I would not do any business with them.

The only problem is that the APR is based on you loan paying out over the predetermined term. If you plan to pay the loan off quicker the APR would actually be higher.

Dave

My credit union has 3.90% for 84 months as it's highest interest rate. It goes as low as 1.90%, which is what I am paying right now with no "fees".

I would go elsewhere, especially if you have good credit.

DownTheAvenue wrote:

cchristanis wrote:
For those of you who have financed with essex (or other companies), did u pay a closing/processing fee? Just got approved for a loan today at 4.59/10 yrs (it's the American way :) for a 2013 torque 301 about $27k. it's in excellent condition at ballards camping center in hamburg ny. They want to charge me $495 for processing/closing fee. Wth, it's not a house. is this negotiable? Or any chance they would waive it? I have excellent credit.

They will not waive that fee, and that is why they can advertise a very favorable interest rate. This fee, if expressed as interest on your loan, would be 4.75%!!!!!

Might want to recheck that math.

Never heard of a closing cost on an RV loan. Sounds like a scam. Unless your credit score is really low and no other loans are available. If your credit rating is above 700 I would look for other financing.