Click on one of the people below to find out more information.
We specifically designed the Capitol Plan as a benefit to our customers. You may not have experienced it but back in the 50s and the 60s people either paid cash or financed their cars for only 12 months. In the 70s and the 80s people started financing their cars for 24, 36 and 48 months. In the 90s and into 2000's people extended the financing terms on their cars for 60 months and sometimes 72. Today we find the average consumer has to go between 72 and 84 months to get a payment that's comfortable to them.
This process causes the customers to often times owe more money on their car than it's worth, essentially they are upside down. On top of that consumers pay additional interest on their loans. We also know that people have a tendency to want to get a new car every 2 to 4 years if they could. When a customer owes more money on the car than it's worth and they start experiencing maintenance or repairs the customer has a habit of becoming disappointed with the brand in the vehicle they've selected.
The capital plan was created to allow you to enjoy the best part of the cars life and provide you with options at that halfway point. This benefit allows our customers to always enjoy the latest in technology and safety and fuel savings as well as taking advantage of the most economical method acquiring a new vehicle. Customers on the capital plan oftentimes never experience any out-of-pocket maintenance or repair cost because the cars always covered under warranty. Here's how it works
Let's say you pick a car out on our lot that sells for about $30,000, Ford provides us with the guaranteed future value (GFV) for that vehicle. The GFV is what Ford estimates the car to be worth at the end of two or three years it's usually about half the vehicles price. Ford essentially deducts $15,000 off of the $30,000 vehicle and allows the consumer to pay on about half the cars price for about half the term.
At the end of the lease term, the consumer has three great options!
Option One is for them to trade the vehicle in if there's equity they can apply the equity towards another vehicle or take that and put that in their pocket.
Option two says they get to avoid the loss if for any reason no fault of their own the vehicle is not worth the guarantee future value the consumer brings it back to our dealership with the appropriate miles and no physical damage than the consumer gets to avoid the loss by turning the car back in giving them the option to replace it with a brand-new vehicle or more suitable vehicle based on their needs at the time.
Option three is keep it if their lifestyles and needs haven't changed they absolutely love the vehicle it's still worth more than the guaranteed future value the consumer can come back and financed the remaining half of the vehicle based on whatever terms of payments are comfortable to them it's like building your own used-car.
Along with the benefits of having a smaller payment and putting the consumer in a position will they never owe more money on the car than it's worth participants of the capital plan may also receive some significant tax advantages. Our sales representatives are well educated on the capital plan and would be glad to explain to you and provide you more details so that you too may take advantage of this unique opportunity.
Capitol Ford Lincoln LLC