Anyone doing the Ford Options plan?

[sotek2345]

Options offers protection in case residual values of 2023 Lightnings tank in 2026. Who knows? There may be much more attractive vehicles on the market then, and several more E-trucks. Options plan transfers the excess-depreciation risk to Ford (much like a lease does, but since Options is ownership, you can still claim the EV tax credit).

That is the benefit, but with the higher interest rates (vs. what you can get at a credit union) it comes at a pretty steep price.

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[metroshot]

That is the benefit, but with the higher interest rates (vs. what you can get at a credit union) it comes at a pretty steep price.

Agree, Options is a nice way of getting a balloon financing w/ tax benefits but the interest rate is steep since it gets no incentives nor subvented rates like the Mach E.

Currently, my '22 Lightning is still re-selling at original MSRP or higher so the demand is still there.

Maybe after the 2nd gen Lightning comes out, the prices will drop.

Very happy an 8 month old EV is still fetching original MSRP here in So Calif - unheard of for a used vehicle!

 

[BennyTheBeaver]

The benefit for those interested in Ford Options is it's for people who want a Lease, but want to be able to claim the tax credit.

My dealer had no clue about this finance option. After I described it they told me to wait while they looked it up. They then spent 5-10 minutes trying to talk me out of it. In the end, I knew what it was, however the interest rate that came back would've cost me more than the traditional loan I went with.

It would've made sense if I genuinely was interested in Ford buying my truck back at the end of my term or if I really wanted a lease. In the end I chose to own instead of lease, and saved about 3% on interest.

 

[astricklin]

Options offers protection in case residual values of 2023 Lightnings tank in 2026. Who knows? There may be much more attractive vehicles on the market then, and several more E-trucks. Options plan transfers the excess-depreciation risk to Ford (much like a lease does, but since Options is ownership, you can still claim the EV tax credit).

Ford could pass through the tax credit on a lease but they instead choose to keep it for themselves. Other manufacturers give a $7500 discount on a lease to cover that tax credit that the leasing company is able to claim.

 

[ridgebackpilot]

Correct.

But here's the hook - at 36 months, you can hand Ford the keys. Can't do that with a loan. SOME people view that as a positive. Not me, but some people.

You've touched on what I think is the biggest advantage of the Ford Options program.

I have two 2022 Mustang Mach-Es financed under Ford Options contracts. I purchased my 2022 Lightning as a Gold certified pre-owned vehicle, so the Options program didn't apply.

It's reasonable to expect that EV technology will continue to advance rapidly. The next generation of Ford and other EVs are likely to come with things like 800-volt architecture, 500-mile range, and other advances.

The Ford Options program will make it easier for me to hand my existing MMEs back to Ford in a few years when the time comes to acquire the next generation Ford EVs. That's worth a lot, since the alternative would be to sell or trade-in my MMEs at that time.

 

[astricklin]

Does anyone know current residual being used for options?

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