My loan APR got lowered !?

Hi so I financed my X3 with BMW last week with 3.79 APR, which I believe is the lowest they are offering. But now my BMW online account has been activated, under contract information it shows my APR is 3.54. Does anyone know why? Does it have anything to do my 10k down payment?

Thanks.

Should have gone with Penfed. Their rate is 1.49 right now and anyone can use them. I got mine when it was 1.9%.

I financed with BMW to get the college grad discount. I will refinance soon. Thanks for the information.

Originally Posted by edbiology

I financed with BMW to get the college grad discount. I will refinance soon. Thanks for the information.

If you have a chance to change it before you complete the paperwork, you should do so. The 1.49% yields more savings on a loan than the $750 loyalty cash.

Example

40k financed at 5 years with 10k down + rebate @ 3.54% = $2708 in interest
40k financed at 5 years with 10k down @ 1.49% = $1150 in interest

I agree....skip the BMW rate it is not competitive with the market place. It will wipe out any cash rebate! We got 1.7% with BOA a couple of months ago.

My 2 cents - use the BMW financing to avail the college student discount and then switch to a fed in 5-6 months. The new car financing rates at all major credit unions is valid on cars up to 6 months old. The 1000 bucks you save initially is more than the extra interest you pay to BMWFS for those 6 months...

Thanks for the info on PenFed. Patelco CU is at 1.99. PenFed is 1/2% lower

I went with penfed and it couldn't have been an easier process! Good luck with whatever you decide!