Rivian expects a $30K downpayment when financing

[NineElectrics]

This is on a 72 month loan. Maybe I should just go with that 84 month loan option and put a bit less down. I really wish they had a 30-year fixed.

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[ndmiller]

Under no circumstances unless rate is highly subsidized (i.e. ZERO) should you finance through a manufacturer. Any credit union will beat their rates without even trying....Shop around.

 

[emoore]

Ummm Ok. And the point is? Most calculators assume a down payment.

 

[NineElectrics]

Ummm Ok. And the point is? Most calculators assume a down payment.

The rule of thumb is 20%, as I recall. They just want to get to a very low monthly payment.

 

[Donald Stanfield]

Oof, yeah, I would not be paying 8% interest on a luxury car. With that rate 30K down seems a little light.

 

[ads75]

They probably want potential customers to see a monthly payment less than their mortgage.

 

[Electrified Outdoors]

It's the standard down payment. When you ask the question, how much should you put down? The answer is typically 20% on a new car or if you're buying used 10%. It's sort of like real estate. As a general rule, you shouldn't pay any more than one third of your income for your housing. So it's a suggested down payment is the way I see it.

 

[gabrial54]

This is on a 72 month loan. Maybe I should just go with that 84 month loan option and put a bit less down. I really wish they had a 30-year fixed.

Actually the $30k down payment is only a suggestion. I just bought my R1S in December and did zero down. You can choose your down payment level. The more you put down the better your rate. Also, the bank they partner with is Chase. They offer very competitive rates.

 

[Riviot]

They offer very competitive rates.

Chase rates are as competitive as Steve Urkel on the canvas. Their system doesn't even show Rivian.

 

[mkg3]

The rule of thumb is 20%, as I recall. They just want to get to a very low monthly payment.

The whole rule/guide is 20/4/10.

20% down
4 yr loan
10% of your income or less allocated to the payment

Not passing judgement, so don't take it wrong - financing for 6~7 yrs seem like not a good idea. Especially given that you'll get rid of the vehicle before then and trade or sell with a balance on the loan, resulting in very small equity in the vehicle at that point...

 

[EVVSGAS]

Actually the $30k down payment is only a suggestion. I just bought my R1S in December and did zero down. You can choose your down payment level. The more you put down the better your rate. Also, the bank they partner with is Chase. They offer very competitive rates.

What rate did you get with 0 Down?

 

[gabrial54]

8.9. Not great but I use it for my business. Would have been lower had I put down money.

 

[ironpig]

72 months at almost 8%????????? Isn't that like $20k just in interest?

Hell no.

 

[gabrial54]

As I mentioned earlier, it’s being used by my business, so it’s a tax write off. I’ll refinance as soon as rates come back down. I’m not recommending you do as I did. Just providing information.

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