Chevrolet Offers 14.7% APR Financing To "Well Qualified" Corvette Buyers

Virgil Hilts
by Virgil Hilts
chevrolet offers 14 7 apr financing to well qualified corvette buyers

While perusing Chevy’s website to see if there is any color of the 2014 Corvette that actually makes the car look halfway decent, I came across the financing offer pictured above. And, no, I did not enter any personal info that would lead GM’s captive Ally Financial (or whoever the hell GMAC is now) to deem me only eligible for such a high interest rate. Just what is going on here?

A quick look at other Chevrolet vehicles on the site show financing offers of 3.9% to 4.9% APR. These rates may be subvented, or bought down by the manufacturer to help move slow-selling iron, though with car loan rates being under 2.0% by independent banks in much of the US, one has to wonder how much Ally is being charged for their money. Even if they are paying a sky-high 4.0%, it is a mystery why they would advertise a 14.7% loan on the Stingray, rather than, say 6.0% or 7.0%. Ally and the dealers would make a fortune on this 72-month loan but I don’t think they will get any takers because unlike buying the Corvette itself, with dealer price gouging running rampant, consumers actually have many choices when it comes to financing.

I can only conclude that either this offer is in error (maybe even their marketing folks are slammed by the recall crisis) or Ally Financial is simply not interested in $50,000+ loans.

What say you?

Join the conversation
12 of 24 comments
  • Mars3941 Mars3941 on Jun 27, 2014

    14.9% APR is out of line even if one had bad credit.

  • SaulTigh SaulTigh on Jun 27, 2014

    I don't know if it's similar, but when I recently bought a new Ford, Ford Motor Credit would only quote 7.99% unless I filled out a hard inquiry credit app. When I finally did that, they came back at 3.99%. Fortunately, a credit union came back at 1.94% and we did the deal. I wouldn't be driving a new truck today if 3.99% was the best they could have done. We've now had an entire generation of people grow up in the low interest rate environment. If you were 15 years old when 9-11 happened, you're 28 now and probably in the market for a car if you have a halfway decent job. If interest rates even go back to "normal," it's going to be a shock to a lot of people. A 6-7% car loan with a top tier credit score and good income will seem outrageous. I can only imagine what that will do to car sales.

    • See 6 previous
    • Hybridkiller Hybridkiller on Jun 28, 2014

      @nrd515 "A 32 year old friend of mine, with basically no credit..." With all due respect to you and your friend, that's almost certainly not his father's fault. Which leaves 2 possibilities - either he's a victim of circumstances beyond his control, or (more likely) he's made 14 years worth of bad choices as an adult. If it's the latter then maybe his father just wants him to learn some financial responsibility.

  • Chris FOM Chris FOM on Jun 27, 2014

    Seems like a computer glitch. Something in the basic math formula used to derive interest rates specifically for the Corvette got screwed up and it's spitting out bad numbers.

  • David Walton David Walton on Jun 27, 2014

    They've advertised a 14.7% APR rate on the C7 for months now, perhaps since new.

    • Dude500 Dude500 on Jun 27, 2014

      I think that GM may not want to be in the business of making loans if it doesn't have to, which in my mind is a good thing. I'm sure that if they need to juice the Corvette sales, we'll be seeing that APR plummet.