GM and Other Automakers Offer Deferred Payment Option During Coronavirus Outbreak
If you’re considering purchasing a new car or worried about how you’ll make car loan payments on a current ride the next few months, here’s some good news. Per Reuters, several automakers are offering U.S. buyers the option of deferred payments.
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GM’s distinct financial offerings
GM is just one of the manufacturers doing its part to help out consumers who might be experiencing financial hardships due to the impact of the coronavirus on the economy and workforce. It will provide payment relief options to customers impacted by the virus, in the form of deferred lease payments or payment extensions. “We are working with customers on a case-by-case basis regarding payment deferrals and waiving late fees,” a GM spokesman said.
Per CNBC, GM Financial is offering 0 percent financing for seven years and four months and deferred payments for those with A+ credit ratings. If you have an A1 credit rating, you can still take advantage of the deferred payment option, just not the 0 percent financing one.
GM spokesman Jim Cain articulates that this combination offer is a unique one that the company has never done before. For him, this deal is an expression of the brand’s solidarity during the COVID-19 pandemic. “We wanted to reassure customers that we’re here for them and our dealers are here for them.”
More financial relief and the predicted decline in auto sales
Other automakers are providing some financial incentives during this time. Nissan, Ford, and Hyundai are also offering delayed payment options and extensions for customers who need it.
These financial offerings should provide welcome relief to new car owners and those with car loans in the days ahead. It should also help automakers get a jumpstart on making up for the expected 9 percent decline in auto sales for 2020, as Morgan Stanley analyst Adam Jones predicts.
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Whitney Russell resides in Dayton, though her spirit can be found beach-bumming in Puerto Rico (the land of her half-Puerto Rican heritage). When not crafting car-related content, she can be found chasing after the most amazing toddler in the world, watching her “beaver” of a husband build amazing woodworking projects, hanging out with two crazy dogs, and visiting family and friends. She also enjoys traveling, crafting, and binge-watching period dramas when time allows. See more articles by Whitney.