Ford is now offering 0% financing to those with bad credit. In the past 0% has only been available to applicants with great credit histories, but between today and September 5, Ford wants to get more people inside the dealership doors.
Due to low demand for their vehicles, the company has yet another gimmick to increase sales. The company seems to be ignoring the big question, the 2000 pound gorilla in the room: Why doesn’t the manufacturer just make cars that enough people want to drive and buy? If Ford starts making great cars, and convinces the country to get over the stigma and realize that the cars are great, they won’t have to resort to gimmicks to sell their product.
The gimmick itself is not a good idea from a business standpoint. They’re entrusting customers with bad credit to live up to agreements normally only entrusted to customers with stellar credit. Many people wind up with bad credit reports through no fault of their own, but most lenders agree that the lower the credit score, the greater the risk of default. I’d like to see those with bad credit being helped, but this is a risky move.
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{ 3 comments… read them below or add one }
They need to put gimmicks in while they’re design teams try to figure out how to create a car people will buy. The lead time for a design to be built is something ridiculous so until then these are just stopgap measures.
Ford has been outclassed by other auto makers — at least in their car line-up — for two decades (in my opinion). The lead time required, at least after a design is agreed upon, shouldn’t be more than 5 years.
The missteps by the used-to-be Big Boys (F and GM) just keep on coming. It’s unbelievable.
Good thing my dealership is co-branded with Nissan.