Subaru Motors Finance: Financing Options for Subaru Owners

What is Subaru Motors Finance?

Subaru Motors Finance is a financial service provided in partnership with third-party banks, primarily Chase Bank. It offers a variety of loan and leasing products designed specifically for Subaru buyers. The company caters to customers with various financial backgrounds and provides tools to make the financing process straightforward.

• New and Used Vehicle Financing: Offers loans for purchasing new and pre-owned Subaru models.

• Leasing Options: Provides leasing alternatives for customers who prefer a lower monthly payment and the option to upgrade their vehicle more frequently.

• Loyalty Programs: Includes special offers for returning customers and Subaru owners who are upgrading or financing another vehicle.

Financing Options Available

Subaru Motors Finance offers different financing plans to suit a variety of needs:

a. Traditional Financing

For customers interested in owning their vehicle, traditional financing through Subaru Motors Finance provides fixed or variable interest rate loans. The term of the loan is typically between 36 and 72 months, and the monthly payment remains the same throughout the duration.

• Fixed Monthly Payments: Helps customers budget effectively.

• Flexible Loan Terms: Ranges from short-term to long-term financing.

• No Mileage Restrictions: Since customers own the car, there are no penalties for driving extra miles.

b. Leasing Options

Leasing a Subaru is an attractive alternative for customers who prefer lower monthly payments and the option to upgrade their vehicle every few years.

• Lower Monthly Payments: Typically more affordable compared to purchasing.

• Mileage Limits: There are mileage caps, which are negotiable within the lease agreement.

• End-of-Lease Options: At the end of the lease, customers can choose to buy the vehicle, lease a new one, or return the vehicle.

c. Balloon Financing

Balloon financing allows customers to enjoy lower monthly payments during the term of the loan, with a larger "balloon" payment due at the end.

• Lower Monthly Payments: Reduces the cost during the term of the loan.

• Option to Refinance Balloon Payment: Provides the flexibility to extend payments.

• Suitable for Short-Term Ownership: Ideal for customers planning to upgrade in the near term.

Applying for Subaru Motors Finance

The application process for Subaru Motors Finance is simple, whether applying online or through a dealership. Here’s how it works:

1. Online Pre-Approval: Subaru Motors Finance offers an online application form for pre-approval, providing customers with an estimate of what they can afford.

2. Dealer Interaction: Customers can also apply for financing directly through Subaru dealerships.

3. Credit Assessment: A credit check determines the loan terms, interest rate, and eligibility.

4. Approval and Contract Signing: Once approved, the customer signs the agreement, and the car is financed.

Benefits of Subaru Motors Finance

There are several advantages to choosing Subaru Motors Finance, including:

• Competitive Interest Rates: Often features lower interest rates compared to other banks.

• Special Promotions: Seasonal promotions, loyalty rewards, and deals for returning Subaru customers.

• Dedicated Service: Specialized services focused on Subaru vehicles ensure that customers receive support tailored to their needs.

• Convenient Online Management: Customers can manage payments, review loan details, and track their finance accounts through the online portal.

Subaru Loyalty Rewards Program

The Subaru Motors Finance Loyalty Program is designed to reward customers who return to finance another Subaru vehicle. The program provides various benefits, such as:

• Returning Lessee Offers: Special incentives for current lessees who upgrade to a new Subaru.

• Customer Cash Offers: Extra cash rebates and financing deals for loyal Subaru customers.

• Loyalty Discounts: Reductions in interest rates or monthly payments for those who refinance with Subaru Motors Finance.

Frequently Asked Questions (FAQs)

1. What is Subaru Motors Finance?
Subaru Motors Finance is a financial service partnership that provides auto loans and lease financing options specifically for Subaru customers.

2. Can I refinance my Subaru Motors Finance loan?
Yes, refinancing is possible under certain conditions. It’s recommended to speak with Subaru Motors Finance to discuss eligibility and terms.

3. Does Subaru Motors Finance offer any promotions for first-time buyers?
Subaru Motors Finance often has special deals for first-time buyers, including lower interest rates or reduced down payments.

4. How does leasing through Subaru Motors Finance differ from purchasing?
Leasing allows for lower monthly payments and the option to return or upgrade the vehicle at the end of the lease. Purchasing provides ownership and no mileage limits.

5. What happens if I exceed the mileage limit on my lease?
Exceeding the mileage limit may result in additional charges. It is possible to negotiate higher mileage limits when the lease is signed.

6. Is it possible to buy the car at the end of the lease?
Yes, customers can purchase the vehicle at the end of the lease, often at a predetermined price specified in the lease agreement.

7. Are there any fees for paying off the loan early?
Subaru Motors Finance does not typically charge prepayment penalties, allowing customers to pay off their loans ahead of schedule without extra fees.

8. How can I apply for Subaru Motors Finance?
Applications can be made online via the Subaru Motors Finance website or through authorized Subaru dealerships.

9. Can I manage my finance account online?
Yes, Subaru Motors Finance offers an online platform where customers can make payments, view loan details, and manage their accounts.

10. Are there loyalty rewards for existing Subaru customers?
Yes, existing customers may qualify for loyalty rewards, such as discounts on financing rates or special promotions when purchasing a new Subaru.