Covid-19 caused a pandemic worldwide and some companies, like automotive dealerships, are feeling the bite in their businesses. Selling cars during lockdowns and times of social distancing is hard enough, but try to get to people to buy when they don’t know what their future holds, that’s even tougher.
The job market is on shaky ground right now, with an uncertain future. Ford Motor Company has come up with a new concept to help potential buyers feel a little better about purchasing a vehicle during these trying times. Kelley Blue Book explains the new program, the Ford Promise, and what that means for new customers.
What exactly is the Ford Promise?
Ford announced a new program they’re offering to some of its newer customers. Ford is implementing a return policy for those who buy or lease a Ford product. This new policy is available up until September 30th of 2020.
Basically, if someone purchased or leased their vehicle, using the Ford Credit program, they can return it if they meet certain qualifications. This goes for new, used or Certified pre-owned products.
This will be in addition to the help they offered back in March. Ford announced it would cover three payments on vehicles purchased from them and defer three more to provide six months of relief.
Why is Ford adopting this program?
Ford has always been more than helpful to customers. When problems arose with payments, the automaker has been willing to find a solution that benefited both the customer and Ford.
This new return policy is just another way to show they care and are there if you need help. With the pandemic stretching far into the summer, and who knows how much further it will go, people are afraid to take a chance buying major products like a vehicle.
The job market isn’t stable enough, yet, so they worry they might find themselves jobless down the road. If they lose their employment, how will they pay their normal bills, let alone a car payment?
As Kelley Blue Book reports, it’s believed that 32% of prospects are ready to buy. But most dealerships will tell you that few are stepping forward to sign the papers.
The problem is with an uncertain future in the job market. People have jobs today, but as states start locking down again, jobs may go away as they’re once again forced to stay home. There’s just not too many willing to take the plunge for fear they may lose their primary source of income.
With a safety net, of sorts, in place, potential customers can feel a bit better taking the leap and buying the dream car, truck, or SUV that they’ve always wanted by letting them have an out should things get bad.
What are the eligibility requirements and how does it work?
In order to meet the requirements for this return policy, the owner needs to be a new customer of a 2019, 2020, or 2021 model. Also, they need to have purchased or leased the vehicle, using Ford’s credit program. And they need to have lost their job after purchasing the car or truck.
The expiration date for the policy is September 30th of this year. The policy is good for new, used, Certified Pre-owned, or even leased vehicles. As long as you used the Ford Credit program and meet the other requirements, you’re covered.
If you use the return policy, Ford Credit will value the vehicle, using the NADA guide. They will subtract that amount from your balance. They will also forgive $15,000, so that will be taken off your balance as well.
The remaining amount will be your responsibility. You’re also responsible for late payments, deferred payments, or damage you may have done to the vehicle while in your possession.
New customers have a little more peace about purchasing or leasing a vehicle in those troubling times. Ford simply decided to allow new customers the chance at returning a vehicle, if their life situations takes an unexpected turn.