Both Ford and GM have announced new programs in hopes of encourage consumers to enter into the car buying market. Within each program both Ford and GM will offer protection to the consumer if they were to lose their job. That means Ford or GM will pick up the payments for a specified amount of time for those who are in the position to qualify for unemployment benefits. The programs are similar to that of Hyundai’s Assurance Program but the terms are even better than Hyundai’s.
Ford offers a new Job Loss Protection that covers payments of up to $700 a month for up to 12 months on any new Ford, Lincoln or Mercury vehicle if the new purchaser/loan holder loses his or her job.
The GM plan, called the Total Confidence Program, is a combination of a few deal sweetening features. Gm will offer the payment protection program but theirs will consist of covering you for 24 months after the purchase of a new GM vehicle where they will make up to nine payments valued up to $500 a month. Basically, if you qualify for unemployment benefits, you qualify for the program. In addition to the payment protection, included in GM’s Total Confidence Program is one year of OnStar and the 5-year/100,000 mile powertrain warranty.
GM’s new Total Confidence plan actually begins on April Fool’s Day, April 1st and will continue until April 30, 2009 with a slight possibility of being extended if it “works”. Meaning, if sales go up as a result of this new program then GM will be extending for additional time.
Ford has not released many details other than their new program will take place immediately and run through June 1st. Ford has said buyers can also take advantage of zero percent financing offers through Ford Motor Credit for qualified buyers.