This residual calculation is based on the vehicle: year, make, model, style, options, loan term, odometer reading, and annual mileage selection at loan inception. Insurable valuations utilizing these factors are supplied to AFG by the Automotive Lease Guide (ALG). The ALG is the nationally recognized authority of vehicle residual value projections. ALG data is regularly imported and updated into the custom Residual Value and Payment Quoting Calculator set up for use by your financial institution.

Yes, $.10 per mile. Excess mileage charges only apply if the vehicle is surrendered to AFG via the “walk-away” option at loan maturity.

No.

The annual mileage options are 7,500, 10,000, 12,000, 15,000, or 18,000, in addition to the current mileage on the odometer when financed. For example, if the borrower selects the annual mileage option of 15,000 and is in a four-year loan term, they may not accumulate more than 60,000 additional miles without incurring an excess mileage fee.

If the borrower exceeds the elected mileage allowance, he/she will be charged $.10 for each mile in excess of 60,000 miles if they elect to surrender their vehicle to AFG via the “walk-away” option at loan maturity. If the borrower elects to trade, refinance, sell or pay off the loan, over mileage fees are not applicable.

The vehicle may be picked up anywhere in the United States (including Hawaii and Alaska.) The borrower is required to notify the lender of his/her new phone number and address for future contact purposes.

Since the vehicle is owned and titled in the borrower’s name, it may be sold or traded anytime following loan origination. The payoff is calculated in the same manner as a conventional loan, which includes the final balloon payment. There are no prepayment penalties.

The number of miles on the odometer at the time of loan origination is entered into your customized calculator and the vehicle’s residual value is automatically adjusted for such mileage. Therefore, the borrower receives the full mileage allowance chosen in addition to the existing mileage on the odometer.

Example: A vehicle has 3,000 miles on the odometer at purchase and the borrower selects the 12,000 miles per year option on a four-year loan: 12,000 x 4 = 48,000 + 3,000 = 51,000 total miles allowed at vehicle turn-in without excess mileage charges being imposed.

The “Residual Value” is the projected end of loan term ‘resale’ value of a vehicle. This value is guaranteed by Auto Financial Group (AFG) to lender partners (TCT FCU).

Future year, current year, and used vehicles up to five model years old are eligible. Vehicles not eligible for the program include those considered “Grey Market”, “Lemon Law” or salvaged vehicles.