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Episode #1154: Ford gets creative to close Q3 with a subprime rate push on F-150s. New Jersey locks in fair pay for techs doing recall work. And Chick-fil-A jumps into the specialty drink race with a fresh new concept.

Show Notes with links:

• Ford is making a bold push to close Q3 strong by offering promotional interest rates to subprime borrowers—an unusual but calculated move that underscores growing affordability challenges in the new vehicle market.
  • The deal, ending this month, allows buyers with credit scores below 620 to access the same low rates typically reserved for prime borrowers.
  • Ford is targeting this incentive to move more F-150 pickups, which now range from $39K to nearly $80K.
  • With average monthly payments nearing $750 and interest rates at 6.4%, the brand sees affordability as a top barrier to closing deals.
  • Extended terms of 72–84 months are increasingly common, and Ford’s finance arm says only 3–4% of its 2024 loans qualify as “higher risk.”
  • “We wanted to provide the opportunity to those with credit ratings that may not be perfect,” a Ford spokesperson said. “This could help offset rising monthly payments.”

• New legislation in New Jersey is giving dealership service departments a major boost—ensuring fair pay for recall and warranty work while holding automakers more accountable.
  • The “Motor Vehicle Open Recall Notice and Fair Compensation Act” takes effect April 2026.
  • Manufacturers must reimburse at retail labor rates, not discounted warranty rates.
  • Automakers must also pay 1.5% monthly of book value for any “stop sale” or “do not drive” recall units sitting on lots.
  • Illinois saw an annual $249M increase in warranty payouts after passing similar legislation.
  • “This legislation represents a critical step forward… and ensures that automakers fairly compensate those who fix their mistakes,” said NJ CAR President Laura Perrotta.

• Chick-fil-A is entering the specialty drink wars with a new concept called Daybright, a standalone beverage-focused brand launching near Atlanta later this fall.
  • Daybright will feature smoothies, cold-pressed juices, and specialty coffees—no chicken sandwiches here.
  • Operated by Chick-fil-A’s innovation arm, Red Wagon Ventures, the concept joins earlier spin-offs like Little Blue Menu and Pennycake.
  • The new brand enters a booming beverage space already being chased by McDonald’s, Taco Bell, and Wendy’s.
  • Competitors like 7 Brew and Dutch Bros have seen triple-digit growth as Gen Z flocks to drink-first concepts.

0:00 Intro with Paul J Daly and Kyle Mountsier
1:07 Huge Launch Announcement at MoreThanCars.com
2:20 ASOTU Edge Webinar TODAY at 2PM on Cost-Cutting
3:10 Ford Offers Low Rates To Sub-Prime Buyers
5:29 New Jersey Mand

Join Paul J Daly and Kyle Mountsier every morning for the Automotive State of the Union podcast as they connect the dots across car dealerships, retail trends, emerging tech like AI, and cultural shifts—bringing clarity, speed, and people-first insight to automotive leaders navigating a rapidly changing industry.

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