FINANCING OPTIONS FOR AN HVAC PURCHASE IN NASHVILLE, TN

Of course, cash, checks and credit cards are accepted, but how do you pay if these are not an option for you? 

By Murphy’s law, Nashville HVAC problems usually hit when you least expect them, and when they cause the most problems. Many folks need a solution quickly.  Most HVAC dealers have in-house, private-label financing programs available through Wells Fargo, GE Capitol or another financial institution. These programs are usually revolving credit like credit cards, but have the advantage that the dealer can quickly process your application and have a credit decision in a matter of minutes.  Ask whether the dealer has any offering special financing promotions.

If revolving credit is not your ideal choice, you may want to contact your local bank for financing options. With equity in your home, you may be able to apply for a home equity line of credit (HELOC). The interest rate probably will be better than with a credit card; however there could be 1 to 2 weeks until loan closing due to property appraisal and other procedures.   After your HELOC is ready, you will probably have checks linked to your HELOC account. Now you can purchase your Nashville heating and air conditioning unit by check. Ask your heat and air contractor for a discount.

Your utility company may have financing options for new Nashville heating and air conditioning systems. In Nashville, Piedmont Natural Gas will finance a new system using natural gas in a matter of a few days. The interest rate is about double that of a HELOC interest rate, but you have the benefit of on-bill payments. This means you pay 1 bill each month for your gas service and your loan payment. In the Tennessee Valley Authority (TVA) region, some local power distributors are offering financing for heat pumps or dual fuel units. The interest rate is more competitive with an EnergyStar system. There is a lien filed against the property until the loan is paid in full. TVA financing repayment terms can be 5 or 10 years, and are also paid on-bill. With a longer repayment term, the energy savings of the new unit probably will offset the loan payment leaving the net bill about the same as before. While you have an older system with higher utility bills and repair costs, you are in essence already paying for a new unit. You just have to decide whether you want to have it.