What was "formula financing"?

Famous at boat shows for very low payments for the first 4-5 years, then a bump in the interest rate and payment for the rest of the term.

Big cruiser like a 350 SS would have a sticker on it for as low as $499 month with an asterisk that it was $499 at 1.9% for the first 48 months, then 6.9% for the remainder of the loan.

From Matt Truilio's article w/Scott Porter:

By keeping our offerings exciting and providing a high-quality experience. We are always working on new graphics, both design and color. Formula has been very flexible in helping its clients create a craft of their dreams. We’ll also continue to offer exciting alternatives to the traditional performance model by way of Formula’s fresh FX line.



So it appears Formula realizes it needs to freshen the line and you may see some really trick boats coming down the line.

agreed. never understood why some companies play "the game".

I for one am glad that a company with this much history is managing through some tough times. I still think Formula's from back in the day hold their value like no other production boat(granted pricey to begin with). I am glad they are making and selling new boats because that means some day there will be a used market that many can only afford vs buying new. Haven't owned one (yet) but been on enough to know that it is a quality product compared to most other boats out there and stacked up near the top for production boats. I think Formula is moving in the right direction with the Fastecs with providing Ilmor power (I think a 292 with either the Ilmor MV8 6.2 or MV8 7.4 in I/O trim and would be AWESOME and think there is group wanting more out of this hull). I am pulling for anyone making performance boats in this market to pull through and hope things get better for the industry.

With all due respect to your friend, those loans were pretty similar to sub-prime loans and needed to be treated carefully. Bear in mind that while he may be upside-down on the boat now, he also reaped the benefit of extremely low monthly payments, and has put very little of his own equity into the boat. I feel for the guy, but I can't see that Formula is to blame. If he bought the boat as a long-term possession, things will eventually work out. If he bought it as a short-term item, then it is unfortunate that he got caught out by the financial downturn.

I used Formula financing to buy my boat in 2000, and rather than making minimum payments, I took advantage of zero interest for two years to pay down my equity at the best time - the beginning of the loan. When the interest rate jumped, so did I: to new financing with better rates. Formula offered those financing packages because it was what the buyers wanted in those days; the buyer always had the option of using their own financing or (in some cases) taking a rebate.

Again - No disrespect meant.

I was thinking that would have been what I would have done.

For that matter it's not easy to get 6.2% on a performance boat now.

Oops, Misunderstood earlier comment.


I'd take a 35' any day. Always have been 1 of my favorites

Just wondering how many here would pay 275K for an 18 or 20 year old Apache??

playing devils advocate or being the voice of reason on these boards is a slippery slope my friend. tread carefully. haha