Ford Extends Cheap Loans To Subprime Buyers On F-150 Pickup Even As Recalls, Job Cuts Cloud Its Outlook: Report

Ford Motor Co. (NYSE:F) is reportedly offering low interest rates to customers with weak credit ratings on the F-150 Pickup truck through September.

Subprime Borrowers To Benefit

The automaker is extending the offer to subprime borrowers with FICO scores below 620 as it aims to end September on a stronger note via its best-selling pickup truck, The Wall Street Journal reported on Tuesday.

"We wanted to provide the opportunity to those with credit ratings that may not be perfect the opportunity to have the best rates available," a spokesperson for the automaker cited in the report said.

Ford has also been absorbing the impact of tariffs, like other automakers in the industry. Driving up sales could be another way for the company to offset some of that impact. 

Ford's financing arm has said it termed only 3-4% of the loans it sanctioned as "risky," the report said. "We only finance customers we believe are creditworthy and have the capacity to pay. We have done these types of national programs in the past," a spokesperson for the financing arm said.

Ford's Recall Woes

The news comes as the company issued a series of recalls for its vehicles in the U.S., most recently issuing a recall for more than 115,000 F-250, 350 and 450 pickup trucks over issues with the steering column, which could cause it to detach and lead to a loss of steering control.

Ford also issued a recall for over 101,944 Taurus sedans for issues with the B-Pillar, as well as recalling over 197,000 units of the Mustang Mach-E over issues with the rear doors, which could trap rear seat occupants within the car.

Ford Job Cuts

Meanwhile, the company also cut over 1000 jobs at its EV plant in Cologne, Germany, due to decreasing demand for EVs. The company also said that the Cologne assembly line, responsible for the Explorer all-electric SUV, will drop to a single daily shift starting in January 2026.

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