BUYING A CAR SOON??? MY GIFT TO YOU
Well this is it for car buying. If you are or will ever buy a car from a car dealer im your guy. Im a sales manager for a car dealer. Thats what i do. I have been in this field for 12 years. sold for 2 yrs was the finance manager for 6 yrs and sales mgr for 4 yrs. I know it all. "Will i get a better deal if i pay cash"...NO!!! you will not...they may say that to make you happy...but NO!!!...WE make more money if you finance..HOW??? EASY...RESERVE..Say your rate is 5.9% with the bank..they come back and tell you 7.59%..You think its a good deal on that 2006 h2 or whatever..here is what happend. You just got charged 2 % reserve on your car purchase..what that means to us is right around 1700.00 on a 21,000 loan. Or 29.00 on your payment on a 60 month loan. 40K-50K loan with 2 % reserve 2400.00 to 2850.00 Trade in...owe money...leave it out of the deal till YOU GET A REAL NUMBER ON THE NEW ONE YOU BUY... That way they cant mess with the numbers and you know what the real deal is...If your credit is good you know it is. Dont let them tell you otherwise.NEW CAR WARRANTIES....NO!!!!!!!!!!!! You have 35 months and 29 days to get one..Why..3ys 36,000 mile warr...You can buy this warranty when the manufacter is done up till the day before...thats right any make any model.....why finance a warr for 60 mo when it only covers 2 yrs??? waste of cash....WARRANTIES...ARE GOOOOOD!!!!! Cost as follows...USED CARS...2002 NEWER... LESS THAN 50,000 mile...700.00 to 1100.00 dollars...dealer cost...NEW....Dont do it..You might not keep it for that long..Why pay for it???...CREDIT BAD???? well its ok, seems to be more comon now a days..This is the real azzz ripin for you. DEaler feels he can take advantage of you because of that. JUST A NOTE....If you get approved with bad credit at a dealership you can most likely get the same approval down the road.. Dont go to the first dealer and think thats it...COULD COST YOU THOUSANDS...I COULD GO ON AND ON..IF THIS GETS RESPONSE I WILL POST MORE...ANY Q LET ME KNOW????
0
-
O.K. lets' say I owe something like 4-6K on my car, with a Kelly Blue book trade in value of $14000.
What is the trade best way for the trade in process to work?0 -
I used to work for WFAFI (Wells Fargo Auto Finance). What was said by the original poster is 100% true. If you know your credit score, and know what your interest rate should be--don't do dealer financing.
We used to call the dealers that saddled their buyers with the extended warranty and credit insurance as "bag & taggers". In our office (St. Paul), we also gave out the (HIGHLY informal) monthly "Wells Fargo Ski-Mask Award". This went to the dealer that bent their customers SO FAR over that they could see what the customer was having for breakfast tomorrow.
The dealer does NOT have your best interest in mind when they get you to sign. That's a fact.0 -
quote:Originally posted by us55840
Here is my money saving, economical suggestion and what I do.
1. Never buy a new car. Big lose as soon at it leave the car lot. Buy one that is about 2 years old with fairly low mileage. They ARE out there!
2. NEVER finance a car....pay cash. How? Every month put X dollars in a "car fund." When you have enough, buy the car. If you dont have enough to buy the car you found and want, wait and save some more until you do as you will find another one.
3. Once you buy a car, continue putting X dollars away every month in the car fund. That way, you can pay cash for the next car.
4. ALWAYS sell your car yourself. The extra money you make will more than pay for a few ads, phone calls and the usual "tire kickers."
ONLY motor vehicles I've ever bought new were my Harley Davidsons. Keep them up and long enough and you get your money back as they don't depreciate.[:D][:D][:D]
All good advice!
Also if you don't really care what type of car you drive. Do your homework and buy cars with the best resale and repair records.0 -
GeeZ !!!
Must have hit a nerve , I did NOT call you scum , I said that these are some of the reasons that car salesman are considered scum , just think of all the bad jokes and t.v. shows that refer to the 'used car salesman' in a negitive way , must be a reason for it ...and I did not notice that you got so spastic over some of the other comments made , Go Figure ???
Thanks !!!
d.a.stearns
Gunsmith / LEO
Niota , Tn0 -
Bumped up, my wife gets a new car this weekend. 0 -
And it will be a .... ??
Dad
lfd0 -
I don't get it.
You stated I won't get a good deal if I pay cash.
You also stated I won't get a good deal if I finance.
I guess one can only assume one is screwed if one buys a new vehicle, no?
P.S.-I paid cash for my Tundra last year & feel I got a helluva deal.
Please don't pop my bubble.
[:p]barto[:p]0 -
quote:Originally posted by sarge_3ad
I agree with James RK, however I have somewhat a different situation. Last year when I had to give up my job due to my military service disabilities, and the time it takes to fight the VA, I got way behind on bills. I lost a new vehicle to repossesion and had to end up filing bankruptcy. Right now I have the worst credit I have ever had, but soon finacially we will be in excellent shape. No debt other than the Mortgage. Is it possible to get financing after bankruptcy?Yep; you are GOLDEN because you can't declare bankruptcy again. Not a problem to obtain credit--just negotiate like mad on the rate. Good luck.0 -
quote:Originally posted by barto
P.S.-I paid cash for my Tundra last year & feel I got a helluva deal.
Please don't pop my bubble.
[:p]barto[:p]If you are happy, you got a helluva deal.
Didja notice that no one has the good deals BEFORE you buy, but man do they come out of the closet 2 seconds after you do the sale.0 -
to be a good buyer you need to spend a little time and educate yourself. go online and find the incentives for each individual model you are interested in, there are plenty of sights that will give invoices as well. have those numbers. When you go to the dealership, know your credit score first. you can do this by applying for a loan at your local bank. The dealer will always be able to get a person with good credit a lower rate than their bank can. credit unions are often very competitive but the finance manager can get competitive rates from gmac FMCC or Toyota motor credit to meet or beat any rate.
ON every ionvoice there is something called hold back. This is money that the dealer gets back at the end of the quarter and is ment to ofst the costs of advertizing, flooring etc. On some vehicles they will give all or part of it to the customer and it doesn"t hurt to ask.
so you know your invoice price. I personally don't think its fair to ask the dealer to sell you the car and make no money so I offer 200 over invoice and I ask for the loan at the buy rate (what the bank would charge for the loan)...when you use words like that the dealer knows you know what you're talking about and the BS stops (except on hard to find items) you have the best tool in the world for getting a deal, your feet, if they give you grief get up and walk out (don't forget your keys)
Trades are where they work you over too, especially now because used cars have really lost their value in light of all the rebates and incentives for new ones. I asked what value they would give and I took my old truck to 2 different small dealers to see what they would give me in cash. After hearing the number I decided to keep it for a spare (lol)
remember in the finance office there is a retail price and a wholesale cost usually the finance office makes between 25-40% on the warranty but like DKB said you don't need it anyway. if you're worried about roadside assistance get triple A or like I do it cost me 4.50 every six months on my regular insurance policy.
All the add on things can be done at home or aren't needed. you don't need paint seelant, scotchguard or ugly rubber trim around your wheel wells. some people like to undercoat their vehicle especially in the midwest but other than sound deadening I don't think it prevents rust at all. If i did want it, I would go to a place on my own and have them do it remember the dealer marks up every service they do for your vehicle and when they are so competetive on the original price they try to make up for it in the finance office.
I try to be as polite as possible, but I am firm in my dealing. if you follow the tips you've read in these posts it should be easy to buy a new car and get a great deal. BY the way I have been in the car business since 1988 sales, finance service consultant and sales manager and I owned my own store called classic American iron.
Now for used cars....0 -
If you are buying new, and are an AAA member, just call 'em. They have a price program, and will tell you which dealer to go to. 1 to 2% over dealer cost. Buddy got a loaded '09 Subaru Forrester in mid-'08 for 1.75% over cost... between test drive and paperwork, only took him 45 min to do the deal.
quote:Originally posted by slipgate
What I want to know is how much below invoice a dealer can actually go. Dealers always show the invoice and give it to you for that or like $100 below and have you believe they are losing money on the deal - like you said, you are in business to make a profit. I have always been told that the invoice is a joke number and should not be considered in the deal at all.
American cars have the biggest markup and I always thought a "good" deal is 10-15% below MSRP. Foreign cars have a lot less markup - maybe 5% below sticker would be good (depends on the car - SUVs have a LOT of markup - expect up to 25% below sticker, foreign or domestic).0 -
Here is one problem with acquiring financing with anyone but the dealer. When you get dealer financing you are protected fully under the lemon law. If you go out and acquire financing on your own, you are not. this is not to say there is no lemon law for those that get financing elsewhere, it is to say they are far less protected under law. Everyone should check their state max rates for dealer allowed points and require the dealership to put in writing what they are making on your rate. Offer them NO points and a fair deal. Hold out if you know you are being fair. Buy only if they are. 0 -
I have always bought both new and Used truck up until I realized that most of the time if you take the time to find a good used vehicle, I any ways appreciate it and get more enjoyment out of the used ones as much as I do the current payment sitting next to it. I get hasseled all the time driving my used truck as opposed to the 50K one sitting next to it. Used ones are the way to go and after I get this new one paid for it will probably be the last. 0 -
dont know if this if fact or not but i been told if ya buy used vehicle here in wv the lemon law dont apply thats what they told my son in law anybody know if thats fact jb 0
Please sign in to leave a comment.
Comments
44 comments