Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
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No, they're giving you something for your car as a trade in. Let me put some numbers in the example I gave.
20000 Purchase price of 07 Camry
13000 minus trade in of your 05 Camry
1000 plus tax tag & title
15000 plus outstanding loan on 05 Camry
23000 equals amount financed on new loan
Also, some dealers add on a "dealer fee". That's why I mentioned it.
Quick question, what does, "MINUS TRADE IN OF MY CURRENT VEHICLE", where does the numbers come from, excluding from the current balance on the existing pay-off.
Thanks guys..
It seems to me though, that a lender or car dealer would be foolish to assume that debt and add it to the new car finance amount UNLESS the used value of the new car exceeds the total amount of the debt (on both cars together). And that is very unlikely unless you also come in with a down payment.
Foolish lending is that which loans more money than the collateral is worth. Seems in order to sell cars nowadays, the dealers are doing what the home mortgage lenders have been doing the last few years, lending more than the item is even worth as a re-sale unit. Dumb. That leads to re-possessed cars and foreclosed houses.
Back to the car deal, look at it this way: If you owe $12,000 on your old car and the most you can get by selling it to someone is $10,000, then when you sell it you will have to pay your lender $2000 PLUS the buyer's $10,000 just to get the lender's lien off the title so it can be transferred to the buyer. It works the same with a trade-in car on which you are upside down. But it is the dealer or the new lender you have to pay or from which you borrow that $2000 negative equity.
Thanks...
How many miles on your '05? Is it still under warranty?
Quick question, what does, "MINUS TRADE IN OF MY CURRENT VEHICLE", where does the numbers come from, excluding from the current balance on the existing pay-off.
There have been people who come in from time to time and just play games asking all kinds of goofy questions, seeing if someone will play along.
If I'm wrong, then I sincerely apologize.
I understand your concern, but I am for true, and wanted to clear things from my prespective. I am an adult, but as things and market changes frequently, I may not know eveerything. I believe, that I am being fair to the responses, and not playing any games. I am learning alot through your recommendations and your advice. And, I do also apologize for any mis-understandings.
Thanks.
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2015 Kia Soul, 2021 Subaru Forester (kirstie_h), 2024 GMC Sierra 1500 (mr. kirstie_h)
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It's interesting tho that we still don't know--after 2 pages of Q&A, what the OP's loan balance is, or what the dlr offered for his car.....(???)
If it is for real, I think the OP should buy a Toyota Ext. Warranty (underline, TOYOTA warranty), & keep the darned thing......
Thanks.
Oh you paid the destination charge, in one way or another. That's not something that is negotiable.
Thanks
That truly is a great deal, I'm impressed. Just curious though, did you have a trade in or did you purchase any other add ons like an extended warranty or pre-paid maintenance plan?
So $19,500 was NOT the out the door price.
Is this the way everyone else understands it too?
That could be understood to mean that the $19,500 included destination charge and tax and tag and title to make up the out the door price of $19,500.
The plus sign (+) can be read to mean the word "and". Plus means and. The 'and tax,tag and title' could be understood to refer back to the "it will include" precursor in your sentence.
So, "...$19500 ... will include the destination charge and tax,tag and title--out the door."
Language and words are not perfect representations of ideas, but they are the things we can use here. It helps to choose them carefully to avoid ambiguities if you are trying to communicate an idea.
But at least now we understand, right?
If it's as bad as you say, doubt the dealer will give you a great trade in price either. Keep it, try to get it fixed...AGAIN, and either pay it off or drive it for another 2 years. Lastly, if you must buy an '07, check out them there brakes very carefully so you don't have a repeat of this same problem. The Corolla I test drove last June and the one we rented last August had the same s-it brakes as our other Toyota's which led me to buy my '06 Civic.
Be careful and really think before you do anything! Good luck.
The Sandman
Try to live with the Camry a bit longer and save some $. Also, get those brakes checked out again and see about some beefier brakes parts. Your mechanic can help you here. You might just be surprised at how good some better brake parts might be.
The Sandman
Southeast Iowa
2004 Envoy XL SLE
4WD
Burgandy~Red/ Gray
80,000 miles
Alloys, Onstar, Moonroof, Tow Pkg.
Minor scratches on exterior interior is clean
New tires within last 6 months
No problems with brakes
Oil change every 3 months
I hit a deer and had almost $5000 work done.
Thank you for your time
2001 Subaru Forester
Body style: sport wagon (small SUV)
Engine: 2.5L
Drive train: AWD
Mileage: 165000 miles
Color: Silver/gray
Options: alloys, moonroof, tint, 6 CD player
Other: very good, very clean condition
no major damage, no collisions
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
Consider Subaru's GTP (guaranteed trade-in program) to get a decent value.
They offered $10,800 for our 02 Legacy L last year, not bad at the time. We only paid $17.6k for it, and it was 4 years old, so that represented an incredible residual (61% after 4+ years).
I bet the street price was more like $8-9k for that car at the time.
$2k is all the money in CA.
If it were Seattle, or the NE, could go for $3-4000.
There's 2 Subaru dealers up here and they will deal, especially the one in Anchorage. I've bought from them a couple times and got great deals both times.
I know someone that might buy it.. :surprise:
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That said, $8k for yours as per kbb borders on stupid... that's "retail", right? Read the kbb fine print, and you'll learn that "retail" to them means "asking price" and has little to do with what a car shouls realistically sell for.
Personally, I wouldn't pay more than $4 or $4,500 for it, and that's only if it was really nice with all maintenance up to date.
$2 is also ridiculous, but a dealer who does not want it on his lot would probably not go much higher; I agree with the others there.
OTOH, a friend of mine in the biz just bought an '01 or '02 Outback Limited "Make Me One With Everything" leather loades sunroof etc... and 170k miles for $6 at auction... and thought he'd gotten a great deal. He's a used-car dealer, though, and he wanted it to sell. Good-looking car, but that's a lot of money... He knows the market, though.
I think what we're all saying is this: Sell it privately.
Price it at $6,500 (I think) and drop the price to $5,900 after a week. Then take the highest offer.
Good luck,
-Mathias
Trade-in (per kbb) is 5700-7700.
I'll take your advice and try to sell it privately around $6K give or take.
It is very nice, clean, with all maintenance records and just got a clean bill of health from Subaru dealership.
Maybe my next new car should be a subaru!
Granted, though, I guess that's still not bad in the grand scheme of things.
'11 GMC Sierra 1500; '98 Alfa 156 2.0TS; '08 Maser QP; '67 Coronet R/T; '13 Fiat 500c; '20 S90 T6; '22 MB Sprinter 2500 4x4 diesel; '97 Suzuki R Wagon; '96 Opel Astra; '11 Mini Cooper S
Year/Make/Model: 2004 Acura TL
Body Style: 4dr
Engine: 3.2 Auto
Driveline: FWD
Mileage: 26000
Color: grey/yellow (camel)
Major Options: base no NAV
Condition:
One small ding less than a quarter in diameter
Tires – Original, should be replaced soon
Brakes -- Original
Maintenance: As recommended
Other: Just got into an accident. $1500 worth of damage to the front bumper cover and the headlight. Insurance company was involved, and it will probably hit the Carfax.
I don’t really enjoy the car anymore. It rattles, and I had warranty repairs. I also had two speeding tickets this year, so I can’t enjoy the performance of this car for a while now. My options are to trade the car in now, and buy an $18K Accord LX or a Camry, or buy an extended warranty for 4 more years for about $1500 and trade it in when the car is 8 years old. It is almost paid off; my balance is $5K. Yes, I do need extended warranty because it is the first model year and I did have some problems with it.
What would make the most financial sense for the next four years?
W/ a minor report on the carfax,probably an $18k car,depending on how good the repair is.
Personally, I would trade the car in,lease an Accord,and pocket the trade equity.
FYI-- About a month ago, I went to a Honda dealer for 2007 Honda Accord EX-V6 with Navigation. The MSRP is around $29,995. The Invoice is around $26,500. I gave them an offer for 24K out the door. The Finance manager denied my request. Today, I get a Price quote from their E-sales commerce director as $25,500. What say?
Hopefully some others in here will weigh in on your offer. But please think about my suggestion...you'll be spending less $ with a small compromise in power.
The Sandman
Thanks for the reply. Yes, I totally agree with your point of view. With 4 Cyl eng, it is the best choice-since these ridiculous Gas prices are going crazy.