Did you recently take on (or consider) a loan of 84 months or longer on a car purchase?
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Ford's holdback here is only 2% of invoice which is much less than the 3% of MSRP that Edmunds says is Ford's holdback. Just something to keep in mind for the Canadian shoppers.
(By now, of course, you know I'm just 'joshin' ya, right? RIGHT?)
Do we HAVE to talk about cars on a car-related BB?
LOL!
Good luck on your purchase!
The reality is: Holdback is not a profit source for any dealer, whether he sells 25 cars a month or 250 cars a month -- holdback tries to to accomplish one thing ( and the word here being "tries" ) to offset the floorplan cost of any inventory sitting and inbound. As a rule, depending on the how the dealer has set up his business, he will pay a 1/4 point over prime on everything, every month... Run that number over $4,000,000 .. and that's before the key hit's the door in the AM ....
Maybe this makes some sense ..
Terry.
If you are interested in my opinions, here are a few more.
Not giving you a specific opinion about a Jeep, it is my understanding they are almost begging to sell these things. I also think there are extensive rebates and dealer cash on Jeep products. Therefore you might want to rethink a special order, and attempt to find an acceptable vehicle in stock and try for the rebates and dealer cash.
Per other posters, the 'holdback' is to support the dealer's interest payments on in-stock vehicles. This should lead to a dealer giving all or some of the holdback to the purchaser of an ordered vehicle, since it will incur no interest charges to him. (But I bet you will not be able to get into his rebate.)
If you do order something, don't give a bundle of money to the dealer. I would think $200 to $500 would be plenty. Get something signed that this is totally refundable if the car is not delivered in a reasonable time. Get a statement from the dealer about 'reasonable delivery time'. They know how long it takes to get a car. Have this written in the order/contract. Read the order contract. Line out things you don't like, and add in the latest acceptable delivery date. Just write on the contract form. You initial and manager inital the lineouts and addins, it will be legal.
The dealer might say that they can't agree to a delivery date, probably refer to the current terrorist situation. Tell they if they can't build the car in a reasonable time, you don't want to wait forever either, especially when they will have some of your money. A specific date for delivery will then protect both of you.
It is in fact net on an ordered car (because THAT car has cost the dealer little or no holding cost), but that money is used to cover the expense of the sale-proof car rotting in the back of the lot. So I say, Net profit on the ordered car, but Gross in broader terms. So you're all correct to some degree.
My point? I don't know.
Like rb88 has just mentioned, it may not be there for a "Sold" incoming -- but it certainly will help pay for that Star Wars painted $40,000 GC Limited ...
Terry.
I mainly posted that because the salesmen always say holdback is to pay for the floorplan interest being paid on an instock car. If this was true, you should be able to get the holdback on an ordered car.
Buy it's profit for the dealership, and they aren't going to give it up.
I guarantee your Passat friend didn't see a dime of holdback -- as it should be. If the dealer gives up all the dealer cash and rebate monies that would the 2 reasons why the selling figures fall below invoice.
Terry.
Close to closing a deal on a slightly used Maxima,
price is right, etc. I have a 1991 Volvo 740 that I want to offer as a trade - 125K miles, good-very good condition - well maintained, etc...UNFORTUNATELY...the #%$^ A/C just failed. Took it to an indy repair shop - cost would be $1K to fix.
Car is fine, except for AC - would a non-working AC kill a trade-in? Thx.
Shop around, if a service dept is saying you need a $1,000 in repair in air ... I'm sure with a little lookin', you can find someone that can do it for a lot less (like $300) or let the dealer shave off the $1,000 off the trade ... it's your choice ...
Terry.
Maybe I'll wait for the first 10 degree day and see what I can haggle.
Terry.
Do ya think so?
I had it in the shop last week. The cracked aluminum line was welded, all new o-rings fitted, a new dryer and of course the R134 gas and labor, $363.21 I didn't need a new compressor since this car already had a replacement that had suitable for R12 and R134a on the unit.
I dunno what a new compressor costs, but the cost of a compressor and hose and another couple of hours labor...
Another thing to check is the compressor clutch. My clutch solenoid was bad last year. So while many would think a new compressor was needed, instead only a $70 part and another hour labor was all that was needed. Didn't even need to open the system. So that is another thing to check.
Of course I plan on driving this car another couple of years. It's going to roll over to 90K late this week or early next, depending on how many service calls I get this week.
FWIW
TB
Terry.
I ordered a copy of my credit report from Experian, and they gave me my Experian score. Does anybody know how to translate it into a FICO score?
FICO seems to be the standard and it would be helpful if I'm able to give people a number that they can relate to.
Thanks.
The score is not the be-all, end-all though...
Bill
But... I remember reading that FICO went up to 900, yet Experian went up to only 820. Why is that?
BTW, I know it's not the be-all and end-all. It's nice to be able to use it to see if I qualify for the promo rates before I start wheeling and dealing.
A) WHat's your score?
C) Do you make, say, $4,000 per month and have $2,500 in current obligations?
That's the stuff that's all important!
A 670 beacon and "No" answers to B and C would probably qualify, But a 750 beacon based on 2 credit cards with a total high credit of $500 would not.
Bill
I live in Oregon and am going to buy my first (and last) new truck in twenty years next month.
2002 Toyota Prerunner. I've scoured these threads looking for which way to go to get the best deal, but I am still unsure.
First, do you folks think it would be possible to purchase a 2002 Toyota for US$500 over invoice?
Someone, perhaps on this thread, suggested just going to the dealer rather than going to CarsDirect or AutoByTel for the best deal.
This will be a cash deal with no trade-in.
So, am I dreaming? What's the easiest and best way?
My apologies if this should have been on a new thread.
Any information would be GREATLY appreciated!
It's the market that determines pricing. I have no idea how hard to get these trucks may be.
The Portland marketplace is especially cutthroat.
Good Luck!
Check out the Toyota web site. They should list all the incentives and rebates for the Prerunner there.
Since the 2002's have just come out, it's difficult to determine what you can get one for. Isellhondas hit it right on the money though.
I live in Portland, and I'd be interested in your insight (I know there's lots of screamer
ads in the Oregonian). Thanks!
Erik
Thanks in advance for any help.
Any advice on
ES300's are plentiful, they are already at the auctions --- The MDX's, that may be a little different story, these vehicle's are popular and Acura only makes X amount. But, If you take your time .. and do a little shopping, you will find MDX's that are discounted, depending on your area. ES300's should be able to be bought for around $900/$1,000 over invoice ..just about everywhere.
Terry.
Ed
It's PRICE PRICE PRICE!!!!
There are dealerships there that give us the reputation we hate.
I've had several Portland ads shoved in my face...The people go to Portland and often return to me.
I couldn't work in that enviroment.
cars at auction trade ins,returns ect.?
Some cars wholesale for in excess of MSRP. I'm running another 02 SC430 this week at the auction.
Bill
The Majority of cars at auctions are not new, but occasionally there's some MSO/Nearly new cars there.
Bill
But if you region is charged advertising, and if the prices you are getting from 3 dealers are identical, Id say that it is a legit charge.
Bill
Terry.
A Ford dealer recently told me that they were not doing dealer swaps because of the 0% financing. Is this true?
2001 Prelude Type SH, 2022 Highlander XLE AWD, 2025 Camry SE AWD
Just OK tho? haha.
OK, if you're in or near NY City, you're in a good market. I still believe that generally the best place to work and sell is with one of the Luxury Imports. Lexus, BMW, Jaguar, Mercedes, etc..
You want to try and get into one of those stores. Just get a resume together ans start calling! That's what I did and it worked for me. Generally, most highline stores want experience, but not all. Some will provide on-the-job training. The trick is, listen to the customers, know your product well, and treat people with respect and you should do fine. Follow-Up is also VERY Crucial.
You can learn a lot of how not to act on these boards too!
Bill
2001 Prelude Type SH, 2022 Highlander XLE AWD, 2025 Camry SE AWD
certified lexus 300, acura rl or a brand new
honda accord ex-l.