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The way I handled it recently when I was shopping for a Camry here in Florida (Southeastern Toyota)was to ignore it. I made all of my offers based on the invoice price, and let the dealer work around all extra stuff. As it turned out, I could have gotten the car for close to the price I was seeking (around invoice), but a bad experience at the dealership caused the deal to fall apart.
Please return to the topic at hand - if you forget, there's a clue in the discussion title
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At least for in-warranty work, it seems to me that a free loaner should be offered. Because of their busy lives, most people really cannot be without a vehicle for more than part of a day, which means that repairs could cost hundreds of dollars in rental car fees. Once I got a "deluxe" bumper to bumper extended warranty that covered rental car costs only to find out that there were unbelievable conditions that needed to be met before a rental car was covered. On the surface it sounded like the rental car would be provided for any repair taking more than a day, but the fine print said that the repair had to be within a certain category of repair that they thought should qualify as requiring more than a bazillion hours. In other words, maybe having the engine rebuilt. Nothing I ever needed to have done met the "hours of labor" requirement. So, are there actually brands or dealers who will give people rental cars or is it one of those things that "ain't gonna happen." P.S. I've also bought cars from dealers who said they'd give people free loaners when they had some available, which they never did. Thanks for any thoughts/knowledge on this topic.
1. The car brand. It's pretty standard for the luxury brands you mentioned to offer loaners for warranty work. Some "budget" brands do as well, such as Mazda, but most don't.
2. The dealership / salesman relationship. Honda does not have a loaner included in the warranty but my local Honda salesman, from whom I've bout 3 new Hondas and one used one, usually allows me to drive one of the new cars home while I get an oil change or something. I wouldn't expect this kind of treatment at a store where I had only bought one car...especially if the transaction involved lots of grinding.
If you keep the car till it dies, your savings are the difference in price between last years models and this years. You don't care about depreciation.
If you sell after a year your car will have depreciated like a 2 year old car(which is why you paid less for it but probably more than a 1 year old used car) but you will get some of that back since you will have low miles. In my experience the years are more important than miles for cars less
There is a point around 3-5 years where the money works out even.
I think in general you save money by buying last years model but it might not be as much as you think. Sort of like when a person buys a used car and says they bought 4 year old 30K car for 15K. They didn't save 15K by buying that car used since they are going to get 4 years less of car use. If you figure the car is good for 10 years, they are going to pay 15K/6 =2500 a year versus the new car guys 3000 a year. Now 5000 dollars is still a lot of money but it is a lot less than 15k.
And of course these numbers can get adjusted by manufactors incentives, tax laws in your region, and the like.
Service and convenience is a major point when purchasing a vehicle .. in a case like a Toyota/Honda, it will go on a dealer to dealer basis, some might have them, some won't. Like someone just mentioned, it could be the saleperson involved, maybe dealership "A" has rentals and dealership "B" only uses demo's .. plus you will usually get much better service from the dealer you bought from if there is a failure .. thats why sometimes that extra $100/$200 that was saved by driving 100 miles to save it, can come back to bite you .............
Terry.
That said, I don't understand your statement "repairs could cost hundreds of dollars in rental car fees". For my Tahoe, since I'm used to getting a loaner for oil changes with my other cars, I usually just leave the car and have them call Enterprise. My rate (dealer service rate) is only $29-39 dollars for this rental. Since nearly every manufacturer will provide a loaner if they keep it overnight, why would this run into the hundreds of dollars?
As for "hundreds of dollars" ... For years, I have used Enterprise as my second car and have always been able to get a rental for $16-24 per day. At times that rental was an F150 and others an Aspire but always had a vehicle to head to work in.
Of course, I am a little different. I don't buy NEW cars. I don't ever take my car in for warranty work (what warranty after 50k miles?). And dropping $25 a day on a rental seems minimal with all the money that I have saved in depreciation, lower insurance rates, lower personal property taxes, lower sales taxes, etc.
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One person wondered why my cars had to stay "overnight"--about 6-7 times I've had this happen in 25 years of car ownership. Typical scenario: will leave car and be told that they're so backed up that they can't check it until tomorrow. Call the next day and they say that they still haven't even gotten a chance to even check it--not their fault, just too much work and not enough people to do it. Call again later same day and am told same thing, in slightly annoyed voice. Day 3--we looked at it and it needs a part we have to order. Part in on Day 5. On Day 6 they say that it has been fixed but they want to test drive it to make sure problem is fixed. Not actually done until Day 7. That is how you spend about $200 (w/ taxes, etc) for a rental car.
Once I left my Chrysler minivan w/ dealer to have transmission replaced and left on an 8 day vacation--thinking, no worries--I'll come home and it'll be done and no rental car (except the one I had while I was on vacation!) Shockingly enough, when I called them the night before we were to return home they admitted that they'd overlooked my minivan--hadn't even checked it yet--and they lost the key, which had one of my remote entry things attached. As I type this I feel foolish--I mean after previous experiences I should have called them everyday from my vacation--just to check.
My goal in posting this question was to find out what can be reasonably expected from dealers--this site is brilliant for getting that sort of knowledge.
regards,
kyfdx
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BTW...is it a new car or used?
here and there, I see useful tidbits you mention about brands and makes more or less involved in lemon law cases. How are the new import minivans (MPV, Ody, Sienna) doing on this front? I will likely be buying one of those early next year - unless I can find a nice used Villager (relatively) cheap. BTW, how are these Quests/Villagers holding up?
Thanks in advance,
Mark
The Expedition, as much as I like them, still hasn't outgrown the Ford transmission woes, and I'm still seeing '02s, '03s, and '04s that are dropping transmissions like bad habits. Couple that with some fairly significant electrical and engine management problems, and I'd recommend against it.
The Tahoe, just like all the other GM trucks (except the diesels) has the dreaded piston slap that GM says won't hurt longevity but I'd never take that chance..
Damon
Like I said I already bought the vehicle (2004 Expy)a few months ago and I really like it no problems so far but I am seriously thinking about that extended warranty.
Here are the number that I need help with. BMW is offering $4500 Manufacturer-to-Dealer incentives until 8/31/04, to dump the large inventory of unsold Z4 roadsters. They are also offering 1.9% financing.
Here are the numbers:
MSRP for the 3 liter that my boss wants: $ 49465.
Invoice: $45285.
TMV: $43721.
If I subtract the $4500 incentive from the invoice price, I get $40785. Likewise, the new MSRP is $44965. Now, the TMV of $43721 tells me that the dealers are getting about a 7% profit margin.
My question is essentially this. Does anyone have a feel for how low of a profit margin I can bargain for? Is 4 to 5% reasonable for BMW or in general?
My guess is you will be able to make a deal within $1000 of that first offer.
regards,
kyfdx
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I wish some of you posters would admit you didn't know what you were talking about when you strongly said the add-ons are added by the dealers.
Toyotas in the 'Gulf States' are bought by the distributorship. They do what they want to do to them. The distributorship then sells them to the dealers. With a LONG lists of add-ons, at ridiculous prices.At least Gulf States Distributorship does this. This is what you will see on all Toyotas in Texas, Oklahoma, and, I think, Arkansas (maybe other states also). I have also heard the southeast US (Florida, Georgia, etc) also has, as someone else described it, a 'fiefdom' where the same thing is done.
For what I considered an extreme example, a couple of years ago, while cross shopping Honda and Toyota, the local dealer had a mid-model Camary which comes with stock cloth seats. Gulf States pulled the cloth and replaced with leather, for about $2,000. They also pulled nice stock alumium wheels and replaced with some after market chrome ones for big money. And did you get a credit for the stock wheels - don't think so.
I feel the Honda Accord I bought is a better car, but this pricing approach made the Toyota a definite 'no go' for my purchase.
Texasmom, if you could drive to Kansas, they are in a different distributorship, and they do not pull this **** there. A lot of people drive the miles to see a sticker price $2,000 - $3,000 lower, without the mud guards, striping, unwanted wheels, electronic rear view mirrors, color keyed outside mirrors, etc, etc, etc etc. It's not just a $200 or $499 'Interior Protection Plan', it comes to thousands of dollars tacked on by Gulf States.
My yota lovin' cousin finally got tired of spending that $300 dist. fee along with the funny packs on his vehicles !
He decided to use our family GM employee discount and get a Prizm aka Corolla and a new Vibe this week.
Interesting discussion about the Southeast Toyota distributors. I am in Tampa, I just started looking at the Sienna, and I too am frustrated with all the distributor/dealer add-ons - $700 protection package, $400 dealer fee, $500 delivery fee, something else I can't remember, etc.
Anyway, the dealer here in Tampa advertises 'Free Tires for Life'. If anyone is familiar with this program, can you describe it to me? I am curious if this is something real - or are there 500 exclusions that are going to be kicked in when you are in need of the tires.
Thanks - Damon
I don't have any info on the specifics that you refer to but I suspect its a variation like the "Lifetime" break jobs or mufflers.
They'll give you a "Free" set of breaks or a muffler and all you have to pay for is the inflated labor rate for installation. Well they charge so much for installation that it covers their hardware costs. Don't expect high quality replacement parts from this deal.
Guess who really pays for the "Free" breaks/muffler and perhaps the "Free" tires
Fine print sez: Vehicle must have ALL maint. work done by them......aka $$$$pendy
Funny thing is they prob. send it to Pep Boys for those 4 tires for $99 bucks deal !!!!
Don't suppose they are gonna put a set of Michelins on huh??????
Speaking of manufacturer required service vs. dealer 'suggested' service. I have a 2001 S60 2.4t (leased). At 30,000 miles I checked with the three dealers in town. Quotes ranged from $450-$775. When I inquired to the dealer that quoted $775 - it included all sorts of stuff like transmission draining, brake draining, etc. It took 10 minutes for me to get him to admit they were not required by the manufacturer. I finally got him to admit so much in a funny way. In 2004, Volvo include maintenance (like BMW). So I asked him if I brought in a 2004 Volvo for the 30k service, would he do all the things he is trying to sell/include for my 2001 Volvo. Of course, the answer was 'No'. Case closed.
Damon
after some research, through friends in the toyota network, ive discovered that the distributors DO install and perform all add-on services for most cars....
...now for the "kinda" part...
they are not allowed to add things to the car unless authorized by the dealer the car goes to.
IOW, the dealer says "i wand mop & glo, leather, and chromies added."
the distributor does the work, and the dealer receives a fully equipped car just like they specified...
also, these adds DO NOT go on the monroney sticker.
That "mop & glo" that is added, here in the Southeast, is indeed done at the SET Port Processing Center. From website:
"SET Port Processing associates install options such as leather seat kits, spoilers, roof racks, alloy wheels, entertainment systems, radios, wheels, and exterior/interior value packages as ordered by SET dealers. Warranties cover all options installed at the Port as if they were factory installed."
This includes "ToyoGuard Protection Group", which includes Exterior Paint Sealant, Toyo Guard Sealant Cleaner, Interior Fabric Protector, Undercoating/Sound Shield, Glass Etch Theft Deterrent
These ARE listed as just another option on the Monroney Sticker. Only things that are added BY the dealer AT the dealer are not on the Monroney and go on the added sticker.
"SET Port Processing associates install options such as leather seat kits, spoilers, roof racks, alloy wheels, entertainment systems, radios, wheels, and exterior/interior value packages as ordered by SET dealers. Warranties cover all options installed at the Port as if they were factory installed."
"as ordered by SET dealers."
If pressed, a GST dealer COULD order a Sienna without all the extras, I'm sure - if not, she could go to Colorado like I suggested and enjoy a leisurely two-day drive home in her new ride.
Other than that, great cars.
regards,
kyfdx
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