Another reason I hate dealerships

[rotor_powerd]

I paid a $400 or $500 "Dealer fee" last month when we bought our new Chevy Cruze. I didn't really care though, since the out the door price of the car was $3,000 below invoice. They can break down the price however they want as long as the bottom line looks good.

 

[Marc]

I remember looking for a Terminator in Hawaii. Found one listed for $30K...if I remember right. I drove 45 minutes to see the car and it was listed for $30,999.00.

I asked the salesman WTF? He said well it is $30K. I said you have a funny way of rounding off numbers. Then they wouldn't let me test drive it, "was a special vehicle". He told me, lets go make a deal on the car and I will let you drive it. I said, "Why would I buy a car I can't even drive"? Well he got "special" approval to drive me in the car. Then he couldn't even freaking drive a stick. He finally pulled over and let me drive it.

Well I didn't end up getting it because of all the stupid dealership tricks he was trying to pull on me.

 

[Sick03Vert]

I agree, but the person I was quoting made it sound like the customer has to accept the fact that the dealer is required to make money on every sale.

That's simply not true.

If it sounded that way, that's simply not true. Obviously dealers don't make money on every sale, especially now when everyone wants to pay under invoice for every damn thing and then pitch a bitch when the dealer says "I'm not going that low." It's retarded.

If it's too much, go somewhere else and buy one. You don't have to pitch a temper tantrum and talk all loud so everyone can hear you. I love it when people do that though. They always turn into a story that's talked about weeks, months, sometimes years later.

"Remember that dumbass that came in looking at that $30k truck and offered $18k for it?" :lol1:

Dealerships exist to rip people off. That's a fact. Just like any other business.

What I find the funniest is everyone jumping my ass because I simply said, "Look..here's how these people think." and then there's 20 posts on "That's f#cking bullshit!"...um...I KNOW? That's kinda why I said devil's advocate, as in, let me tell you how they think? :nonono:

 

[Sick03Vert]

Devil's advocate here but $200 for mount and balance? It costs $13.99 for the average Joe to have his/her tire mounted and balanced, which comes out to 60 bux after taxes. I'm pretty sure a dealership like that would get a better deal.

So you mean $450 for tires mounted and balanced and $550 profit right?

Yep. What I was saying is, they will CHARGE you $200 for the mount and balance, but they probably paid next to nothing.

Somehow, someway, somewhere, my entire post got confused with "OMG the dealership is right!?!?!" :lol1:

I HATE DEALERSHIPS. I work at one, and can't wait to get the hell out.

 

[nckissfan]

using the dollar figure out the door, and sticking to it works. Just be up front, and tell them you are not playing games, and will walk in a heartbeat. They will either comply, or send you on your way. More than likely, they will work with you.

 

[03SonicBlueGT]

The $1500 reconditioning fee is indeed bullcrap. It should be put into the price of the car itself. That's how we do things here. We bought the car for 20,000 .. It needs tires and an alignment. 1k worth of stuff. Now we own it for 21,800 (after pack). THEN we put our "asking price" on it. None of this bait you into the dealership crap then surprise! It's 2 grand more than you thought!

Another thing people need to look out for is online advertising. Dealerships put "Internet" price on there which is Employee discount minus ALL applicable rebates. So the customer sees it, thinks they're getting a killer deal, then they come in and get slammed with "oh you dont qualify for that price". Great way to piss off customers. So dumb.

To those of you that "walked out" over a $199 doc fee, you shouldnt be shopping for a car if you're gonna walk over 199 bucks. :bored: :nonono:

Edit: And no, not all dealerships exist to rip people off. THAT is a fact.

 

[Sick03Vert]

The $1500 reconditioning fee is indeed bullcrap. It should be put into the price of the car itself. That's how we do things here. We bought the car for 20,000 .. It needs tires and an alignment. 1k worth of stuff. Now we own it for 21,800 (after pack). THEN we put our "asking price" on it. None of this bait you into the dealership crap then surprise! It's 2 grand more than you thought!

Another thing people need to look out for is online advertising. Dealerships put "Internet" price on there which is Employee discount minus ALL applicable rebates. So the customer sees it, thinks they're getting a killer deal, then they come in and get slammed with "oh you dont qualify for that price". Great way to piss off customers. So dumb.

Our dealership pulls this shit. It's retarded.

To those of you that "walked out" over a $199 doc fee, you shouldnt be shopping for a car if you're gonna walk over 199 bucks. :bored: :nonono:
Agreed.

Edit: And no, not all dealerships exist to rip people off. THAT is a fact.

Source? ;-)

.

 

[90goldtsiawd]

The $1500 reconditioning fee is indeed bullcrap. It should be put into the price of the car itself. That's how we do things here. We bought the car for 20,000 .. It needs tires and an alignment. 1k worth of stuff. Now we own it for 21,800 (after pack). THEN we put our "asking price" on it. None of this bait you into the dealership crap then surprise! It's 2 grand more than you thought!

Another thing people need to look out for is online advertising. Dealerships put "Internet" price on there which is Employee discount minus ALL applicable rebates. So the customer sees it, thinks they're getting a killer deal, then they come in and get slammed with "oh you dont qualify for that price". Great way to piss off customers. So dumb.

To those of you that "walked out" over a $199 doc fee, you shouldnt be shopping for a car if you're gonna walk over 199 bucks. :bored: :nonono:

Edit: And no, not all dealerships exist to rip people off. THAT is a fact.

Very well said. I work for a store like yours and I could never go to work every day at one of those highway stores who pull this crap. Lucky for us word of mouth goes a long way which is why my store has such a great reputation and was the 2013 Volvo DealerRater of the Year. That says a lot in itself as it's a lot harder to get customer's to praise a car dealership than slander it.

 

[thomas91169]

Bought my wife a new Elantra last year. Everything went well until a guy barges in the office and says to the salesman I am working with "Hey, you can't sell that car, I have it sold already"! (This just so happened to be the exact time we were negotiating the price.). I stood up, and said, "Sell the ****ing thing! I have another car we are looking at next door--which we were.). He stormed out after that and never heard from him again. I told the Salesman I was working with, "Nice try". lol But, after we negotiated the price I wanted (he had thought he was going to finance the car at 6.9%)...I dropped a check from my credit union on him (financed at .9%). If they think they are financing the car, typically they will give you a better deal since they think they can make the money up in finance charges down the road. I have so many stories about dealerships...

Interesting, so you waited until after final negotiations to bring up the fact you had your own financing source? Usually this is like step 3 on the table.

Was the check a blank check or was it a set price and you would pay the difference (if any) in cash?

 

[03SonicBlueGT]

Sick03Vert,

It sucks your dealership does that. I love working for mine. Buying a car can be a very simple and painless process!!

 

[03SonicBlueGT]

Very well said. I work for a store like yours and I could never go to work every day at one of those highway stores who pull this crap. Lucky for us word of mouth goes a long way which is why my store has such a great reputation and was the 2013 Volvo DealerRater of the Year. That says a lot in itself as it's a lot harder to get customer's to praise a car dealership than slander it.

Absolutely. We've been family owned since '74 and don't advertise very much, except a radio spot every morning where our President talks with the radio show hosts and makes fun of us salesmen and briefly talks about deals we have. Loyal customers are greatly appreciated around here!

 

[10thAnnvCobra]

To the OP... you did the right thing, you walked!

I actually enjoy dealing on new cars with dealerships. I go in as an educated consumer and don't hesitate to say no and leave. I've had them chase me out to my car "finally" willing to accept my offer only to have me say never mind, too late, I'm going elsewhere. There is so much BS at a car dealership it amazes me.

 

[Marc]

Interesting, so you waited until after final negotiations to bring up the fact you had your own financing source? Usually this is like step 3 on the table.

Was the check a blank check or was it a set price and you would pay the difference (if any) in cash?

When a salesman starts talking about financing and what kind of payments I can afford, I tell him, you need to sell me the car first. We need to agree on a price before we start talking about financing. So, we go back and forth on the price until I we get to a price we can both agree upon. I don't tell him up front I have a check from my credit union. Yes, it is a blank check (of course I know exactly what the max I can write it for). So, if he ASSUMING that I am going to finance through them (which I think drives the price down for me)...I can't help that. Once the price agreed upon, I drop the check on him. Worked more than once in my favor. Just like the dealer, I am trying to get the best deal possible.

Not only that I go in fully loaded. I usually have Car Faxs, know what a car sales privately and and from a dealer. I print out similar cars for sale off the internet. I have my credit report right in front of me...I show them this first so they know I can afford the car I am looking at.

I do my homework before I even step foot in a dealership.

 

[Marc]

Also for those afraid of going to a dealership or it just is a pain in the ass, check out this site:

Car Buying Guide for New and Used Vehicles | CarBuyingTips.com

They have some very good information there.

 

[thomas91169]

When a salesman starts talking about financing and what kind of payments I can afford, I tell him, you need to sell me the car first. We need to agree on a price before we start talking about financing. So, we go back and forth on the price until I we get to a price we can both agree upon. I don't tell him up front I have a check from my credit union. Yes, it is a blank check (of course I know exactly what the max I can write it for). So, if he ASSUMING that I am going to finance through them (which I think drives the price down for me)...I can't help that. Once the price agreed upon, I drop the check on him. Worked more than once in my favor. Just like the dealer, I am trying to get the best deal possible.

Not only that I go in fully loaded. I usually have Car Faxs, know what a car sales privately and and from a dealer. I print out similar cars for sale off the internet. I have my credit report right in front of me...I show them this first so they know I can afford the car I am looking at.

I do my homework before I even step foot in a dealership.

You sir, win one internet for being awesome.

I shall incorporate this tactic into my next round of car buying shenanigans.

 

[Chris!]

Doc Fees are pretty common place, usually don't see them for more than $300 around here.

That "recon fee" is crap. But I've seen some dealers pull it off. Usually if a customer balks. They pull it off.

Have you contacted the sites that the car was listed on? I've seen them shut dealerships off of advertising for doing that.

 

[MissionMan]

When a salesman starts talking about financing and what kind of payments I can afford, I tell him, you need to sell me the car first. We need to agree on a price before we start talking about financing. So, we go back and forth on the price until I we get to a price we can both agree upon. I don't tell him up front I have a check from my credit union. Yes, it is a blank check (of course I know exactly what the max I can write it for). So, if he ASSUMING that I am going to finance through them (which I think drives the price down for me)...I can't help that. Once the price agreed upon, I drop the check on him. Worked more than once in my favor. Just like the dealer, I am trying to get the best deal possible.

Not only that I go in fully loaded. I usually have Car Faxs, know what a car sales privately and and from a dealer. I print out similar cars for sale off the internet. I have my credit report right in front of me...I show them this first so they know I can afford the car I am looking at.

I do my homework before I even step foot in a dealership.

yep.

USAA? i do the same thing. get approved, print the blank check, show up and not tell them. get the price down, and bam....write the chekc in front of them.

I had a finance manager walk out on me and rage out when i bought my STI. Most unprofessional thing I have ever witnessed. :beer:

 

[13COBRA]

Have you contacted the sites that the car was listed on? I've seen them shut dealerships off of advertising for doing that.

In Missouri, the doc fee is limited to $199. I only charge $124.50 on retail deals and $100 for Ford employees/retirees.

There was a large Chevrolet dealership in Kansas City that was charging $499 for years and they got caught and had to pay $200 to every customer they sold in the last 8 years.... It ended up being about $1.9 million.

 

[LS2GTO]

Interesting, so you waited until after final negotiations to bring up the fact you had your own financing source? Usually this is like step 3 on the table.

1) They don't need to know how you will be paying for the car. First and foremost you negotiate the final car of the price. THEN you talk about financing/how you are paying for it.

2) This might work in the customer's favor actually. If the dealership is led to believe that they will be financing the vehicle they might be a little more willing to negotiate knowing they will make it up in the financing. Then after you get a good deal, you come out and say "oh yeah paying cash for this bitch". If they then turnaround and say that they can't sell you the car at that price if you'll be paying cash well then you know you're being taken and just walk out.

It's the same process with trade ins. They don't need to know that you have a trade in and you always negotiate the price of the purchase first before discussing anything about the tradein value.

 

[03SonicBlueGT]

1) They don't need to know how you will be paying for the car. First and foremost you negotiate the final car of the price. THEN you talk about financing/how you are paying for it.

2) This might work in the customer's favor actually. If the dealership is led to believe that they will be financing the vehicle they might be a little more willing to negotiate knowing they will make it up in the financing. Then after you get a good deal, you come out and say "oh yeah paying cash for this bitch". If they then turnaround and say that they can't sell you the car at that price if you'll be paying cash well then you know you're being taken and just walk out.

It's the same process with trade ins. They don't need to know that you have a trade in and you always negotiate the price of the purchase first before discussing anything about the tradein value.

I agree. Price of the car is always agreed upon BEFORE you figure out financing. What's the point of talking about financing if they aren't even gonna buy the car?