Since our last vehicle purchase in 2006, major technological and ecological strides have moved the industry forward. Getting squeezed? Still part of the process.
Though our own experiences have been positive, I could tell you plenty of horror stories. Good work on your addendum to the contract. Oddly enough, plenty of people seem to prefer the sense that they "got a deal" after the dealer comes down from whatever absurd number they started with. Remember Saturn, which was going to be sold with "no haggle" prices? Or when J.C. Penney tried to move to "fair and square" pricing? Here's a good piece on the topic. https://www.priceintelligently.com/blog/j-c-penny-s-pricing-strategy.
Thank you, Ann. Glad your experiences have been good---I dropped in that one-question poll because I am genuinely curious to see what folks' experiences have been.
As for my addendum that you praised, I did find myself musing: "What if I had inserted an explicit mention of `no sales tax tomfoolery' or some such wording?"
Of course, I think they'd have found something else in their expansive bag of tricks. We didn't trade in a vehicle and we didn't finance (the 6% rate was too high--if it had been below 4%, we might have done so). Bottom line: their profit margins were tighter than usual.
I did ask them, "Do you have another buyer in the wings who is willing to pay more?" They said no, but I got the distinct feeling that they would have made 1,000s more from another person. That assauged my ego when I acquiesced to their shenanigans.
I highly recommend the Costco service to guarantee great value and cooperation in buying cars. No negotiating, no drama, and high satisfaction. Even for Honda and Hyundai. We saved over $2,500, and no frustration buying two different cars over 5 years.
Well, hello Matt Baron. This article was linked in an Eric Zorn (I think, but not sure since I've read a lot today) column this morning. Thought the name was familiar and the picture confirmed it. Happy to subscribe. Whacha got?!? Looking forward to seeing a familiar face.
Yes, I see you signed on as a "pledger"...thank you, Dan! I just sent you an e-mail explaining what comes next. No pledge pins, no hazing (which brings Northwestern to mind...a topic for a column soon).
Consumer Reports has a lot of info such as "invoice pricing" and more as well. So you can go into a dealership and have a fairly educated guess of what the dealership "paid" for the car. Obviously, they - the dealership - is a business, and the sales person likely on commission, and have to make a profit. The question is how big a profit you think is fair and how bad you want that specific car. The "extra" three hundred or so that you paid IMO was not that big a deal. If it was, you shoulda and coulda walked. Quite frankly if it was me, I would have done what you did ... buy the damn car and be over it.
Never bought a car where somewhere in the conversation it was communicated that taxes and licensing would be extra, on top of your agreed upon price. I have always had the choice of paying these myself, or rolling them into the loan.
While agreeing that car dealers tack on BS fees, collecting the proper tax is not one of them/ But petty stealing snacks as "revenge" is classless and a terrible example to your daughter. Shame on you.
Thanks for your 2 cents, Don, though I think your remonstration is a tad overwrought.
I made it very clear to the manager and salesman that I'd be getting more than the standard amount of goodies - and they were more than willing to allow that. (I also tried on a few polo shirts with their logo, but I didn't want to provide free advertising for them, so I put them back.)
There's no question every dealer must pay Cook County tax.
As I point out in my column, there was also no question they knew I resided in Cook County when I wrote my note on the bottom-line price on the Gerald Hyundai document stamped "FINAL."
Incidentally, another reader who is in the auto field let me know that the "Cook County tax" angle is as old as the hills. This individual wrote:
"There are many joker cards in the decks of car dealers, and as local tax rates vary from jurisdiction in Illinois, one of the more common tricks, for when people ask for the on-the-road price, that is, the bottom-line charge including taxes and fees, is leaving out the Cook County tax, which is one percent on most purchases, including motor vehicles."
P.S. The cookies were a wonderful dessert last night, and I am enjoying my fourth tea now.
Though our own experiences have been positive, I could tell you plenty of horror stories. Good work on your addendum to the contract. Oddly enough, plenty of people seem to prefer the sense that they "got a deal" after the dealer comes down from whatever absurd number they started with. Remember Saturn, which was going to be sold with "no haggle" prices? Or when J.C. Penney tried to move to "fair and square" pricing? Here's a good piece on the topic. https://www.priceintelligently.com/blog/j-c-penny-s-pricing-strategy.
Thank you, Ann. Glad your experiences have been good---I dropped in that one-question poll because I am genuinely curious to see what folks' experiences have been.
As for my addendum that you praised, I did find myself musing: "What if I had inserted an explicit mention of `no sales tax tomfoolery' or some such wording?"
Of course, I think they'd have found something else in their expansive bag of tricks. We didn't trade in a vehicle and we didn't finance (the 6% rate was too high--if it had been below 4%, we might have done so). Bottom line: their profit margins were tighter than usual.
I did ask them, "Do you have another buyer in the wings who is willing to pay more?" They said no, but I got the distinct feeling that they would have made 1,000s more from another person. That assauged my ego when I acquiesced to their shenanigans.
I highly recommend the Costco service to guarantee great value and cooperation in buying cars. No negotiating, no drama, and high satisfaction. Even for Honda and Hyundai. We saved over $2,500, and no frustration buying two different cars over 5 years.
Great tip -- hope it helps someone else. We use Costco for many things, but were unaware of this potential. Thanks for sharing, Ruth!
Well, hello Matt Baron. This article was linked in an Eric Zorn (I think, but not sure since I've read a lot today) column this morning. Thought the name was familiar and the picture confirmed it. Happy to subscribe. Whacha got?!? Looking forward to seeing a familiar face.
I think I signed up, but cannot see any confirmation that it's other than just free subscriber. I clicked on monthly, but don't see it.
Yes, I see you signed on as a "pledger"...thank you, Dan! I just sent you an e-mail explaining what comes next. No pledge pins, no hazing (which brings Northwestern to mind...a topic for a column soon).
Consumer Reports has a lot of info such as "invoice pricing" and more as well. So you can go into a dealership and have a fairly educated guess of what the dealership "paid" for the car. Obviously, they - the dealership - is a business, and the sales person likely on commission, and have to make a profit. The question is how big a profit you think is fair and how bad you want that specific car. The "extra" three hundred or so that you paid IMO was not that big a deal. If it was, you shoulda and coulda walked. Quite frankly if it was me, I would have done what you did ... buy the damn car and be over it.
Sorry you got hit like this, and glad you got your tea and snacks. Next time bring a steamer trunk.
Hey, at least I had cargo pants. But also: great idea, Jason.
Never bought a car where somewhere in the conversation it was communicated that taxes and licensing would be extra, on top of your agreed upon price. I have always had the choice of paying these myself, or rolling them into the loan.
While agreeing that car dealers tack on BS fees, collecting the proper tax is not one of them/ But petty stealing snacks as "revenge" is classless and a terrible example to your daughter. Shame on you.
Thanks for your 2 cents, Don, though I think your remonstration is a tad overwrought.
I made it very clear to the manager and salesman that I'd be getting more than the standard amount of goodies - and they were more than willing to allow that. (I also tried on a few polo shirts with their logo, but I didn't want to provide free advertising for them, so I put them back.)
There's no question every dealer must pay Cook County tax.
As I point out in my column, there was also no question they knew I resided in Cook County when I wrote my note on the bottom-line price on the Gerald Hyundai document stamped "FINAL."
Incidentally, another reader who is in the auto field let me know that the "Cook County tax" angle is as old as the hills. This individual wrote:
"There are many joker cards in the decks of car dealers, and as local tax rates vary from jurisdiction in Illinois, one of the more common tricks, for when people ask for the on-the-road price, that is, the bottom-line charge including taxes and fees, is leaving out the Cook County tax, which is one percent on most purchases, including motor vehicles."
P.S. The cookies were a wonderful dessert last night, and I am enjoying my fourth tea now.