Looking for a used (or brand new) car.

[Gibson486]

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I agree. you were preapproved for it when they saw your credit score. Finance det is where they get lots of their money now....especially with your no money down....they saw dollar signs at that point.

HOwever, I would have got the gap insurance....I mean, you put $0 down.....

Also, the paint thing....that is not a bad idea. I wish I got it. Most new cars have such weak paint now. I am about to bring my car in for a paint touch up through out the while car...I know it will cost more than $400.

Also, you really cannot not pay the processing fee. Lots of dealers actually pre print it on their forms now b/c they will not take that off.

 

[ponyo]

Originally posted by: Gibson486

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I agree. you were preapproved for it when they saw your credit score. Finance det is where they get lots of their money now....especially with your no money down....they saw dollar signs at that point.

HOwever, I would have got the gap insurance....I mean, you put $0 down.....

Also, the paint thing....that is not a bad idea. I wish I got it. Most new cars have such weak paint now. I am about to bring my car in for a paint touch up through out the while car...I know it will cost more than $400.

Also, you really cannot not pay the processing fee. Lots of dealers actually pre print it on their forms now b/c they will not take that off.

$800 for gap insurance so he won't be upside down if the car is totaled? He won't be upside down on a 36 month loan after little over a year even with no money down. So you're essentially paying $800 to insure ~$5,000 for a year. That sounds like crappy odds considering the chance of a new car being totaled is very small. Gap insurance is much more useful if you're stuck in awful 60 months or longer loan. You'll be upside down for a very long time so it might pay then.

Processing/doc fees and any other junk fees are completely 100% negotiable. I bought 5 new cars the last 9 years and every dealer tried to make me pay that bogus fee. Dealers can pre-print the fees and price all they want on their forms. I just make them scratch through it. The last dealer I purchased my car from had ridiculous pre-printed doc fee of $599 and $199 alarm fee and some other maintenance service plan fee. That's the highest I've seen. All you have to do is tell the dealer to lower the price of the car by the amount of the junk fees or drop the junk fees. Outcome is the same.

 

[imported_Lothar]

Originally posted by: Naustica

Originally posted by: Gibson486

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I agree. you were preapproved for it when they saw your credit score. Finance det is where they get lots of their money now....especially with your no money down....they saw dollar signs at that point.

HOwever, I would have got the gap insurance....I mean, you put $0 down.....

Also, the paint thing....that is not a bad idea. I wish I got it. Most new cars have such weak paint now. I am about to bring my car in for a paint touch up through out the while car...I know it will cost more than $400.

Also, you really cannot not pay the processing fee. Lots of dealers actually pre print it on their forms now b/c they will not take that off.

$800 for gap insurance so he won't be upside down if the car is totaled? He won't be upside down on a 36 month loan after little over a year even with no money down. So you're essentially paying $800 to insure ~$5,000 for a year. That sounds like crappy odds considering the chance of a new car being totaled is very small. Gap insurance is much more useful if you're stuck in awful 60 months or longer loan. You'll be upside down for a very long time so it might pay then.

Processing/doc fees and any other junk fees are completely 100% negotiable. I bought 5 new cars the last 9 years and every dealer tried to make me pay that bogus fee. Dealers can pre-print the fees and price all they want on their forms. I just make them scratch through it. The last dealer I purchased my car from had ridiculous pre-printed doc fee of $599 and $199 alarm fee and some other maintenance service plan fee. That's the highest I've seen. All you have to do is tell the dealer to lower the price of the car by the amount of the junk fees or drop the junk fees. Outcome is the same.

It was a 60 month loan @ 3.9% with $0 down.
Does that change the outcome?
Is a 60 month loan really that much more awful? What's awful about it?
I have ~30k in stiudent loans at 6.8%. The other ~20k is 3.5% or something. I figure it's best to pay off the higher interest loan first.

I find something like GAP insurance to be useless. I didn't bother to waste any time trying to do any calculations or mathematics in my head or anything like that.
I just saw it as something useless. All those "What if's" questions are nothing but speculation.
Maybe it's not something I understand fully. Why would GAP insurance matter if I had put $0 down or $6,000 down? Why would it matter if I had gone 60 months vs 36 months?

 

[imported_Lothar]

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I must say...The finance department people are extremely trained in what they do.
I made sure I went over the prices with her 3 times on different occasions from top to bottom before signing documents.
$599 for 5 yr maintenance...nope.
We also have a 4 yr maintenance for $499...Nope.
Most people take the 3 yr maintenance for $399...Nope.
There's the 2 yr for $299...Nope.
Silence...I then asked Do you offer a 1 yr maintenance plan for $199? She jokingly laughed and then said "No".

Probably so.
I simply just saw that extra $100 as a cost of doing business with them since their sales associate was very nice.
His explanation didn't make sense though...If Honda corporate is that concerned about the survivability of Ford in the long term, Why still offer both as an option? Why not just convert all new customers automatically to GE Capital and not Ford Finance? There was no extra benefit of using GE capital over Ford Finance. At the end of the day if Ford Finance goes bankrupt, Honda will be left holding the bag. If they choose not to hold it, there would be a mass exodus of people(myself included) moving from Honda to Toyota and the "used car" values of Acuras, Accords, and Civics would drop like a rock to the level of a Hyundai.

I will try to get pics of car on Friday(or this weekend). I did a 9am-9pm shift today and will be doing one again tomorrow.

 

[Gibson486]

Originally posted by: Lothar

Originally posted by: Naustica

Originally posted by: Gibson486

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I agree. you were preapproved for it when they saw your credit score. Finance det is where they get lots of their money now....especially with your no money down....they saw dollar signs at that point.

HOwever, I would have got the gap insurance....I mean, you put $0 down.....

Also, the paint thing....that is not a bad idea. I wish I got it. Most new cars have such weak paint now. I am about to bring my car in for a paint touch up through out the while car...I know it will cost more than $400.

Also, you really cannot not pay the processing fee. Lots of dealers actually pre print it on their forms now b/c they will not take that off.

$800 for gap insurance so he won't be upside down if the car is totaled? He won't be upside down on a 36 month loan after little over a year even with no money down. So you're essentially paying $800 to insure ~$5,000 for a year. That sounds like crappy odds considering the chance of a new car being totaled is very small. Gap insurance is much more useful if you're stuck in awful 60 months or longer loan. You'll be upside down for a very long time so it might pay then.

Processing/doc fees and any other junk fees are completely 100% negotiable. I bought 5 new cars the last 9 years and every dealer tried to make me pay that bogus fee. Dealers can pre-print the fees and price all they want on their forms. I just make them scratch through it. The last dealer I purchased my car from had ridiculous pre-printed doc fee of $599 and $199 alarm fee and some other maintenance service plan fee. That's the highest I've seen. All you have to do is tell the dealer to lower the price of the car by the amount of the junk fees or drop the junk fees. Outcome is the same.

It was a 60 month loan @ 3.9% with $0 down.
Does that change the outcome?
Is a 60 month loan really that much more awful? What's awful about it?
I have ~30k in stiudent loans at 6.8%. The other ~20k is 3.5% or something. I figure it's best to pay off the higher interest loan first.

I find something like GAP insurance to be useless. I didn't bother to waste any time trying to do any calculations or mathematics in my head or anything like that.
I just saw it as something useless. All those "What if's" questions are nothing but speculation.
Maybe it's not something I understand fully. Why would GAP insurance matter if I had put $0 down or $6,000 down? Why would it matter if I had gone 60 months vs 36 months?

because gap insurance will cover what you owe on the car is totaled. Once you drive it off the lot, you will be taking a 10% loss. Also, your first few payments on the car are going to be something like 80% interest and 20% principal amount.

Why does it matter on downpayment? Say you total your car....you will owe your finance company the remainder of the loan. If your insurance payout is less than the value of the loan, you must cover the remainder of the value on the loan out of your own pocket. Gap insurance will take care of that remaining amount. By putting a bigger down payment, you reduce your loan and the chances that you will be upside down if your car is totaled.

2 things do work in your favor.

1. You bought a honda. It has great resale value, so you can possibly get away with it.

2. Your interest rate is not too high, so making 20% principal payments may not last long, which means it will may not take that long to not be upside down on the loan.

Things that work against you:

1. When your car is totaled, TTL is not factored in.

2. You have a 60 month loan, so being upside down on the loan may haunt you for a while.

3. Combine #2 with 0 down....enough said

4. Your OTD price is probably close to the MSRP of the base vehicle. those add ons you put will not mean that much to your insurance company.

 

[evident]

Originally posted by: Gibson486

Originally posted by: Lothar

Originally posted by: Naustica

Originally posted by: Gibson486

Originally posted by: Naustica
Congrats on the car! It's a great choice and should serve you well.

I hate finance departments at car dealerships. They're bunch of crooks, and you have to deal with them no matter if you pay cash or finance.

I wouldn't have paid for the paint protection and wouldn't have paid the processing fee. That line about GE capital was BS too. They probably get paid more commission if they sell through GE capital. I would've stuck with $925 but then again I wouldn't bought the extended warranty. Other than that you did good especially for the first time.

My guess is you would've gotten the 3.9% even with $100k student loans. They were just trying to rip you off at 7+% and hoping you take the first offer.

pics of the car?

I agree. you were preapproved for it when they saw your credit score. Finance det is where they get lots of their money now....especially with your no money down....they saw dollar signs at that point.

HOwever, I would have got the gap insurance....I mean, you put $0 down.....

Also, the paint thing....that is not a bad idea. I wish I got it. Most new cars have such weak paint now. I am about to bring my car in for a paint touch up through out the while car...I know it will cost more than $400.

Also, you really cannot not pay the processing fee. Lots of dealers actually pre print it on their forms now b/c they will not take that off.

$800 for gap insurance so he won't be upside down if the car is totaled? He won't be upside down on a 36 month loan after little over a year even with no money down. So you're essentially paying $800 to insure ~$5,000 for a year. That sounds like crappy odds considering the chance of a new car being totaled is very small. Gap insurance is much more useful if you're stuck in awful 60 months or longer loan. You'll be upside down for a very long time so it might pay then.

Processing/doc fees and any other junk fees are completely 100% negotiable. I bought 5 new cars the last 9 years and every dealer tried to make me pay that bogus fee. Dealers can pre-print the fees and price all they want on their forms. I just make them scratch through it. The last dealer I purchased my car from had ridiculous pre-printed doc fee of $599 and $199 alarm fee and some other maintenance service plan fee. That's the highest I've seen. All you have to do is tell the dealer to lower the price of the car by the amount of the junk fees or drop the junk fees. Outcome is the same.

It was a 60 month loan @ 3.9% with $0 down.
Does that change the outcome?
Is a 60 month loan really that much more awful? What's awful about it?
I have ~30k in stiudent loans at 6.8%. The other ~20k is 3.5% or something. I figure it's best to pay off the higher interest loan first.

I find something like GAP insurance to be useless. I didn't bother to waste any time trying to do any calculations or mathematics in my head or anything like that.
I just saw it as something useless. All those "What if's" questions are nothing but speculation.
Maybe it's not something I understand fully. Why would GAP insurance matter if I had put $0 down or $6,000 down? Why would it matter if I had gone 60 months vs 36 months?

because gap insurance will cover what you owe on the car is totaled. Once you drive it off the lot, you will be taking a 10% loss. Also, your first few payments on the car are going to be something like 80% interest and 20% principal amount.

Why does it matter on downpayment? Say you total your car....you will owe your finance company the remainder of the loan. If your insurance payout is less than the value of the loan, you must cover the remainder of the value on the loan out of your own pocket. Gap insurance will take care of that remaining amount. By putting a bigger down payment, you reduce your loan and the chances that you will be upside down if your car is totaled.

2 things do work in your favor.

1. You bought a honda. It has great resale value, so you can possibly get away with it.

2. Your interest rate is not too high, so making 20% principal payments may not last long, which means it will may not take that long to not be upside down on the loan.

Things that work against you:

1. When your car is totaled, TTL is not factored in.

2. You have a 60 month loan, so being upside down on the loan may haunt you for a while.

3. Combine #2 with 0 down....enough said

4. Your OTD price is probably close to the MSRP of the base vehicle. those add ons you put will not mean that much to your insurance company.

the bolded is absolutely true. goes for dealer addons and aftermarket stuff too.