It's because as a customer you feel that you are being scammed. Cars are the only thing that people spend a ton of money on and want to brag about how little they paid for it. They will also tell everyone that they got a better deal than they actually did. This creates stress because it makes you feel like you were ripped off if you couldn't knock $4000 off of the price.
"Ask for Lieutenant Jacobs in Bunco. He'll be interested in in the way Moore does businees." -- Officer Malloy, talking to Moore's former secretary in the _Adam-12_ episode "Anniversary".
ha ha. Reminds of going to a BMW dealer and no one approached me! I didn't look like a customer, I wasn't "their type". I went next door and bought a Jaguar from a very nice black guy who didn't mind talking to me. I still remember his name and his willingness to see me as human beyond the scraggly appearance I had that day, from working 7 days a week. God bless you Vernon!
@@linanicolia1363 Having lived in a car for three years I found the luxury of that car to be a special blessing, like a private joke between God and me. But it was only the baby jag, less expensive than the BMW. Anyway, my portfolio is 1.75 times what it was a year ago. So all that hard work paid off, as does obedience to God Almighty. Have a good day. Thanks for the comment.
I love that you two have been in the industry so long that you don’t sugarcoat anything. I can imagine a salesman saying everything Zach is telling you.
1) "I have in hand my check from my bank (or credit union) no need for a credit app! 2) "I have my mechanic with me, put it on the lift so he (or she) can check it out. If they give their stamp of approval, we can move forward" 3) "I may consider an extended warranty when the factory warranty gets close to expiring, not at this time, thank you!"
I call BS on 1 and 2. How could you have a "check in hand" when you don't have a final price yet? And no dealer or any car shop for that matter is going to let a non-employee in any service area. They will say it's an insurnace issue. lol, nice try.
@@GFSwinger1693as a car salesman, I’ve let people into the shop to see the car on the lift. Some people are skeptical because they got screwed over and some actually know what to look at. When you have a solid service dept and techs, it’s no prob showing customers the car on the lift
@@GFSwinger1693 Gee, it's called a "figure of speech". Maybe his bank is across the street, and he can simply walk across and get a certified check. Also, if a car is something like $30 k, he can probably come in with a check for a bit less than what he expects to pay , and pay the final different with a CC or a personal check
@GFSwinger1693 I talked to my banker about purchasing a truck over the weekend and he said just write them the check for whatever you buy and we will have a note to clear your check so it goes through and then come in on Monday to iron out the details. I already knew the interest rate they were gonna give me too
@@GFSwinger1693 Actually, not true at all. I used to be a used vehicle inspector for a local Toyota dealer. We never had an issue putting vehicles on a lift and allowing someone to look them over. As for allowing a customer to take a vehicle off the lot to another shop for a pre-purchase inspection, there are liability issues at play. Once another shop touches the vehicle, if the sale falls through, it should be re-inspected before being put back on the lot for sale to ensure that the other shop didn't tamper with it.
I've walked out on several dealerships in the past. The only unfortunate part is they've already wasted a couple hours of my time. I have started immediately telling them what i want and what I'll pay including a trade in if I intend to trade in. At that point I say if you can do that you have a deal. If you come back with add ons etc after "talking to your boss" I'm walking. You have a half hour to write it up and get approval.
I sold cars. Your approach is one based on fear and your desire to control the negotiation. You are an easy mark. I would always get more out of customers like you. Why? Because I wasn't selling the car I was selling you on the feeling that you got a great deal. Spending a lot of money is an emotional event. When you walked in the door and give me your demands I knew exactly what your emotional state was. Fear of losing out. I will bet that you bought the car at the first dealer you went to because the price you were given was "lower" than you expected. You walked out relieved and ready to brag to everyone about how tough of a negotiator you are. Walk in with fear, walk out with relief. You weren't sold a car you were sold relief. An easy mark.
@@counciousstream really? I suppose you thought selling feelings and smirking about it was more important to your ego than being a true representative of the dealership. That’s just sad. You made your commission, you worked on someone’s emotion, and could brag to the other sales force how you snookered another unsuspecting customer.
@@BW12149 yes it is sad. Sad because you have assumed that I was dishonest and "ripping someone off". When I sold cars I never misled anyone, never misrepresented the product, never lied to anyone. Nobody was tricked into buying anything. I didn't have to. Either you wanted the car or not, either you could afford it or not. If you aren't sure you want the car then there is no point in negotiating a price. Your apparent emotional response clearly shows how much of an emotional purchase a car is. You are convinced simply by reading my post that a car salesman will rip you off. You admonish me for not being a true representative of the dealership. Representing the dealer? Are you kidding? The dealer wants to squeeze every penny they can out of the deal and every customer pays a different price. Why do you think that the salesperson always has to talk with the manager? The dealer wants you to buy extras whether you want or need them or not. I can't tell you how many customers I steered away from paint conditioner or undercoating, both completely BS and both highly profitable for the dealer. 90% of customers asked about it, 90% of those bought it. The Mr. give me your best price I'm outta here would pay more because "free" undercoat was part of the deal. The "give me your best price I'm out of here" approach guarantees that you are going to pay (give) more than someone who is willing to take time to negotiate. The lowest price game is easy. Customers will almost always lie and say that they already have a price that is $1,000 or more less somewhere else. Most of the time I advised them to take that deal because I couldn't come close. That always surprised them. Many then wanted to find out how close I could come. That's called negotiation. Most of those customers bought a car from me that day and felt good about the deal. A fair deal is one that the buyer and the seller accept. In the case of cars, houses, appliances, services, loans, airline tickets, hotels, and many other things a customer will pay a different price. What matters is that you feel the price is fair. Could you have done better? Maybe. Does it mean you were ripped off? No. Maybe you found a 10 percent off coupon on a new washing machine (because you took the time to look), maybe you negotiated the fees on a lease, maybe you paid the seller of a house more than they were asking for so that you could out-bid someone else. Customers rarely pay the same price. For example, do you ask for a discount when you purchase a new refrigerator? Is this on sale next week? Is there a Veteran Discount? AAA discount? Can you include the water hook up? How about free delivery? All of these things mean that you and another customer will pay a different price. If you walk into a dealer and are so afraid of being "ripped off" that you have one hand on the exit door the whole time then I know that you really want the car. I don't have to "sell" the features or explain why it is a good vehicle. All I have to do is get you a price that you are comfortable with. I also know that you will buy a car within 3 days because the process is so stressful. Maybe you'll get a better "deal" but not likely. What you will get is a deal that enables you to get out of that stressful situation and the "sad" fact is that you will end up paying more for it. Naturally I would like to be the one who you buy the car from. Negotiation doesn't have to be adversarial or about one person sticking it to the other. If a customer comes in and wants to be a dick when negotiating then I can be a dick about it too. And yeah my ego will ensure that I win but the ONLY way that I can win is when you buy the car. If you take your time and are willing to negotiate in good faith then there is a good chance that you will get a better price. If you are in a hurry I'll still sell the car but will get more out of you (Give a lower discount) because you want to get out of what is a stressful situation for you. BWBW your disgust is based on your fear of being ripped off. A good negotiator will sense that and be able to defuse that emotion not because they like you or are being nice, but because by doing so you buy the car. The more stressful the negotiation, the more you will pay to get out of it. And when you get home you will brag to everyone about how great of a deal you negotiated. That's your ego at work.
@@counciousstream wow. I really triggered you! Fantastic…. So maybe out of several hundred thousand car sales people, you were the only one who was honest, for that, you have my deepest admiration and congratulations. However, a car purchase isn’t like anything else you can buy. It’s about the only place where you go to a multi-million dollar facility, get zeroed in by several sales people and the first one to make contact is the winner. Then you look at many vehicles with prices taped on a window. Then you test drive it. Then back at the dealer the sales rep starts in with the memorized sales pitch, and the potential buyer has to make sure he/she doesn’t say something that the salesman will latch on to. Then you sit at a desk, you on one side, the salesman on other and then the negotiations begin. Back and forth, and then you arrive at a price, the salesman gets up and says I have to run this by the sales manager. That’s mostly because the dealership doesn’t trust the lowly salesman to make a deal, someone else above the food chain does that. Then the lowly salesman comes back with a counter offer, and it goes on and on until you get a price the sales manager approves of. Now comes the Finance Manager, where the real money is made. Additional warranties, value added packages, credit insurance, dealer prep fees, delivery charges, port fees, advertising fees, disability insurance, theft etch protection, anti theft fees, scholarship fees, gap insurance, additional dealer markups, and the dreaded document fees. The Finance god tells you all this is required by law, which is baloney. Many car buyers fall for this because by that time they are worn down from 3-4 hours in the dealership. If you try to say no to these fees, the Finance god applies more pressure. The refrigerator comparison you made is an apples and oranges comparison. Every one I bought came with free delivery, hookup and haul off the old one. So that’s a bogus comparison, so is the house comparison. , but I digress. I have never asked for a veterans discount, but I have been offered one….once. I put forth what I’m willing to pay for the vehicle, what my research tells what my trade in is worth, and we go from there. I didn’t learn how to do this overnight, it took a lot a visits to dealerships to finally figure it out. I don’t try to haggle because I am aware that the dealership exists to make a profit. I am there to try and not let them make a bigger profit from me, now that I’ve learned what is going on. But in the past (I’m 74 now) I have had horrible experiences at dealerships to the point I feared going to one. Today it’s different, not the dealerships but my knowledge of the game. They change the rules constantly so we buyer must keep our continuing education up so we can get a reasonable deal. I don’t begrudge a dealership making a profit, I just don’t like the dishonesty many sales people and especially the Finance God pressure you with. And your insulting comment that I would go somewhere and gloat about the “ great deal I made from that dealership” is just nuts. I don’t gloat about the washing machine, refrigerator, house or other stuff bought. Since you havent a clue of who I am, or have met me, then that comment deserves to be placed in a garbage disposal. So,let’s dive into that. Say I want to buy the refrigerator you mentioned. I make an appointment at Lowe’s, and meet the appliance sales employee. I look at refrigerators and pick out the one best suited for our house. I tell the employee I want that one, so he/she writes up a price, including delivery fees, and other fees like dealerships do. Then he says I need to run this past my store manager. 10-15 minutes later the employee comes back with a paper with different numbers on it from what the employee and I had agreed on. And this goes on for three or four times. Finally I accept the price, then am sent to the cashier. She starts adding up additional fees, and costs above what the agreed upon price was. So I leave and the refrigerator gets delivered and I finally have the appliance, but the bad taste lingers on. All I want from dealership is to be treated fairly. I don’t want the secret add ons, and fees, and whatever else they can think of and then tell me it’s necessary to add those in. Why not just hand the list of possible fees, add ons and such to the customer, let them look at them and they decide what they want or don’t want without being pressures and lied to. The last car we bought, we financed a portion of the price, and I asked if we could pay it off in a month it so. She said, no, that’s against the law. You have to pay at least 6 months of payments before you pay it off. I called the loan company and they said that I could pay it off fully tomorrow, there’s no law or rule that says you have to make X amount of payments. Then I find out that by making up to 6 months payments, there’s funds that are returned to the dealer! Wow, does that sound like honesty to you? OK, I’m off the soap box, let me have it again! Woooo hoooooo!!!!!!!!😀
@@BW12149 thanks for your reply. The trigger has apparently gone both ways. Clearly the subject is one in which we both share great interest! There are more than two sides to the coin here so allow me to flip it again and see if that pushes a button. Then you can get another turn to do the same. I know the dealership that you describe. I was trained there. Very well trained. "The Catterson 29 point Sales Technique" it came with a training video and little flash cards to reference. It's been a while so I'm probably going to broad brush it here. The training consisted of classroom style training and role playing. We even taped the role play and it was critiqued by the "old salt" sales guy and reviewed by the owner of the dealership. That facial expression you just made? Don't do that any more. Don't touch your face, do this better, don't do that. They invested 3 days in training me. At the end I got a certificate and a little prism shaped thing from the car brand with my name engraved on it. This was for my desk. I was "certified". The Catterson technique definitely worked. If you followed it and didn't skip steps then you had a pretty good, maybe 8 out of 10 chance, that you would close the deal. This is why it feels like a journey to you the customer. The whole process started with sizing up the customer and finding out if they had money. It's called qualifying. Actually it was step zero because Catterson said not to qualify until step three or something. Nevertheless, if you didn't look like you had the money then you were either told to bring your husband back in to talk or were encouraged to look at the used car lot. Appearance had a lot to do with this. You can read between the lines here. Your description of the entire process is pretty much spot on. The behind the scenes part is worse than you probably know. Very adversarial and disrespectful. The F & I cesspool is the worst. The person with the least personal integrity is the F & I "manager". If I wanted to make sure that I never had a repeat customer I would leave them with the F & I guy. I've got to run. It's been fun.
Once went to a dealer and found the perfect Nissan Qashqai that I really wanted. I said “okay lets buy it” then he said “You have to take the service plan as well” it was about 8% of the car price. I told him I’ll pass then. Later in the day he phoned me and said it’s okay I don’t need to take the service plan. I just told him “you know it’s not about the service plan anymore at this stage, it’s about not doing business with you”. Still driving my ST and looking for some bigger car like the Qashqai 8 months later. Fortunately I have a good car and don’t need to do business with shady dealers
THANK YOU CarEdge! Just purchased a 2024 Honda Civic Ex-L Hatchback. Because of your channel, I felt comfortable with the process and felt like I had the upper hand the whole time. Honda dealers are overflowing with inventory and Honda Finance is offering very good rates until the end of February on new models. My sticker price (with add-ons and destination fee): $34425 My out the door price: $30400 EVERYTHING is negotiable and they're desperate to sell.
yeah - same ownership here - Toyota and Nissan both said their policy was for the business office to suggest the "right vehicle" as "they all cost the same - literally $20 to $40 difference in payment; but we need to know your credit to know how much car you deserve".
Just bought a 2024 Equinox in October. The list was 30679. With the GM discount was able to get it for 22679 plus tax before my trade out the door. They pulled the lower rate if I got the extended warranty and gap insurance. I already knew that the rate wasn’t tied to anything but I just said sure go ahead. They lowered the rate 3 points to 6.9, which is what my credit union was going to give me. One week later, I called the dealer to cancel the warranty and gap insurance because I knew they couldn’t raise the rate and in Texas at least you can cancel these items for any reason within the first 30 days. I probably would have made a bigger stink if I knew it was illegal, but this Equinox was the only one in a 100 mile radius that had the exact color and options I wanted. So the first payment made on the car was the $3700 from the dealer when they refunded the two items and I now only have 49 months on the loan vs 60.
We did the exact same thing, only here in indiana, we can cancel warranties any time. So it's east not to argue, take the rate, then get the refund.....people need to know!
I've been driving Mazda's since 1997 when I purchased my last 2 cars an offer of Mazda the Mazda Care was made, where the maintenance is pre-paid for three years. When I figured the cost on a pay as you go basis the Mazda Care package saved enough money to make the offer worthwhile. Plus, the package is valid at all dealers.
Also was paying cash not long ago at a Honda Dealership for a purchase for our daughters Accord. They wanted a credit application as well as my social security number. I said NOOO do you want to sell this car or not, you have 10 seconds to answer.
2 cents from a 67 year old. Unless you’re loaded with money, buying a new car is the worst investment you could ever make. The way new cars drop in value is ridiculous.
I bought a very used truck for 2K under bluebook from a small local dealership. I knew it needed tires and a front end alignment. I ended up getting the alignment free for buying the tires. I've had my truck almost four years. No more problems. I'm a senior citizen woman. I just had a feeling this guy was honest about what was wrong with it. Years later, there's an electrical issue. But every person I've talked to states that's it's an issue with my model.
It's funny how people change, when I was 18 and went to buy my first car on time i was 😊 as a clam. Over forty years later i went to buy a car 🤔 the discomfort level was somewhere between a bad divorce and heavy dental work with out anesthesia.
Incredible and straight forward information for those of us who want to do our due diligence and be ready for battle...that ' car buying is these days right...a battle to keep your money that dealers want to "steal"? Thank you Ray and Zach!
In addition to the reasons you suggested for Red Flag #1, that the dealership demands that credit application be filled out (better understanding how to sell the car to you), some manufacturers will provide more in terms of dealer "incentives" or kickbacks to the dealer for getting people to submit a credit application to their in-house financier. So, they're looking to maximize their payments from the manufacturer by checking as many of the boxes as they can.
Just bought a 2019 suburban from Mercedes in Knoxville. Three months later transmission is out and replaced. 6,300.00 later. Should have had someone else check it. They said their staff did some inspection blah blah but I paid for a transmission rebuild. After it’s said and done they said I should have bought the warranty or had someone else check it over. Funny thing is they never mentioned I have someone else look at it upon buying. They said they did a great inspection. Get it looked at by someone else.
When I was younger I was taken advantage of by a dealership on a used car. If I had gotten a pre-purchase inspection I would have known they sprayed brake cleaner on the worn brake pads so they worked during my test drive.
my mother once bought a corolla runabout for shopping, etc. After a couple of weeks the battery died & the dealership agreed to replace it. Only issue is that once they disconnected the old battery, the radio/CD player did an auto factory reset. First time the car was started, radio asked for security PIN. Dealership had no record & radio/CD not covered by warranty..
You can check the National Insurance Crime Bureau for free, look at the VIN for branded title information. But in general don’t trust any dealer who doesn’t provide this information upfront on paper. Because guaranteed THEY looked it up when they bought the car. Still, also, if a car is suspiciously low priced there’s a good reason. You likely didn’t find the deal of a century.
I was looking to buy a car so I went to a Toyota dealership. The guy told me that they could get me an attractive lease. I told him I didn't want to rent it I wanted to buy it. The sales person told me "oh no,no,no this is a lease not a rental " I asked him if at the end of the period do I have to bring it back, he said "yes" I said then it is a rental. He made a face, at which point I thanked him for his time, and left. I am of Hispanic heritage, I truly hate to be taken for a fool just because of that. It happens more often than I care to admit. This guy thought I didn't know the meaning of lease. I have had very good experience with CarMax I will never go to another manufacturer dealership again. By the way CarMax, and the like let you bring it back in a week, if you don't like it.
Wow these videos are great. I remember going to car dealerships and mechanics with my dad when I was younger and I learned a lot about things like this, even though I wasn't able to drive yet, or to even apply for a license. There are a lot of people now a days, especially women who are never taught these things because they have always had their fathers, brothers, boyfriends/husbands, or sons do this kind of stuff for them. So when they need to do it they are at a loss, because they don't have the skills to know where to start. I have also seen men in this industry and many others try to intimidate women, or over sell them things because they know that they don't know much about things of this nature and think that they can take advantage of them. Not all, but a lot of them. Going on my own personal experiences here, even when I went to buy a new VCR back in the day. Just wild. Thanks again for the videos these are good to know.
Just wanted to say that I legit just saved $23k today watching like 3 videos about leasing from this channel. Thank you 💪 no down payment, lower monthly payment and better buy rate because of the channel. Thank you
Red flag #3 happened to me. I put a scathing review online about what they did. Next time it happens I will walk away and see if filing a complaint to the FTC is doable.
I worked at a dealership. For the number one, it happen on specific vehicle, understand sports model. lots of joyrider. so we used is to test the seriousness. Credit was not run at all tho. it was a filter basically (but no consequences for you, as we didn't run it) on the second point, we never refused a customer an inspection. we even accommodate the customers and meet him at the third party of his choice with the car directly. last point never hear of any lower rate bundle of you get extended warranty or anything. in my dealership at least. treating customer with respect and be transparent in the whole transaction is key. but we always say about dealership, a lot can be said about customers that are really need math classes when it come to numbers. understand no down paiement or anything on a 45k car and paid 250 a month, 300 top.
Oh! The ford one got me, went to check out a fiesta stick, when I got there they said it was damaged on the truck and not sellable, so their website was incorrect. They showed me a fiesta ST, fun little car, but it was ‘so new’ there was no window sticker. They refused to tell me the price of the car, just talked monthly payment. I didn’t even go there wanting that, and they acted like they were doing me a favor, and I just left. Months and months later that ‘damaged’ fiesta was still on their site, just to get people in the door.
Back in 2005 when I bought a new truck, the big trick was for the salesman to walk with a fake limp so that you would feel sorry for him and buy the vehicle. I wasn't suspicious when a 50-year-old salesman at the Ford dealership walked like his one knee was bolted straight. But then when a 25 year old salesman at a Toyota dealership 15 miles away walked the exact same way, I knew the fix was in.
I had a salesman turn on the engine to a used Ford Explorer when I started to investigate a wet rusty spot in the engine bay. He got super defensive with me and said "I know my cars. If you don't trust me, you can just leave." I left. West Houston area Honda dealership
The last time I went to buy a new car, which was many years ago, I visited several dealerships, and told every one of them that I would be paying cash, but they wouldn't stop with the credit application bullshit. Not to mention the fact that they were trying to hustle me nine ways from Sunday, and I ended up buying a used car from a private party.
I’m glad my first car purchase was a Tesla. No BS, no dealing with a dealer, all the info was straight and to the point. $30k, 2.75% interest, and car was delivered to my home in a couple weeks. No strings attached. I wish more dealerships were like this :/
So did you buy before Musk decided to lower the prices on his science projects? Every dealership is like Tesla. All you need do is pay the asking price, immediately replicate the Tesla experience. Even better no need to wait weeks to get the vehicle.
@@jerrylundegaard2592 I bought it back in 2021 and the model 3 I bought was at an all time low for the retail price. So I don’t know if that was the time he did or not 🤷♀️
How do you plan a preinspection? Because most mechanics require an appointment and also charge a diagnostic fee to get everything looked over. So I guess you have to schedule ahead and have a mechanic ready for that day you want to buy a car?
I have bought many new cars over the years and it seems like there is ALWAYS a new trick the dealer tries in order to get more money from me. When I say to myself "I'll never fall for that again", thr next time it is something new. The most common scheme over the past few years has been, "CONGRATULATIONS! You're approved! Oh, I couldn't get you the interest rate we agreed on, but I got you this one which is almiost as good, and by the way, you have to use our lender, not the one you wanted to use." Just sign here!
"My pleasure, handsome." lmao did a spit take, you guys are great. I'm glad I found your channel. First time car buyer this year. I'm saving money now and studying!
If you're looking to buy a used vehicle from a dealership, ask to see it on a lift and for a service technician to walk you through the used vehicle inspection process as well as for a copy of the vehicle history on file. If they refuse at any point, walk away. If you're looking to buy a used vehicle from a private seller or used car lot..... ask to take it to a shop you trust for a pre-purchase inspection. You can even offer to meet them at whatever shop you trust. If they refuse, walk away. If you're looking to buy a new vehicle. Shop around. Never buy from the first dealership you visit, on the first visit, even if you've bought from them in the past. In all 3 cases, if you can't test drive the vehicle....walk away.
I remember when dealerships would advertise "push, pull or tow your car in and we will give you $5000 for it" I would get a price in a car saying i had no trade, then say "ok actually i will trade my car to save that $5000" and they would of course back out somehow or claim they can't take my car i drove there in a "push, pull or tow" sale... Car Dealers have always been extremely shady. Many will also ignore people if you come in with a beat up car and not dressed up, or send out the new guy. I made a couple new guys day because of that.
I went with my mother ever since I was 6 years old when she negotiated new car purchases until I was 14 and learned every trick they would try to pull particularly since she was a woman. Finally the dealership she dealt with flat out told her they would not sell her a car after buying one every four years for 24 years.
I had a friend who was buying a used care with a 42 point pre-sales check by the dealer. After looking, he found 2 light bulbs burned out. So, I guess it was really a 40 point inspection, at best.
I was going to buy a used subaru at a ford dealership, I wanted to have a PPI done on it and was told by the salesman "we've never had anybody who wanted to do this before, but let me talk to my manager and see what they say". A couple hours later he called me back and said "was there something wrong with the car or..? We aren't sure why you'd want to take it to a mechanic, but they'll allow it. When do you want to come in to do it?". This dealership is about 150 miles away from me, in a different state actually and with work and such plus I wanted to schedule a PPI- the garage I called told me I didn't need to schedule it, but call ahead and see if they can do it before I come as they'll likely be able to work me in. I picked a day and time but then ended up being in the area a day or so earlier than that, with time to do this. Called the garage and they said they would be able to work me in. So, I went to the dealership- that salesman was off that day. I ended up talking to another salesman and a manager to which they both said "absolutely not! What if the garage messes something up on the car or something??" But, "we could put it on the lift in our garage and let you look it over" to which I reminded them, I'm not a mechanic. They then said "oh, one of our mechanics can go over everything with you, no problem!" Yeah, like your mechanic, who is being paid to work here, is not a little biased? GTFO..
If you inspected it why are parts missing? Why are the brakes squealer making noise? Why are the brake lights out? Why is there only 2 quarts of oil in a 7 quart engine ?
I’ll be honest. I’m a bit of a sucker. I tend to take what people say at face value. So the idea of going into a dealership with very little knowledge and they just jargon me into compliance is a real risk. Videos like this help.
I had a dealer pull the 'need a credit app for a test drive' shit with me once. I gave them a completely fake (not even close to mine) SS# and after looking at the car in the lot by myself while waiting for them to get a plate and such (never did drive it) I decided I didn't even like it enough to drive it. I wasn't going to waste my time going back into the dealership, I left the key on the seat and left. A couple days later I got a letter saying what my credit score was and why the ran it and that I could go onto the site for a free credit report and such. It was my score or at least very close to it, and it showed on my credit that they did run it.. Now, "I'm paying cash" anytime I go to a dealership. When it comes time to talk numbers and such, this changes to "oh, maybe I will finance this or at least see what the terms would be".
Best thing you can do is know what the monthly payment ought to be at a typical APR. A crooked dealer will sell you all sorts of add-ones without telling you and roll them into the loan.
Here’s my question about the second red flag pertaining to a pre-purchase inspection. Not a lot of people have a trusty mechanic or reputable shop that can drop everything as soon as you arrive and go over your car like it needs. How do most people facilitate this?
I had a dealership wanting me to sign a paper stating that if they were giving me a good price I would buy the car in order to do a test drive. I laughed at the salesman and bought a car else were.
I used to work for three different Ford dealerships as a mechanic for almost 10years and salesman with managers will get mad at me because they wanted for me to green flag all the inspection sheet and I wouldn’t do it, They’re a bunch of thieves and liar.
We were negotiating a deal on a car and told them the change over price that we would accept. Which of course he scoffed at. So we walked away, knowing after doing research the change over was reasonable. 10:00 that night, we got a call asking if we had reconsidered. Again, we said we gave you our change over, and it's ok. There are more cars out there, to which he said, and there are more customers. My clever wife without taking a breath said, yes, but we are the only ones you have at the moment. We got the deal.
It's pretty hard to trust any new or used car salesperson, whether they're young and working or old and retired. If their lips are moving, they're lying.
Bought a CPO Pathfinder with cash. Brand new it would've listed for 55. 6K miles and had it at 51. They took off a little over 1300 came to 38500 after trade. Got the standard argument it being the only vehicle on the lot. when I asked for more. Wrote a check for 38. At first, they didn't want to take it. I'm like GMC is right across the street. Then it had an issue within 72 hours made an appointment. Kept it a week started to dick me around until I threatened to stop the check. Got the deal is done response. Uh, no. It's within 72 hours, checked hasn't cleared and title doesn't get released until then. Got real nice afterwards.
This reminds me too much of what I encountered from Go Auto. I now consider them to be a scam business. Everything they told me was a lie. The warranty wasn't worth the paper it was written on.
I always tell them it goes through a bank for the loan and I've refused to have the add on stuff. One of the local dealership got blown out of the water over their tactics. A few past employees started a group ranking the dealers. They received 2/5 stars and lost their collective shit and threatened to take them to court. All off the publicity nearly forced them to close
Instead of running a credit app, why not offer a soft pull? P.P.I. GREAT IDEA! Why wouldn't you? Before going to the dealer, get pre-approved at YOUR bank, then allow F&I to compete for your business. Cuts hours of negotiating out
Man I hate buying cars, need to buy a new 4Runner (been researching for months) in June after tax season and prices drop and already dreading having to negotiate for a couple hours just to get a fair deal on a brand new car that honestly has probably just been sitting on the lot for a couple months now.
I went to a place to look at a used car but I knew it was slightly overpriced. I told them if they can take $2500 off the price I will leave with it today. The "sales person" said the price is determined by another team and the price is firm. I said, who can make the decision to negotiate the price? Sale person's response was, you cannot talk to that team. I got up and left.
Last time i looked at a vehicles, the sales guy just needed a copy of my license and insurance to so a test drive, then just handed me the keys and said, take as long as you need. Nobody went with me. They were even up front and honest that the truck had problems and even dianosed a faulty part and was going to schedule a time to replace it, if i was going to buy it. Unfortunately i wasn't approved for a loan at the time. Lol
I also agree, several years between buying process, the difficulty of dealing with salesperson, I loathe! I’ve have been asked for my keys, is that correct?
I pay cash for al my cars. Not rich and I save the money and get something about 1-2 years old. I make the sales person get the sales manager and write what the price is on the bottom line for cash. If they refuse I walk out. Works perfect as they chase me every time and make the deal I want. Money talks, bullshit walks.
Oh, and one other thing - we haven’t purchased a pre-owned car for close to 50 yesrs - except for my husband’s 1975 Corvette we purchased in 1978! We still own it (well, he does😄😄)! I do understand why people want/need to buy pre- owned but I just don’t trust people/dealers - period!
I have been to dealers to purchase a vehicle and they would NOT speak to me until I let them run a credit check, the Dealer I ended up with said lets find you a car first, then we can talk about financing, great car, great rate, great term, 100% satisfied. Sorry, NO further information. It is amazing, some dealers don't want to talk with people that can write a check for negotiated final cost, could that be kickbacks from the banks?
I was told by a car salesman when I asked about the standard warranty "we have something better than a warranty - our good name " I don't know he kept a straight face, I burst out laughing
One time I bought an expensive two-year warranty on a two-year-old Toyota Sienna. "Bumper-to-bumper" peace of mind. Three months after ownership, the radio went out. Guess? I now say, "Our extended warranty is bumper to bumper except whatever goes wrong with your car."
had a dealership try that when buying a used vehicle and they wanted to sell me a window and dash coating oh we will get your interest rate down but payment went up by 30 a month
External inspection. They say they can't have the car leaving their car park, because they don't know if i'm gonna buy it, but someone else could have purchased it in the meantime, if the car were around. Personally i don't need to bring the car to an internal inspection as long as the car has a warranty. If so, then i buy the car and then bring it to the inspection. Should something appear to be in a bad condition, they will have to fix it on warranty.
Does anyone have information and advice for how to sell a motorcycle? I've seen lots of "don't do this" videos for selling or buying cars, but not many people have anything for motorcycles. For instance, if I wanted to sell a motorcycle, how do i respond to someone if they want to test ride my bike? I don't want to let them because it's still under my insurance and if they wreck it, i'm on the hook for the damages not to mention any medical that may occur from letting them ride it. Many have told me not to let them ride the bike until they buy it but a lot of people won't buy if they don't get to ride it. There has to be a win out there for both parties.
Back when I ran a sales team, I encouraged them to go car shopping to see exactly how NOT to treat customers. Worked well in developing a more empathetic and solutions-focused team.
If you need to finance a car, keep the financing away from the dealership. Go to your bank or credit union and get pre-approved for the car you want. The only condition your bank, credit union, or any other lender will understandably impose is the requirement that the borrower carry a specified level of physical damage insurance (collision and comprehensive) on the vehicle and name the lender as the loss payee.
Fortunately I have enough cash on hand I can walk into any Dealer and leave with the vehicle paying cash. And NO "Document Fees", those are a scam. They charge up to $600 for the dealer to go to the DMV and do all the paperwork for you, Title, Registration, License Plate and transfer Insurance (if you trade in your old vehicle).
I know Im gonna get crap for buying a tesla, but their sales process makes me dread going back to a dealership. I did everything online, scanned a QR code, signed the paperwork they left in the car, and I was done.
I save the money before I buy the car so I pay cash, no trade in and I do my own TTL at the DMV. I also never buy extended warranty and only buy Toyota.
Well, I did back in 2017! Plus, the color I wanted was very new and different and the dealer did’t have one on the lot for me to see in person! So they had one already purchased, called me to look at the color (it was important to me!). It was in the car wash almost ready for the customer - I liked it and went in and finished my purchase! I already had a previous CR-V so didn’t want or need a test drive! I also never go back to a dealer for anything - like oil changes, etc. They a,ways try the upsell, especially since I’m of an older generation😄😄. She just turned 100,000 miles and the only thing I’ve needed to purchase were tires! And yes, I have my oil changes at a place I trust - just not the dealer!
As a former car dealer I'm sure you're comfortable with haggling. Most people are not. Which is why people are avoiding dealerships. They could just as easily advertise the out the door price but they don't because they want to get you in a small room and upsell the crap out of their vehicles. What they don't realize is that their shooting themselves in the crotch. I don't even stop by dealerships any more.
I went to look at a new car as my lease was coming to an end, looked at an elantra hybrid 30,000 wanted me to pay 590$ a month i instantly said no. My current car was 23,000 for 200 a month. It just didn't make sense
They all got together decades ago and removed the ability to negotiate with these dealers... Every corporation has price fixed against us citizens, that that's not a free market... Sounds locked to me.
![[TH] FS vs BME - VCT Ascension Pacific - Lower Bracket Final](http://i.ytimg.com/vi/wnygqsR2Fig/mqdefault.jpg)
Customers are fed up with being scammed!
It's because as a customer you feel that you are being scammed. Cars are the only thing that people spend a ton of money on and want to brag about how little they paid for it. They will also tell everyone that they got a better deal than they actually did. This creates stress because it makes you feel like you were ripped off if you couldn't knock $4000 off of the price.
"Ask for Lieutenant Jacobs in Bunco. He'll be interested in in the way Moore does businees." -- Officer Malloy, talking to Moore's former secretary in the _Adam-12_ episode "Anniversary".
ha ha. Reminds of going to a BMW dealer and no one approached me! I didn't look like a customer, I wasn't "their type". I went next door and bought a Jaguar from a very nice black guy who didn't mind talking to me. I still remember his name and his willingness to see me as human beyond the scraggly appearance I had that day, from working 7 days a week. God bless you Vernon!
You might have been one of the few people in the world who actually went from BMW to jag.😁Purgatory to hell?
Well it’s BMW the worst of the three. Never had anything like that happen at a merc or Audi dealer 💀
Did all your hard earned money go to buy a fancy car ? Ha...ha......
@@linanicolia1363 "Fancy" isn't the descriptive I would have used, but you're being polite.
@@linanicolia1363 Having lived in a car for three years I found the luxury of that car to be a special blessing, like a private joke between God and me. But it was only the baby jag, less expensive than the BMW. Anyway, my portfolio is 1.75 times what it was a year ago. So all that hard work paid off, as does obedience to God Almighty. Have a good day. Thanks for the comment.
I love that you two have been in the industry so long that you don’t sugarcoat anything. I can imagine a salesman saying everything Zach is telling you.
I just walk out and go to another dealership if they don't agree to any of these. You are always in control of the situation
You mean you think you are ,dealers always win . Walking out a few shops means nothing
"Gotcha Motors" -- I laughed my ass off.
1) "I have in hand my check from my bank (or credit union) no need for a credit app! 2) "I have my mechanic with me, put it on the lift so he (or she) can check it out. If they give their stamp of approval, we can move forward" 3) "I may consider an extended warranty when the factory warranty gets close to expiring, not at this time, thank you!"
I call BS on 1 and 2. How could you have a "check in hand" when you don't have a final price yet? And no dealer or any car shop for that matter is going to let a non-employee in any service area. They will say it's an insurnace issue. lol, nice try.
@@GFSwinger1693as a car salesman, I’ve let people into the shop to see the car on the lift. Some people are skeptical because they got screwed over and some actually know what to look at. When you have a solid service dept and techs, it’s no prob showing customers the car on the lift
@@GFSwinger1693 Gee, it's called a "figure of speech". Maybe his bank is across the street, and he can simply walk across and get a certified check. Also, if a car is something like $30 k, he can probably come in with a check for a bit less than what he expects to pay , and pay the final different with a CC or a personal check
@GFSwinger1693 I talked to my banker about purchasing a truck over the weekend and he said just write them the check for whatever you buy and we will have a note to clear your check so it goes through and then come in on Monday to iron out the details. I already knew the interest rate they were gonna give me too
@@GFSwinger1693 Actually, not true at all. I used to be a used vehicle inspector for a local Toyota dealer. We never had an issue putting vehicles on a lift and allowing someone to look them over. As for allowing a customer to take a vehicle off the lot to another shop for a pre-purchase inspection, there are liability issues at play. Once another shop touches the vehicle, if the sale falls through, it should be re-inspected before being put back on the lot for sale to ensure that the other shop didn't tamper with it.
I've walked out on several dealerships in the past. The only unfortunate part is they've already wasted a couple hours of my time. I have started immediately telling them what i want and what I'll pay including a trade in if I intend to trade in. At that point I say if you can do that you have a deal. If you come back with add ons etc after "talking to your boss" I'm walking. You have a half hour to write it up and get approval.
I sold cars. Your approach is one based on fear and your desire to control the negotiation. You are an easy mark. I would always get more out of customers like you. Why? Because I wasn't selling the car I was selling you on the feeling that you got a great deal. Spending a lot of money is an emotional event. When you walked in the door and give me your demands I knew exactly what your emotional state was. Fear of losing out. I will bet that you bought the car at the first dealer you went to because the price you were given was "lower" than you expected. You walked out relieved and ready to brag to everyone about how tough of a negotiator you are.
Walk in with fear, walk out with relief. You weren't sold a car you were sold relief. An easy mark.
@@counciousstream really? I suppose you thought selling feelings and smirking about it was more important to your ego than being a true representative of the dealership. That’s just sad. You made your commission, you worked on someone’s emotion, and could brag to the other sales force how you snookered another unsuspecting customer.
@@BW12149 yes it is sad. Sad because you have assumed that I was dishonest and "ripping someone off". When I sold cars I never misled anyone, never misrepresented the product, never lied to anyone. Nobody was tricked into buying anything. I didn't have to. Either you wanted the car or not, either you could afford it or not. If you aren't sure you want the car then there is no point in negotiating a price.
Your apparent emotional response clearly shows how much of an emotional purchase a car is. You are convinced simply by reading my post that a car salesman will rip you off.
You admonish me for not being a true representative of the dealership. Representing the dealer? Are you kidding? The dealer wants to squeeze every penny they can out of the deal and every customer pays a different price. Why do you think that the salesperson always has to talk with the manager? The dealer wants you to buy extras whether you want or need them or not. I can't tell you how many customers I steered away from paint conditioner or undercoating, both completely BS and both highly profitable for the dealer. 90% of customers asked about it, 90% of those bought it. The Mr. give me your best price I'm outta here would pay more because "free" undercoat was part of the deal.
The "give me your best price I'm out of here" approach guarantees that you are going to pay (give) more than someone who is willing to take time to negotiate. The lowest price game is easy. Customers will almost always lie and say that they already have a price that is $1,000 or more less somewhere else. Most of the time I advised them to take that deal because I couldn't come close. That always surprised them. Many then wanted to find out how close I could come. That's called negotiation. Most of those customers bought a car from me that day and felt good about the deal.
A fair deal is one that the buyer and the seller accept. In the case of cars, houses, appliances, services, loans, airline tickets, hotels, and many other things a customer will pay a different price. What matters is that you feel the price is fair. Could you have done better? Maybe. Does it mean you were ripped off? No. Maybe you found a 10 percent off coupon on a new washing machine (because you took the time to look), maybe you negotiated the fees on a lease, maybe you paid the seller of a house more than they were asking for so that you could out-bid someone else. Customers rarely pay the same price.
For example, do you ask for a discount when you purchase a new refrigerator? Is this on sale next week? Is there a Veteran Discount? AAA discount? Can you include the water hook up? How about free delivery? All of these things mean that you and another customer will pay a different price.
If you walk into a dealer and are so afraid of being "ripped off" that you have one hand on the exit door the whole time then I know that you really want the car. I don't have to "sell" the features or explain why it is a good vehicle. All I have to do is get you a price that you are comfortable with. I also know that you will buy a car within 3 days because the process is so stressful. Maybe you'll get a better "deal" but not likely. What you will get is a deal that enables you to get out of that stressful situation and the "sad" fact is that you will end up paying more for it. Naturally I would like to be the one who you buy the car from.
Negotiation doesn't have to be adversarial or about one person sticking it to the other. If a customer comes in and wants to be a dick when negotiating then I can be a dick about it too. And yeah my ego will ensure that I win but the ONLY way that I can win is when you buy the car. If you take your time and are willing to negotiate in good faith then there is a good chance that you will get a better price. If you are in a hurry I'll still sell the car but will get more out of you (Give a lower discount) because you want to get out of what is a stressful situation for you. BWBW your disgust is based on your fear of being ripped off. A good negotiator will sense that and be able to defuse that emotion not because they like you or are being nice, but because by doing so you buy the car. The more stressful the negotiation, the more you will pay to get out of it.
And when you get home you will brag to everyone about how great of a deal you negotiated. That's your ego at work.
@@counciousstream wow. I really triggered you! Fantastic…. So maybe out of several hundred thousand car sales people, you were the only one who was honest, for that, you have my deepest admiration and congratulations.
However, a car purchase isn’t like anything else you can buy. It’s about the only place where you go to a multi-million dollar facility, get zeroed in by several sales people and the first one to make contact is the winner.
Then you look at many vehicles with prices taped on a window. Then you test drive it. Then back at the dealer the sales rep starts in with the memorized sales pitch, and the potential buyer has to make sure he/she doesn’t say something that the salesman will latch on to. Then you sit at a desk, you on one side, the salesman on other and then the negotiations begin. Back and forth, and then you arrive at a price, the salesman gets up and says I have to run this by the sales manager. That’s mostly because the dealership doesn’t trust the lowly salesman to make a deal, someone else above the food chain does that. Then the lowly salesman comes back with a counter offer, and it goes on and on until you get a price the sales manager approves of. Now comes the Finance Manager, where the real money is made. Additional warranties, value added packages, credit insurance, dealer prep fees, delivery charges, port fees, advertising fees, disability insurance, theft etch protection, anti theft fees, scholarship fees, gap insurance, additional dealer markups, and the dreaded document fees. The Finance god tells you all this is required by law, which is baloney. Many car buyers fall for this because by that time they are worn down from 3-4 hours in the dealership. If you try to say no to these fees, the Finance god applies more pressure.
The refrigerator comparison you made is an apples and oranges comparison. Every one I bought came with free delivery, hookup and haul off the old one. So that’s a bogus comparison, so is the house comparison.
, but I digress.
I have never asked for a veterans discount, but I have been offered one….once. I put forth what I’m willing to pay for the vehicle, what my research tells what my trade in is worth, and we go from there. I didn’t learn how to do this overnight, it took a lot a visits to dealerships to finally figure it out.
I don’t try to haggle because I am aware that the dealership exists to make a profit. I am there to try and not let them make a bigger profit from me, now that I’ve learned what is going on. But in the past (I’m 74 now) I have had horrible experiences at dealerships to the point I feared going to one. Today it’s different, not the dealerships but my knowledge of the game. They change the rules constantly so we buyer must keep our continuing education up so we can get a reasonable deal. I don’t begrudge a dealership making a profit, I just don’t like the dishonesty many sales people and especially the Finance God pressure you with.
And your insulting comment that I would go somewhere and gloat about the “ great deal I made from that dealership” is just nuts. I don’t gloat about the washing machine, refrigerator, house or other stuff bought. Since you havent a clue of who I am, or have met me, then that comment deserves to be placed in a garbage disposal.
So,let’s dive into that. Say I want to buy the refrigerator you mentioned. I make an appointment at Lowe’s, and meet the appliance sales employee. I look at refrigerators and pick out the one best suited for our house. I tell the employee I want that one, so he/she writes up a price, including delivery fees, and other fees like dealerships do. Then he says I need to run this past my store manager. 10-15 minutes later the employee comes back with a paper with different numbers on it from what the employee and I had agreed on. And this goes on for three or four times.
Finally I accept the price, then am sent to the cashier. She starts adding up additional fees, and costs above what the agreed upon price was. So I leave and the refrigerator gets delivered and I finally have the appliance, but the bad taste lingers on.
All I want from dealership is to be treated fairly. I don’t want the secret add ons, and fees, and whatever else they can think of and then tell me it’s necessary to add those in. Why not just hand the list of possible fees, add ons and such to the customer, let them look at them and they decide what they want or don’t want without being pressures and lied to. The last car we bought, we financed a portion of the price, and I asked if we could pay it off in a month it so. She said, no, that’s against the law. You have to pay at least 6 months of payments before you pay it off. I called the loan company and they said that I could pay it off fully tomorrow, there’s no law or rule that says you have to make X amount of payments. Then I find out that by making up to 6 months payments, there’s funds that are returned to the dealer! Wow, does that sound like honesty to you?
OK, I’m off the soap box, let me have it again! Woooo hoooooo!!!!!!!!😀
@@BW12149 thanks for your reply. The trigger has apparently gone both ways. Clearly the subject is one in which we both share great interest! There are more than two sides to the coin here so allow me to flip it again and see if that pushes a button. Then you can get another turn to do the same.
I know the dealership that you describe. I was trained there. Very well trained. "The Catterson 29 point Sales Technique" it came with a training video and little flash cards to reference. It's been a while so I'm probably going to broad brush it here. The training consisted of classroom style training and role playing. We even taped the role play and it was critiqued by the "old salt" sales guy and reviewed by the owner of the dealership. That facial expression you just made? Don't do that any more. Don't touch your face, do this better, don't do that. They invested 3 days in training me. At the end I got a certificate and a little prism shaped thing from the car brand with my name engraved on it. This was for my desk. I was "certified".
The Catterson technique definitely worked. If you followed it and didn't skip steps then you had a pretty good, maybe 8 out of 10 chance, that you would close the deal. This is why it feels like a journey to you the customer. The whole process started with sizing up the customer and finding out if they had money. It's called qualifying. Actually it was step zero because Catterson said not to qualify until step three or something. Nevertheless, if you didn't look like you had the money then you were either told to bring your husband back in to talk or were encouraged to look at the used car lot. Appearance had a lot to do with this. You can read between the lines here.
Your description of the entire process is pretty much spot on. The behind the scenes part is worse than you probably know. Very adversarial and disrespectful. The F & I cesspool is the worst. The person with the least personal integrity is the F & I "manager". If I wanted to make sure that I never had a repeat customer I would leave them with the F & I guy.
I've got to run. It's been fun.
Once went to a dealer and found the perfect Nissan Qashqai that I really wanted. I said “okay lets buy it” then he said “You have to take the service plan as well” it was about 8% of the car price.
I told him I’ll pass then. Later in the day he phoned me and said it’s okay I don’t need to take the service plan. I just told him “you know it’s not about the service plan anymore at this stage, it’s about not doing business with you”.
Still driving my ST and looking for some bigger car like the Qashqai 8 months later. Fortunately I have a good car and don’t need to do business with shady dealers
THANK YOU CarEdge! Just purchased a 2024 Honda Civic Ex-L Hatchback. Because of your channel, I felt comfortable with the process and felt like I had the upper hand the whole time. Honda dealers are overflowing with inventory and Honda Finance is offering very good rates until the end of February on new models.
My sticker price (with add-ons and destination fee): $34425
My out the door price: $30400
EVERYTHING is negotiable and they're desperate to sell.
I'd never pay 30 grand for a Honda Civic. That's insane, good luck making those car payments and full coverage insurance payments!! Yikes
@@Jack-oj2ci then buy the base model or enjoy double the interest rate on a used car.
Civic hatchback for 30k!?! I am waiting. Used car prices too high. That is a 20k car max, new. We need 2017 market back
yeah - same ownership here - Toyota and Nissan both said their policy was for the business office to suggest the "right vehicle" as "they all cost the same - literally $20 to $40 difference in payment; but we need to know your credit to know how much car you deserve".
They could have made this video a lot simpler: If a car dealer lies, leave immediately.
Yes but then you would leave as soon as their lips move :) :) :)
The thing is you need to have quick ways to detect lies.
And you can tell a car dealer is lying because he's talking.
Just bought a 2024 Equinox in October. The list was 30679. With the GM discount was able to get it for 22679 plus tax before my trade out the door. They pulled the lower rate if I got the extended warranty and gap insurance. I already knew that the rate wasn’t tied to anything but I just said sure go ahead. They lowered the rate 3 points to 6.9, which is what my credit union was going to give me. One week later, I called the dealer to cancel the warranty and gap insurance because I knew they couldn’t raise the rate and in Texas at least you can cancel these items for any reason within the first 30 days. I probably would have made a bigger stink if I knew it was illegal, but this Equinox was the only one in a 100 mile radius that had the exact color and options I wanted. So the first payment made on the car was the $3700 from the dealer when they refunded the two items and I now only have 49 months on the loan vs 60.
Well done sir
We did the exact same thing, only here in indiana, we can cancel warranties any time. So it's east not to argue, take the rate, then get the refund.....people need to know!
I just stumbled across this, and it's incredible. Thank you so much for this information!
I've been driving Mazda's since 1997 when I purchased my last 2 cars an offer of Mazda the Mazda Care was made, where the maintenance is pre-paid for three years. When I figured the cost on a pay as you go basis the Mazda Care package saved enough money to make the offer worthwhile. Plus, the package is valid at all dealers.
Also was paying cash not long ago at a Honda Dealership for a purchase for our daughters Accord. They wanted a credit application as well as my social security number. I said NOOO do you want to sell this car or not, you have 10 seconds to answer.
2 cents from a 67 year old. Unless you’re loaded with money, buying a new car is the worst investment you could ever make. The way new cars drop in value is ridiculous.
Thank you. While I see no new or used car purchases from a dealer in my future, If I ever do, I will remember these.
I bought a very used truck for 2K under bluebook from a small local dealership. I knew it needed tires and a front end alignment. I ended up getting the alignment free for buying the tires. I've had my truck almost four years. No more problems. I'm a senior citizen woman. I just had a feeling this guy was honest about what was wrong with it.
Years later, there's an electrical issue. But every person I've talked to states that's it's an issue with my model.
It's funny how people change, when I was 18 and went to buy my first car on time i was 😊 as a clam. Over forty years later i went to buy a car 🤔 the discomfort level was somewhere between a bad divorce and heavy dental work with out anesthesia.
Incredible and straight forward information for those of us who want to do our due diligence and be ready for battle...that ' car buying is these days right...a battle to keep your money that dealers want to "steal"? Thank you Ray and Zach!
In addition to the reasons you suggested for Red Flag #1, that the dealership demands that credit application be filled out (better understanding how to sell the car to you), some manufacturers will provide more in terms of dealer "incentives" or kickbacks to the dealer for getting people to submit a credit application to their in-house financier. So, they're looking to maximize their payments from the manufacturer by checking as many of the boxes as they can.
Just bought a 2019 suburban from Mercedes in Knoxville. Three months later transmission is out and replaced. 6,300.00 later. Should have had someone else check it. They said their staff did some inspection blah blah but I paid for a transmission rebuild. After it’s said and done they said I should have bought the warranty or had someone else check it over. Funny thing is they never mentioned I have someone else look at it upon buying. They said they did a great inspection. Get it looked at by someone else.
When I was younger I was taken advantage of by a dealership on a used car. If I had gotten a pre-purchase inspection I would have known they sprayed brake cleaner on the worn brake pads so they worked during my test drive.
my mother once bought a corolla runabout for shopping, etc. After a couple of weeks the battery died & the dealership agreed to replace it. Only issue is that once they disconnected the old battery, the radio/CD player did an auto factory reset. First time the car was started, radio asked for security PIN. Dealership had no record & radio/CD not covered by warranty..
Please talk about Branded title Dealerships! I feel like this is an issue cause my car is and never knew about it…. Now I’m stuck paying it
You can check the National Insurance Crime Bureau for free, look at the VIN for branded title information. But in general don’t trust any dealer who doesn’t provide this information upfront on paper. Because guaranteed THEY looked it up when they bought the car.
Still, also, if a car is suspiciously low priced there’s a good reason. You likely didn’t find the deal of a century.
I was looking to buy a car so I went to a Toyota dealership. The guy told me that they could get me an attractive lease. I told him I didn't want to rent it I wanted to buy it. The sales person told me "oh no,no,no this is a lease not a rental " I asked him if at the end of the period do I have to bring it back, he said "yes" I said then it is a rental. He made a face, at which point I thanked him for his time, and left.
I am of Hispanic heritage, I truly hate to be taken for a fool just because of that. It happens more often than I care to admit. This guy thought I didn't know the meaning of lease.
I have had very good experience with CarMax I will never go to another manufacturer dealership again. By the way CarMax, and the like let you bring it back in a week, if you don't like it.
Wow these videos are great. I remember going to car dealerships and mechanics with my dad when I was younger and I learned a lot about things like this, even though I wasn't able to drive yet, or to even apply for a license. There are a lot of people now a days, especially women who are never taught these things because they have always had their fathers, brothers, boyfriends/husbands, or sons do this kind of stuff for them. So when they need to do it they are at a loss, because they don't have the skills to know where to start. I have also seen men in this industry and many others try to intimidate women, or over sell them things because they know that they don't know much about things of this nature and think that they can take advantage of them. Not all, but a lot of them. Going on my own personal experiences here, even when I went to buy a new VCR back in the day. Just wild. Thanks again for the videos these are good to know.
Just wanted to say that I legit just saved $23k today watching like 3 videos about leasing from this channel. Thank you 💪 no down payment, lower monthly payment and better buy rate because of the channel. Thank you
Got a Mercedes GLE AMG 53 Coupe 48 month lease
Red flag #3 happened to me. I put a scathing review online about what they did. Next time it happens I will walk away and see if filing a complaint to the FTC is doable.
I worked at a dealership.
For the number one, it happen on specific vehicle, understand sports model. lots of joyrider. so we used is to test the seriousness. Credit was not run at all tho. it was a filter basically (but no consequences for you, as we didn't run it)
on the second point, we never refused a customer an inspection. we even accommodate the customers and meet him at the third party of his choice with the car directly.
last point never hear of any lower rate bundle of you get extended warranty or anything. in my dealership at least.
treating customer with respect and be transparent in the whole transaction is key.
but we always say about dealership, a lot can be said about customers that are really need math classes when it come to numbers. understand no down paiement or anything on a 45k car and paid 250 a month, 300 top.
Oh! The ford one got me, went to check out a fiesta stick, when I got there they said it was damaged on the truck and not sellable, so their website was incorrect. They showed me a fiesta ST, fun little car, but it was ‘so new’ there was no window sticker. They refused to tell me the price of the car, just talked monthly payment. I didn’t even go there wanting that, and they acted like they were doing me a favor, and I just left. Months and months later that ‘damaged’ fiesta was still on their site, just to get people in the door.
Back in 2005 when I bought a new truck, the big trick was for the salesman to walk with a fake limp so that you would feel sorry for him and buy the vehicle. I wasn't suspicious when a 50-year-old salesman at the Ford dealership walked like his one knee was bolted straight. But then when a 25 year old salesman at a Toyota dealership 15 miles away walked the exact same way, I knew the fix was in.
I had a salesman turn on the engine to a used Ford Explorer when I started to investigate a wet rusty spot in the engine bay. He got super defensive with me and said "I know my cars. If you don't trust me, you can just leave." I left. West Houston area Honda dealership
The last time I went to buy a new car, which was many years ago, I visited several dealerships, and told every one of them that I would be paying cash, but they wouldn't stop with the credit application bullshit. Not to mention the fact that they were trying to hustle me nine ways from Sunday, and I ended up buying a used car from a private party.
I’m glad my first car purchase was a Tesla. No BS, no dealing with a dealer, all the info was straight and to the point.
$30k, 2.75% interest, and car was delivered to my home in a couple weeks. No strings attached. I wish more dealerships were like this :/
Yeah, I know Tesla is not for everyone, but I don't want to buy a car from a dealer ever again. Next best is CarsDirect.
So did you buy before Musk decided to lower the prices on his science projects?
Every dealership is like Tesla. All you need do is pay the asking price, immediately replicate the Tesla experience. Even better no need to wait weeks to get the vehicle.
@@jerrylundegaard2592 I bought it back in 2021 and the model 3 I bought was at an all time low for the retail price. So I don’t know if that was the time he did or not 🤷♀️
How do you plan a preinspection? Because most mechanics require an appointment and also charge a diagnostic fee to get everything looked over. So I guess you have to schedule ahead and have a mechanic ready for that day you want to buy a car?
A pre-inspection years ago shielded me from buying a junk heap.
I have bought many new cars over the years and it seems like there is ALWAYS a new trick the dealer tries in order to get more money from me. When I say to myself "I'll never fall for that again", thr next time it is something new. The most common scheme over the past few years has been, "CONGRATULATIONS! You're approved! Oh, I couldn't get you the interest rate we agreed on, but I got you this one which is almiost as good, and by the way, you have to use our lender, not the one you wanted to use." Just sign here!
"My pleasure, handsome." lmao did a spit take, you guys are great. I'm glad I found your channel. First time car buyer this year. I'm saving money now and studying!
If you're looking to buy a used vehicle from a dealership, ask to see it on a lift and for a service technician to walk you through the used vehicle inspection process as well as for a copy of the vehicle history on file. If they refuse at any point, walk away.
If you're looking to buy a used vehicle from a private seller or used car lot..... ask to take it to a shop you trust for a pre-purchase inspection. You can even offer to meet them at whatever shop you trust. If they refuse, walk away.
If you're looking to buy a new vehicle. Shop around. Never buy from the first dealership you visit, on the first visit, even if you've bought from them in the past.
In all 3 cases, if you can't test drive the vehicle....walk away.
I remember when dealerships would advertise "push, pull or tow your car in and we will give you $5000 for it" I would get a price in a car saying i had no trade, then say "ok actually i will trade my car to save that $5000" and they would of course back out somehow or claim they can't take my car i drove there in a "push, pull or tow" sale... Car Dealers have always been extremely shady. Many will also ignore people if you come in with a beat up car and not dressed up, or send out the new guy. I made a couple new guys day because of that.
Excellent advice. "GOTCHA MOTORS" HAHAHAHAHAHA
Love it........
I went with my mother ever since I was 6 years old when she negotiated new car purchases until I was 14 and learned every trick they would try to pull particularly since she was a woman. Finally the dealership she dealt with flat out told her they would not sell her a car after buying one every four years for 24 years.
My favorite movie of all time is the movie "Used Cars" love that movie.
I had a friend who was buying a used care with a 42 point pre-sales check by the dealer. After looking, he found 2 light bulbs burned out. So, I guess it was really a 40 point inspection, at best.
I was going to buy a used subaru at a ford dealership, I wanted to have a PPI done on it and was told by the salesman "we've never had anybody who wanted to do this before, but let me talk to my manager and see what they say". A couple hours later he called me back and said "was there something wrong with the car or..? We aren't sure why you'd want to take it to a mechanic, but they'll allow it. When do you want to come in to do it?". This dealership is about 150 miles away from me, in a different state actually and with work and such plus I wanted to schedule a PPI- the garage I called told me I didn't need to schedule it, but call ahead and see if they can do it before I come as they'll likely be able to work me in. I picked a day and time but then ended up being in the area a day or so earlier than that, with time to do this. Called the garage and they said they would be able to work me in. So, I went to the dealership- that salesman was off that day. I ended up talking to another salesman and a manager to which they both said "absolutely not! What if the garage messes something up on the car or something??" But, "we could put it on the lift in our garage and let you look it over" to which I reminded them, I'm not a mechanic. They then said "oh, one of our mechanics can go over everything with you, no problem!" Yeah, like your mechanic, who is being paid to work here, is not a little biased? GTFO..
Wait till you find a former owners credit card under the drivers seat. I sent it back to the card company, not the dealership.
If you inspected it why are parts missing? Why are the brakes squealer making noise? Why are the brake lights out? Why is there only 2 quarts of oil in a 7 quart engine ?
I’ll be honest. I’m a bit of a sucker. I tend to take what people say at face value. So the idea of going into a dealership with very little knowledge and they just jargon me into compliance is a real risk. Videos like this help.
I had a dealer pull the 'need a credit app for a test drive' shit with me once. I gave them a completely fake (not even close to mine) SS# and after looking at the car in the lot by myself while waiting for them to get a plate and such (never did drive it) I decided I didn't even like it enough to drive it. I wasn't going to waste my time going back into the dealership, I left the key on the seat and left. A couple days later I got a letter saying what my credit score was and why the ran it and that I could go onto the site for a free credit report and such. It was my score or at least very close to it, and it showed on my credit that they did run it.. Now, "I'm paying cash" anytime I go to a dealership. When it comes time to talk numbers and such, this changes to "oh, maybe I will finance this or at least see what the terms would be".
Best thing you can do is know what the monthly payment ought to be at a typical APR. A crooked dealer will sell you all sorts of add-ones without telling you and roll them into the loan.
Here’s my question about the second red flag pertaining to a pre-purchase inspection. Not a lot of people have a trusty mechanic or reputable shop that can drop everything as soon as you arrive and go over your car like it needs. How do most people facilitate this?
I had a dealership wanting me to sign a paper stating that if they were giving me a good price I would buy the car in order to do a test drive. I laughed at the salesman and bought a car else were.
I used to work for three different Ford dealerships as a mechanic for almost 10years and salesman with managers will get mad at me because they wanted for me to green flag all the inspection sheet and I wouldn’t do it, They’re a bunch of thieves and liar.
We were negotiating a deal on a car and told them the change over price that we would accept. Which of course he scoffed at. So we walked away, knowing after doing research the change over was reasonable. 10:00 that night, we got a call asking if we had reconsidered. Again, we said we gave you our change over, and it's ok. There are more cars out there, to which he said, and there are more customers. My clever wife without taking a breath said, yes, but we are the only ones you have at the moment. We got the deal.
It's pretty hard to trust any new or used car salesperson, whether they're young and working or old and retired. If their lips are moving, they're lying.
And plenty of "Buyers are Liar's" also
Must be retired politicians 😅
Never had these red flags before. I've been fortunate enough to have good salesman every time.
Bought a CPO Pathfinder with cash. Brand new it would've listed for 55. 6K miles and had it at 51. They took off a little over 1300 came to 38500 after trade. Got the standard argument it being the only vehicle on the lot. when I asked for more. Wrote a check for 38. At first, they didn't want to take it. I'm like GMC is right across the street. Then it had an issue within 72 hours made an appointment. Kept it a week started to dick me around until I threatened to stop the check. Got the deal is done response. Uh, no. It's within 72 hours, checked hasn't cleared and title doesn't get released until then. Got real nice afterwards.
This reminds me too much of what I encountered from Go Auto. I now consider them to be a scam business. Everything they told me was a lie. The warranty wasn't worth the paper it was written on.
I always tell them it goes through a bank for the loan and I've refused to have the add on stuff. One of the local dealership got blown out of the water over their tactics. A few past employees started a group ranking the dealers. They received 2/5 stars and lost their collective shit and threatened to take them to court. All off the publicity nearly forced them to close
Instead of running a credit app, why not offer a soft pull? P.P.I. GREAT IDEA! Why wouldn't you? Before going to the dealer, get pre-approved at YOUR bank, then allow F&I to compete for your business. Cuts hours of negotiating out
Man I hate buying cars, need to buy a new 4Runner (been researching for months) in June after tax season and prices drop and already dreading having to negotiate for a couple hours just to get a fair deal on a brand new car that honestly has probably just been sitting on the lot for a couple months now.
A PPI today, is generally useless today, more important to ask for the Carfax-at their expense.
Also, come in with your own approve loan.
This is why we go to you and your supporting salespeople. You’re “decent” businessmen
Went to buy a 2019 gt86 yesterday for the advertised price of 25k. After financing price jumped to 38k with shit add ons.
Red flag #4: "If you wait to come back tomorrow, the price goes back up". A dealer once said that to my father, and he never went back.
I went to a place to look at a used car but I knew it was slightly overpriced. I told them if they can take $2500 off the price I will leave with it today. The "sales person" said the price is determined by another team and the price is firm. I said, who can make the decision to negotiate the price? Sale person's response was, you cannot talk to that team. I got up and left.
Last time i looked at a vehicles, the sales guy just needed a copy of my license and insurance to so a test drive, then just handed me the keys and said, take as long as you need. Nobody went with me. They were even up front and honest that the truck had problems and even dianosed a faulty part and was going to schedule a time to replace it, if i was going to buy it. Unfortunately i wasn't approved for a loan at the time. Lol
I did fell for that interest rate scam on my first purchase.... never again....
I also agree, several years between buying process, the difficulty of dealing with salesperson, I loathe!
I’ve have been asked for my keys, is that correct?
Let Yelp be your friend. Do research online and find a dealer that has good ratings and reviews.
I pay cash for al my cars. Not rich and I save the money and get something about 1-2 years old. I make the sales person get the sales manager and write what the price is on the bottom line for cash. If they refuse I walk out. Works perfect as they chase me every time and make the deal I want. Money talks, bullshit walks.
Oh, and one other thing - we haven’t purchased a pre-owned car for close to 50 yesrs - except for my husband’s 1975 Corvette we purchased in 1978! We still own it (well, he does😄😄)! I do understand why people want/need to buy pre- owned but I just don’t trust people/dealers - period!
Gotcha Motors - Would be Red Flag Number 4.
I have been to dealers to purchase a vehicle and they would NOT speak to me until I let them run a credit check, the Dealer I ended up with said lets find you a car first, then we can talk about financing, great car, great rate, great term, 100% satisfied. Sorry, NO further information. It is amazing, some dealers don't want to talk with people that can write a check for negotiated final cost, could that be kickbacks from the banks?
I was told by a car salesman when I asked about the standard warranty "we have something better than a warranty - our good name "
I don't know he kept a straight face, I burst out laughing
One time I bought an expensive two-year warranty on a two-year-old Toyota Sienna. "Bumper-to-bumper" peace of mind. Three months after ownership, the radio went out. Guess? I now say, "Our extended warranty is bumper to bumper except whatever goes wrong with your car."
There is no such thing as a bumper to bumper warranty. All, even the warranty which comes with the purchase of a new car, have exclusions.
Well, thank you. However, I think you missed the nuance of sarcasm.@@jerrylundegaard2592
had a dealership try that when buying a used vehicle and they wanted to sell me a window and dash coating oh we will get your interest rate down but payment went up by 30 a month
I go in with the blue book, my check from my bank, and a private car fax report
Interesting. When I went to test drive a Supra, no credit application was required.I guess it depends on the dealer.
External inspection. They say they can't have the car leaving their car park, because they don't know if i'm gonna buy it, but someone else could have purchased it in the meantime, if the car were around. Personally i don't need to bring the car to an internal inspection as long as the car has a warranty. If so, then i buy the car and then bring it to the inspection. Should something appear to be in a bad condition, they will have to fix it on warranty.
Does anyone have information and advice for how to sell a motorcycle? I've seen lots of "don't do this" videos for selling or buying cars, but not many people have anything for motorcycles. For instance, if I wanted to sell a motorcycle, how do i respond to someone if they want to test ride my bike? I don't want to let them because it's still under my insurance and if they wreck it, i'm on the hook for the damages not to mention any medical that may occur from letting them ride it. Many have told me not to let them ride the bike until they buy it but a lot of people won't buy if they don't get to ride it. There has to be a win out there for both parties.
Back when I ran a sales team, I encouraged them to go car shopping to see exactly how NOT to treat customers. Worked well in developing a more empathetic and solutions-focused team.
The only time that credit should come up is after you've decided to purchase and you aren't writing them a check for the full amount.
I had a dealer try to sell me a 75,000 mile warranty. I was like if this car is only gonna last 75,000 miles why would I be buying it?
If you need to finance a car, keep the financing away from the dealership. Go to your bank or credit union and get pre-approved for the car you want. The only condition your bank, credit union, or any other lender will understandably impose is the requirement that the borrower carry a specified level of physical damage insurance (collision and comprehensive) on the vehicle and name the lender as the loss payee.
Fortunately I have enough cash on hand I can walk into any Dealer and leave with the vehicle paying cash. And NO "Document Fees", those are a scam. They charge up to $600 for the dealer to go to the DMV and do all the paperwork for you, Title, Registration, License Plate and transfer Insurance (if you trade in your old vehicle).
I know Im gonna get crap for buying a tesla, but their sales process makes me dread going back to a dealership. I did everything online, scanned a QR code, signed the paperwork they left in the car, and I was done.
I save the money before I buy the car so I pay cash, no trade in and I do my own TTL at the DMV. I also never buy extended warranty and only buy Toyota.
How do you go about that pre-purchase third party inspection ? Drive the car, you want to buy, to your mechanic ?
How can you haggle while paying cash? Is it worth doing a loan and just paying it off after the first payment?
Well, I did back in 2017! Plus, the color I wanted was very new and different and the dealer did’t have one on the lot for me to see in person! So they had one already purchased, called me to look at the color (it was important to me!). It was in the car wash almost ready for the customer - I liked it and went in and finished my purchase! I already had a previous CR-V so didn’t want or need a test drive! I also never go back to a dealer for anything - like oil changes, etc. They a,ways try the upsell, especially since I’m of an older generation😄😄. She just turned 100,000 miles and the only thing I’ve needed to purchase were tires! And yes, I have my oil changes at a place I trust - just not the dealer!
😮 i didn't know a pre-purchase inspection was possible.
As a former car dealer I'm sure you're comfortable with haggling. Most people are not. Which is why people are avoiding dealerships. They could just as easily advertise the out the door price but they don't because they want to get you in a small room and upsell the crap out of their vehicles. What they don't realize is that their shooting themselves in the crotch. I don't even stop by dealerships any more.
So many dealership ;like that in monmouth New Jersey!
Great info guys. I really appreciate your advice and guidance. Great channel.
I went to look at a new car as my lease was coming to an end, looked at an elantra hybrid 30,000 wanted me to pay 590$ a month i instantly said no. My current car was 23,000 for 200 a month. It just didn't make sense
Who is responsible for recalls on a car. Is the buyer after purchase or the car dealer before purchase?
They all got together decades ago and removed the ability to negotiate with these dealers... Every corporation has price fixed against us citizens, that that's not a free market... Sounds locked to me.
Gotcha Automotive! That’s a hoot. I’m fortunate to have a 3rd party mechanic any time I look at a car…me.
thanks guys. Very informative and fun as well.
Can we hire you guys to come to dealerships with us to buy cars? lol that would be a good side business for you guys