Why are car dealers shady?

boostedbeast

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I worked at chevy, mitsu, and honda as a mechanic(technician if ur fancy) before i opened my own shop. Crazy thing is dealers dont make much on new car sales. The service dept and used car dept is what keeps the dealerships afloat.
 

Dom

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So I've been looking for a new car and finally found something that had almost everything I was looking for in the correct interior and exterior colors. I worked out a price with the dealer and was ready to drive almost 300 miles to get the car. I had them send a buyers order with everything totaled up so I could get the check from my bank and i see this.
Screenshot_20191014-212826_Gallery.jpg

Almost $1400 worth of junk I don't need or want in addition to the almost $1500 of doc fees and other silly dealer fees. The salesman claims they put these on every car they sell and refuses to remove them. I told them to keep the car. I guess they figured they weren't making enough off of the price of the car and weren't going to make anything on financing or a trade so they had to drain some extra money out of me one way or another. Do people really let dealers pull stuff like this with them?

I'm going through the same thing right now. I told the dealership that I was only paying for the things I wanted. Anything I didn't want, they take off/out or they give it to me for free.

I got LoJack, which is a GPS tracking system if the car is stolen, Vin Etching (which is the vin number engraved into all of the glass) and door edge guards at no charge.

Then I discovered that they were charging me MSRP for the vehicle. I took back my deposit and walked away.
 

albano

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I worked at chevy, mitsu, and honda as a mechanic(technician if ur fancy) before i opened my own shop. Crazy thing is dealers dont make much on new car sales. The service dept and used car dept is what keeps the dealerships afloat.
Finally... someone that knows the business!

A ‘good’ dealership has a service dept. that covers ‘fixed expenses/overhead’... every car sold is pure profit. (of course there is commissions and expenses to pay)

Many dealers only became a franchised dealer to be able to get more used cars.... today they want you to lease so that they will have more late model used cars available.
 

Crabs McJones

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You in the car business? Do you deal in new cars? What brand?
I work for a GM dealership, but i'm not a salesperson, i'm in the parts department.
 

GJak

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Most people don't realize as the buyer they have all the leverage. Do your own research, figure out what you should be paying for the car you want and tell them to forget it if its a penny more. That van or car you want was made by the thousands and you can easily find one someplace else.

I always lease a new hyundai every 3 years. Walked into the dealership a few months ago, they told me 2.5k down, 310 a month for my new Sonata. I ended up putting nothing down and am paying $200 a month for the car. $110 less a month then the price they gave me when i walked in. It's all a scam. The negotiation should never be more than 10 minutes long.

Give me your best price and i'll take it to 2 other dealerships and if they beat it at all, I won't be back. End it there and give them no room to haggle. If they think there is any chance another dealership will beat that price, they tend to stop the nonsense when they know you're just going to walk away. If they try any salesman garbage after that just repeat over and over "give me your best price and I'll see who beats it".
 
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Rcpilot

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Why anybody buys a new car is beyond me. People are worried about doc fees but the real hit is the 10k the car depreciates when u sign paperwork and it becomes used. Smart to buy a car thats a few yrs old with 20k mi.
We buy new cars because we don't know how the used car was treated.

I want to know how the vehicle was maintained. I want to know if it hit a curb. I want to know if the windows were left down during a rain storm...

You don't get any of that with a used car. When I spend tens of thousands of dollars on a depreciating asset..... I want it new so I know how it was treated for every mile on the odometer.
 

Rcpilot

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Off topic, but same thing with guns and fish tanks. I buy new pumps. New skimmers. New lights.

I don't know how many times that used LED light has taken a drink. I don't know if someone cleaned that rifle after they shot it... every time. I don't know how old that return pump REALLY is.

For the cost savings in buying used... it's not worth the risk.
 

Silver14SS

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Why anybody buys a new car is beyond me. People are worried about doc fees but the real hit is the 10k the car depreciates when u sign paperwork and it becomes used. Smart to buy a car thats a few yrs old with 20k mi.

It's a luxury that's worth it to some. If all my decisions were based on what makes the most financial sense, I wouldn't be in this hobby :p
 

Crabs McJones

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I'm shopping for a 2020 Toyota 4Runner Pro.

MSRP is $49k. And the local dealership has an "market adjustment" of $7500.00 for a total of $56,500.

Pigs.
Absolutely not, i'd start looking not local. Thats ridiculous.
 

saltwaterpicaso

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I also own a dealership and I can tell you right now profit margins are low most of the money is in parts and service. new car profit is the worst and most all vehicles sell for under invoice. even preowned margins have dropped since the introduction of cargurus, i can tell you this if you don't like the price go find what your looking for. most people don't flinch when they go to the grocery store or to dinner or when purchasing new appliances where the markup is 50 to 80 percent yet when they need a new vehicle they think there being robbed its an old school mentality.. even if the dealership made say 2000 off a customer break down the profit the salesman only gets a percent its not a lot then the light bill has to be paid then there is commercial taxes and other employees.. your realestate agent made more off the house you bought. your right there is some bad dealers out there and most people know who there are and dont shop there but for the most part we rely on repeat customers and referrals and honesty brings that.
 

pdxmonkeyboy

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I bought a GMC truck years ago when they first came out with the Jimmy. I said I would not pay a cent more for the car then they stated me and I also said the engine has to be made in the USA.

The guy said, I have no place to put that in the contract. I said, see that little white space at the top? Put it there, and he did.

In those days, you had to order the car.

The thing came in and there was no back seat so they said I had to pay $250.00 for the seat.
I said, look at the note on top of the contract.
They did and I got the car and seat for the agreed on price and we checked the engine serial numbers to make sure it was American.

I recently bought this Jeep from a dealer that only sold two year old cars back from lease. I think on the window it said $15,000.00

They gave me the car for exactly $15,000.00. They charged no dealer fee, plate transfer fee, Dealer Prep fee, no fee fee, no nothing. That was the exact price and they gave me a thousand dollars more for my other car than I asked for.

I told them I was Veteran and they took off another $1,500.00 for the car. They even took a picture of me next to the car with the ribbon and a cookie with a picture of the car on it. That made the deal. :p

Congrats on your new fiat.
 

shred5

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I'm shopping for a 2020 Toyota 4Runner Pro.

MSRP is $49k. And the local dealership has an "market adjustment" of $7500.00 for a total of $56,500.

Pigs.


That is because it is the new model year... Buy last years model save a fortune or wait 6 months. It is a popular vehicle.
I am going through the same thing with the Taco.. The dealers are throwing 10,000 dollars in stupid stuff like paint protection , fabric protection and all these dealer add on's.. No budging on price and some are selling over invoice.
I am seeing trucks that should be 33,000 selling over 40,000.

They are just trying to get the got to haves. People will pay it.
Same with the reef hobby and corals. Wait and the price will come down.
 

LARedstickreefer

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I don’t buy new cars, only CPO cars. I also go by pricing guides like kbb. I don’t care what they tack on as long as the total matches kbb or the like. I also get my own financing ahead of time. Never had a dealer come close to the credit unions.

Edit: I got two cpo cars for half the new price.
 

LARedstickreefer

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Getting my teeth pulled without anesthesia falls (just barely) under buying a new car on the list of Things I Despise Doing. I know no matter how prepared I am or how determined I am NOT to get screwed the fact is; in my life-time I'll probably buy less than 10 cars total from individuals who's job is to squeeze as much $$$ out of me as possible (and as sneaky as possible) who sell 10+ cars per week! So they'll always have the upper hand no matter how awesome a deal you think you just got. I figured I'm forked either way and just try to minimize the financial damage....

Does a root canal without any pain management count? I had me one of them when I met Dr Psycho.
 

Paul B

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Congrats on your new fiat.

Unfortunately this is true. I found out later that my Jeep was built in Italy (like my Grand Parents)
But when I bought my GM truck, they were still made in the US. :cool:

I am not sure I would have bought my Jeep If I knew it was made in Europe.
But at least it has an American Name. Jeep used to be the ultimate, 100% American car and I had the original military model from Willy's.

Now I at least have to buy something with an American name and I will never have a Toyota, Mitsubishi, Nisan, "Fiat", Mazda, Volkswagon, Royals Royce, Lamborghini, Mercedes or any of those cars even though I know cars like Toyota's are mostly made in the US. :p
I just wouldn't be comfortable in them.

I know, it's just me. It's just the Veteran in me and I realize I can't buy an American car and at my age, I can no longer build my own cars like I used to from US parts. :(

(I also used to be an Oldsmobile mechanic in the 60s) :cool:
 

LARedstickreefer

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Unfortunately this is true. I found out later that my Jeep was built in Italy (like my Grand Parents)
But when I bought my GM truck, they were still made in the US. :cool:

I am not sure I would have bought my Jeep If I knew it was made in Europe.
But at least it has an American Name. Jeep used to be the ultimate, 100% American car and I had the original military model from Willy's.

Now I at least have to buy something with an American name and I will never have a Toyota, Mitsubishi, Nisan, "Fiat", Mazda, Volkswagon, Royals Royce, Lamborghini, Mercedes or any of those cars even though I know cars like Toyota's are mostly made in the US. :p
I just wouldn't be comfortable in them.

I know, it's just me. It's just the Veteran in me and I realize I can't buy an American car and at my age, I can no longer build my own cars like I used to from US parts. :(

(I also used to be an Oldsmobile mechanic in the 60s) :cool:

My cars were made in Germany, German name too. You would be comfortable in MINE! Come to der dark side, Paul!
 

BZOFIQ

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I'm shopping for a 2020 Toyota 4Runner Pro.

MSRP is $49k. And the local dealership has an "market adjustment" of $7500.00 for a total of $56,500.

Pigs.

GO to South Jersey or PA, Forget about buying from any stealership in NY
 

Dom

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GO to South Jersey or PA, Forget about buying from any stealership in NY

They are only "stealerships" if you let them get away with it.

I want a NY dealership so I don't have to deal with any DMV bull. They transfer the plates on the spot and I drive out with nothing left to do.
 

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