Is this a dealer gimmick?
09-15-2008, 03:02 PM
#1
Drifting
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Is this a dealer gimmick?
So today I get a letter from the local Chevy dealer where I got my 06 C6 and it basically states that the 2006 Corvette is on a "hot list" of theirs and they want to extend an offer to purchase and/or trade in my car is "worth more than the current auction values."
Goes on to say that it is "eligable to trade in the vehicle regardless of the current payoff," and that the dealer will, "pay off the trade-in as part of the retail transaction once a deal is achieved."
So basically it sounds like they want me to go in and do a deal on a new car, taking advantage of the current GM employee rates as well as whatever this puchase/trade-in thing is all about.
So what's their ploy here?
Goes on to say that it is "eligable to trade in the vehicle regardless of the current payoff," and that the dealer will, "pay off the trade-in as part of the retail transaction once a deal is achieved."
So basically it sounds like they want me to go in and do a deal on a new car, taking advantage of the current GM employee rates as well as whatever this puchase/trade-in thing is all about.
So what's their ploy here?
09-15-2008, 03:04 PM
#3
Team Owner
Their ploy is very simple to get you in the door and try to sell you a new car. I get these mailings from all different dealers, just another sales pitch.
09-15-2008, 03:05 PM
#4
Safety Car
I get those all the time from My Audi dealer. It's just a marketting "Form" letter. There is no free lunch. The car is worth what it's worth wholesale and that's it. If they offer you any more than wholesale it called an "overallowance" and is really just the discount off the new car they'd offer with or without the trade. Fun with numbers. Sure they'll make the Pay-off...They're obligated to do that if you trade, but if it's MORE than the trade value....Guess what? That difference is rolled into your new financing.
Last edited by Modshack; 09-15-2008 at 03:07 PM.
09-15-2008, 03:05 PM
#5
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St. Jude Donor '15
"In honor of jpee"
09-15-2008, 03:06 PM
#6
Drifting
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Ya, I mean I know they just want to get me in the door and act like they will give above average trade in values...but I never got a letter from them, they must really be hurting.
Right now KBB value trade-in is only like $30K, with private party at about $35 and retail at $39.
I'd be tempted to see what I could get an 09 for with employee pricing and their offer on a trade, but at the same time, I know it's probably not really worth it.
And as far as financing goes, I wouldn't use theirs at all. I'd just put it on my home equity line which is lower than anything they'd offer unless there were 0-2.9% offers.
Right now KBB value trade-in is only like $30K, with private party at about $35 and retail at $39.
I'd be tempted to see what I could get an 09 for with employee pricing and their offer on a trade, but at the same time, I know it's probably not really worth it.
And as far as financing goes, I wouldn't use theirs at all. I'd just put it on my home equity line which is lower than anything they'd offer unless there were 0-2.9% offers.
09-15-2008, 03:08 PM
#7
Team Owner
worth more than the current auction values."
Read into the wording,don't just read the words.If you're looking for a new VETTE/car whatever,go see what they have to offer.No harm,no foul.
And yes,whatever you owe will be tagged on to the end of the "transaction"...whether you have equity or not.You owe it,it's your debt.
09-15-2008, 03:09 PM
#8
Le Mans Master
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This letter is right up there with the King of Nigeria wanting to send you his millions of dollars........I take it if you did not fall for THAT one, you can handle this one similarly??
No free lunch indeed!! Tell them you still owe 45K on your 2006, and see how fast they moon walk away -- or try to talk you into $1,000 a month payments!!!
No free lunch indeed!! Tell them you still owe 45K on your 2006, and see how fast they moon walk away -- or try to talk you into $1,000 a month payments!!!
09-15-2008, 03:19 PM
#11
Team Owner
Haha, ya I realized it was something to entice a trade, but I just was curious as to why they bothered sending it.
Business must be quite slow lately.
Business must be quite slow lately.
If they sent something like..."YOU'RE SO UPSIDE DOWN IN YOUR TRADE YOU'RE LOOKING AT 1200 A MONTH IN PAYMENTS..BLAH BLAH...",would you ever even consider going in??
09-15-2008, 03:43 PM
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Melting Slicks
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I get those all the time from My Audi dealer. It's just a marketting "Form" letter. There is no free lunch. The car is worth what it's worth wholesale and that's it. If they offer you any more than wholesale it called an "overallowance" and is really just the discount off the new car they'd offer with or without the trade. Fun with numbers. Sure they'll make the Pay-off...They're obligated to do that if you trade, but if it's MORE than the trade value....Guess what? That difference is rolled into your new financing.
09-15-2008, 04:06 PM
#19
Le Mans Master
That letter is already done it's job. It's got you to thinking about a new Corvette. All they want to do is get you on their lot and start their sales pitch. 
TRR
TRR
