Understanding Car Advertising

CAN YOU NEGOTIATE AN
ADVERTISED PRICE YOU SEE
ON TV OR IN THE NEWSPAPERS ?

THE ANSWER IS YES!

NORMALLY NEW” CAR
ADVERTISED PRICES AND LEASE
PAYMENTS ARE VERY LOW ALREADY
BUT NOTHING IS ETCHED IN STONE.
EVERYTHING IS OPEN TO
NEGOTIATION.

“USED” CAR ADVERTISED PRICES
CAN VERY OFTEN BE
EXTREMELY HIGH IN PRICE.

THERE IS GENERALLY MORE ROOM
TO NEGOTIATE A “USED CAR”

 ADVERTISED PRICE THAN
A “NEW CAR”
ADVERTISED PRICE.

ADVERTISED MONTHLY
LEASE PAYMENTS

BE CAREFUL NOT TO FALL INTO
A TYPICAL SALESPERSONS TRAP

WHEN COMING IN ON AN
ADVERTISED LEASE SPECIAL.

IF YOU SWITCH VEHICLES BECAUSE
 YOU WANT MORE EQUIPMENT
AND
THE SALESPERSON SAYS “OK,
THE VEHICLE YOU PICKED IS
$1,500 MORE, THIS WOULD BE
$41.66 PER MONTH ADDITIONAL”.

THE SALESPERSON SIMPLY TOOK
THE $1500 AND DIVIVED BY THE
NUMBER OF MONTHS IN THE LEASE
 WHICH IN THIS CASE IS 36 MONTHS
TO ARRIVE AT $41.66 ADDITIONAL.

THIS IS COMPLETELY WRONG
AND INAPPROPRIATE

THE ADDED EQUIPMENT GETS
RESIDUALIZED
WHICH IS THE
THE PART OF THE VEHICLE THAT IS
LEFT OVER AT THE END OF THE LEASE

IF THE RESIDUAL VALUE IS 55%
THEN THE EXTRA EQUIPMENT
WOULD COST 45% OF THE $1500
PLUS A LITTLE INTEREST.

$1500 x 45% = $675
Divided by 36 = $18.75
Plus a little interest would roughly be
$20 ADDITIONAL TO THE
ADVERTISED PRICE NOT $41.66

YOU JUST SAVED $779.76
21.66 X 36 = $779.76

IT IS VERY EASY TO GET CHEATED
AND NOT EVEN REALIZE IT!

 
 
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