Discussion
Just to finish the saga of my recent car purchase.
The first quote I received for trading in my Ghibli on a PCP deal was too high for my liking.
Came back next day with new finance company''s proposal this time a monthly figure £140 less than the first quote, that's one big drop if I had been daft enough to have payed it first time round.
Of course to ensure they get their money back at some stage they upped the Baloon figure.
Just demonstrates what a shell game it all is.
I have even had a Maserati dealer try to charge me interest on my "own money" now that's clever.
The first quote I received for trading in my Ghibli on a PCP deal was too high for my liking.
Came back next day with new finance company''s proposal this time a monthly figure £140 less than the first quote, that's one big drop if I had been daft enough to have payed it first time round.
Of course to ensure they get their money back at some stage they upped the Baloon figure.
Just demonstrates what a shell game it all is.
I have even had a Maserati dealer try to charge me interest on my "own money" now that's clever.
Ghibli said:
Just to finish the saga of my recent car purchase.
The first quote I received for trading in my Ghibli on a PCP deal was too high for my liking.
Came back next day with new finance company''s proposal this time a monthly figure £140 less than the first quote, that's one big drop if I had been daft enough to have payed it first time round.
Of course to ensure they get their money back at some stage they upped the Baloon figure.
Just demonstrates what a shell game it all is.
I have even had a Maserati dealer try to charge me interest on my "own money" now that's clever.
Upping the balloon is more risky for the financier, not less.The first quote I received for trading in my Ghibli on a PCP deal was too high for my liking.
Came back next day with new finance company''s proposal this time a monthly figure £140 less than the first quote, that's one big drop if I had been daft enough to have payed it first time round.
Of course to ensure they get their money back at some stage they upped the Baloon figure.
Just demonstrates what a shell game it all is.
I have even had a Maserati dealer try to charge me interest on my "own money" now that's clever.
Have they moved on the value of your trade in
Did they drop the mileage to raise the residual or is it with a different finance company? Also, is the residual still a guaranteed buy back price? Some third party PCPs its literally just a balloon payment with no option to return the car.
Is it a new or used car? Whats the APR?
Interested too in what you mean by charging you interest on your own money?
CG2020UK said:
I’d love an elaboration on how they went about trying to charge you interest on your own money 
Dealers wonder why they get a bad rep
I suspect the dealer hasnt articulated clearly enough what was being proposed. They cant charge you interest on your own money. Dealers wonder why they get a bad rep
Does any body ever accept the first offer? I know i dont.
Edited by Deep Thought on Monday 4th March 13:16
OK here is how it went. Not the same dealer in the above.
Arrived at dealer had data exchange with finance guy,and the went for test drive. At this time my trade in car was worth over 17k.
Second meet with finance guy. At this time I have a personal value 5k. Not on the car.
Coincidentally the guy mentions they do cash back and can offer me £5k as part of the sale transaction. Although no intension of going down that road out of curiosity I said do the figures.
The quote goes like this. Trade in on my car allowance £11k. Add to that the £5k cash ack and you geta derisory 16k trade in offer, and here is the shell game.
The borrowing on the new car is X the value of the new car - 11k = Y @ 11.9 apr.
While the actual trade value should be, 11+5 = 16k. Therefore X -16k = Z @ 11.9
Z being a lesser amount ergo less interest paid.
Also, how in the time it took me to do a 10 minute test drive did he find out about my loan. I know the answer but its just another example of how they use underhand methods at every turn.
FIY. month or so later I called about a different car and the salesman in the absence of the finance guy, looked on his computer saw the 11k but missed the 5k and offered me only 11k as a trade in. They haven't a clue. Hope you haven't found this too boring.
I have yet to walk away from a dealership without the feeling I have been treated fairly.
Nearly forgot, before I started discussion with finance guy I told him I knew all their tricks. His response, we treat all our customers with honesty and integrity. I swear this is true.
Arrived at dealer had data exchange with finance guy,and the went for test drive. At this time my trade in car was worth over 17k.
Second meet with finance guy. At this time I have a personal value 5k. Not on the car.
Coincidentally the guy mentions they do cash back and can offer me £5k as part of the sale transaction. Although no intension of going down that road out of curiosity I said do the figures.
The quote goes like this. Trade in on my car allowance £11k. Add to that the £5k cash ack and you geta derisory 16k trade in offer, and here is the shell game.
The borrowing on the new car is X the value of the new car - 11k = Y @ 11.9 apr.
While the actual trade value should be, 11+5 = 16k. Therefore X -16k = Z @ 11.9
Z being a lesser amount ergo less interest paid.
Also, how in the time it took me to do a 10 minute test drive did he find out about my loan. I know the answer but its just another example of how they use underhand methods at every turn.
FIY. month or so later I called about a different car and the salesman in the absence of the finance guy, looked on his computer saw the 11k but missed the 5k and offered me only 11k as a trade in. They haven't a clue. Hope you haven't found this too boring.
I have yet to walk away from a dealership without the feeling I have been treated fairly.
Nearly forgot, before I started discussion with finance guy I told him I knew all their tricks. His response, we treat all our customers with honesty and integrity. I swear this is true.
Ghibli said:
OK here is how it went. Not the same dealer in the above.
Arrived at dealer had data exchange with finance guy,and the went for test drive. At this time my trade in car was worth over 17k.
Second meet with finance guy. At this time I have a personal value 5k. Not on the car.
Coincidentally the guy mentions they do cash back and can offer me £5k as part of the sale transaction. Although no intension of going down that road out of curiosity I said do the figures.
The quote goes like this. Trade in on my car allowance £11k. Add to that the £5k cash ack and you geta derisory 16k trade in offer, and here is the shell game.
The borrowing on the new car is X the value of the new car - 11k = Y @ 11.9 apr.
While the actual trade value should be, 11+5 = 16k. Therefore X -16k = Z @ 11.9
Z being a lesser amount ergo less interest paid.
Also, how in the time it took me to do a 10 minute test drive did he find out about my loan. I know the answer but its just another example of how they use underhand methods at every turn.
FIY. month or so later I called about a different car and the salesman in the absence of the finance guy, looked on his computer saw the 11k but missed the 5k and offered me only 11k as a trade in. They haven't a clue. Hope you haven't found this too boring.
I have yet to walk away from a dealership without the feeling I have been treated fairly.
Nearly forgot, before I started discussion with finance guy I told him I knew all their tricks. His response, we treat all our customers with honesty and integrity. I swear this is true.
So really what they were saying was "you dont need to put £16,000 in to the finance agreement if you dont want to. We can give you £5K back out of your car valuation and you are then putting in £11K of a deposit".Arrived at dealer had data exchange with finance guy,and the went for test drive. At this time my trade in car was worth over 17k.
Second meet with finance guy. At this time I have a personal value 5k. Not on the car.
Coincidentally the guy mentions they do cash back and can offer me £5k as part of the sale transaction. Although no intension of going down that road out of curiosity I said do the figures.
The quote goes like this. Trade in on my car allowance £11k. Add to that the £5k cash ack and you geta derisory 16k trade in offer, and here is the shell game.
The borrowing on the new car is X the value of the new car - 11k = Y @ 11.9 apr.
While the actual trade value should be, 11+5 = 16k. Therefore X -16k = Z @ 11.9
Z being a lesser amount ergo less interest paid.
Also, how in the time it took me to do a 10 minute test drive did he find out about my loan. I know the answer but its just another example of how they use underhand methods at every turn.
FIY. month or so later I called about a different car and the salesman in the absence of the finance guy, looked on his computer saw the 11k but missed the 5k and offered me only 11k as a trade in. They haven't a clue. Hope you haven't found this too boring.
I have yet to walk away from a dealership without the feeling I have been treated fairly.
Nearly forgot, before I started discussion with finance guy I told him I knew all their tricks. His response, we treat all our customers with honesty and integrity. I swear this is true.
The downside of that of course is you're borrowing more, therefore you're paying more interest.
It doesn’t feel like a ‘shell game’ to me, it sounds like you’ve been given a few options and you’re over complicating the situation.
You’ve been offered a 16k trade-in, it is up to you how much of that you receive as cash and how much is taken off of the purchase price of the other car.
Regardless of how much you want to put down as the deposit, you’d be better going to a finance broker and getting an APR that’s significantly lower (likely 7.9-9.9% APR instead).
You’ve been offered a 16k trade-in, it is up to you how much of that you receive as cash and how much is taken off of the purchase price of the other car.
Regardless of how much you want to put down as the deposit, you’d be better going to a finance broker and getting an APR that’s significantly lower (likely 7.9-9.9% APR instead).
I didnt compicate anything. It was their proposal that was never going to be accepted. If its complicated remember its their figures and it is they who are making it complicated. I wonder why. I think we will just have to disagree on this. The fact remains they were charging interest on the 5k which the should not be doing.
Ghibli said:
I didnt compicate anything. It was their proposal that was never going to be accepted. If its complicated remember its their figures and it is they who are making it complicated. I wonder why. I think we will just have to disagree on this. The fact remains they were charging interest on the 5k which the should not be doing.
They were offering you the option to put in less of a deposit. You've chosen to interpret that as something that its not.
Edited by Deep Thought on Monday 4th March 18:28
One other point JJ. I wasn't offered a 16k trade in on the finance document the trad in was 11k. and i do take your point about other finance houses. I was just posting the position with this particular dealer. Who claimed " honesty and integrity " if you read my earlier post.
FYI. My trade in to the dealership I have just sold to has gone on the market at 22k. Which demonstrates how derisory the 16 k was 6 months ago. And yes I know ow they are going to give you as little as possible. I get all that. I've watched the YouTube stuff too.
FYI. My trade in to the dealership I have just sold to has gone on the market at 22k. Which demonstrates how derisory the 16 k was 6 months ago. And yes I know ow they are going to give you as little as possible. I get all that. I've watched the YouTube stuff too.
Ghibli said:
One other point JJ. I wasn't offered a 16k trade in on the finance document the trad in was 11k. and i do take your point about other finance houses. I was just posting the position with this particular dealer. Who claimed " honesty and integrity " if you read my earlier post.
FYI. My trade in to the dealership I have just sold to has gone on the market at 22k. Which demonstrates how derisory the 16 k was 6 months ago. And yes I know ow they are going to give you as little as possible. I get all that. I've watched the YouTube stuff too.
The finance company wouldnt care that you took out £5K in cash from the trade in value, nor would it be marked on the finance document as such.FYI. My trade in to the dealership I have just sold to has gone on the market at 22k. Which demonstrates how derisory the 16 k was 6 months ago. And yes I know ow they are going to give you as little as possible. I get all that. I've watched the YouTube stuff too.
£16K trade against a £22K retail on something like a Maserti Ghibli sounds about right. They will want to cover themselves well for prep costs, warranty costs and the fact it might sit a while.
They did nothing dishonest.
Ghibli said:
Bully for you, go to the top of the class. Or better still just leave well alone I require no explanation from you.
Giving you're wrong, yes you do need it explaining it to you.I'll try for learning by repetition - they were offering you the opportunity to put a smaller deposit in that the £16K trade in price of your car.
Now, dress that up all you like but thats all it was.
Also, RE: a £16K trade price on a car with a £22K retail price, i did a quick CAP HPI check on this car listed at £21,699...
https://www.autotrader.co.uk/car-details/202401265...
Trade price is between £15,200 and £16,600.
So no, the offer wasnt derisory either.
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