sarangan
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- Jun 7, 2008
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Andrew, CFI-I
So along with the housing market being completely nutzo, car stealership are at their finest. Low inventory and the frenzy to buy cars have pushed used car prices close to new ones and the stealers have come up with new ways of milking for new cars.
last evening we visited 3 stealerships - the lady needs a car, without going into too much details, its a need not an want.
first, inventory is very low, like there are 3 of those models and we are expecting 4 more sometimes in September 3 of which has been pre-booked
across all 3 places we went, new car prices are anywhere from 3.5-5k over MSRP and new ways to justify that.
1. Protection plan - between $1400 - $1900 - i asked them what that was all about. the reply was, "its a paint protection to ensure paints dont chip or fade". um... thats what clear coat is for...
they didnt even bother to say its a ceramic coating. dont even get me started on "ceramic coating" put on by dealers.
2. $1600 - $1900 - Inspection - not even sure what that is all about. the manufacturers did their QC and inspection
3. Service plan - $900-$1200 - 3 years of full maintenance. I asked what that was, the reply was oil change, all regular max and anything that breaks we fix it. really? oil change is what $40 per change? anything that breaks is covered by bumper to bumper warranty anyway
This is just ridiculous.
These sales tactics happened even before covid. We got taken by a service plan that included free towing from anywhere. I did the calculation and figured it would be cheaper than joining AAA. But it was a bad move. With AAA you can cancel any time. This was money up front. Also, what are the chances of you needing a tow for a brand new car? Even if it does happen, it would be a lot cheaper to just pay for that one time tow. Lesson learned. Now, I don't hesitate to say no to everything the salesman offers, except for the product you are there to buy.