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What APR did the dealer offer you?

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V-Series Cadillac(s)?
'22 CT4 BW, '98 Lancer Evo5
On my previous C8, I went through the dealer initially to finance. I ended up with a 3.7% rate they farmed out to US Bank. I'm sure that includes .5% or so dealer add on. I've heard people have obtained some killer rates through GM Financial on other models.

My car is at 4B00 now, so I'm starting to look around for what's going go be the best bet. Inclined to put about 50% down for now. My own credit union has offered me 2.59% which is livable should nothing better come up.

Purchasing through Sewell, so if you have direct experience, that would be awesome. Not applicable to Military type credit unions or anything that would take special requirements. Just your regular jackass off the street :)

So, if you financed, what did you end up with for an interest rate?
 

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Question: I have an EDD now of 6/26. Looks like rates for my credit union start at 2.49, but I don't imagine it will stay that low much longer. I was told by the CU that if I applied now my rate would be locked in for 60 days, but I obviously wouldn't want to waste a credit check applying if it might expire.

Now that I have an EDD, is there still a possibility that I'll be plunged into purgatory and that I won't get the car in the next 60 days?
IMO you would be crazy not to lock in the rate as soon as you can.
What’s the worse that can happen? Reapply later at a higher rate?
 
My dealer (Cadillac of Beverly Hills) has verbally told me they they don't let you finance via anyone except them. Is there no way I can just bring them a check from a credit union where I got a loan separately on my own? Or how does that work if I don't want to finance via the dealer?
 
My dealer (Cadillac of Beverly Hills) has verbally told me they they don't let you finance via anyone except them. Is there no way I can just bring them a check from a credit union where I got a loan separately on my own? Or how does that work if I don't want to finance via the dealer?
Assuming your credit union does that, I don't see how they can refuse cash. I mean, they definitely could I just don't see it being likely.
 
My dealer (Cadillac of Beverly Hills) has verbally told me they they don't let you finance via anyone except them. Is there no way I can just bring them a check from a credit union where I got a loan separately on my own? Or how does that work if I don't want to finance via the dealer?
I don't think that is legal. Call your Attorney General's office and inquire.
 
I don't think they can force you to use any particular entity for payment.
 
I don't think they can force you to use any particular entity for payment.
this is kind of to-may-to / to-mah-to .. even if they can't legally force you to use any particular financing entity or force you to finance instead of paying cash, they can just decline to sell you the vehicle. That's well within their rights, as they own the car. Reputation aside, if they are saying you must finance in-house to finance with them, I expect the attorney general wouldn't be able to do much about it.

Different story if this is a very late 250 car and the allocation is yours not the dealers, but I expect this isn't the case. That being said, if you left a deposit (even a non-refundable one) if they decline to sell it to you because you want to have your own financing they would have to give your deposit back as they are the one walking away not you. The AG would/should be able to help in that matter
 
this is kind of to-may-to / to-mah-to .. even if they can't legally force you to use any particular financing entity or force you to finance instead of paying cash, they can just decline to sell you the vehicle. That's well within their rights, as they own the car. Reputation aside, if they are saying you must finance in-house to finance with them, I expect the attorney general wouldn't be able to do much about it.

Different story if this is a very late 250 car and the allocation is yours not the dealers, but I expect this isn't the case. That being said, if you left a deposit (even a non-refundable one) if they decline to sell it to you because you want to have your own financing they would have to give your deposit back as they are the one walking away not you. The AG would/should be able to help in that matter
Hm, I don't know the details of his particular situation, but personally I placed a deposit on a car and received a purchase order describing my options (i.e. my specific car) and that the price would be MSRP. Sounds like offer/acceptance/consideration = binding agreement.

On the other hand, I don't have the paperwork I signed in front of me, and there could be some this-is-not-a-contract language where they try to negate that...

On the third hand, who knows if even that language would be enforceable if buried in the fine print of a consumer contract...

On the fourth hand, one could then argue that they were acting in bad faith by making the purchase contingent on unwritten conditions outside the four corners of the agreement...

And the rabbit hole continues from there...
 
The dealerships make a lot on marking up the rate, meaning the bank may quote you 3.5% and they mark it to 4%. I’m sure most of everyone knows of this practice. I’m not sure how much they normally mark it up. I had a friend connect me with one of his dealers so I didn’t have mine marked up. I got 3.39% for 72 months from PNC two weeks ago. I put $25k down between cash and trade in.
 
The dealerships make a lot on marking up the rate, meaning the bank may quote you 3.5% and they mark it to 4%. I’m sure most of everyone knows of this practice. I’m not sure how much they normally mark it up. I had a friend connect me with one of his dealers so I didn’t have mine marked up. I got 3.39% for 72 months from PNC two weeks ago. I put $25k down between cash and trade in.
depends on the state, usually around 2% is the max. The bank wants to build a relationship with the dealer but at the same time they can't just let the dealer do whatever
 
2% adds up on a bigger loan.. did quick calculations and on a $60k loan for 72 months it’s an additional $55 a month. Over the length of the loan it goes from $5600 in interest to like $9500.
 
One of the aspects of inflation is that it brings down real wages. It also increases the amount of taxes a person pays. Therefore, a persons real spending power is decreased. Unless one expects their wages to increase at the same rate as inflation (this hardly ever happens), it’s better not to take on more debt. That debt will become an anchor and as time goes on represent a larger percentage of net disposable income.

As you say everybody’s situation is different, for some this may not matter as they’re willing to cut back in other areas of their lifestyle, like travel vacations or other expensive purchases. For others, it will mean selling the car, boat, or RV. A recession is a good buying opportunity for these items. The best rule, never buy something you can’t afford. I would never consider buying a car with anything less than 50% down and preferably 75%.

Disclosure: I am not an economist, therefore I wouldn’t take this as advice. Always consult with ones financial planner or accountant before making financial decisions.

Understand your points but disagree. If inflation without a similar increase in income is an issue for someone, liquidity is very important. Better to have more cash on hand and therefore flexibility. Obviously the car payments come out of these savings but it buys a lot of time to increase income that a person may not have if they dumped a lot of spare cash into a car. If the car holds value this doesn't matter because the person can just sell, but if it doesn't this keeps them liquid.

Also while inflation can (usually does) make real wages lower, a person's absolute disposable income measured in number of dollars not purchasing power likely goes up, and since the amount owed on the car is fixed, the person is still better off paying for the car with these dollars.

I totally agree never buy something you can't afford. Your rule of never buying with less than 50-75% "down" is smart, but I think it makes sense to not actually put that money down but do something else with it.

Of course this all goes out the window when rates get higher!
 
Understand your points but disagree. If inflation without a similar increase in income is an issue for someone, liquidity is very important. Better to have more cash on hand and therefore flexibility. Obviously the car payments come out of these savings but it buys a lot of time to increase income that a person may not have if they dumped a lot of spare cash into a car. If the car holds value this doesn't matter because the person can just sell, but if it doesn't this keeps them liquid.

Also while inflation can (usually does) make real wages lower, a person's absolute disposable income measured in number of dollars not purchasing power likely goes up, and since the amount owed on the car is fixed, the person is still better off paying for the car with these dollars.

I totally agree never buy something you can't afford. Your rule of never buying with less than 50-75% "down" is smart, but I think it makes sense to not actually put that money down but do something else with it.

Of course this all goes out the window when rates get higher!
Like I said, I’m no economist, just absorb a lot of info from reading reputable sources. And there are a lot of variables at play. Typically stocks perform badly during high inflation and recessions. So if one is heavily invested in the market, there is a strategy there with how best to use those assets and continued investment purchases.

My point is more about cash flow. As time goes by with high inflation and no pacing wage increase, ones monthly expenses increase. Taking on a loan that one can just afford is probably not a good idea. Leave plenty of bandwidth to deal with higher living costs. This is the best time to be keeping up with a regular investments plan, not using the money for a loan.

Going back to the topic, yesterday I secured a loan on my 5BW at 3.19% through USAA (the dealer offered me 3.99%). That represented 36% of the vehicle cost. Pretty much close to the middle of the 25% to 50% region I prefer to be in.
 
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I don't think they can force you to use any particular entity for payment.
Assuming your credit union does that, I don't see how they can refuse cash. I mean, they definitely could I just don't see it being likely.
Using lack of inventory as an excuse, dealers are doing all kinds of shenanigans. I had same issue with Acura dealer couple days back when I went to pick up the new Integra. They told me that they do not accept credit union and will only use their own finance.
Long story short, I ended up walking away.
 
Using lack of inventory as an excuse, dealers are doing all kinds of shenanigans. I had same issue with Acura dealer couple days back when I went to pick up the new Integra. They told me that they do not accept credit union and will only use their own finance.
Long story short, I ended up walking away.
That's crappy. Sorry that happened. I'm well aware of them refusing to let people use outside financing just never heard of a dealer turning down a cash deal. Removing rebates (which don't exist currently) or removing discounts (which don't exist on many of the models we're looking at currently) I've heard of.
 
That's crappy. Sorry that happened. I'm well aware of them refusing to let people use outside financing just never heard of a dealer turning down a cash deal. Removing rebates (which don't exist currently) or removing discounts (which don't exist on many of the models we're looking at currently) I've heard of.
Well, that was just one of the reasons why I walked (despite being among the first ones to order it months ago). Other reason was them adding $3k worth of "Pro package" and "Doc fees" even though they always told me that it would be MSRP. Their idea was that they are still selling the car is MSRP, these are just included by default on all vehicles.
 
Like I said, I’m no economist, just absorb a lot of info from reading reputable sources. And there are a lot of variables at play. Typically stocks perform badly during high inflation and recessions. So if one is heavily invested in the market, there is a strategy there with how best to use those assets and continued investment purchases.

My point is more about cash flow. As time goes by with high inflation and no pacing wage increase, ones monthly expenses increase. Taking on a loan that one can just afford is probably not a good idea. Leave plenty of bandwidth to deal with higher living costs. This is the best time to be keeping up with a regular investments plan, not using the money for a loan.

Going back to the topic, yesterday I secured a loan on my 5BW at 3.19% through USAA (the dealer offered me 3.99%). That represented 36% of the vehicle cost. Pretty much close to the middle of the 25% to 50% region I prefer to be in.
That's pretty good. Auto rates have moved surprisingly little.
 
Well, that was just one of the reasons why I walked (despite being among the first ones to order it months ago). Other reason was them adding $3k worth of "Pro package" and "Doc fees" even though they always told me that it would be MSRP. Their idea was that they are still selling the car is MSRP, these are just included by default on all vehicles.
Yeah I hate that crap too. Anything above $150 doc fee in TX and I call BS. I always say no to the "etch" or "lojack equivalent system".. Just leave the car alone lol i don't want it. Hopefully another one falls in your lap it looks like an enjoyable car. A mature civic si essentially, to use a brief description
 

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