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Car Forum / Honda Cars / December 2005

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Experience at Honda dealer

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pichula - 26 Nov 2005 17:57 GMT
I went last week to a Honda dealer to trade in my car for a new Accord
Value Pack (VP, base  model). I was surprised by all their tactics to
get the most out of my money. I don't blame the  salesperson because he
was nice and helpful, but I think the sales manager went a little too
far  in his methods. I also have to say that after the deal was done,
they were all nice guys and very  helpful with all the process. I'm
going to enumerate the things I consider bad tactics because  they were
just too many:

1) When I told them I wanted the Value Pack, the manager said that it
had no power windows. That I better choose the LX or EX. That's not
true.

2) When I came back next day he said that VP had no Cruise Control. I
checked the car I wanted to buy and I noticed the cruise control was
there.

3) When we were negotiating the price he showed me the invoice price, I
said the invoice price I saw at edmunds.com was lower. When he noticed
I was not accepting that price he showed me that there was about $200
marketing charge and accepted to remove it. Nothing bad about this part
because I think dealers usually try to add these hidden charges without
telling customers.

4) After negotiating the price for my trade in and the price of the
Accord VP, he came with a blank page  (where all the totals are
calculated) for me to sign. I said I wanted to see the final numbers
before I sign the page. I said I cannot sign a blank sheet for them
later to add the totals. They accepted.

5) Then he came with the same sheet with a total amount higher than
what we negotiated. I told them that we had to subtract the amount I
get from my trade in. At this time the manager pretended to be
exasperated with me, like if I was asking for too much. He said that he
would do it later and refused to write it in the sheet. So I took the
pen and had to do the subtraction in front of him and underlined the
final amount. He accepted that amount.

6) At about 9:00 PM (they were already closed but there were still a
few customers finalizing their deals), I was tired but happy when the
manager brought the paper work describing my monthly payments. Let me
say that I have very good credit (over 700), and the manager told me he
was going to run my information with about 15 banks and get me the best
deal. Not true, he got me financing with Honda. How can he run my
information with 15 banks and come with a loan from honda financeing?
Maybe I'm missing something here. Anyway he got me 6.6% interest which
I consider too high but I still accepted. Maybe I should have got the
loan with my credit union.

7) He showed my monthly payments at about $35 over what I estimated,
and handed me a pen to sign. I asked me how can it be so high? Then he
said I was getting the 7 years/100K miles warranty. When I insisted in
how much it costed, he said $1600. He said if I don't take the warranty
I'm taking a big risk if the car breaks. I asked him how can he tell me
these are the best cars in the market and now he's telling me that I'm
taking a big risk because they can break. Finnally he accepted to
remove the warranty and I got the payment amount I wanted.

I remember at a Chevrolet dealer in 1998 I had a very good experience
buying my chevy Malibu, I still remember the name of the Chevy sales
person (Mike), I can't believe at Honda these guys gave me such a hard
time.

After the negotiation, the manager and sales person were very nice and
helpful.
Elle - 26 Nov 2005 18:08 GMT
This was a great history for the archives. Good for you for
taking hardly any junk off these losers. I /do/ begrudge
them saying one thing then doing another /several/ times in
the process you describe. It's some kind of harassment,
albeit I suppose mostly legal. Point being, it's aggravating
dealing with salespeople like this. Surely there are better.
High Tech Misfit - 26 Nov 2005 18:19 GMT
> I remember at a Chevrolet dealer in 1998 I had a very good experience
> buying my chevy Malibu, I still remember the name of the Chevy sales
[quoted text clipped - 3 lines]
> After the negotiation, the manager and sales person were very nice and
> helpful.

Just remember that every car manufacturer has good and bad dealers.  You
were unfortunate to have landed at a bad Honda dealer.
'Curly Q. Links' - 26 Nov 2005 18:43 GMT
> I went last week to a Honda dealer to trade in my car for a new Accord
> Value Pack (VP, base  model). I was surprised by all their tactics to
[quoted text clipped - 61 lines]
> After the negotiation, the manager and sales person were very nice and
> helpful.

-------------------------------

Generally, this old joke is still true:

QUESTION: How can you tell if a car salesman is lying to you???

ANSWER: His lips are moving.

'Curly'
Elmo P. Shagnasty - 26 Nov 2005 18:47 GMT
> 6) At about 9:00 PM (they were already closed but there were still a
> few customers finalizing their deals), I was tired but happy when the
[quoted text clipped - 6 lines]
> I consider too high but I still accepted. Maybe I should have got the
> loan with my credit union.

You should never, EVER buy the money from the same guy who's also
selling you the car.

Then you compounded your error by adding your trade to the deal.  You
should never, EVER put the trade and the new car sale into one deal.

You have three transactions:  new car sale, old car sale, and money
sale.  Letting one guy quarterback all three of them is crazy.
Bozo - 26 Nov 2005 19:03 GMT
> You have three transactions:  new car sale, old car sale, and money
> sale.  Letting one guy quarterback all three of them is crazy.

Not always true.  For example if he really needs the sale he may be
prepared to reduce the sales price a little IF he gets the finance as well.

As to the trade-in, you may get a few more dollars with a private sale,
but sell to the dealer and no haggling etc
Howard Lester - 26 Nov 2005 19:38 GMT
>> You have three transactions:  new car sale, old car sale, and money sale.
>> Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 5 lines]
> As to the trade-in, you may get a few more dollars with a private sale,
> but sell to the dealer and no haggling etc

I think what Elmo is referring to is the principle of first negotiating the
new car price (without telling the salesperson you have a trade-in), THEN
negotiate the price of the trade-in.
Elmo P. Shagnasty - 26 Nov 2005 21:19 GMT
> >> You have three transactions:  new car sale, old car sale, and money sale.
> >> Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 9 lines]
> new car price (without telling the salesperson you have a trade-in), THEN
> negotiate the price of the trade-in.

That's perfectly legitimate.  Get the numbers in stone one at a time,
independent of one another.
mrdancer - 29 Nov 2005 01:23 GMT
> > >> You have three transactions:  new car sale, old car sale, and money sale.
> > >> Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 12 lines]
> That's perfectly legitimate.  Get the numbers in stone one at a time,
> independent of one another.

If the numbers are good, it can be a good deal.  A good dealer can take the
trade-in price off of the price of the new vehicle, thereby reducing sales
taxes, maybe to a point where you couldn't get a better deal selling to a
third party.

Btw, next time a car dealer tells you that you are taking away his kid's
next meal, ask to see where he lives.  Chances are he has a nicer house than
you do...
Sparky Spartacus - 03 Dec 2005 08:53 GMT
>>>>>You have three transactions:  new car sale, old car sale, and money
>
[quoted text clipped - 32 lines]
> Btw, next time a car dealer tells you that you are taking away his kid's
> next meal

Better yet, tell him to switch careers and point out that by extorting
more $$$ from you he's taking food from your kids & you care more about
them than you do his.
Elmo P. Shagnasty - 26 Nov 2005 21:19 GMT
> > You have three transactions:  new car sale, old car sale, and money
> > sale.  Letting one guy quarterback all three of them is crazy.
> >
> Not always true.  For example if he really needs the sale he may be
> prepared to reduce the sales price a little IF he gets the finance as well.

The point is, the car salesman is in charge of too many things.  His job
is to find the buyer's hot button (low finance rate, good trade value,
whatever) and play to that while jacking the other items around--all
toward the end of making the sucker pay the same amount in the end.

The car salesman does this several times a day.  The buyer does it once
every few years.  Who do you think wins?

The only way to prevent this from happening is to separate the deals, so
that no one person has any more affect than any other on the entire
deal--no matter what the buyer's hot button.
Sparky Spartacus - 03 Dec 2005 08:56 GMT
>>>You have three transactions:  new car sale, old car sale, and money
>>>sale.  Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 13 lines]
> that no one person has any more affect than any other on the entire
> deal--no matter what the buyer's hot button.

Sorry, the "only way to" is seldom that. If the purchaser does his
homework (easy to do these days with the Internet) and behaves
rationally there's no reason the sales person should prevail. If he's
being a real PITA, just thank him/her for their time and walk out of the
dealership. I know this from experience as well as theory.
SoCalMike - 27 Nov 2005 06:10 GMT
>> You have three transactions:  new car sale, old car sale, and money
>> sale.  Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 4 lines]
> As to the trade-in, you may get a few more dollars with a private sale,
> but sell to the dealer and no haggling etc

id only trade in something i wanted to unload quickly, like if the car
had a knocking rod, or a failing tranny.
Drew - 27 Nov 2005 21:58 GMT
>>> You have three transactions:  new car sale, old car sale, and money
>>> sale.  Letting one guy quarterback all three of them is crazy.
[quoted text clipped - 8 lines]
> id only trade in something i wanted to unload quickly, like if the car
> had a knocking rod, or a failing tranny.

I've been able to get rid of two junk cars for decent trade ins in the
past. I love screwing dealers. My sister traded in a Neon that died in
fog of smoke as they drove it away from the front door, after she had
signed the papers.
Elmo P. Shagnasty - 27 Nov 2005 22:18 GMT
> I've been able to get rid of two junk cars for decent trade ins in the
> past. I love screwing dealers. My sister traded in a Neon that died in
> fog of smoke as they drove it away from the front door, after she had
> signed the papers.

Yeah.  So you think.

Trust me, they knew what they were doing.  It's their job, and their
incomes depend on it.

You didn't screw anyone.  They found your hot buttons, and pushed them.
Sparky Spartacus - 03 Dec 2005 08:51 GMT
>> You have three transactions:  new car sale, old car sale, and money
>> sale.  Letting one guy quarterback all three of them is crazy.
>>
> Not always true.  For example if he really needs the sale he may be
> prepared to reduce the sales price a little IF he gets the finance as well.

Plus Honda Finance may be willing to give you a good, i.e., low, rate to
help move cars - rather than posting absolutes, e.g., NEVER xxx, ALWAYS
zzz, I think it's generally a good idea to shop around and see what's
best when you're cutting your deal. I financed my '03 Accord at 3.64%
from Honda Finance, which was substantially lower than even the bank I
worked for (where I got a "deal").
Dr Nick - 26 Nov 2005 19:54 GMT
>Then he said I was getting the 7 years/100K miles warranty. When I insisted
>in
> how much it costed, he said $1600. He said if I don't take the warranty

just FYI, if you ARE interested in that warranty, you can get it for about
HALF that price on either www.hondacarewarranty.com or
www.curryhondacare.com . in my accord I'm getting the 8 year 120k warranty
and its under 1,000 (I believe like 970 or something) this can be bought
anytime up to 6,000 miles on the car.  (please note I"m not in any way
affiliated with honda or honda care or either of these 2 sites, just trying
to save someone some money) enjoy your car!
Gordon McGrew - 26 Nov 2005 22:48 GMT
>I went last week to a Honda dealer to trade in my car for a new Accord
>Value Pack (VP, base  model). I was surprised by all their tactics to
[quoted text clipped - 4 lines]
>going to enumerate the things I consider bad tactics because  they were
>just too many:

You are right, this is way too many things.  At least they backed down
relatively easy.

RE #6.  I don't think you got too bad a deal on the financing.  30
year mortgages are about 6% now so 6.6% on a car loan doesn't sound
too bad.  You might have saved a few tenths from your credit union -
it would have been good to have gotten a rate quote from them before
you ventured into a dealership.

Others mentioned keeping the new car and trade-in deals separate.
Part of that is knowing not only what is a good price on new car
(which you seem to have done) but also knowing what is a fair price on
the trade-in, what Car Max would pay you for it, and what is a fair
private party sale price.  Even if you aren't willing to sell it
yourself, you can use these facts in your negotiations.

>1) When I told them I wanted the Value Pack, the manager said that it
>had no power windows. That I better choose the LX or EX. That's not
>true.

Lying is bad.

>2) When I came back next day he said that VP had no Cruise Control. I
>checked the car I wanted to buy and I noticed the cruise control was
>there.

Lying is bad.

>3) When we were negotiating the price he showed me the invoice price, I
>said the invoice price I saw at edmunds.com was lower. When he noticed
>I was not accepting that price he showed me that there was about $200
>marketing charge and accepted to remove it. Nothing bad about this part
>because I think dealers usually try to add these hidden charges without
>telling customers.

Burglars usually try to break into your house, but that doesn't mean
it's not bad.  Marketing (i.e. advertising) is part of their overhead,
and a discretionary part at that.  Why should you be paying them to
advertise to you?  It would be slightly more reasonable for them to
charge you a heating charge to keep the dealership building warm.

>4) After negotiating the price for my trade in and the price of the
>Accord VP, he came with a blank page  (where all the totals are
>calculated) for me to sign. I said I wanted to see the final numbers
>before I sign the page. I said I cannot sign a blank sheet for them
>later to add the totals. They accepted.

Tell them you will do that if they are willing to sign a blank check
on the dealership account for you to fill in later to

>5) Then he came with the same sheet with a total amount higher than
>what we negotiated. I told them that we had to subtract the amount I
[quoted text clipped - 3 lines]
>pen and had to do the subtraction in front of him and underlined the
>final amount. He accepted that amount.

It would have been so much easier if you had just signed the blank
one.

>6) At about 9:00 PM (they were already closed but there were still a
>few customers finalizing their deals), I was tired but happy when the
[quoted text clipped - 6 lines]
>I consider too high but I still accepted. Maybe I should have got the
>loan with my credit union.

I think you got lucky on this.  Then again you probably would have
walked if it was 8%.

>7) He showed my monthly payments at about $35 over what I estimated,
>and handed me a pen to sign. I asked me how can it be so high? Then he
[quoted text clipped - 4 lines]
>taking a big risk because they can break. Finnally he accepted to
>remove the warranty and I got the payment amount I wanted.

They think you will let down your guard when you think the deal is
almost complete.    Many buyers can't really figure out what a loan
payment should be, so it is an good chance to cheat them one last
time.  These guys are sleaze balls.

>I remember at a Chevrolet dealer in 1998 I had a very good experience
>buying my chevy Malibu, I still remember the name of the Chevy sales
>person (Mike), I can't believe at Honda these guys gave me such a hard
>time.

I have dealt with several Honda dealers who were totally straight and
honest in their dealings.  It is not impossible,

>After the negotiation, the manager and sales person were very nice and
>helpful.

Just be glad you aren't his dog on a night like that.
Jason - 27 Nov 2005 00:43 GMT
> >I went last week to a Honda dealer to trade in my car for a new Accord
> >Value Pack (VP, base  model). I was surprised by all their tactics to
[quoted text clipped - 106 lines]
>
> Just be glad you aren't his dog on a night like that.

Hello,
Thanks for your excellent post. If you ever buy another car, get the best
deal that you can get at two or more Honda dealerships. Don't ever sign
any papers until you think about it for at least one or two days. The
salesman will try to make you believe that they will sell that car you
wanted during the next two days--therefore, just say, "Go ahead and sell
it since I am sure that is not the only new Honda that is in this city."
In most cases, that car you wanted will still be unsold for at least two
days. Even if it is sold, buy another one from that dealer or another one.
Jason

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SoCalMike - 27 Nov 2005 06:12 GMT
> Others mentioned keeping the new car and trade-in deals separate.
> Part of that is knowing not only what is a good price on new car
> (which you seem to have done) but also knowing what is a fair price on
> the trade-in, what Car Max would pay you for it, and what is a fair
> private party sale price.  

i thought carmax bought strictly at low blue book tradein value.
Gordon McGrew - 27 Nov 2005 22:15 GMT
>> Others mentioned keeping the new car and trade-in deals separate.
>> Part of that is knowing not only what is a good price on new car
[quoted text clipped - 3 lines]
>
>i thought carmax bought strictly at low blue book tradein value.

I don't know exactly how they calculate the value but at least they
give you a bona fide offer to use as a basis.  If the dealer discounts
the new car price and tries to screw you on the trade-in, at least you
have a minimum price that you know you can get for the old car.
Tush Smells Bush Kills!!!!!!!!!!! - 28 Nov 2005 04:17 GMT
Carmax is a joke. Their offer was only 50% of the kbb trade-in  on my
parent's car. They ended up getting three times that amount in an
insurance settlement, after it was totalled in an accident.
Gordon McGrew - 28 Nov 2005 06:34 GMT
>Carmax is a joke. Their offer was only 50% of the kbb trade-in  on my
>parent's car. They ended up getting three times that amount in an
>insurance settlement, after it was totalled in an accident.

My only experience with them was helping a friend car shop.  They were
low pressure and friendly, but their prices (both buying and selling)
were not competitive.  If their no-haggle price was just an asking
price they might be in the ball park.  i guess they have a lot of
overhead to pay for.

Still I can see why they might appeal to someone who is used to
getting raped in the car buying process.
Tush Smells Bush Kills!!!!!!!!!!! - 28 Nov 2005 17:11 GMT
> >Carmax is a joke. Their offer was only 50% of the kbb trade-in  on my
> >parent's car. They ended up getting three times that amount in an
[quoted text clipped - 5 lines]
> price they might be in the ball park.  i guess they have a lot of
> overhead to pay for.

I was waiting in an office while they were appraising my vehicle, and
the Carmax salesguy kept badgering me about purchasing a car from them.
I remarked how expensive their cars were and he just simply said their
prices were competitive. Yeah, with new cars maybe. I swear, you can
get brand new cars for the prices they charge on most of their used
cars.

> Still I can see why they might appeal to someone who is used to
> getting raped in the car buying process.

Which is why Saturn's still around. Morons keep paying full price for
inferior GM products, because they have phobias about negotiating.
SoCalMike - 29 Nov 2005 02:07 GMT
>>> Carmax is a joke. Their offer was only 50% of the kbb trade-in  on my
>>> parent's car. They ended up getting three times that amount in an
[quoted text clipped - 17 lines]
> Which is why Saturn's still around. Morons keep paying full price for
> inferior GM products, because they have phobias about negotiating.

saturn knows their target market and prices (IMO) fairly and
accordingly. for the longest time my local dealer was giving 0% interest
for 60mos, so thats another draw.

toyotas scion division also doesnt haggle, and those cars are
exceptional values. an honest to god built in japan car with standard
air, power windows/locks and pioneer premium CD system for about $13k.
SoCalMike - 29 Nov 2005 02:03 GMT
>> Carmax is a joke. Their offer was only 50% of the kbb trade-in  on my
>> parent's car. They ended up getting three times that amount in an
[quoted text clipped - 5 lines]
> price they might be in the ball park.  i guess they have a lot of
> overhead to pay for.

a coworker got a C230 sedan with 8k miles for a shade under $30k. a
brand spanking new one would have been a little more. or even less, if
hed bought when MBUSA was giving incentives.

> Still I can see why they might appeal to someone who is used to
> getting raped in the car buying process.

yeah- you only get raped a "little".
Nicholas Coday - 27 Nov 2005 02:11 GMT
I think you got reamed on the interest rate. 2 weeks ago I got 5.74%
after the rate was increased through my credit union. Honda financing
could not come close to that rate

--Nicholas

> I went last week to a Honda dealer to trade in my car for a new Accord
> Value Pack (VP, base  model). I was surprised by all their tactics to
[quoted text clipped - 61 lines]
> After the negotiation, the manager and sales person were very nice and
> helpful.
Brandy  Alexandre - 27 Nov 2005 03:14 GMT
Nicholas Coday <j.coday@comcast.net> wrote in
rec.autos.makers.honda:

> I think you got reamed on the interest rate. 2 weeks ago I got
> 5.74% after the rate was increased through my credit union. Honda
> financing could not come close to that rate

I got 5.1% in October.  When I still complained about the monthly
payment, they increased the loan from 60 months to 72 without
increasing the rate, which should have been at least a point higher.  
Of course, my credit score was 808, so your mileage may vary.  

Signature

Brandy  Alexandre®
http://www.swydm.com/?refer=BrandyAlx
Well, would you?

Dave L - 27 Nov 2005 04:46 GMT
> Nicholas Coday <j.coday@comcast.net> wrote in
> rec.autos.makers.honda:
[quoted text clipped - 7 lines]
> increasing the rate, which should have been at least a point higher.
> Of course, my credit score was 808, so your mileage may vary.

Yes, the business mgr offered to increase the months to reduce my payments
too, but that would mean extending the length of the loan and increasing the
amount of interest I'd have to pay.  He tried doing this so I would go for
one of the extra packages they try to sell.  I wanted to the the lowest
bottom line cost, so declined the offer.

Here are a couple of good sites for auto and other finance calculators:
http://www.bankrate.com/brm/rate/calc_home.asp

Or you could go here for the auto payment calculator and fill in your
numbers:
http://www.bankrate.com/brm/auto-loan-calculator.asp

It really helps with figuring out what you need to pay ahead of time so if
they do the financing for you, you'll know if they added other things to the
final cost.

Hope it helps!
-Dave
Brandy  Alexandre - 27 Nov 2005 05:16 GMT
Dave L <davelieuREMOVEME@yahoo.com> wrote in rec.autos.makers.honda:

> "Brandy  Alexandre" <brandyalx@kittylittercomcast.net> wrote in
> message news:Xns971AD814152018675309@129.250.170.93...
[quoted text clipped - 31 lines]
> Hope it helps!
> -Dave

Well, It wasn't so much that I couldn't afford it, but that I wanted
the lowest possible obligation in case anything happened.  I have
and intend to continue paying significantly more than the payment
amount, and few lenders are actually set up that way.  That's why I
like the Honda finance.  That extra year doesn't amount to a hill of
beans in the scheme of things.

Signature

Brandy  Alexandre®
http://www.swydm.com/?refer=BrandyAlx
Well, would you?

Dave L - 27 Nov 2005 22:43 GMT
> Dave L <davelieuREMOVEME@yahoo.com> wrote in rec.autos.makers.honda:
>
[quoted text clipped - 40 lines]
> like the Honda finance.  That extra year doesn't amount to a hill of
> beans in the scheme of things.

Yeah, same here.  No penalty for the prepay is nice too.  That's what I
asked, although I have yet to put any significant prepay into it.  Those
sites are still useful to make sure they don't try to sneak something in.
They initially tried to put the extended warranty in but I noticed the
payments were higher than I figured.  It was no problem after that.

-Dave
Dave L - 27 Nov 2005 03:22 GMT
My current credit union is from 5.35% for 48months.  I picked up my Accord
about 3 1/2 months ago for 4.74% w/Honda financing.  I walked in there with
a pre-approved loan from my credit union, and they beat their best offer by
a quarter point.  It really pays to walk in there with a pre-approved check
and see what they are willling to do.

-Dave

>I think you got reamed on the interest rate. 2 weeks ago I got 5.74% after
>the rate was increased through my credit union. Honda financing could not
[quoted text clipped - 67 lines]
>> After the negotiation, the manager and sales person were very nice and
>> helpful.
Gordon McGrew - 27 Nov 2005 22:34 GMT
>My current credit union is from 5.35% for 48months.  I picked up my Accord
>about 3 1/2 months ago for 4.74% w/Honda financing.  I walked in there with
[quoted text clipped - 3 lines]
>
>-Dave

I am so surprised that the rates are this low.  I can understand that
Honda might subsidize the loan through Honda Finance as a buyer
incentive, but 5.35% from the credit union is outstanding.  Lenders in
today's paper are advertising 30-year home mortgages at 5.875 to
6.25%.  When did car loans become lower risk than home loans?

I usually pay cash for my cars but at these rates I might consider
financing.
Dave L - 27 Nov 2005 22:48 GMT
>>My current credit union is from 5.35% for 48months.  I picked up my Accord
>>about 3 1/2 months ago for 4.74% w/Honda financing.  I walked in there
[quoted text clipped - 15 lines]
> I usually pay cash for my cars but at these rates I might consider
> financing.

I never compared the car loans vs. home loans at the same time.  Only looked
one up when I needed to.  Credit unions normally have very good rates for
loans and such, vs. your traditional bank.  For the 5.35%, you may be able
to get it a little lower if you do direct debit for the monthly car payment.

At the moment, I can pay cash for a new car as well - Matchbox, Hot Wheels,
etc... lol

-Dave
SoCalMike - 27 Nov 2005 06:08 GMT
> I went last week to a Honda dealer to trade in my car for a new Accord

big mistake. sell your car private party first. unless its some piece of
crap you wanna unload quickly.

> Value Pack (VP, base  model). I was surprised by all their tactics to
> get the most out of my money. I don't blame the  salesperson because he

all salesmen are out to get as much money as possible. ive only met ONE
honest one, who was truthful and straightforward. he probably no longer
works there :)

> was nice and helpful, but I think the sales manager went a little too
> far  in his methods. I also have to say that after the deal was done,
[quoted text clipped - 9 lines]
> checked the car I wanted to buy and I noticed the cruise control was
> there.

half the time the salesmen dont know sh.t about the cars they sell. they
arent enthusiasts.

> 3) When we were negotiating the price he showed me the invoice price, I
> said the invoice price I saw at edmunds.com was lower. When he noticed
> I was not accepting that price he showed me that there was about $200
> marketing charge and accepted to remove it. Nothing bad about this part
> because I think dealers usually try to add these hidden charges without
> telling customers.

and prices DO change. what edmunds says and what the dealer says may
both be right, or wrong. "invoice" doesnt mean much anyway- its just a
number to make you feel better than if you paid full MSRP. which a lot
of people do.

> 4) After negotiating the price for my trade in and the price of the
> Accord VP, he came with a blank page  (where all the totals are
> calculated) for me to sign. I said I wanted to see the final numbers
> before I sign the page. I said I cannot sign a blank sheet for them
> later to add the totals. They accepted.

smart guy. personally, at that point i mighta walked. theyre sleazy for
handing you a blank document to sign.

> 5) Then he came with the same sheet with a total amount higher than
> what we negotiated. I told them that we had to subtract the amount I
[quoted text clipped - 3 lines]
> pen and had to do the subtraction in front of him and underlined the
> final amount. He accepted that amount.

yup- theyre a.sholes

> 6) At about 9:00 PM (they were already closed but there were still a
> few customers finalizing their deals), I was tired but happy when the
[quoted text clipped - 3 lines]
> deal. Not true, he got me financing with Honda. How can he run my
> information with 15 banks and come with a loan from honda financeing?

because they make more money when they sell you a loan through honda.

> Maybe I'm missing something here. Anyway he got me 6.6% interest which
> I consider too high but I still accepted. Maybe I should have got the
> loan with my credit union.

yes- ALWAYS have cash down instead of a tradein, and always have
financing lined up.

> 7) He showed my monthly payments at about $35 over what I estimated,
> and handed me a pen to sign. I asked me how can it be so high? Then he
> said I was getting the 7 years/100K miles warranty. When I insisted in

jesus mary and joseph- these guys are MAJOR a.sholes.

> how much it costed, he said $1600. He said if I don't take the warranty
> I'm taking a big risk if the car breaks. I asked him how can he tell me
> these are the best cars in the market and now he's telling me that I'm
> taking a big risk because they can break. Finnally he accepted to
> remove the warranty and I got the payment amount I wanted.

good for you! i like running that line by em, myself... since hondas and
toyotas are so "good" :)

what dealership was this, anyway?
pichula - 27 Nov 2005 15:36 GMT
Hi,
Just to add some info on my trade-in. Although some say negotiating my
trade-in and the new car at the same time was a mistake, I still think
I got a decent price for my trade in. The blue book (kbb) amount for
trade-in was 18,800 (in good condition, not excellent) and they payed
me 20,500 (that's what I asked them). The front bumper had a dent, so
it needed to be changed, the tires needed to be replaced, etc.

Anyway I'm sure they got the difference back with my new car. I just
found out about a person in California that got the exact same car VP
automatic tranny for $600 less (he got it at below invoice). It seems
invoice price doesn't mean much anymore.

Somebody asked me for the name of the dealer, I would prefer just to
say that I'm in Southern Ohio. Actually these cars are built in Ohio,
so I think I should have gotten a better price than the person in
California.

Anyway, let me add that at the dealer they had the Kally Blue Book web
page (kbb.com) in their PCs for any customer to check on their trade-in
values. I tried to access carpoint.com but the browser sent a message
"Access Restricted", or something like that. They also printed me the
value of my trade-in from kbb. com to show me. My question is, if they
are so willing to show kbb.com values, is kbb more on the dealers side?
or on the customers side? or are they neutral as Consumers Report. I
didn't trust very much those trade-in values they showed me.
Elmo P. Shagnasty - 27 Nov 2005 15:55 GMT
> Just to add some info on my trade-in. Although some say negotiating my
> trade-in and the new car at the same time was a mistake, I still think
> I got a decent price for my trade in.

1) It's not ALWAYS a mistake, but it's a very weak point in the whole
deal.  Eliminate the weak points.

2) you THINK you got a decent price.  Remember, it's the salesman's job
to find out what your hot buttons are and where you are weak.  He
discovered that he could get you on the trade-in price, while giving you
what you wanted on whatever your hot button was (new car price, discount
off of "invoice", extra accessories, interest rate, whatever).

Remember, the more things he has to work with, the more likely he--a
professional at this--will succeed at getting the TOTAL deal he needs to
send himself to Hawaii.

If you deal with him on ONE THING ONLY, like the selling price of the
car, you are on much more equal footing.  And if you decide on your
maximum price beforehand, and walk out the door when he makes it clear
he won't come down that far, then you are in TOTAL control of the deal.

But, the sheeple being stupid as they are, they generally don't walk
out.  And the salesman knows that.  He just beats you down a little at a
time, while your weakened state of strong desire makes you just say "aw,
screw it, where do I sign".

And when he has the old car, the new car, the trade, and the financing
to work with...he finds the things that slide right past you and he
pumps those up, while "giving in" on the things you seem to want to
focus on.

He does it several times a day, 6 days a week.  He's GOOD at that.  You?  
You do it once every few years at the most.  You're BAD at it.

So you learn how not to play his game, how to turn the game to YOUR
rules.  Rule number 1:  you have a max price you're willing to pay.  
Rule number 2:  you walk out regardless if he won't make that price or
lower.

But then he wants to jack things around with the financing, so that you
end up paying huge amounts for the car.  Why do you think he won't shut
up about "what monthly payment are you looking for?"  If you recognize
that question as legitimate, that's what he'll go for--because he can
hide EVERYTHING in a monthly payment.

Just say no.  "Well, how much does it cost?"  Don't say you'll get your
money elsewhere; make him give a final selling price for the car while
he assumes you'll finance it through him.  At the end, when he asks for
a credit app, that's when you tell him, "No thanks, I'll just bring a
check."  He may have THOUGHT he could get a little extra by selling the
financing (he gets a commission on that, too, you know), but he was
wrong--and now he can't go back and jerk the price of the car back up,
because he's already put it in writing.

But if you let him jerk all the numbers around all at once, he'll come
out with a maximum paycheck and you'll have spent another $5K that you
weren't planning on spending.
SoCalMike - 28 Nov 2005 01:28 GMT
> So you learn how not to play his game, how to turn the game to YOUR
> rules.  Rule number 1:  you have a max price you're willing to pay.  

and NOT a monthly payment price. they LOVE to ask how much you can
afford a month they can rejigger the numbers to make just about any
monthly payment fit.
Sparky Spartacus - 13 Dec 2005 15:57 GMT
<snip>

> But then he wants to jack things around with the financing, so that you
> end up paying huge amounts for the car.  Why do you think he won't shut
> up about "what monthly payment are you looking for?"  If you recognize
> that question as legitimate, that's what he'll go for--because he can
> hide EVERYTHING in a monthly payment.

When I was negotiating my '03 Accord the salesman asked me about the
monthly payment. I answered that I thought it was a function of the
amount financed and the interest rate - I think he wet his pants. ;)

Money was much cheaper then, 06/03, and the dealer gave me a rate of
3.64% thru Honda Finance, noticeably cheaper than anywhere I checked
(including the bank where I used to work). At that rate Honda's paying
to finance my car - I could have bought the car outright but I'm making
far more than 3.64% by keeping the principal in my investment account.
Elmo P. Shagnasty - 27 Nov 2005 15:56 GMT
> Somebody asked me for the name of the dealer, I would prefer just to
> say that I'm in Southern Ohio. Actually these cars are built in Ohio,
> so I think I should have gotten a better price than the person in
> California.

Nope.  Not at all.  That's not how it works.  The transportation fee is
set in stone, and it's the same in Ohio as it is in California.
Jason - 27 Nov 2005 19:13 GMT
> > Somebody asked me for the name of the dealer, I would prefer just to
> > say that I'm in Southern Ohio. Actually these cars are built in Ohio,
[quoted text clipped - 3 lines]
> Nope.  Not at all.  That's not how it works.  The transportation fee is
> set in stone, and it's the same in Ohio as it is in California.

Believe it or not, some (if not all) of the Honda cars sold in California
were built in Japan. I have a 1999 Accord and I found out that it was
built in Japan. One poster told me that it was less expensive to import
them from Japan than it was to transport them on trucks from Ohio. The
poster was probably guessing--I don't know the real reason. I do know that
special pollution control equipment is on all new cars sold in California.
The reason that my car was built in Japan instead of Ohio might be related
to the pollution equipment.
Jason

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Brandy  Alexandre - 27 Nov 2005 19:44 GMT
Jason <jason@nospam.com> wrote in rec.autos.makers.honda:

>> In article
>> <1133105809.491148.78470@g47g2000cwa.googlegroups.com>,
[quoted text clipped - 18 lines]
> related to the pollution equipment.
> Jason

Mine was built in Canada.

Signature

Brandy  Alexandre®
http://www.swydm.com/?refer=BrandyAlx
Well, would you?

Elmo P. Shagnasty - 27 Nov 2005 19:54 GMT
> > Nope.  Not at all.  That's not how it works.  The transportation fee is
> > set in stone, and it's the same in Ohio as it is in California.
>
> Believe it or not, some (if not all) of the Honda cars sold in California
> were built in Japan.

Honda doesn't guarantee that the Accord you buy is from Ohio; some are
from Japan, for whatever reason.

And the sticker price and transportation fee is identical, whether it
came from Japan or Ohio.
Gordon McGrew - 27 Nov 2005 22:57 GMT
>> > Nope.  Not at all.  That's not how it works.  The transportation fee is
>> > set in stone, and it's the same in Ohio as it is in California.
[quoted text clipped - 7 lines]
>And the sticker price and transportation fee is identical, whether it
>came from Japan or Ohio.

The fee charged is identical but for the purposes of Honda's cost, it
makes sense to avoid sending a Japanese car to Ohio, while sending an
Ohio car to California.  Not always avoidable but when it is...
Elmo P. Shagnasty - 27 Nov 2005 23:08 GMT
> >And the sticker price and transportation fee is identical, whether it
> >came from Japan or Ohio.
>
> The fee charged is identical but for the purposes of Honda's cost, it
> makes sense to avoid sending a Japanese car to Ohio, while sending an
> Ohio car to California.

There's much, MUCH more to it than simple transportation.
'Curly Q. Links' - 27 Nov 2005 20:45 GMT
> > > Somebody asked me for the name of the dealer, I would prefer just to
> > > say that I'm in Southern Ohio. Actually these cars are built in Ohio,
[quoted text clipped - 7 lines]
> were built in Japan. I have a 1999 Accord and I found out that it was
> built in Japan.

----------------------------

The 'J' on the front of your VIN is the proof that it came from Japan.
It's also printed on the stickers on the driver's door pillar. I've
never owned a non-J, but I'm in Canada.

'Curly'
SoCalMike - 28 Nov 2005 01:30 GMT
> Believe it or not, some (if not all) of the Honda cars sold in California
> were built in Japan. I have a 1999 Accord and I found out that it was
> built in Japan. One poster told me that it was less expensive to import
> them from Japan than it was to transport them on trucks from Ohio. The

not necessarily. is yours an accord EX? theres more margin on the
expensive models, so theyre more likely to import em and have ohio make
the "cheaper" models.
Elmo P. Shagnasty - 27 Nov 2005 15:57 GMT
> Anyway, let me add that at the dealer they had the Kally Blue Book web
> page (kbb.com) in their PCs for any customer to check on their trade-in
> values. I tried to access carpoint.com but the browser sent a message
> "Access Restricted", or something like that.

BIG warning bells should have rung in your head, and you should have
walked out.

You got taken--but the salesman was so good, you think you didn't.

That's his job, and he succeeded.  And you spent more money than you had
to, I can guarantee.
Gordon McGrew - 27 Nov 2005 22:44 GMT
>Hi,
>Just to add some info on my trade-in. Although some say negotiating my
[quoted text clipped - 3 lines]
>me 20,500 (that's what I asked them). The front bumper had a dent, so
>it needed to be changed, the tires needed to be replaced, etc.

Wow, you had a $20,500 trade-in on a Civic?  What was left to finance?
pichula - 28 Nov 2005 02:21 GMT
< Wow, you had a $20,500 trade-in on a Civic?  What was left to
finance?

The loan was payed in full and the remaining was applied to the new
car.
pichula - 28 Nov 2005 02:21 GMT
> Wow, you had a $20,500 trade-in on a Civic?  What was left to finance?

The loan was payed in full and the remaining was applied to the new
car.
speedy - 04 Dec 2005 17:45 GMT
Then they would have called you back the next day groveling with a
better deal.

You sure put up with a bunch of crap!

-pete

> I went last week to a Honda dealer to trade in my car for a new Accord
> Value Pack (VP, base  model). I was surprised by all their tactics to
[quoted text clipped - 61 lines]
> After the negotiation, the manager and sales person were very nice and
> helpful.
 
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