Hi,
thank you all for chipping in on this thread.
Few questions i have,
Can i apply Loyalty, Conquest and CCA on a loaner or demo lease? Dealer mentioned i cannot apply Loyalty and Conquest together and i came across on the thread that CCA is not applicable on Loaner/Demo. Please enlighten me.
I meant in general and psychologically. The discussion has left the BMW brand in particular as I was speaking broadly.
Loyalty or conquest (one or other) can be used on demos/loaners with less than 5k miles. Once over that number, BMW drops the rebates (dealer can sometimes get exceptions from BMW). The CCA cannot be redeemed for loaners with more than 1k miles.
One-pay is better when you can get a tax credit for it (Texas)
I believe for Audi, there is no benefit for one-pay either. The MF reduction is the same for one-pay or max 10 MSDs.
Most MSDs are a minimum of 6% annual savings, but usually closer to 8-10%.
Honestly, if I could help others using MSDs and save them 10% and keep the other 90% of the savings, I would do that. An MSD through MB or BMW is as close to a guaranteed return as you can get. You know what other guaranteed returns get? Itâs a fraction of that for an FDIC backed CD, and will continue to go down since we live in a world of easy money thanks to the Fed. Peaked around 2.5-3%, yes, give me the 8% 8 days of the week please! As I said, silly to not use them. I stand by an argument I made in another thread; if you canât put the MSDs down, the car is too expensive for your income/assets (and honestly, it shouldnât even be an issue at all if youâre smart with your money). There could be some one-offs, but as a general rule for a financially sound individual planning for the future, I feel thatâs a pretty good rule of thumb.
IIRC with audi the first security deposit does nothing, so the 10th gets the reduction down by .0045. One pay reduction is .005.
Do you agree with me that if one has a mortgage note, especially in the first 3rd of the 30yr note, that the savings are much better if the MSD money goes to the principal. Inflation is really UNofficially closer to 4+ than the 2 or so per annum. The fixed guaranteed rates on your money in US is already pitiful and a guaranteed inflation adjusted negative return.
I take proactive approach in making my money work so perhaps I am simply speaking from my point of view and active money management. And from that point even the ability to move in and out liquid investment and contracts is a priority as 2008 has taught me.
To each his own. I understand your point.
I understand your point, but weâre in a world of low interest rates - any smart consumer has an APR of < 4%. However, thereâs also an unquantifiable mental aspect to lowering ones mortgage.
Nonetheless, I look at an MSD as a guaranteed return. I can either pay $600 or $550 as an example - I need to figure out a way to monetize those saving on a larger scale. Unless you think MB is going to fold, thatâs a pretty secure ROI.
I think that it is going to be possible to get a loaner X5 for under $700 a month including tax (Socal).
I have gone to two dealers already and both dealers were within a few dollars of each other. The second dealer is willing to to discount the car a bit more to keep my business.
1st dealer:
2019 X5 MSRP of about $66,xxx.
Discounted to $58,000
36 month 10k miles per year
$2k out the door (thatâs it no extra MSD or anyting else, includes 1st payment and all taxes).
$699 per month
2nd dealer:
Here are the specs on the 2019 X5 that i am looking at.
MSRP $65,xxx.xx
Discounted to $57,xxx.xx
36 month 10k miles per year
$2k out the door (thatâs it no extra MSD or anyting else, includes 1st payment and all taxes).
$698 per month (dealer will go down more to keep my business - probably to $680. TAX inlcuded)