So, he did residualize it(I didn’t ask how he was doing it) but I was told $1595 for 3yr/30k prepaid maintenance. That comes to 30$ pm after residualizing.
Though, read some posts here on leasehackr, and built a similar car on mbusa.com. The same service plan costs $1020 on official website. After residualizing, should be ~ $520 which makes it ~ $14 extra per month.
Am I calculating something wrong the way I am residualizing the prepaid maintenance?
No it does not make sense to pay in advance for maintenance on a 3yr lease if a new car. Don’t confuse maintenance, which is basically oil changes, with the warranty, which your car will come with that covers most mechanical issues.
Why would you buy a new car that allegedly costs 500 a year to maintain? Unless it’s a Bugatti, it doesn’t.
To put it another way. Ask the guy who’s peddling that service plan: what specifically needs to be done on an annual/mileage basis and how much does each service cost?
I don’t sell cars, but all of my MBs have been at least $500/yr just for a single annual service (I barely drive 10k mi/yr), if not more. They were all taken to the stealership for service.
If you take it to a good independent mechanic and keep the work orders and receipts, that would presumably be much cheaper.
I think you were exaggerating for effect, but I doubt a Bugatti would only cost $500/yr for maintenance.
And routine, expected maintenance is NOT covered under the warranty (or, at least it wasn’t when I had an MB).
$1595 sounds marked up for the maintenance, especially on a glc300. Great deal regardless, I’d add the maintenance if it’s residualized at the correct price.
It’s residualized at the buy rate. I talked mine down from $20 to $15 a month for only 35 months. That’s about break even with an independent shop but I get loaners at the dealer.
This will give you the buy rate on the prepaid maintenance that would be residualized. Your 2-year/20K is $785 and 3-year/30K is $1,020. Anything more is the finance guy’s commission and is not residualized.
Yeah I was told consistently across dealers that it was $20 a month for my 2-year plan. It’s amazing what happens to the price when you say no. $20…$18…$15.
Good luck! I am basing my comments on how my contract worked out with the additional prepaid. I can’t imagine it’s done differently depending on the dealer.
Dude, I said don’t confuse the warranty with maintenance and you replied to my post doing that exact thing.
There’s no way a mbz oil change costs close to $500, and that’s all you’re gonna need the first year. What, exactly, do you think your saving by paying upfront 1500?
If a brand new vehicle that’s less than $100k costs $500/yr to maintain, don’t buy it. You don’t have to take it to the dealer btw for an oil change.