Hi guys. My sister is about to sign on this deal. Her credit isn’t the greatest and this what the dealer offered. She is trading a 2003 Honda Pilot and they are offering her $15,500 for trading value. Where else can she try to negotiate? She is a mom of 3 and needs a good as just relies on her nursing salary.
TIA
What’s the MSRP?
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She doesn’t want any of this. It’s all garbage.
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MSRP is $46,200 plus the tints, dent protection and appearance protection.
Why do you think it is garbage? Do they usually deny any repair? She lives in Texas and they get tons of dents plus salt damage from the beach.
If you read their dent protection agreement, it has limitation about what they will fix, and what they wont. It is garbage, because most people won’t be using it. Even if you ever need such repair, it will be way cheaper than what you are paying for this warranty.
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If you dont believe that these stuff are garbage, then good luck for getting robbed in the finance office.
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Not a car I’d pay sticker+ for but I’m somewhat disconnected from the pseudo-domestic market.
I’d get the extra product knocked off at the very least.
Also, HOLY crap that interest rate!!!
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Me with my physician salary can afford a different level of car, but I wouldn’t bash on her for liking a Pilot. She has three kids under 10 and a pilot suits her needs, and needless to say, her budget. If she gets the ancillary products taken off, she will just be paying MSRP. Do you think MSRP still good?
It’s not even about the level of car but this is just a terrible deal all around.
If there’s a better interest rate to be had and they’ll knock off the products it’d be a substantially better deal even at list price.
Look at the totality of payments…
60m, $44,340 ($59,840)
66m, $45,408 ($60,908)
72m, $46,512 ($62,012)
Does that seem fair considering she’s trading in a $15,500 car for full equity?
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Thank you. I am confused about totality of payments. Are you able to explain what that means to me? I need to explain it to her.
Should I have her consider leasing it now and then buying it at the of the lease? Pros and cons? Also, they are lowering the interest rate down to 8%
Multiply the months by the payment and add the trade in equity of $15,500.
Pretty outrageous.
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What is her actual credit score? Beside the garbage add ons, interest is making this deal expensive. Hard to say how good or bad a deal is, if it’s dependent on financing and you don’t know her credit score.
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Her credit score is 600 now. She had some trouble with her student loans that lowered her score.
Best advice is probably not to buy a new car at all right now. That seems like it would be a lot of debt for a depreciating asset relative to her income. What’s wrong with the current Pilot? It can’t be too bad if the dealer is showing $15K for it. I’d drive that till my credit score improved. Are late payments driving the lower credit score or something else? You say she had trouble with student loans. Is the trouble resolved now and her score may improve significantly in the near future?
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The rate isn’t bad for 600s.
But she could do better on the price right?
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No, it’s a Honda, not BMW. Maybe $1,500 off, but that’s really it
Her current car is literally falling apart! It will need a new transmission, tires and it is always breaking down. It has 160k miles. She is impressed with the trading value. Most other dealers were offering her much less money. I agree with you guys. I told her to tell them to remove the ancillary addons and they are also going to lower her rate down to 8 percent. Maybe even 7.
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