Another Frustrating Honcker Experience

Signed Deals & Tips
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So, I have been following the 2017 Mazda CX-5 Grand Touring price on Honcker and the first time I signed up the price was too good to be true. I waited and did more research to check the authenticity of the app. It looked like it’s genuine enough as some people on here had a good experience, but the price went up by ~$25/month a day or two later.

I wasn’t in a rush to get this car, so I waited for 3-4 weeks and now the price went down to what I was comfortable with and placed the order on the app. I don’t hear anything back for couple of days but I talk to Honcker support about adding accessories and getting the car delivered vs picking up at the dealership and I get to know which dealership it is.

Honcker rep says he’ll find out about adding the accessory and 2 hours later I get notification that vehicle is not available anymore. Meanwhile, in these past 2 days since I placed the order the price has gone up by $20+ on the app.

I can clearly see that the dealer has more of the same vehicle available in the same trim, color, etc on the app and on their website inventory but they are not going to honor the price from 2 days ago. And Honcker is not going to do anything about it.

It’s really frustrating, seems like the app is no better than negotiating with a dealer directly. I thought it would be simple like they claim - few clicks of button and you are done. But, I feel like the dealer is playing games with me - increasing the price by $25/month and then throwing in $3 discount deal for next 6 hours.

Disappointed to say the least…

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sometimes the car is still on the website, but already sold…

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This experience is good to know. I downloaded the app and had been checking it frequently. Prices dropped considerably this week. But if they are going to deal in such a way (or if there is even the potential they will), I will pass. I have read more good than bad. But the problematic issues I read have been the same scenario (the car being unavailable after leasing through the app) - that indicates a consistent occurrence. I have witnessed plenty of the same make and model I am interested in, but if they play such games and refuse to honor the price stated when you initiated the lease; I want no part of it. The hard inquiry associated is the final “not worth it” to me. It is too risky. If you reported the company stepping in and honoring what they should, I would reconsider. But them not doing so equates to a bad business.

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But then how does one explain the quoted? One car, sure. But multiples suddenly all sold? It does not sound believable.

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So Honcker or the dealer can do a hard pull of your credit, and assuming the credit is where it needs to be, nobody from Honcker or the dealer is on the hook to provide the lease?

Sounds like Honcker would be on the hook w/ any court of law if sued?!?

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I think the issue is with them making claims that the vehicle you choose to lease is suddenly no longer available after going through a credit pull and final application process. When you think about it, a deal could be too good, and the dealership would not want to be bound to it. The deals presented to me are better than anything I have found online, specific to dealerships or not. Combine that with the fact that they deliver the car to you (provided you live in an urban area/within 25 miles of the dealership) and they may be offering more than the dealers are willing to give when all is said and done. An easy way out is just to say the vehicle is sold or leased. I am sure they would get you the vehicle if you started a lawsuit but who wants to go through all of that (and you would have to file suit in New York - it is what you agree to by using the service)?

I was cautious and read through all of Honcker’s FAQ before installing the app to make certain they only do a soft pull to browse lease offers. From their site:

When I register or search for cars does this affect my credit score?

No. When you register with Honcker, we do a soft credit pull from Experian. This does not impact your credit score at all. However, when you submit your lease, an actual credit pull will be done by the dealer to finalize your contract.

So I assume they know your credit tier upon installation as that is how they offer you with personalized monthly payment estimates (provided you give them your info as opposed to a friend, spouse, or family member). But I do not trust their wording on the following:

Which bank will be financing my lease?

In most cases, it will be the manufacturer’s finance arm. However, we scan lease terms from many financial institutions to get you the best possible price and terms. If there is a better deal with another lender we will contact you before we process.

I do not know if this allows them to do as some dealerships do with those who have poor credit and run your credit with numerous institutions. My credit is Tier-1 and should go through the manufacturer only. But without contacting them to confirm before hitting the lease button and providing all of the application information, I am uncertain if they would potentially do multiple pulls.

I am not interested in tanking my credit score through unneeded hard inquiries if that is indeed the case (which it may not be).

I nearly pulled the trigger this week, but I do not wish to end up in court battling over a car leased through an app. As said, the majority of reviews I have read are positive. But again, if there are negative reviews (and admittedly, there are few), they always mention what happened to @rdnrvn, happening to them.

My only other gripe is the limited selection of make where I live. I reside in the SF Bay Area, and they only have one make (four models) available. I found that to be interesting as this is where all of the biggest tech companies are, and it is not even close to a rural area. I emailed them (initially tried to chat with them four or five times in the app, but no one ever responded) and their answer was this is a test market. I was surprised by that revelation and would have waited to sign up had I known that. Others have complained about downloading the app, providing their information, only to find Honcker is not even available in their area (you will find this in the app’s reviews). So, that is a bit shady. They want your information for a reason. Otherwise, they would merely make the markets they are currently available in, readily accessible on their site.

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Multiple auto loan inquiries during a short period of time will not “tank” your credit score. Do some research, it’s the same for home and student loans. FICO products understand consumers are shopping competitive products and allow all related category pulls to count as “one hit”.

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They did not do a hard inquiry luckily. I would have been pissed if they had done that and then said vehicle not available. But still, they have my ssn and I dont know…maybe there are cases where they start processing the finance only to backout.

And yes, the dealer has multiple cars of the same trim and color. I got the Honcker rep to check if the dealer would honor the price, but the dealer wouldnt. Honcker said they are not brokers and they cant negotiate with them. The price is what the dealer sets and Honcker can do nothing about it. Honcker rep gave excuses like maybe the dealer set that price by mistake.

But seriously, the way the dealers fluctuate the prices on the app, they are playing games with you no different than actually negotiating. They show a lower price and then back out. Now they know how much I’m willing to pay for the car and they will try to get as much out of me as possible. They increase the cost by quite a lot and then lower it a bit few days later making it seem like a great deal. I dont expect the price to go back to what I ordered at … not for atleast a month or so as car prices do go down with time.

I’m sure this way they are getting customers who are in more of a rush than me to get a car.

Most disappointing part is Honcker lets them do this. They dont have any control over them and allows them to give us a bait and then switch as they please (even after placing the order).

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I agree disappointing and experiences like this will kill Honcker over time.

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I signed my sister up for Honcker and pulled the trigger on a Mazda CX3. I then receive a call from someone at Honcker stating that there was a problem with the price listed on the app and that the payment would ~$50 more. Then to add insult to injury a salesman at the dealer starts calling my sister trying to convince her to come to the dealership so he can “fight for her”. Honcker is absolute garbage!

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I have, @mattevan. I will not leave it to chance or in their assurances.

I am well aware of rate shopping inquiries. Credit scoring is one of many areas I continuously study, and I have read it go different ways with different people. If there is one thing you can say with certainty about bureaus, reporting, and scoring, is that it is not exact. There also seems to be no set criteria of days for this action. The period is supposed to be 30 days, but it can be as soon as 14 days or as long as 45 days. I do not trust FICO to detect rate shopping correctly and lump them into a single inquiry automatically. If something does go wrong, you are going to take a significant hit as you attempt to get the bureaus to correct the error. Those corrections rarely happen, and you are going to be the one possibly paying more as a result.

To me, it is not worth the risk. You find the vehicle you are interested in, negotiate the terms you want, and then apply for credit. If you know your score is top tier, you are going to get the deal you made.

@rdnrvn Very glad to know they did not do a hard pull. I still understand your frustration, however. The company makes some bold claims on pricing and convenience. But as you said, if what happened to you is allowed, it is no different than going at it on your own. To me, it also possibly shows the company’s true colors. To not go to bat for you on that price when it was not your fault is not right. It is nice to know Honcker’s stance and response.

If I can get them to confirm in writing, they will not do a hard pull in the same situation; I still may give it a shot. I am currently working with a broker who has certainly eased the leasing experience, significantly. However, I still would always like the option of getting the best deal.

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Wrong:

http://www.fico.com/en/blogs/risk-compliance/the-skinny-on-fico-scores-and-inquiries/

Also, FICO is not the Bureaus. FICO builds a model from the data the bureaus provide. FICO is highly reliable and accountable to the standards they define and publish (obviously, this can’t be said for TU, EQ, EXP).

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@mattevan

I am not going to click on links I had previously read on my own (again, that is what I meant when I wrote, “Credit scoring is one of many areas I continuously study.”). I am also not going to continue to go back in forth in another’s thread when it becomes off-topic, as it is disrespectful to the OP and forum members in general.

Of course, I too, already know the difference between FICO and the many bureaus.

The last advice I will give is to not go by what FICO states, but the experience of actual people who are subject to its model. It is precisely the same as the discussion in this post. Honcker can tell you what is supposed to happen and how it is expected to happen all they want. The truth is not in their words but the people’s experiences. FICO is no different. When you read that what is supposed to occur, does not (in a significant number of instances), I choose to believe experiences over words. Google can help you out with that (or you can learn by testing and being one of the people where those lumps became separate inquiries).

You have a beautiful day.

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Thanks, best of luck to you in your continued credit scoring studies!

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I agree with @BPitch. I wouldnt wanna be throwing around my ssn to Honcker and the car dealers through them if they are not going to keep up with the price they are luring us with.

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People read these forums all day and can’t replicate the deals. Honcker may not be perfect but people’s expectations these days are really unrealistic.

The reality is they are a startup and probably doing some guessing to try to nail things down and don’t have a lot of funding to be able to take the losses.

I’m no honcker fan boy and don’t have any dog in the fight but give them a break and calm down. It’s just a damn car. Relax and enjoy the hunt. Even the fastest cheetah doesn’t catch its prey every time it’s hungry.

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I’m not trying to replicate anyone else’s deal. I got my own deal, placed the order and now the dealer backs out of it after the order is placed.

I’m not saying they have to price match an older offer/price. I actually placed the order. 2 days later they say vehicle is not available. I understand that, could have been sold on the same day to someone else. But now the dealer has several of the same vehicle and they still want to charge the higher price. I would even understand if they didnt have more of the same vehicle but they do.

Honcker who signed up these dealers for their app let this happen and let the dealers get away with it.
All I’m saying is if the order is placed and dealer has more of the same vehicles, they should fulfill that order. Too much to ask?

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Are you sure the exact MSRP vehicles are really in stock? Dealers are generally terrible about updating their website inventory.

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Yes, exact same MSRP is still available on the app. Honcker rep has already told me to order again from the app or wait for the price to go down.

I understand they are a startup. Not asking them to take the cost difference. But have dealer honor price for orders already placed.

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Anyway, I think I’m done showing my frustration at this. Will continue the hunt. Thanks for reading/responding.