BMW - dealer would apply loyalty but not Lease Bonus Cash

Hi everyone,
I am looking at discounted loaners under 5000 miles. He is OK with adding loyalty to the discount.
But the Lease Bonus Cash ($3000 for 3 series) is a different story. States that a good part of that is included in the discount, which is offered if you finance.
But I don’t see any bonus cash for financing on Edmunds, only for leasing.

That would bring the payment ridiculously low if applied, it’s not even funny. So is this just Fear-of-low-payment from the dealer, or he really can’t add it?

Any advice? Thanks

Sounds like it could already be included.

Lease credits aren’t applied to the cap cost/ discount for BMW FS leases. They are disclosed as a line item in the contract under rebates/ incentives.

For October the rebates for financing are below (eastern region)
Retail Finance
Loyalty/ Non-Loyal Customer
$3,500/ $2,500

My example:

  • Retail Price:$41,695
  • Dealer Discount:-$12,695
  • Internet Price:$29,000

So you’re saying that $12,695 includes $2500, which would be for financing? That is removed when leasing the car and $3000 should applied instead?
Plus $1000 for loyalty of course

If you’re financing and a dealer is telling you there’s a $12k discount, then you should ask if it includes rebates. I’m assuming it does.

If it’s a lease, the lease credit isn’t included in the sale price/ or discount. It’s an incentive that’s applied after the lease is calculated. So let’s say your drive off is $2,500 (1st payment, $925 acquisition, registration, etc.). If you apply the incentive of $3k with $0 cash from you, there’s $500 left over that will lower your payment because the drive off amount has been covered. The $500 left over from the lease credits will lower your payment roughly $15 a month assuming you’re doing a 36 month lease. The sale price is not adjusted in this scenario.

But the selling price would become 31,500 right? Because all finance/purchase incentives would be removed.

Ask for a complete breakdown of the sale price. Either the sale price includes the lease cash or it doesn’t, the posted sale price might include the finance incentive that would be deducted if you lease. But yes they can both be applied to the deal if not already included in the sale price. It’s cash BMW gives to the dealer that doesn’t come from the dealer.

Back in July, when I leased my wife’s MDX, there was $2200 lease bonus, and $700 dealer cash. I used truecar to get quotes, and one of the dealers was kind enough to quote me two prices - one for purchase, and one for lease. The quote for lease was $2200 less than the purchase price. That dealer was 100 miles away.

I went to the local dealer with the truecar quote, and asked them to apply the $2200 lease bonus. He said the truecar quote included the lease bonus. I told him, no it didn’t. We argued for like 5 minutes and I even showed him the two quotes from the competing dealer. Then I started gathering my stuff; he said that he will go “talk to his manager”, came back like 5 minutes later, and said that they can apply the $2200 lease bonus on top of the truecar quote. They’ll squeeze whatever they can from you if they think they can.

Correct. Since BMW FS requires this type of finance rebate to be disclosed on the contract it’s applied “after tax” and does not change the sale price.

So in the grand scheme of things, realistically, I shouldn’t expect more than a $500 drop in the overall sales price, did I understand correctly? Remove $2500, add $3000.

For clarity you should ask for the sale price before rebates or incentives. Then you can see how they are applied. The rebates/ incentives (finance/ lease) do not change the sale price. They are applied in a rebate line after the sale price has been entered into their payment calculator.

So, it’s like pulling teeth, but gotta be nice still. He says, that with loyalty applied and lease bonus cash, the sales price is now $30500. States that it’s because they can offer a larger discount if I finance.

Monthly is $360 now.
Money factor stayed at 0.00182.

So, from 29000, with 3000 in bonus cash and 1000 in loyalty, went up to 30500. Essentially saying that their finance incentive was 5500.

Should I even bother here? This car really stood out in terms of initial internet sale discount, being 30.44% off. Almost as if they were trying to get rid off (clean Carfax though), I guess because it’s quite unattractive in terms of options.

It looks like a decent payment, but I don’t know the full breakdown of the lease. They should provide it to you. The money factor is the buy rate, so that’s cool.

True, taking a step back the payment doesn’t look bad. I guess I was hoping that they would be as aggressive in leasing it as they were in selling it. I asked for further discount anyway, if they really want to unload the car, they might do it.

Thank you all for chiming in.

Glad to help! Good luck