Definition of 1%.. let’s define it

Can we agree to say 1% for a good deal is based on a zero $ drive off? I’m talking taxes, DMV, acquisition, etc fees included. (Excluding MSD, of course).

Sick and tired of seeing people titling great monthly payments, only to see $1500-$2000 drive-off fees. That’s “Click bait.” That adds ~$50 to the monthly payment. Kicks it out of the 1% club.

Perhaps I’m the only person that thinks this way. I do give props when brokers advertise zero / sign and drive drive-off. (Minus first month payment)… then I really know what the FINAL price is

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Damn. Someone close my thread. :slight_smile:

Here’s my definition of the real 1percent deal!



Got to keep the mistress looking pretty all the time. She better cycle all the time. Wonder if it is energy efficient car and the cycling helps with range.

You can’t include taxes in the rule because the same deal that meets your 1% percent rule in let’s say Minnesota does not in California because of different tax rates and what’s actually taxed. Processing bank fee yes, but fees and taxes that vary by state should not be included.

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Agreed. I think of the 1% rule as…

Scenario 1 - Worst Case Scenario:
Upfront - tax, title, dealer, doc fee, 1st pmt (not acq fee)
AND 35 payments of 1% of MSRP + tax

Scenario 2 - Best case 1%:
Upfront: $0 (Sign and drive)
AND 35 payments of 1% of MSRP (tax included)

The more in demand a car - the more you have to be willing to be at Scenario 1… for EVs and cars that sit around - be at scenario 2

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Either zero drive off, or at the very worst, first month’s payment due up front.

I got scenario 2 on my Alfa Romeo Giulia with 9.5% tax (still under 1%)

I think 1% rule should be a true sign and drive.

I am in Virginia where the sale price of the vehicle is taxed on a $40,000 car that’s $1650 ~ or $50 a month rolled in. Even a 10% tax state on $400 monthly is better than that. So I get the exact same deal as you and because I live in Virginia the exact same deal doesn’t meet your criteria for the 1% rule. That makes no sense at all.

Unless the majority of states taxes the entire car, or the majority of forum members live in those states, the 1% rule should
Revolve around the standard - not the exceptions.

Those are my 2 cents.

I don’t know the exact number of states but it’s something like 1/3 of them. How do you reconcile different tax rates? Just tfb I live here everyone else should be like me? I don’t understand how you can try to set up a universal standard for the rule where part of the amount paid is not standard across states.

I’m not. I don’t think it’s 1/3 of the states… perhaps a handful…

As stated by @Warbeast , there’s always exception to the rule. There are better deals in bad tax states anyways.

More like 1% is impressive if taxes are included.

I came up with 11 including D.C. In 3 minutes of googling.

Come on, Conan. There is already a thread for this nonsense :grin:
And others, too.