Easy Question about MF/RV Dealer Markup

Went casually test drove the XT5 Premium Luxury today and really liked it. Have 2017 Jeep Grand Cherokee got an offer 15k over what I owe. Yeah that’s an easy sell decision. Sat down and ball parked the #’s with the nice lady at Cadillac.

I’m now home and not getting anywhere close to the #’s she got even with all the Fee’s etc etc. I’m guessing they’ve massively marked up the MF.

How do you bring up what Edmunds quoted at for MF & RV without being a total snob. Is it as easy as saying look Edmunds has the MF & RV at this or do I ask what theirs is then counter with Edmunds.

Cheers

Jambo

I’d just point out what the base money factor is and ask them to quote that. There shouldn’t be any reason you have be subtle about it.

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The rv can’t be manipulated. Mf can be marked up.

Ultimately, it doesn’t matter though. Use the rv/mf/incentives from Edmunds to set your target price. If they get to your target price, who cares if they mark up the mf on the way to it? If they don’t get to your target price, who cares if they charge more than you’re willing to pay but do it at buy rate?

You’ve already started off by asking them how much, not structuring a deal that reflects something fair you are willing to pay.

You’ve lost control of the deal, being tactful doesn’t put you back in control (neither does being a jerk). Get the numbers, work the numbers, make an offer for what you’re willing to pay. If you need to flush this dealer and start over, so be it.

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I was given the Rental Fee so silly me I can figure out what MF they’re using with that formula.

They’re using .00072 while Edmunds has is at .00016 goodness that’s robbery.

It’s a mark-up but .00072 is only an interest rate of 1.7%. They give you the good price and move the money elsewhere.

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In the future, you should never talk numbers with a dealer before you already know what you should be paying.

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did you make sure you got the Edmunds MF for your zip code/region? If you got it by going to their forum and just picked one from another region or from previous month then it might not be accurate.

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Yeah it was dealership zip code I used.

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How do you know that the Jeep isn’t worth $25,000 more than what you owe?

Your loan balance and the car’s value aren’t connected. :slight_smile:

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General Motors uses the address of registration for their programs, not the dealership. That said. MF and RV are national. It’s the incentives that change.

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Do you have a copy of a quote? Given the relatively low MF (even with the markup) If you are inputting everything correctly on your end and coming out miles apart it’s most likely A) The dealer is marking up the sales price B) You double counted incentives or C) Both

Have gotten quotes from Vroom, Jeep dealership & CarMax to buy my Jeep. Used Car values are so high it’s crazy

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Can’t recall the last time I saw a deal on these. Not sure it was the right candidate to target.

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