Not buying that either. First year depreciation is bone crushing on these BMW and Benz models.
Interesting that one can even lease that many cars…I guess I should be thankful since BMWFS seemingly has no problem with us having 3-5 cars out on agreements.
It was pretty shocking when i first saw it. Was shocked when i also got another approval. Buyer must have been half asleep.
2 Likes
I did note all those prices and yes almost TGTBT but if it’s there in print, it must be I suppose. I’ve seen plenty of these types of big splashes and splurges on social media with professional looking production; hence making me believe that there are other angles such as this young lady perhaps being or aspiring to becoming a volume type SM influencer.
Purported 72 months finance in those kind of new cars and their price ranges at those prices albeit at assumed “deep volume discounts” doesn’t make much sense, even if you allow a generous 50% rental occupancy per vehicle per month! But then again, I’m an older wolf not used to the new paradigm of: Moving fast and breaking things!
I know someone who applied for 12 leases in a single day to start a rental car business and got approved on all of them. Key was the timing, none of the lender had any way of knowing probably. It was a mix of luxury and mainstream cars and SUVs.
4 Likes
Don’t they ask on the application? I remember the mortgage paperwork asks if you have other loan applications open.
1 Like
A lot of the Turo success stories are from the early days, lots of arbitrage. People with $99 Cruze leases etc.
As mentioned, many lease contracts forbid it. And/or your car insurance may exclude it (even through Turo does allow you to cover your car by taking a smaller cut).
I did two turo rides with my CMax, no issues. My old lease agreement didn’t forbid it, my understanding from Ford is that they do now (did not see a new agreement myself but called and discussed).
There is a guy here in San Diego with six Porsche convertibles 2013-2016, all used, that he rents on Turo. He started with 1 (his daily) and it was so busy he got others. Has a Panamera as his daily driver which isn’t on Turo. Not judging but his apartment rent can’t cost more than the payment on one of his convertibles. Nice guy, claims they all make money.
There is also a (not so secret) Turo broker here: you have to know the owners, they rent a lot near the airport, you give them the keys and they do EVERYTHING for a little more than Turo charges. A buddy of mine has several cars with them.
1 Like
::sigh:: What’s a little fraud among friends?
2 Likes
I am also in San Diego but I can easily do OC too. Just looked up San Diego for Porsches and only see 6 x Porsche vehicles available, but from different punters! Some owners seem to be off their rockers with what they would want on say a 2013 Boxster! It could be that the guy who you know has all his Porsches out on the road already!
Seems that there could be a bifurcation in strategies: some folks don’t want the average run of the mill rental type cars, those readily available on most rental car cos lots. Maybe that’s why the girl from OC is offering high-line models. I’m definitely intrigued and fishing! Could very well be a flash in the pan but I’m not open to such proclivities as putting $250K or so into 5 cars which fetch at most $100 or so per day which they are in service. If this is their business model, it is rather stupid!
1 Like
And since a little fraud is so rewarding, why not take the next step, ie a lot of fraud. Surely more rewarding!
1 Like
As long as payments are made the bank rarely act upon the discovery of such fraud. On the other side of the scales, if these leases go belly up shortly after the first month payment, someone will pay LOTS of attention. Of course if someone does it correctly, i.e, by way of writing a business plan which is actually worth the paper which it is written on, there is no reason as to why this can not be done legally and properly once the owner of the business shows his own scheme in the game, but this method I suspect is a far fetched scenario.
Once the cluster of leases show up on the borrower’s credit reports, in 95% of the time the score will drop so substantially that this borrower may not be able to lease anything till the old leases drop off. Maybe the kind of people who are doing this in a careless manner, are using straw-men for their sketchy lease deals.
Right: they would lease the car in the business’ name/tax ID, which is reviewed/underwritten differently than a personal loan.
See also:
1 Like
Anyone had GOOD experience with Turo?
I am scheduled to rent something for our wedding later this month, the reviews so far have been good
1 Like
Dude, whatever…you wanna commit fraud at least get off the public forums. The others are joking, you seem to take it seriously.
4 Likes
If you’re renting you’ll most likely have a good experience.
1 Like
Huh?! Dude!
Porsche guy I mentioned: a friend who was in town rented a convertible for the weekend. 5-star host and he was great.
1 Like
I wonder how many loan companies?