I spoke to a dealer near me and they said as long as they can confirm the name on the registration with the one on the new lease, you’ll get loyalty. It might be different to try and get loyalty for the same household if the person who owns that Mercedes isn’t on the new lease.
Hey all. I try to read through the thread to make sure my question isn’t redundant but I know Mercedes update their program from time to time so forgive me if this has already been confirmed.
fleet + loyalty = stackable ?
Fleet and loyalty stack.
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That’s great, Thanks.
Regarding PPM for AMG models
AMG Entry Performance models (35/43/53) may residualize Prepaid Maintenance, I.e. add the PPM contract’s MSRP to the vehicle’s MSRP before calculating the residual value. Add the PPM contract’s selling price to the net cap cost.
• AMG 45/63/65 models’ PPM may not be residualized.
the benefit should be $500 more than the current incentive available on the vehicle, generally speaking it will be $500 difference from applied incentives for a non fleet member to a person who does not qualify for fleet. It may show the $2000 on the united form however if the incentive is already 1500, it would be $500 more. Hopefully makes sense.
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I owned a C300 lease through a third party captive and turned it in a couple of months ago (March) would I qualify for loyalty? Also to add to this, on edmunds there is currently a $4,500 dealer incentive for C300 models. Would this stack w/ loyalty and Penfed?
4500 is only if you buy the vehicle and finance with a bank not with MBFS
November programs eliminated loyalty however if they still have, you will not qualify because you are financed through a third part captive not MBFS
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I’ve never heard of anyone leasing a MB via a third party bank. Which bank was it?
“third party captive” is a self-contradiction.
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It was with my credit union
Wow I remember the days you could lease any car with NorthWest Credit Union TAX FREE! I hope they bring it back again.
I’m looking to lease a '21 GLC, I’d like know if anyone knows of any current incentives such as loyalty or conquest. I have tried looking on other sites and not finding any. Dealership has told me there’s $500 manufacturer to dealer but it cannot be combined with the 1500 ABA incentive. Does anyone know if they can currently be combined? Thank you.
Can’t be combined. No other incentives available
Much appreciated. Glad to know what the guy I’ve been working with is telling me has been above-board. Thanks!
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2020 Courtesy Vehicle Program
We at Mercedes-Benz are ‘Driven to Delight’. The Mercedes-Benz brand represents exceptional customer assurance and we are committed to providing the utmost customer care to each of our clients. The 2020 Courtesy Vehicle Program is one more way that Mercedes-Benz will continue on the path to exceed customer expectations and strive to be the best in the JD Power customer satisfaction surveys. Our product quality, service opportunities, and customer recognition reflect our promise to deliver “the best or nothing”.
Program Overview
The Mercedes-Benz Courtesy Vehicle Program (CVP) is one of the best ways to improve customer satisfaction during service appointments and at the same time create new sales opportunities. To help accomplish this, Mercedes-Benz USA is pleased to announce the launch of the Courtesy Vehicle Program (Use Code: L0) commencing on January 4, 2020 thru January 3, 2021. This program allows dealers to designate vehicles from their new car inventory as loaner vehicles for customers that are having service performed on their vehicles. Dealers should ensure that their current CVP fleet model mix reflects what is being sold at retail to increase the likelihood that your service customer will receive a comparable vehicle.
Courtesy Vehicle Program Highlights UPDATED:
Cash Allowance
All MY20 CLA-Class
All MY20 GLB-Class
All MY20 GLC-Class
All MY20 CLS-Class
All MY20 GLS-Class
$2,800
$2,800
$4,300*
$5,250
$6,250
$7.67
$7.67
$11.78*
$14.38
$17.12
Model Year Cash Allowance Daily Rate
All MY20 A-Class $2,600* $7.12*
All MY20 GLA-Class $2,800 $7.67
All MY20 C-Class $4,300* $11.78*
All MY20 GLE-Class $5,150* $14.11*
All MY20 E-Class $5,350* $14.66*
All MY20 S-Sedan $10,000 $27.40
*Updated 2020 rates; only applies to vehicles placed into CVP Service on or after January 4, 2020
Ex – CVP’s that meet their minimum service requirement are eligible to utilize either current month New Car Programs or Certified Pre–Owned Programs unless otherwise stated in the program announcements (please refer to the monthly notices).
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CLA-Class, C-Class, E-Class, GLA-Class, GLC-Class, and GLE-Class units that have met their minimum CVP service requirements and are certified will qualify for eligible CVP CPO Special APR rates that are in effect at the time the vehicle is retailed as a CPO unit.
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Dealer Reserve & Dealer Performance Bonuses is funded to the dealerships at 100%
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Use code L0 is based on the allowance chart mentioned above.
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Courtesy Vehicles must stay in service for the full twelve months in order to receive the full Cash Allowance listedabove. The Cash Allowance will only be paid in monthly installments by using the corresponding Daily Rates. The Daily Rates are calculated by dividing the Cash Allowance by 365 days.CPO Low Mileage Base Warranty Fee Reimbursement
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CPO Low Mileage Base Warranty Fee Reimbursement will only be awarded to dealerships if an ex-CVP was maintained in CVP service for a minimum of three months (90 days) and was correctly retailed as MBCPO without using new vehicle support programs. The CPO Low Mileage Base Warranty Fee Reimbursement is only compatible with current monthly Certified Pre–Owned Programs. The CPO warranty will take effect after an Inspection and Certification Report is completed in Star TekInfo and the unit is correctly retail reported as CPO to the ultimate consumer. The CPO Warranty Fee will be reimbursed the month after the CPO retail.
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Please see below 2020 warranty fee reimbursements per CPO guidelines:
2020 Warranty Fee Reimbursement Detail
Class Low Mileage
A, CLA, C, GLA, GLB, GLC, E $595
CLS, GLE, GLS $795
S $895
How the MBUSA 2020 Courtesy Vehicle Program Works:
Eligibility and Enrollment UPDATED
All dealers are eligible to participate in this program and enrolled dealers must consistently utilize one of the four Certified Providers (ARSLoaner, Dealerware, Logitrac, or TSD) via their corresponding software. To participate, each dealer must complete the enrollment form, located at http://mbdealerdigital.com/CourtesyVehicleProgram.
Program Compliance UPDATED
To maintain the integrity of the Courtesy Vehicle Program, MBUSA requires the following conditions are met to ensure proper usage:
- Enrolled dealers must consistently utilize the loaner software of their chosen Certified Provider (ARSLoaner, Dealerware, Logitrac, or TSD)
- Courtesy vehicle units must be utilized regularly - minimum of once per month - with loaner agreements consistently documented in the loaner software.
- Courtesy vehicle units are restricted to customer usage: personal use by dealer personnel, management, or spokesmen for the dealership is prohibited
- Although priority is for service customer usage, sales loaner and rental* utilization is permitted however recordkeeping in the loaner software is required (single vehicle subscription services are prohibited). Dealers will be subject to chargebacks for any violations
- Dealer must maintain their Courtesy Vehicle fleet in-house.
- Dealer must maintain a fixed fleet of 100% Mercedes-Benz vehicles.
- The Dealer agrees to provide Courtesy Vehicle Program vehicles or other means of transportation at no charge toservice customers with a warranty repair labor time greater than two hours, regardless of where the vehicle was
purchased or previously serviced. Dealer may also provide to other customers at its discretion, as long as they
meet the above requirements.
- Dealer will not provide or offer Courtesy Vehicles that directly compete with Mercedes-Benz vehicles.
- Dealer will update the mileage quarterly within VISTA for all vehicles under the Program.
- MBUSA reserves the right to cancel, amend or revoke the program at any time at its discretion.
- MBUSA reserves the right to determine the appropriate Courtesy Vehicle Program allocation for eachparticipating dealer. Dealers also have the opportunity to request additional Courtesy Vehicle allocation with a business case to support its request for additional allocation provided at the beginning of the annual program. MBUSA in its sole discretion shall determine whether to provide the additional allocation as requested by the Dealer. Dealer further acknowledges that once the annual allocation is determined and placed in NetStar, MBUSA will not increase the annual allocation during the course of the calendar year without a supporting business case.
- MBUSA reserves the right to audit dealer’s records at any time and chargeback the dealer for non-compliance with program procedures or rules and non-consistent usage of vehicles.
- All vehicles provided in Courtesy Vehicle fleets should be kept clean, fueled and in proper operating conditions at all times.
- Dealer agrees to comply with all other program rules as outlined by MBUSA, including maintaining Courtesy Vehicles in Pre-owned Inventory and in their respective loaner software.
- In case of dealer termination, all allowances paid for Courtesy Vehicles that have not fulfilled their minimum service requirements will be charged back to original dealer if replacement dealer chooses not to assume the fleet in the buy/sell agreement.
- Dealer choosing not to enroll during initial enrollment will forfeit any participation in this program during the calendar year.
- Compliance to the program rules is vital. In cases where it is discovered that certain rules or guidelines are not being followed, the following will apply:
o SalesOperationsManagers(SOM)willdiscussthefirstnon-complianceoccurrencewiththedealer principal and establish a plan to cure the situation. The dealer may be asked to provide supporting documentation in order to prevent program removal or suspension.
o Continuednon-compliancewithrulesandguidelinesprovidedbytheprogramcanresultinremovalor suspension from the program for a period until which it is determined that the situation is cured. Reinstatement will then only occur upon re-enrollment in accordance into time frames and waiting periods established for the program.
Dealer must not be in material breach of the terms or conditions as defined within the current Mercedes-Benz Passenger Car and Light Truck Dealer Agreements.
Allocation
Sales Operations Managers (SOM) will provide each dealer their 2020 Courtesy Vehicle Program allocation by January 2020. This will be displayed in NetStar under Sales → Inventory → CVP. Dealers are solely responsible to obtain units from their new car inventory and place them into their CVP fleet. It is the Dealers’ exclusive responsibility to ensure that they have sufficient and proper inventory to meet their CVP needs on a monthly / annual basis. When a vehicle is retailed as an in- service CVP unit, dealers will be eligible to receive PPV, DDR and TAP credit for such vehicles.
*Vehicles may be placed / removed into service any time throughout the year; however, a dealer may not exceed their assigned annual Fixed CVP Fleet size.
- Subject to Change and dealer must adhere to state and local laws related to vehicle rental requirements.
Mercedes-Benz USA, LLC reserves the right to change the terms and conditions outlined in this program. Any violation of the terms outlined in this guide may result in the termination of a dealership’s participation in the program and a full chargeback on all allowances / incentives.
Updated 1/2020 5
Model Mix Requirement
A model mix requirement was put into effect so that no single type class will represent more than 40% of any one dealer’s CVP fleet. The 40% limit will be calculated using the type class level (i.e. C-Coupe put into CVP service will not be counted as the same class type as C-Sedan). This will be monitored on a monthly basis and the purpose of this requirement is to ensure each dealer has a reasonable balance of varying models in their CVP fleet. If a dealer reaches their type-class limit and places additional vehicles of that same type-class in their CVP Fleet, the dealer will receive chargebacks for the vehicles over the limit.
Minimum In-Service Requirements
To begin receiving the daily CVP allowance, a vehicle must be retailed in NetStar under the 2020 Courtesy Vehicle Program (L0) and it must be in service for a minimum of 90 days. Vehicles will receive a daily CVP allowance based on days in- service at the end of each month. Once a vehicle is removed from the Courtesy Vehicle Program, it automatically becomes an ex-CVP, will be located in the dealer’s Pre-Owned inventory, and cannot be added back into CVP. Any CVP unit removed prior to 90 days of service will not be eligible for any CVP allowance, not be eligible for New Car Programs, and is subject to Daily Rate chargebacks.
Maximum In-Service Requirements NEW
Beginning January 2020, all vehicles in CVP service for more than 365 days will be removed from the dealer’s CVP Fleet in NetStar. These vehicles no longer receive Daily Rates and removing them will allow the dealer to place a newer model into service. The dealer will still have the ability to use the removed unit as a Courtesy Vehicle and should document its use within their respective loaner software.
Vehicle Allowance
Courtesy Vehicles put into service receive an allowance based on the class. The Daily Rates for each unit in service will be paid at end of each month via EFT and payment details can be found in MSS. The list of eligible models and their corresponding Daily Rate can be found within the Cash Allowance section of this guide. To receive the full allowance, Courtesy Vehicles must stay in service for the full twelve months of service commencing from the retail date that the vehicle was put into service. CVP units are required to spend a minimum of 90 days in order to qualify for CVP New Car Programs or Certified Pre-Owned Programs.
CVP Reallocation of Unused Slots
Don’t lose your CVP slots!! MBUSA will review each dealership’s average CVP slot utilization for the prior quarter and remove 50% of the average unused slots from the dealership’s maximum slot allocation. The removed slots will be reallocated to a central pool available for dealers with a business case request. Please see your SOM for further details.
CVP Payment Example:
2020 Process Example L0: MY20 E-Class put into CVP January 30, 2020 and removed from service July 1, 2020 will be prorated as followed:
*Please Note: Days In-Services are based on, ‘Date of CVP removed from CVP service’ – ‘Date of CVP added to the CVP’ – 1 day. In order to certify a fair process, all dealers are subjected to the 1-day policy to ensure that all dealers have the same time to service and prepare the CVP unit to be in- service.
Updated 1/2020
Dealer Performance Bonus (DPB) and Refund of Dealer Reserve
- MBUSA will initiate an Electronic Funds Transfer (EFT) within two business days of the DDR to credit the appropriate Dealer Reserve funds and Dealer Performance Bonus funds for deposit into the dealer’s account.
- When a vehicle is added to CVP, the dealer’s Performance Bonus and Floor Plan will be paid the next day via EFT. The DPB reports are generated and posted to NetStar at the end of each month.
- If the vehicle is removed from CVP service before 90 days, the DPB and Floor Plan will be charged back and will be paid through the normal payment process.New Car Extended Limited Warranty
Courtesy Vehicles will be eligible for New Car Extended Limited Warranty as long as vehicle is under the new vehicle warranty.
Dealer Shuttles and Roadside Assistance Program (RAP)
- Courtesy Vehicle units designated as dealer shuttles must be registered and documented in the loaner software to reflect usage.
- RAP vehicles must also be retailed as Courtesy Vehicles and documented in the loaner software. These vehicles will continue to follow the same rules and will receive the same allowances as provided by the current Courtesy Vehicle Program.
- Please note the following requirements and processes:
o VehiclesmaybeeitheraGLE-Class,GLS-Class,GLC-Class,orMetrisinwhiteorsilver.
o UponplacingthevehicleintoCourtesyVehiclestatus,theServiceManagershouldorderthevehiclewraps
through NetStar under Links Management by searching for Roadside and clicking on the CAC Roadside Assistance Program link in the Services menu. Your customized wraps will be ordered through JMC Design & Graphics and will be sent to the Service Manager’s attention. The Service Manager should also notify the CAC Roadside Supervisor or a Distribution Liaison with the unit’s VIN.
- Click on “My Links”, then “See All”
- Search for “Roadside”
- Select “CAC Roadside Assistance Program
Updated 1/2020 7
Damaged / Total Loss CVP Units
Any unit that has been determined inoperative due to damage or total loss must be immediately reported to the area’s SOM and an MSS inquiry must be generated with the damaged / totaled full VIN along with the replacing full VIN. In addition, in case of total loss please provide documentation such as a copy of the police report and a copy of the insurance claim to MBCVP@mbusa.com. It is important to specify the vehicle’s VIN and replacing VIN in order to avoid chargebacks for the totaled unit.
Updated 1/2020 8
Accessing Courtesy Vehicle Program Information via NetStar
For the 2020 program, Courtesy Vehicle Program announcements will be available within the general or the links section of the NetStar.
Once the page is loaded, in the ALL field search box type in Courtesy Vehicle Program and click on the magnifying glass or click on the My Links icon on the top right side of the page and select SEE ALL. If selecting My Links, type in Courtesy Vehicle in the AVAILABLE LINKS field to see all relevant CVP information (forms, guides, etc.).
Search in “All” field or Click on “My Links”
Updated 1/2020
9
Putting New Units in the Courtesy Vehicle Program
After accessing the NetStar home page, click on Inventory and select a new vehicle to add to the CVP fleet.
Click the DDR action button to load the DDR screen.
Updated 1/2020 10
Choose the CVP sales program by clicking the Add button next to Sales Program and selecting Courtesy Vehicle.
Complete all required fields for DDR and submit the DDR to complete the process. Note: the current dealer is automatically assigned as the Customer.
DEALER NAME
Updated 1/2020
11
Courtesy Vehicle Program Reporting
After the DDR, the vehicle will be visible in the dealer’s pre-owned Inventory as a Courtesy vehicle
The Courtesy Vehicle History screen can be accessed by selecting Inventory and CVP as displayed below. This screen shows the Active and Allowed (Max) CVP Fleet Size, model, VIN, program use codes (i.e. L9, L8, L7, etc.), the date added to CVP, and the number of days left in the program.
10 10
Updated 1/2020
12
Program Years and Codes
The Courtesy Vehicle History screen also shows the Program Year in which a vehicle belongs. This can help to quickly determine which vehicles are part of previous or current year program.
The fourth column Use Code identifies the particular year’s program. All vehicles with an ‘L0’ use code are part of the 2020 Courtesy Vehicle Program; vehicles with an ‘L9’ use code are part of the 2019 Courtesy Vehicle Program; vehicles with an ‘L8’ use code are part of the 2018 Courtesy Vehicle Program, and so on. Please note that dealers cannot place new CVP vehicles into service if the number of their Active CVP vehicles is equal to or greater than the Allowed (Maximum) CVP Fleet Size for 2020.
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Mercedes-Benz Financial Services
Mercedes-Benz Financial Services USA LLC (MBFS) is pleased to offer the following convenient financing options for your 2020 Courtesy Vehicle Program (CVP) needs*:
Standard CVP
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Variable rate at vehicle inception
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Interest only (12% curtailment at 12 months, 1% curtailment each month thereafter up to maturity at 24 months.)
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Maximum advance = Dealer invoice
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Monthly billing statement
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MBFS Insurance available (physical damage, liability, uninsured/ underinsured motorist coverage)Open-End Lease (Available only in California)
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Fixed rate at vehicle inception
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Similar to a consumer lease – monthly principal and interest payments due
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Dealer administered using F&I Pro (www.fandipro.com)
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Dealer set residuals between 50% - 95%
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12 month maximum with potential option for 12 month lease extension at 12 months
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Maximum advance = Dealer invoice
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Consolidated billing statement
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Insurance must be provided by dealer
*Please note, only one option may be selected depending on dealer location.In order to participate in the Mercedes-Benz Financial Services USA, LLC component of the Courtesy Vehicle Program, dealers must first establish an approved line of credit with MBFS. To be considered for approval, dealers must meet the minimum financing requirements (as established by MBFS) for the size of the credit line requested and be current on all MBFS obligations. Additionally, Dealers must execute any other documentation that may be required by MBFS. To obtain complete program details, payment examples or to establish a CVP line, please contact your Dealer Relations Manager or MBFS Business Center.A few key tools to keep in mind when retailing an ex-CVP:- Ex-CVPs are eligible for LAP - To generate a certificate, dealers must select the CVP LAP program in MB Advantage. Dealers must have taken it out of CVP service and placed into pre-owned inventory (making it an ex- CVP) to show eligible.
- Ex-CVP vehicles may only use New Residuals if they are published in the Residual Value Guide. Ex-CVP units with more than 10,000 miles, utilize the pre-owned dollar based residual (published for ex-CVP only).
- Ex-CVP contracts with less than 10,000 miles that are utilizing new car rates and residuals qualify for Premier (New) PPM as long as they have not received a Service A Maintenance.
- Certified Preowned ex-CVP contracts are not eligible for Premier unless the vehicle is under 5,000 miles and the Dealer gets a system override to generate the Premier product.
- Dealers have the option to CPO a courtesy vehicle upon meeting the minimum service requirement, however if new car programs (ex. CVP New Special Retail Rates) are utilized the vehicle will not be reimbursed the low mileage base warranty.
Updated 1/2020 18
- Ex-CVP vehicles are eligible for either New or CPO programs that are in effect at the time of DDR. The CPO CVP Special Retail Rates cannot be combined with New Car programs (ex. Mercedes Incentive Bonus).
- MBFS will discount (“book”) contracts under the CVP offering based on how they are presented (i.e. CVP Program code). In the event the vehicle does not qualify, the Dealership will receive a chargeback totaling the cost of the rate subsidy.
- By utilizing the below program codes specific to CVP, you will be able to eValidate your contracts as normal. Please note that this will NOT be a validation of the program rules and service requirements outlined in MBUSA’s 2020 Enhanced Courtesy Vehicle Program Guide.
- Dealers should refer to the contract type to select the applicable program code. For example if the vehicle is designated as “New” on the customer’s contract, the correct program code to utilize New Retail Rates is L77 – CVP New Standard Retail Rates – New Contract. If the vehicle is designated as “Used” on the customer’s contract the correct program code to utilize New Retail Rates is L78 – CVP New Standard Retail Rates – Used Contract.
- Unique CVP Program Codes are to be used to facilitate seamless eValidation and ensure proper market support allocation. Dealer is responsible for ensuring vehicle eligibility for CVP program and CPO status and for using the appropriate program code. Please utilize the following program codes for CVP.Ex-CVP Program Codes UPDATED
Contract Type*
L77
New Ex-CVP Lease Money Factor Programs
New or Used
L71
Ex-CVP Standard New Lease Rates – New or Used Contract
L72
Ex-CVP Standard New 1-Pay Lease Rates – New or Used Contract
New
L73
Ex-CVP New Special Lease Rates – New Contract
L74
L76
Ex-CVP New Special 1-Pay Lease Rates – New Contract
Used
L75
Ex-CVP New Special Lease Rates – Used Contract
Ex-CVP New Special 1-Pay Lease Rates – Used Contract
Contract Type*
New Ex-CVP Retail Rate Programs
New
Ex-CVP New Standard Retail Rates - New Contract
L79
Ex-CVP New Special Retail Rates - New Contract
Used
L78
Ex-CVP New Standard Retail Rates - Used Contract
L80
Ex-CVP New Special Retail Rates - Used Contract
Contract Type*
New Ex-CVP Balloon Rate Programs
New or Used
L65
Ex-CVP Standard New Non-Walkaway Balloon - New or Used
New or Used
L66
Ex-CVP Standard New Walkaway Rates – New or Used Contract
New
L81
Ex-CVP New Special Walkaway Rates – New Contract
Used
Ex-CVP New Special Walkaway Rates – Used Contract
Updated 1/2020
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L82
IDK if its current or old
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“Dealer set residuals between 50% - 95%” since the dealer is setting the residual instead of a financial service, does that mean it becomes negotiable?
I think MBFS set the residual not dealer
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