Tips on Buying Cars: car purchase...0%, little known fact, point car

Question
My wife and I bought 2 new Chevy Cobalts last Tuesday evening.  When we were working on the deal, we asked several times if Chevy was going to offer 0% financing again (we had just missed the 72 hour sale).  We were told that they probably wouldn't or it would be closer to the end of the year.  Today, one week and 2 days after the purchase, I saw a commercial that the 0% is back.  Is there a way to change the deal on our cars so that we can take advantage of that program.  It will save us close to $8K."

Answer
Dale,

Generally, the answer is no, I’m sorry to say. Individual state laws vary, but typically the states that require dealers to offer a return policy limit it to 3 days, which you are well past at this point.

Car dealers are all about selling to you right now. They know that if you leave, chances are that you will never return, you will probably buy someplace else, and they will loose the sale. Even if they did now that the 0% financing was going to startup again tomorrow, they wouldn’t tell you about it.

With limited options, here’s what I would recommend.

First, go back to your dealer and ask to speak with the general manager. Don’t talk with your salesperson or the finance manager: they don’t have the authority to act, regardless of what they tell you. Explain the situation, that you’re obviously a great customer because you bought two cars from them, and what you were told about the rates. Realistically, they’ll probably tell you that the paper work is already done with the bank and they couldn’t do anything if they wanted. But, you never know. A slim chance is still a chance.

Secondly, there is a little known fact that will hit the dealership right where it hurts them the most—their wallet. You can get your own financing and payoff the loan you got through the dealer. Here’s how it works.

Dealers make money on car loans, and the money they get from the bank on your loan is paid to them as soon as they close the deal with them, which usually happens in a couple of days after you make your purchase and sign the papers. Most banks require dealers to keep a loan open for at least 60 days; if they don’t, they have to return the money (part of the dealer’s profit) they received. And they hate doing this!

What you can do is go to your bank, credit union, etc. and refinance your cars. And depending on your situation, you may end up with a better deal than what the dealership gave you. After you’re approved, and when you’re talking with the general manger as I told you about above, simply tell him that if he can’t help you, you’re going to refinance and get a better deal anyhow, and that you’re already approved. Since he knows it’s going to hit them financially, you may get some help from him.

Unfortunately, you have limited options at this point, Dale. In the future, I recommend that you do not make an immediate financial decision based on what a dealer tells you. In my book I recommend that you “. . . sleep on it”, take time to think about the large financial decision you’re about to make, and make it based on your being an informed consumer by doing a little research on your own. No one cares as much about us as we do, especially the car dealers.

Good luck, and please let me know how this works out for you, Dale.