I opened a different topic asking about pricing. I thought I would open a new topic for those who might be interested in this but would have missed it based on the other topic "subject".


Dealers have to honor "pure pricing"; however, the price they set in stone for their no haggle price will vary between dealers.

In my case there were three different dealers with three different Pur Prices.

1) MSRP
2) MSRP-400
3) MSRP-500

I chose the MSRP-400. I tried to get them to match the MSRP-500 but they were not allowed to haggle over the set price they had advertised.

 

it may be set by market also, as in where you are. not sure but would make sense difference between a city an the boonies

 

thats what i think too.
what i remember reading is that Scion decides what the dealerships can sell them for.

 

Could be a function of the delivery costs depending upon where they are located from the port where the cars arrive.

I have a question related to financing . . . they provided 6.99% and you can pay it off early . . . so my question is when you pay a couple of thousand extra at the end of the first year of a 3 year loan does it reduce the total original interest calculation. The reason I ask this is because I recently met someone who paid off 25 payments ahead of time and didn't get any reduction in the total amount of the financing. If that is the case then it isn't 6.99% interest since interest is based on amount owed over time and since I reduced the amount owed over time more quickly I should have reduced the total interest of the loan by several hundred dollars and I have yet to see a notice from the bank of my remaining balance.

 

they also haggle on the accessories, i.e. spoiler, radios, etc..

 

The MSRP-400 was definitely trying to get folks from the big city to go to the smaller town.

The MSRP-500 was in the middle of a big city (1.5M+) and was competeing against different dealers in the same city and the saleperson told me they started offering the 500 dollars off two months ago with the goal of getting a big bump in sales over the other dealers.

I understand the small town dealer but I was surprised that a big city dealer can offer that much lower then another in the same city with the "pure pricing".

 

Most auto loans are simple interest, meaning if you make a payment larger than required, the extra goes 100% toward the principle of the loan. It won't lower your payments, but it should decrease the number of payments due on the loan, meaning less interest paid over the life of the loan.
If this isn't the way that your loan was set up originally, then you were screwed. Let us know, and that dealership won't get any repeat business, or any new business from people that check here first!

 

I was told a dealer can "discount" any scion as long as they sell EVERY one with the same "discount".

I found one without the stupid TOYOGUARD so i considered that a $800 discount on my own.

 

I recently (this month - March Madness) ran a sale but in reverse order.

The region(Corporate) has been receiving countless phone calls, and myself personally from the dealers in my district as well as region about what I'm doing.

They basically just forced me to stop with my sale, or I'd face being deemed non-compliant.
Non-compliant being that a dealer loses 30% of their GMP(bonus Scion pool).

I went back to my old dealership, where I used to average 13-18 Scions a month back in 2005-2006 when the market was very strong in our area.

With the 2008 models, the market hasn't been as dominant as it was, and with Scion being down 34% over last year I decided to give old Scion owners an opportunity to get a newer Scion, so we could sell their old ones.

It worked out great, sold 16 Scions < 14 days and sold nearly $20k in accessories.

According to the Scion convenant, it's very clear. The dealer must do this/that, but also states in there that dealers is still able to establish their own prices.

While I'll be the first to admit, discounting a Scion just to discount is dumb. But providing an avenue for someone to purchase $1000 while only paying for $500 of them isn't.

The event helped me reach my all-time highest Scion Accessory sales month with $20k (I've been doing this for 4 years).

 

There's a place out East (Virginia, I think, near Wash DC) that advertises all Scions at invoice. That's $800 off MSRP!!

 

..but the guy you are talking of can have been tricked by the cust. rep. for the lender...if he was asked if he wanted relief form the the payments by prepaying them, then that is one way...then you still pay the interest..only you do it ahead of time...economically kind of silly, but some people choose to do that...as far as I know it is the law here that your payments goes towards the principle if you ask for it (?)...okay I don't know if it law, but there is a a law of full disclosure in lending...if they have not informed you about these things they are not following this....

oh, and then what the guy above said..
a.

 

I think the VP Finance at the dealership said you can pay if off ahead of time without penalty but if they do not reduce the total amount paid when I pay if off early then that $2000 extra I paid at the end of the first year didn't get me any reduction or any interest for the next 1+ years I could have had gotten in a interest bearing account. Guess I need to wait and see after one more payment. Otherwise it is not interest on the loan it is points or a lending fee.

 

The manufacturer cannot legally tell a dealer what to sell a car for. But apparently they can try to make the dealer sell every car for the same price, whatever that price happens to be. Even then, it sounds like they can't force this, only withhold a bonus.

Distance the car needs to be transported is not an issue. The manufacturer pays this cost, not the dealer. It's covered by the destination charge, which is the same everywhere that Toyota handles distribution.

 

Well guess what I got in the mail today - my "Title" for my xB but I still think I overpaid about $120 more than I should have by paying it off early.

 

pure price my ___. i went to cerritos scion/toyota and quoted me payment w/ 8.25% when i have 809 fico credit score. anyways, i walked out and told the sales rep "you need to work w/ different fleet manager"

 

According to Scion.com a FICO score above 720 should get you a 5.74% financing rate through Toyota. When I bought mine, I was told that Toyota required all dealerships that use Toyota financing (if someone qualifies, and it looks like you do) to automatically provide the best Toyota rate available.

Legally a dealership can charge up to 3% over the best approved rate. I'm willing to bet that Scion Corporate would be VERY interested to hear about your experience, along with the name and location of the dealership that was trying to bend you over without kissing you first.

 

5.74 is high too.

I bought my Scion XB last week and they provided me a rate of 5.2 % for 60 months.

I plan on paying off the car next month anyway but when you mentioned 8.25 and 5.74, both of those are too high.

I got my car for 400 under MSRP, put 3000 down and got 5.2% for 60 months. As soon as I can get the account online from TFS, I will start paying it off very quickly.

Our credit rating is well about 720.

I highly recommend Scion of Killeen. Extremely professional, very responsive, great prices, great services, finance dept rep is also awesome to work with.

 

I put 8K down and got financed $8444 of which $934 was interest at 6.99% APR for 36 months and paid off $2000 extra at the end of the first year which only saved me $112 out of the $934 which doesn't seem right but maybe there is a refund check in the mail from over paying the last payment.

 

Yup got another check in the mail for $135.95 . . . ya think they could have sent me a notice ahead of time when my final payment was due - total savings by paying extra at the end of the first year was . . . $248.45 . . . should buy a few tanks of gas!

 

The dealership that sells Scions at invoice is Fitzgerald Lakeforest Toyota/Scion in Gaithersburg, Md., a suburb of Washington DC. Take a look: www.fitzmall.com