well i went to the dealership 2 weeks ago. and ended up ordering an 06 for a lease, because i couldnt get my monthly payments as low as i needed... (working fast food)
so we agreed on a deal, 325 a month and i put down my $500 deposit. and told him my father would be co-signing. i dont think this guy knew what he was doing all too well... hed keep runnign off to his manager and coming back anbd saying, "my manager has great news!" he did that about 5 times, and when he asked what color (made me give him 2 choices) i said black sand pearl or flint mica and he asked me what color is flint mica? GRRRRRRR!!! so anyway. we worked things out. 2 weeks later he calls me. he tells me he spoke with my bank and that I DONT HAVE A BIG ENOUGH INCOME TO LEASE IT FOR 325 A MONTH... SO I HAVE TO FINANCE IT FOR $375 A MONTH. Is that right? can they do that to me? this is my first car buying experience. what should i do? i dont see how it makes sense that i didnt have enough money to lease, but i have enough money to buty it and pay more??? if hes just trying to get me to buy the car.. we told him id be buying it at the end of the lease anyway.

 

Sounds like you were dealing with a rookie. The "I have great news" line is something straight out of the old-school salesperson instructional tapes. Using it 5 times in a row is rookie stuff.

If you're going to buy it at the end of your lease anyway, it is in your best financial interest to just buy it now. Back when I was working at a dealership a few months ago, I knew the tC lease payments were less-than-stellar because the residual value (the estimated value of what the car would be worth at the end of the lease) was low because the car is still new with limited data. As a result, many people would balk at the lease numbers. The lease payments should get better as the Toyota quality over time will bring the residual value up.

If you're confused as to how they arrived at the conclusions they did or the numbers they did, I would suggest getting another salesperson with more experience and having them explain them all to you and your father. All you have to do is ask. Just say to the manager "I don't want to deal with the greenpea anymore, can you have someone with more experience take over the deal and explain to me how we got these numbers? I know the Scions are pure-priced and there is no negotiation, I just want to make sure I understand exactly what is going on."

 

Lol, it definitely doesn't sound right to me. Basically, according to what you've written there, they are saying: "you don't earn enough income to pay for the car at $325/month. So now you have to pay $375/month" Last time I checked, that's an extra $50/month. If you can't afford (according to them) $325, how does increasing the monthly payment make it more affordable to you???

Plus, with your father cosigning the loan, unless he has bad credit, or if *your* credit is very bad, that should *help* lower the payments, not increase it.

 

i got mine with a 6.3 with no dp, and i im paying 352 financed

 

"they are saying: "you don't earn enough income to pay for the car at $325/month. So now you have to pay $375/month" Last time I checked, that's an extra $50/month. If you can't afford (according to them) $325, how does increasing the monthly payment make it more affordable to you???"


...exactly, thats why it doesnt make sense. im going to call him today and argue a bit..
if he doesnt make me happy, then ill tell him im taking my business else where and id like my deposit back. id gladly finance the car, just not for that much maybe if it was the same as the lease numbers.

 

it all just really sucks. ive been buzzing around on these forums since somewhere around march i think. just taking in all the info on the car. i was very set on buying it, and i finally got the chance to do so, and now i cant


and i want to thank everyone on these forums for being so helpful with everything. i went into that dealership knowing more than my salesman thanks to all of you!

 

*cough* baint and switch *cough*

If you signed the papers at $325 they have to honor it. If not, your ____ outta luck.

If its 375 for the same amount of time thats one thing, but are you leasing it for less months?

 

damn guy is off till thursday

 

I would go in and speak to the manager if I were you....you don't need to speak to the guy.

 

you're working fast food, and want to buy a brand new $16k car?? buy some ____box used civic for $2k, and keep it for a year saving money and hopefully getting a better paying job. at the VERY least put off getting this car for a couple months while you save money so you can pay a bigger down payment.

 

why do you think i work? the job is all i currently have, and its not easy finding something better without a college degree. I just want to pay as i go. and somewhere in between switch jobs. i already drive a ____box i just keep dumping money into.

 

Ok, bro... Leasing a car vs. financing it will cost you more money in the long run. You should never lease a car. Buy the time your lease is up, you would have paid for the purchase of the car...and guess what, you don't get to keep the car. So, it's better to finance it than leasing it anyway.

 

Actually, if the dealership can't place the loan or lease with a lender (and if Toyota won't do it internally) then they can yank their tentative approval - basically the deal when you walk out of the dealership is that the approvals are all tentative unless you walk in with pre-approved financing. This happens all the time (and no, I'm not a car sales person or dealership employee). I had a friend from work when I was in college that bought a new truck, drove it for a week and the dealership called him up and said, "Bring back the truck - we can't get you financed. If you don't bring it back, it'll be repo'd." He had to give them back the truck and buy a less-expensive vehicle. It was his first new car - was driving a 10+ year old celica he had paid cash for and never financed anything in his life.

chaseonbass:

I do agree with the comments about not leasing the car - my wife and I leased one vehicle and sure enough, the payments were set to keep our equity at $0 by the time the lease was up; we were within mileage and the car was in near mint condition by the time our 36 months were up and we had zilch in the end.

If your dad is willing to co-sign, ask him to check with his bank. Sometimes lenders will put your dad on the note as the 1st borrower and you as 2nd just to give a better rate. It does NOT matter to the credit bureaus - it's a joint application and will be reported as such with each of you "jointly and seperately liable" for the loan. It might get you a better deal. Also, if you bank at a credit union, you'll get a much better rate.

As far as not having a good job without a college education, through my job, I have come into contact with several self-made millionaires that own machine shops, restaurants, used car dealerships and the like. Machine shops are hot right now, depending on where you live. If I could live my life over again, I'd be a machinist in a heart-beat - what do you think Jesse James did before he got famous? He's an old-school machine operator/ fabricator. My brother-in-law is a welder; went to the JC for welding school and is making in his first year, what it took me 10 years in my field to earn (granted he gives a truck-load of his earnings to the union, but it's still good money). Just takes a little imagination and initiative (not that you're not motivated - that's just "in general").

 

Bingo. Dead on. Extremely helpful post. I didn't really want to take the time to explain all of that to him so I directed him to the salesperson who would.

 

how old r u? and y lease a 16k car? Couple more thousand u can own it.

 

If you can't afford to finance the car, you definitely can't afford to use the car.

Go buy a used car or an Echo. You aren't financially ready for this car yet.

 

Go talk to the manager...F the middle man!

 

Listen to Vant. I think that's the best idea. It's not like the Scion's are going to go away anytime soon. I'd look into buy a cheap used car and saving up money.

Also, leasing a car is good if you own a business because you get a huge tax write-off. Other wise leasing a car would be bad. Remember you'll have to return that car in x-amount of months and over that time if you damage it and don't have it fixed, you'll have to pay for it in the end. The dealer will determine how much the damage costs to fix rather than an insurance company. Also the lease to own options are always bad because you end up laying a lot more when you buy off the car.

My $0.02