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Untagged posted:How badly does an accident affect your trade-in value these days? As far as KBB is concerned I owe less than what my focus is worth for trade-in... minus the fact that it was in an accident where both passenger side doors and half the airbags had to be replaced. If the accident wasn't enough to warrant a salvage title being issued and isn't on any reports, it wont' affect the trade-in value unless someone notices something repaired improperly.
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Jul 25, 2011 13:37
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It should be noted that most repair damage can be spotted by a trained eye, and that would include a mechanic giving a car an inspection before purchase. So just because it's not on Carfax doesn't mean that it won't come up. Your best bet is to keep on hand pictures of the damage before it was repaired and any/all receipts from the shop that fixed it, so that the buyer has the whole history if they ask for it. Whether or not you mention the accident or price the car accordingly before they ask is up to you. Some may find it immoral to leave such a thing out, but personally I don't think it's a big deal unless there's significant frame damage or something that you're intentionally not mentioning.
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Jul 25, 2011 14:05
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It sounds like he wants to take it to a dealer and trade it towards something he's buying there. Dealer trade-in inspections tend to be rather lax, but they also tend to utterly gently caress you on the value of the trade (whether they tell you or not is all a matter of the numbers game they play).
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Jul 25, 2011 15:11
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I remember back when I was looking to get rid of my Altima, I was looking (not very seriously) at trading it in and when the Nissan dealership inspected it they noticed it had been in an accident. So I guess YMMV.
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Jul 25, 2011 15:13
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IOwnCalculus is correct that I was thinking about the trade-in aspect of it. The accident apparently didn't do "Very Much" damage, or so said the shop. Even though it was two doors, a quarter panel, and I think four air bags. It was about $5k-$6k worth of repairs to a fairly new car. While I'm on the topic... I owe the bank a certain amount and I want to purchase a new(er) car. Is there a way to have the dealership (or another party) take care of the remainder of the trade-in debt on the car? That is without me having to jump through hoops? How do trade-in cars with current liens usually work.
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Jul 25, 2011 16:55
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Dealers do that sort of thing all the time, but be very careful when you're in that situation - it's a very easy way to end up way, way upside down on a car. You've taken a major depreciation hit on your first car, and you're going to roll the debt from that car into another new car, which will take a similar hit as soon as you drive off the lot. Financially it's almost always a very poor move, unless somehow as part of the deal you're going from a loan with absurdly high interest rates to one with absurdly low rates (unlikely). Since this is BFC, I have to ask, what are you trading in and what are you trying to get, and why?
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Jul 25, 2011 17:07
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Yeah, car salesmen's eyes turn into comical dollar signs when someone comes on the lot with a trade-in that isn't even paid off yet, and wants to buy a new car with it.
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Jul 25, 2011 19:32
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IOwnCalculus posted:Dealers do that sort of thing all the time, but be very careful when you're in that situation - it's a very easy way to end up way, way upside down on a car. You've taken a major depreciation hit on your first car, and you're going to roll the debt from that car into another new car, which will take a similar hit as soon as you drive off the lot. In a perfect world I'd just like to the reset button for the first loan. At last check I owe $6000 +/- on my 2008 Ford Focus with 45,000 Miles. It's running at a 4.25%. I'd like to pickup a very base 2009/2010/2011 Jeep Wrangler, from a dealer hopefully (certified pre-owned / or warranty transfer / or newer). There are a few locally running between $18k-$22k. I've got $4k for a down payment, and my understanding from both of my CU's I'm looking at about a 3%-4% on the loan depending upon the used/new status of the vehicle on the new loan. Accordingly, I'm hoping the payments then won't be too much greater than what the Focus was. Since it is Business, Finance, and Careers, I'm looking to trade in a Ford Focus for a Jeep Wrangler because I'm tired of the Focus, and I've always wanted a Jeep. Further, many of the reason I got the Focus (Making Recent College Grad Money, Commute, Driving Area, It's Responsible, etc.) are not as much of a factor anymore. I have a work car so commuting isn't going to be a factor anymore in hopefully the near or long term. Several of the long distance trips I used the focus for (36-sometimes 40 MPG) are out of the picture now as I've moved closer to where I was traveling to. Also, I'm closer to the beach and the mountains. So hey 4X4!!! -- And now live in an area that sometimes has issues getting roads plowed near where I live. So hey 4X4!!!
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Jul 26, 2011 00:30
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If you owe 6k on your car. and they offer you 4k for it, and the new car is 22k. The loan will be for 24k+ all the other poo poo. When buying the jeep realize it gets WAY worse gas mileage than a focus. You will be getting 15-16mpg. Your insurance may also go up as well. You need to consider these things when figuring out how much you can afford.
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Jul 26, 2011 00:46
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Don Lapre posted:If you owe 6k on your car. and they offer you 4k for it, and the new car is 22k. The loan will be for 24k+ all the other poo poo. Yeah, I understand that. That is why I'd want to make sure it would work beneficial to me before making any decisions on a purchase. As far as insurance goes, an increase wouldn't be a problem. And with fuel consumption, it would be a big difference. But as I've stated I would not be commuting with the vehicle, and only driving it around town and to the store (and to the gas station!). I don't like getting too specific on a forum, but I recently received a fairly good raise in salary, and I'm looking at another few percent in a few months. If my spreadsheets are correct, an increase of approximately another hundred in monthly payments and a few extra dollars in insurance should be absorbed alright within my "financial house". My biggest concern in the process is the state of a car with a loan on it.
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Jul 26, 2011 01:37
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Unless there's something horribly wrong with the Focus, it should be worth a good deal more than what you owe on it, even in trade-in and even with the history (if it really does have a clean title, that means more to a dealer than whether or not it actually has wrecks in its history). In your situation, trade-in will be considerably more convenient than a private sale, but you should absolutely not accept any offer where they lowball you on it and tell you they'll roll the difference into the new loan - you should be coming out ahead by at least $1000-$1500 if the car is even in fair condition.
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Jul 26, 2011 02:37
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Be a man and buy an old jeep. You have your work car as a backup anyway, right?
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Jul 26, 2011 03:31
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So, question related to my flooded car that I posted about last week. It happened a week ago today, and the adjuster still hasn't been to the car. Does it normally take a week? Should I be worried?
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Jul 26, 2011 19:13
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JackRabbitStorm posted:So, question related to my flooded car that I posted about last week. You probably just have a lovely insurance company. You could always call them and ask whats taking so long.
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Jul 26, 2011 19:33
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FWIW, it took my insurance company 3 weeks to send out an adjuster when my roof was damaged in a hail storm.
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Jul 26, 2011 19:40
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My car was given to me by my parents, who have a lien against it from CitiFinancial. It's an older vehicle, and the transmission got shot and will cost $3000ish to fix. I intended to simply abandon the car, but I assume that will go poorly for the lien. I cannot sell the car to a junker or anything with the lien, and it doesn't run obviously, so I can't bring it to them or anything. Would they even take it? What do I do?
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Jul 27, 2011 09:35
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Even a new transmission installed shouldn't cost more than $2k in my experience, and a rebuilt transmission should cost even less yet. I'd get another opinion on the repair. What kind of vehicle? Some (I'm looking at you, J-body Cavaliers) have a transmission solenoid that goes bad and is misdiagnosed as a bad transmission. A solenoid is obviously much cheaper to fix. How much is owed on the vehicle?
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Jul 27, 2011 12:43
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It's a 98 Nissan 200SX (not the SE), and I believe about $8k is left on the lien. How they got that much for such an old car is beyond me. Also I may have remembered the repairs wrong. The engine block might have cracked from overheating.
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Jul 27, 2011 16:54
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Advice posted:It's a 98 Nissan 200SX (not the SE), and I believe about $8k is left on the lien. How they got that much for such an old car is beyond me. Also I may have remembered the repairs wrong. The engine block might have cracked from overheating. Yeah that would certainly add to the repair cost! $8k on a 13-year-old Nissan is insane. It's likely not worth half that. Who is responsible for paying on the lein? I hope your parents didn't hand that off to you as well, unless they really hate you or something... If it's your parent's (ir)responsibility, I'd give the car back to them and let them deal with it. If they handed it off to you, I don't know what to tell you other than try to get it fixed cheaply (junkyard engine + good friends + beer for instance) and making sure you have gap coverage with your insurance policy. CornHolio fucked around with this message at 18:00 on Jul 27, 2011 |
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Jul 27, 2011 17:58
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With 8k owed on it, i would get rid of it. Don't bother putting money into it. Find out who the lien holder is and tell them to come get it (after telling your parents you are going to do this). You don't owe the money just cause they handed you the car.
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Jul 27, 2011 18:26
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Are your parents still making payments on it? What do they think of this situation, is it "your problem now"?  I'd give it back to either them or the lien holder. Is your name on any of the paperwork?
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Jul 27, 2011 18:33
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Holy crap I sold my '95 SE-R that was in really good shape for $1200
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Jul 27, 2011 19:22
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I co-signed on the loan for my mother, so my credit's on the line I suppose. She's steadily making payments from what I can gather. It's just a matter of what to do with the car. It's been sitting in my apartment's vast parking structure without any notice for a while, but my lease is up soon and I'll be moving. What would happen to the state of the loan if Citi finds out the collateral is worthless?
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Jul 27, 2011 21:21
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Ohh jesus, Do you have $8000 to pay off the loan?
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Jul 27, 2011 21:43
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Nope!
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Jul 27, 2011 22:20
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Well if they wanted to call the loan, they could repo the car, sell it, then sue you and your mother for the difference. If I were you I would work on paying off the money owed on it as fast as possible unless you want your credit to be in your mothers hands.
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Jul 27, 2011 22:28
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Christ almighty how in the world did you end up owing 8k on a '98? Is it a loan they took out and used the car collateral or is it the actual loan on the vehicle? If you have gap coverage on your insurance (and it covers the full value, not something like an extra 25%) you better hope some drunk driver demolishes the car.
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Jul 28, 2011 03:00
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AFAIK it is a loan they took out with Citifinancial using the car as collateral.
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Jul 28, 2011 04:35
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Advice posted:AFAIK it is a loan they took out with Citifinancial using the car as collateral. In that case you're boned. Pay it off as fast as possible. What kind of APR does that loan have?
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Jul 28, 2011 14:55
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Bovine Delight posted:In that case you're boned. Pay it off as fast as possible. What kind of APR does that loan have? If the car is collatoral for the loan, couldn't they stop paying on the loan and allow the car to be reposessed? Would they actually sue for the balance? How old is the loan that they were OK with the car being used as collatoral? I mean, that car hasn't been worth $8k for a very long time. Maybe '03 - '04? Also, since gap coverage only applies to money owed on the vehicle, am I correct in assuming that gap coverage would be pointless on that vehicle? Or can it also apply to any loan that the vehicle is collatoral for?
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Jul 28, 2011 15:36
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CornHolio posted:If the car is collatoral for the loan, couldn't they stop paying on the loan and allow the car to be reposessed? Would they actually sue for the balance? Yes, the car would go to auction, get nothing, and you would owe the balance. Just like if you own a house. The house is collateral for the mortgage, but if you stop paying and they take the house, you owe what is left after they sell it. Edit: You have to buy gap coverage for the car. So the insurance company would have to approve it. Also Gap usually has a limit, like 125% of value. Don Lapre fucked around with this message at 15:44 on Jul 28, 2011 |
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Jul 28, 2011 15:41
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I am not sure if this should go in the OP or not, but maybe other people can comment on this if they had similar experiences. This is basically taken from the site "Fighting Chance" which charges you $35 for a printout of a strategy to get a good price on your new car. Do this once you have decided what car to get, this is not the research part. I just bought a Golf TDI for $500 below invoice. Looking at online forums ("how much did you pay for your golf?" threads) and price reports from Edmunds, everyone else has paid between invoice and invoice + $600, so I am pretty sure I got a really good price. And I am a horrible live negotiator so the added bonus is that I completely avoided any haggling. Buying a new car The basic idea is that dealers have quotas to fill each month, and they get bonuses if they sell a certain number of cars per month. You have no way to know where each dealer is in his quota so walking into a dealership and offering a price is generally a bad idea. Instead, 3-4 days before the end of the month, you send out emails to a handful of dealers around your area. It's very important to send the emails to the sales manager, NOT the email address you find on the dealer's website and NOT a quote request through sites like Edmunds. The sales managers are the only people who know the exact quota numbers and can get you a price that may even lose them money on the individual sale but make them money overall due to the incentives of selling more cars. So, call each dealership and ask to speak to the sales manager or get their email. If you speak to them, be honest and say that you are looking to buy a car in the next few days and you are calling a limited number of dealerships for quotes. Ask if you can email him the specs for your desired car and whether he can reply to you with a quote. Do not name a price, you have no idea what the lowest price is. In the email again note that you are looking to buy a car in the next couple days and you are looking for quotes from a few dealerships and give him the make/trim/body/options of the car + delivery charge and note the Invoice and MSRP prices for the entire thing (including delivery charge). Then just ask for a quote and say that you expect their best offer and you are not going to negotiate back and forth. (Some dealers will refuse to give you a number with this approach. That's ok, just move on to the next one) After you get quotes back, you should already get a really good result. But at this point you can do a quick round of calls starting from highest to lowest and tell them about the lowest quote you got. Be honest about the number. Then you just go to the dealership with the lowest quote and they will honor the email their manager sent. There will be no haggling! Just make sure not to fall for any added options they may want to sell you, like alarms, extended warranty etc... --- Here is an example of someone doing this as well: http://www.experiglot.com/2006/04/04/how-to-get-the-best-price-on-a-new-car-use-fightingchancecom/ The fighting chance site itself charges $35 for any info so you won't find anything useful there without paying. But once you pay, in addition to the strategy they will give you specific incentives about your car which may be useful (like say a special quarter quota in addition to the monthly quota).
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Jul 29, 2011 19:49
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I can really only see that working efficiently if you're in a bigger city with more dealerships to chose from. Within a 50-mile radius of where I am, for instance, I know of only one or two Honda/Nissan/Toyota/VW/Volvo dealerships, and maybe 3-4 for each of the American makes (which I would think would be enough but it limits your choices). If I wanted a GTI I'd be pretty limited on where I could buy it from unless I was prepared to drive a decent distance to get it (which may or may not make sense depending on the circumstances).
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Jul 29, 2011 20:27
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CornHolio posted:I can really only see that working efficiently if you're in a bigger city with more dealerships to chose from. Within a 50-mile radius of where I am, for instance, I know of only one or two Honda/Nissan/Toyota/VW/Volvo dealerships, and maybe 3-4 for each of the American makes (which I would think would be enough but it limits your choices). You're right. I can attest to it working in areas where there are multiple dealers though. I live in a major city and there are probably 5 dealerships for the type of car I bought within 50km. I worked them all against each other to the point of the fellow I ultimately bought from getting more than a little upset with me. I guess it must be frustraiting for them, but I honestly don't care. I got the car well under invoice. One thing you don't do is tell them which dealership is offering which price. They'll know you're being genuine because the prices you approach them with will always be "workable" and ultimately right at the absolute lowest the car can be let go for. I don't know how dealerships survive in these situations. I suppose not everyone is interested in seeing how far they can take it.
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Jul 29, 2011 20:43
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Saltin posted:I don't know how dealerships survive in these situations. I suppose not everyone is interested in seeing how far they can take it. Because for every person who actually does their homework and is financially solvent there are 20 idiots who fall in love with a car because it's a pretty color and will pay sticker price.
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Jul 29, 2011 20:48
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Saltin posted:
For the most part, car dealers don't make very much money on new car sales. They make a decent amount on used cars but most of their money comes from parts and service.
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Jul 29, 2011 20:52
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I think most people just come in to the dealership and start negotiating. Many will know the invoice price and start from there and then negotiate to 200-300 over, thinking that this is profit the dealer makes. Some don't even do that and get tricked by various selling techniques into being satisfied paying 200 below MSRP. They also make good money with trade ins and financing, as it's really easy to confuse stupid people by the numbers involved in the overall price ( http://www.edmunds.com/car-loan/four-square-basics.html ) Pinkied_Brain fucked around with this message at 21:01 on Jul 29, 2011 |
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Jul 29, 2011 20:57
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Pinkied_Brain posted:I think most people just come in to the dealership and start negotiating. Many will know the invoice price I think you're giving most people too much credit.
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Jul 29, 2011 21:49
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Yeah, I think at best, your average shopper is comparing list prices across different makes/models. Like, "Hey, that other similar car I liked is $27k, but this one's MSRP is only $25k... it's a good deal! If I can get it for $24k I'll be in great shape!" kind of thing. And then they load it up with options and pay $1000 for a GPS system equivalent to what you can get on Amazon for $150, and for "premium sound", and $1500 for alloy wheels one inch larger than the standard ones, and so on.
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Jul 29, 2011 22:04
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I imagine you're getting a good deal on the TDI is because they are trying to flush the 2011s off the market. It wasn't long ago that they weren't doing any deals on TDIs. I got my TDI for right at invoice, which I'm happy with. I hope you got a good APR to go with your price because otherwise all the research in the world doesnt help if you are getting bent over with a 12% APR.
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Jul 30, 2011 04:05
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