[Mperor]

Folks, before I go in next week to sign the paper and pickup the car, I had a chat with my CA and asked about the 0.9% APR, she said no, her dealership is charging 1.9% and stated that "we need to make some money somehow". Note that I am getting it at MSRP.
So, can I "demand" the 0.9% as stated on the BMW website? Are there any other options? Thanks.

[jimbethesda]

Originally Posted by Mperor

Folks, before I go in next week to sign the paper and pickup the car, I had a chat with my CA and asked about the 0.9% APR, she said no, her dealership is charging 1.9% and stated that "we need to make some money somehow". Note that I am getting it at MSRP.
So, can I "demand" the 0.9% as stated on the BMW website? Are there any other options? Thanks.

You can demand anything. I want .9%, I want $5k off MSRP, etc. Them accepting is a different story. Yeah, the independent dealer model sucks (vs Tesla).

In this market, you don't have much leverage. Worth a try for sure.

[merlin3008]

So unfortunately they do hold all the cards here. That being said, I'd push back. This is the sort of thing that really bothers me. You're buying a car from the dealership. You're borrowing the money from the bank (BMWFS). This is exactly why I walked from a dealership that I had placed a deposit with. They gave me a discount on the car and then failed to mention that they were clawing most of it back by pumping the money factor to .0013. Just be upfront with me. I know how the numbers work. If you can't give me a discount, that's fine. Just don't inflate the back end and think I'm not going to realize it.

[revans17]

I would just threaten to pay cash if they don't want to honor the .9%.

[jimbethesda]

Originally Posted by revans17

I would just threaten to pay cash if they don't want to honor the .9%.

That's what I'm doing. You can go to BMWFS and apply online before you go to the dealership.

Question though. Does the dealer get any $$ when you finance if they don't mark up the interest rate?

[revans17]

Originally Posted by jimbethesda

That's what I'm doing. You can go to BMWFS and apply online before you go to the dealership.

Question though. Does the dealer get any $$ when you finance if they don't mark up the interest rate?

That's a good question - I'm not sure. I was going to apply on my own anyway and just take it with me.

[AndroidRobot]

they can hold points on leases and finance. ask them to give you the buy rate ie 0.9% or just say you'll use outside financing via a credit union you have and don't tell them a rate. some will have low 1%'s for short term and they don't know what you're actually getting. They might call your bluff or negotiate

[jimbethesda]

Originally Posted by revans17

That's a good question - I'm not sure. I was going to apply on my own anyway and just take it with me.

Yeah, just wondering if the "ill just pay cash" threat has any teeth. I'm still going to do that, just curious if they care.

[revans17]

Originally Posted by jimbethesda

Yeah, just wondering if the "ill just pay cash" threat has any teeth. I'm still going to do that, just curious if they care.

If you can't pay cash, just finance through pen and get the extra incentive they offer.

[mlc50]

My understanding was that if you apply directly via BMW FS for the 0.9% and are approved for that and bring the approval you should be good.

Are they really going to refuse that? Honestly, it's none of their business with who or how you get the financing. That's between you and the lender.

Even if you have ~$100k sitting around paying cash in this market doesn't make sense.

Edit:

Take a look at this thread for more info.
https://g80.bimmerpost.com/forums/sh....php?t=1849694

[Mperor]

Thanks guys, I will try the direct apply to BMWFS route and bring them the paper.

[wooblewobble]

Originally Posted by jimbethesda

Yeah, just wondering if the "ill just pay cash" threat has any teeth. I'm still going to do that, just curious if they care.

I had the same exact experience as you--every BMW corporate advertisement said 0.9% but dealer said "lowest we can go is 1.9%." I said fine, I'll just pay cash (which I was prepared to do) and the sales manager immediately came back agreeing to do 0.9%. Based on that, I imagine they get some money from BMWFS even if you finance at 0.9% because they didn't seem to want me to pay cash.

[mlc50]

Originally Posted by Mperor

Thanks guys, I will try the direct apply to BMWFS route and bring them the paper.

Yup this is what I plan on doing. I really hope this doesn't become a point of contention with them though. I'm already stressed out as is with all these delays and stop-sales.

Edit:

After reading more closely about it it seems like it's not possible after the fact.

[wooblewobble]

Originally Posted by mlc50

Even if you have ~$100k sitting around paying cash in this market doesn't make sense.

This. It's free money, or potentially better than free depending on inflation. I took the $86k I would have paid to the dealer and invested. In ~3 months it's already made 7%+, more than triple the amount I'll be paying in interest over 5-year the life of the loan at 0.9%. I could cash it out now and just sit on it in a no-risk CD or savings account and come out ahead, though I won't. Of course, continued market rise is never guaranteed, and there are substantial risks (I'll have a $1,500 reduction in my monthly cash flow for the next five years because of car payments), but my view is that it's always better to put capital to work instead of tied up in a depreciating asset over the long term.

[M3-san]

It would have been best to negotiate this as part of the original deal before you signed the deal sheet and put your order in. This is what I did. I had .9% noted on the build sheet and also got it in writing in email from the sales manager.

[Tyga11]

Just remember, you can always deny delivery. If you are not happy, do not take delivery.

[mlc50]

Originally Posted by M3-san

It would have been best to negotiate this as part of the original deal before you signed the deal sheet and put your order in. This is what I did. I had .9% noted on the build sheet and also got it in writing in email from the sales manager.

While I agree that is ideal I believe you're free to find your own financing in the time between order and actual delivery. At least that is what my SA expressed to me.

Someone correct me if I'm wrong here.

[merlin3008]

Originally Posted by mlc50

While I agree that is ideal I believe you're free to find your own financing in the time between order and actual delivery. At least that is what my SA expressed to me.

Someone correct me if I'm wrong here.

You are absolutely correct. You can always bring your own loan to the table. At that point, they would much rather give you the .9 than lose the commission from financing entirely.

[AndroidRobot]

Originally Posted by wooblewobble

I had the same exact experience as you--every BMW corporate advertisement said 0.9% but dealer said "lowest we can go is 1.9%." I said fine, I'll just pay cash (which I was prepared to do) and the sales manager immediately came back agreeing to do 0.9%. Based on that, I imagine they get some money from BMWFS even if you finance at 0.9% because they didn't seem to want me to pay cash.

it's harder for them to sell you back end products on the finance side if you write a check so to speak hence why they were quick to change course.

[jimbethesda]

Originally Posted by merlin3008

You are absolutely correct. You can always bring your own loan to the table. At that point, they would much rather give you the .9 than lose the commission from financing entirely.

Or bring your own check

[james550imanual]

I had the same discussion with my dealer. I asked why his quote was more expensive than bmw NA price estimator. They came back and came close to the online calculator so they did initially quote me a higher % than what was advertised. The salesman has been dealing with me for 20 years and told him you know better to hustle me like that 😂. Kinda off putting how some bmw dealers treat long time customers

[snareman]

My CA knew that I wanted to do my paperwork before the end of the month incase the 0.9% financing increased. He knew I wanted 0.9% for 5 years. Suddenly the day before I go in my CA (who I've bought 6 cars from) casually mentions that with 10k down, 1.9% for 6 years. I didn't think much of it and didn't comment since we'd already talked about it at length. So I go into talk to the finance guy who had quite the attitude which didn't get any better when I turned down all of his extras. He hands me the contract at 1.9% for 6 years. I say no, 0.9% and he acts like he's never heard of that deal and makes a big show of going to look at the website to find it. He eventually switched it, but I didn't appreciate the attempt at them jacking up my rate. Not sure if it was the finance guy or my CA, but I didn't make a big deal of it or the who since I got it corrected. Still super annoying though.