# 0.9% for 60 months



## spacecadet610 (Dec 20, 2005)

Are the rumors true? Is this available for the 3 series?

My car has been at the VPC for 13 days but I'm guessing it should arrive in the next couple weeks. 

I was going to pay up front for the car, but if i can qualify for the 0.9% i'll definitely do that.

Would i still qualify if i'm getting the trunk money? what are the terms for getting this low rate? I hope it's easy to qualify for this


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## BMWFanboy (Apr 27, 2008)

Dunno, I see it on the BMW website but am curious myself.


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## spacecadet610 (Dec 20, 2005)

Oh wow hadn't seen that link. Looks like my car WOULD qualify then.

Too bad my credit sucks right now (too many 0% APR CC offers; couldn't resist the free interest money).

I'm gonna contact my CA to see what's up. I'm sure he'll be accomodating since my ordered car seems to be taking forever.

Crossing my fingers..



BMWFanboy said:


> Dunno, I see it on the BMW website but am curious myself.


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## Z4luvr (Jun 23, 2006)

I just got 0.9% for 5 years on my 535i purchase.


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## adrian's bmw (Feb 14, 2003)

spacecadet610 said:


> Are the rumors true? Is this available for the 3 series?
> 
> My car has been at the VPC for 13 days but I'm guessing it should arrive in the next couple weeks.
> 
> ...


You better hope it gets here by 7/31 because that's when the 0.9% offer expires.


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## BMWFanboy (Apr 27, 2008)

adrian's bmw said:


> You better hope it gets here by 7/31 because that's when the 0.9% offer expires.


When did you learn of the 0.9%? I remember a few days ago you said it was still at 3.9% in response to some of the 1.9% rumors a week or so ago.


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## spacecadet610 (Dec 20, 2005)

i am 99% sure the car will be here by 7/31.

To the dealers, a finance question: I know my credit score is low; isn't there a way for my parents to undersign for me (since they have great credit scores) so that I would qualify for the low rate? Not sure how this works for car financing..


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## BMWFanboy (Apr 27, 2008)

You can get one of them to cosign if they are willing to do that.


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## adrian's bmw (Feb 14, 2003)

spacecadet610 said:


> i am 99% sure the car will be here by 7/31.
> 
> To the dealers, a finance question: I know my credit score is low; isn't there a way for my parents to undersign for me (since they have great credit scores) so that I would qualify for the low rate? Not sure how this works for car financing..


That would be fine. Definitely get the co-x.

So I guess you're leaving Fanboy out in the cold, huh?

Okay, for those that got dissed by spacecadet's xi coupe pre-cancellation cancellation, I have a 335xi coupe in Black Sapph/Black- decked all the way.... this polar bear needs to find a home.  Accepting stupid offers. :angel:


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## adrian's bmw (Feb 14, 2003)

BMWFanboy said:


> You can get one of them to cosign if they are willing to do that.


Why are you encouraging him? :rofl: 
I thought you wanted his car.


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## spacecadet610 (Dec 20, 2005)

Ah yes that's what it is called: a cosigner.

I'm sure they will agree. I have the money to pay now, but 0.9% is too much to resist. I'll just put the car money in my 4% savings account..

Last question: does the cosigning need to be done in person or can it be done by signature over fax. My parents are on the other side of the country which is why i ask.

THanks guys for all you help! you guys are awesome!



BMWFanboy said:


> You can get one of them to cosign if they are willing to do that.


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## titan7 (Jun 23, 2008)

I hate to see this now, oh well, if I waited a month longer, I got the 2.9APR a month ago on my 535. Oh, well, who could have predicted this.

Great time for people to purchase.


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## BMWFanboy (Apr 27, 2008)

My memory is kind of hazy, but when I almost bought a BMW a few years ago I think the dealer was willing to overnight the application to my parents and have them return it.


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## Calif65GM (Mar 27, 2005)

Wow great deal, free money basically. :thumbup:

What kind of loan terms available with 0.9%? :dunno:


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## spacecadet610 (Dec 20, 2005)

Awesome. I guess there was a silver lining to my car getting delayed after all.

Man, if this all goes through how much money would i have saved from reading this forum?
Trunk money: -$1260
Dealer negotiation: $500 over invoice
BMWCCA rebate: $-500
Financing: 0.9%!
Partial credit card payment (CA said $5000 ok): $100 from 2% cashback credit card

I've been a bit wary of purchasing a "luxury" car now given the economic climate, but i'm starting to feel good about the timing if my purchase now.. i love you guys!



BMWFanboy said:


> My memory is kind of hazy, but when I almost bought a BMW a few years ago I think the dealer was willing to overnight the application to my parents and have them return it.


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## titan7 (Jun 23, 2008)

It's an awesome time to buy!!! I am good with the 2.9% since they could not find my exact car anywhere, yes I was a stickler on what I wanted and I was not going to order and get into an 09 so it is what it is. I will just try not to think about the $35 per month difference too much.

Anyone on the fence should get while the getting is good!


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## BigPimp (Sep 27, 2003)

I don't know guys even if the money is almost free, financing a depreciating asset just does not make too much sense to me. Higher payment, you have to put money down and then selling a car, leasing is still the way to go.

I have this theory and I can share it with you guys. BMW is really in the business of treating its cars like an asset thus the reason for very good lease rates and full maintenance coverage. This produces much better stock of used cars which are then sold as CPOs and produce more profit because extended warranty is sold in conjunction and BMW Financial is used, this is most of the time, not always. BMW essentially makes a profit twice on the same vehicle, its a beatiful thing. Of course not every car is CPOed, but majority are. Great business plan, don't you agree?


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## bmwKbiker (Nov 5, 2006)

BigPimp said:


> I don't know guys even if the money is almost free, financing a depreciating asset just does not make too much sense to me. Higher payment, you have to put money down and then selling a car, leasing is still the way to go.


I don't agree it doesn't matter buy or lease you are still paying for the depreciation period.

So the comparison simply comes down to time value of the money and how much it costs you to use someone elses money. 0.9% is pretty damm cheap in spite of the very low Fed funds rate. CDs can still be had at 4.0% and online savings >3.0%. Given that if I'm going to drop 50K on a vehicle I'll happily finance that 1%, because the same funds can easily and safely return over 1.5% after tax (even at a 50% marginal tax rate).

If you don't agree please PM me, I'll be happy to borrow WHATEVER amount you care to lend me at 0.9%


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## Vitacura (Jul 22, 2005)

Wow.. Too bad I'm not quite yet ready for my next BMW.


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## Z4luvr (Jun 23, 2006)

Calif65GM said:


> Wow great deal, free money basically. :thumbup:
> 
> What kind of loan terms available with 0.9%? :dunno:


Up to 5 years at 0.9% :yikes:.


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## erdoran (Feb 29, 2008)

qualified only usually means FINANCIALLY/CREDITWISE qualified. Previous owners would have been stated explicitly. BMWFS should be the ultimate source as to what the rules are about the rate, since they are the ones offering it and making the rules. If your dealer tells you otherwise, tell them what BMWFS says, or ask them to show you the written terms & conditions for the rate.


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## adrian's bmw (Feb 14, 2003)

wyb said:


> a local dealer CA just told me it was available to all on approved credit... not just returning customers.


That's correct on some models like 3 Series, but 5's and X5's have an OLP lease as well.


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## wyb (Jul 10, 2008)

adrian's bmw said:


> That's correct on some models like 3 Series, but 5's and X5's have an OLP lease as well.


sorry - should have clarified that - I was looking at the 335xi's on the lot at the time, so was only interested in 3-series- thx for the clarification for those in other series!


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## playsccr (Jul 28, 2004)

im in so cal with an 03 325i...looking to use the .9% and the car for trade in to get into a 328 convertible.....any thoughts on price points...tips...etx??


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## spacecadet610 (Dec 20, 2005)

That's weird i submitted an app online to BMW financial services with my mom as cosigner and immediately got rejected. I KNOW my parents have pristine credit scores. Maybe i'll try again with my dad as cosigner.


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## tiger16 (Feb 7, 2008)

FWIW. I called my CA here in Ft. Lauderdale in reference to the .9% financing. He told me the 5 series is for previous owners only. I bought the car one week prior at 2.9% which is a great deal. I called today to see if they could roll me into the better rate. The way I look at it is just like mortgages or airline tickets, sometimes you win sometimes you 

just miss the great deal. Happened with me and airline tickets last summer.
Hey I still love my car and my experience at Vista BMW was outstanding!!!!!!


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## ProRail (May 31, 2006)

bmwKbiker said:


> Qualified customers only. Available at participating BMW centers through BMW Financial Services NA, LLC. Applies only to specific models and only for specific model years. 0.9% APR available through 7/31/2008. Subject to credit approval. See participating BMW center for details and vehicle availability.
> 
> Okay, so exactly what does it take to be a "qualified customer"?
> BMWFS just approved me yesterday, is that all it takes to be a "qualified customer":dunno:
> ...


"Qualified customer" generally means a customer with a very good credit rating. This is not usually a fixed score (although there may be a minimum) but is dependent on how badly the dealer wants (needs) to sell the particular car and model you are interested in and how badly you want (need) that car.


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## spacecadet610 (Dec 20, 2005)

I thought that qualification was independent of your dealer? Is this not true? BMW FS i thought was a separate entity that took into account your credit score, the loan amount, and other unknown factors. Does my CA really have a say whether i get approved or not? I would think that the CA would get some kind of kickback if i decide to finance rather than just pay cash up front.

i really don't know how it works. I got rejected putting my mom so i'm gonna call them tomorrow to see if i can put my dad instead as cosigner. my dad is a physician with no debt who owns lots of real estate. i don't see how they can deny me with him as my cosigner



ProRail said:


> "Qualified customer" generally means a customer with a very good credit rating. This is not usually a fixed score (although there may be a minimum) but is dependent on how badly the dealer wants (needs) to sell the particular car and model you are interested in and how badly you want (need) that car.


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## Calif65GM (Mar 27, 2005)

spacecadet610 said:


> I thought that qualification was independent of your dealer? Is this not true? BMW FS i thought was a separate entity that took into account your credit score, the loan amount, and other unknown factors. Does my CA really have a say whether i get approved or not?


LOL the dealer wants to sell you a car. You'd be surprised how often they can "convince" BMWFS to reverse their decision. It's their way of showing you how they provide "good customer service". They put in a "good" word for you.

The bigger issue currently is that most finance companies have tightened their lending standards due to the mortgage meltdown.


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## spacecadet610 (Dec 20, 2005)

Had no idea the dealer had any say. My car is supposed to arrive late next week now.

I'll try to pester my CA about getting me the 0.9% financing. I feel like i keep nagging him though. He just set me up with a rental car until my car arrives.



Calif65GM said:


> LOL the dealer wants to sell you a car. You'd be surprised how often they can "convince" BMWFS to reverse their decision. It's their way of showing you how they provide "good customer service". They put in a "good" word for you.
> 
> The bigger issue currently is that most finance companies have tightened their lending standards due to the mortgage meltdown.


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## bballintom22 (Jan 15, 2008)

i just looked at my local BMW dealer's ad and it said customers must currently own BMW

take a look:
http://joeselfbmw.com/ads/currentad.pdf


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## adrian's bmw (Feb 14, 2003)

bballintom22 said:


> i just looked at my local BMW dealer's ad and it said customers must currently own BMW
> 
> take a look:
> http://joeselfbmw.com/ads/currentad.pdf


Some dealers haven't read their bulletins yet. :eeps:


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## andytaro (Jan 6, 2008)

For ED, My CA told me that as long as I sign final paper work this month, I'll get this .9 rate. My delivery date is 8/12 so I am hoping I can get a VIN this month.


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## spencerh (Jul 12, 2008)

I would like to take advantage of the 0.9% financing on either an 335 or 328 convertible. Would you recommend that I apply for the financing approval with BMWFS Before going to the dealership? In the application process, BMWFS asked me to select a dealership to forward the approval details, does this mean I must buy the car at that dealership? How long does it take to get approved and will I know if I am quailifed for the 0.9% rate before going to the dealership? Any advice and suggestions will be greatly appreciated!


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## adrian's bmw (Feb 14, 2003)

andytaro said:


> For ED, My CA told me that as long as I sign final paper work this month, I'll get this .9 rate. My delivery date is 8/12 so I am hoping I can get a VIN this month.


Sweet! Yeah, I've said this before already, but anyone who's picking up an ED that falls within these prgrams is grinnin' from ear to ear.


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## bballintom22 (Jan 15, 2008)

hmmm i might have to bring that up...


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## spencerh (Jul 12, 2008)

I would like to take advantage of the 0.9% financing on either an 335 or 328 convertible. Would you recommend that I apply for the financing approval with BMWFS Before going to the dealership? In the application process, BMWFS asked me to select a dealership to forward the approval details, does this mean I must buy the car at that dealership? How long does it take to get approved and will I know if I am quailifed for the 0.9% rate before going to the dealership? Any advice and suggestions will be greatly appreciated!


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## caldude (Oct 18, 2004)

adrian's bmw said:


> Sweet! Yeah, I've said this before already, but anyone who's picking up an ED that falls within these prgrams is grinnin' from ear to ear.


Is it too late to start ED now for this 0.9% offer?


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## erdoran (Feb 29, 2008)

spencerh said:


> I would like to take advantage of the 0.9% financing on either an 335 or 328 convertible. Would you recommend that I apply for the financing approval with BMWFS Before going to the dealership? In the application process, BMWFS asked me to select a dealership to forward the approval details, does this mean I must buy the car at that dealership? How long does it take to get approved and will I know if I am quailifed for the 0.9% rate before going to the dealership? Any advice and suggestions will be greatly appreciated!


You can apply as many times as you want for as many dealerships as you want. You are not obligated to buy at any of them. Once you decide to buy from a specific dealership you should have your application for that dealership. I have great credit and it took me 15 mins or less to get approved, as well as all subsequent approvals--I applied for several different dealerships when I was ready to close the deal. It's ridiculous that you have to apply for each separate dealership, but that's how they do things.

About two weeks after my lease deal closed, I was asked to sign off that I wouldn't use any of the other approvals--ie I was approved to buy ONE Z4, not five :>


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## adrian's bmw (Feb 14, 2003)

caldude said:


> Is it too late to start ED now for this 0.9% offer?


Unless you have a time machine to go back in time, yes, it's too late to arrange an ED on this.


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## adrian's bmw (Feb 14, 2003)

spencerh said:


> I would like to take advantage of the 0.9% financing on either an 335 or 328 convertible. Would you recommend that I apply for the financing approval with BMWFS Before going to the dealership? In the application process, BMWFS asked me to select a dealership to forward the approval details, does this mean I must buy the car at that dealership? How long does it take to get approved and will I know if I am quailifed for the 0.9% rate before going to the dealership? Any advice and suggestions will be greatly appreciated!


No, don't apply unless you know you're buying the car from them beforehand.

The approval process doesn't take long at all. I mean, what a few minutes...so just apply at one place once you know you're buying from them. There's no point in blasting your credit app on BMW USA.com to multiple centrs if not all of them have the car.

If you're credit worthy, you have nothing to worry about and you'll get approved on the spot. Even if you're borderline, it's better to apply in person and have a finance manager rehash your application and work out any stips than to get a decline on an online app and not have a leg to stand on in terms of rehash.


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## Nick82 (Aug 25, 2006)

O.k. I know this has probably been re-hashed a million times but most of the threads I found were about leasing.

Can someone give a brief overview of which fees are standard when financing a car. Specifically, is there a $625 acq fee, or is that only for the lease?

Right now I'm thinking MACO & Training are the only two I see anywhere.

Thanks,
Nick


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## Flyjock (Jun 5, 2008)

Got approved for the .9% last week and I dont pick up my car till Aug. However the deal will be inked next week. Irv Robinson is the MAN!! 
Excellent CA.

5501 Alpine white, Sport Pkg, Shift Paddle's, Nav, IPod, Sat Radio, Pro Logic, Cold Wx, Blk Man headliner, Comfort Access.
:bigpimp:


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## erdoran (Feb 29, 2008)

$625 base rate lease acquistion fee. If dealership has fees, get them to itemize each fee, including registration & DMV. If you have any question as to the accuracy of things like dmv fees and taxes, just call your dmv and ask them! MACO, training, doc fees, dmv fees, taxes, possibly a tire fee depending on your state, and that SHOULD be it. You can always get quotes and compare fees between different dealerships, just get them itemized so you know what you are looking at. Also if you are NOT negotiating as $x over invoice, but end up with just some price, it should already include maco & training so they shouldn't add it again. If you agree to $x over dealer cost, then maco & training are part of dealer cost--just make sure you don't pay them twice. There are some differences if you do ED, I don't know what they are but if that is what you are doing ask in the ED forum or even better, read the forum because I'm sure it was already addressed.

Really, don't hesitate to call DMV rather than wondering if you are being charged the correct fees. And if there is a discrepancy, get the name (if possible) of who you spoke with, let your dealer know what DMV told you, and if necessary conference call with the DMV employee.


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## BMWFanboy (Apr 27, 2008)

Nick82 said:


> O.k. I know this has probably been re-hashed a million times but most of the threads I found were about leasing.
> 
> Can someone give a brief overview of which fees are standard when financing a car. Specifically, is there a $625 acq fee, or is that only for the lease?
> 
> ...


You should probably start your own thread since this if off topic for this thread. However, I have spent the last few months researching the hell out of leasing a BMW but now with the 0.9% financing I am on the fence as to which way to go. As far I could figure out, for purchasing you would have to pay MACO, Training, Doc fees, DMV fees and that should be it. The doc. fees are what seem to be an area for markup if you are in a state that doesn't regulate the price. I am also worried about the DMV fees they will charge me but haven't figured out how to calculate what they should charge for this.


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## spencerh (Jul 12, 2008)

adrian's bmw said:


> No, don't apply unless you know you're buying the car from them beforehand.
> 
> The approval process doesn't take long at all. I mean, what a few minutes...so just apply at one place once you know you're buying from them. There's no point in blasting your credit app on BMW USA.com to multiple centrs if not all of them have the car.
> 
> If you're credit worthy, you have nothing to worry about and you'll get approved on the spot. Even if you're borderline, it's better to apply in person and have a finance manager rehash your application and work out any stips than to get a decline on an online app and not have a leg to stand on in terms of rehash.


Thanks, really appreciate the help:thumbup:! Now, the auto transimission credit is available if you are financing a 3 series and not for leasing, right?


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## BMWFanboy (Apr 27, 2008)

spencerh said:


> Thanks, really appreciate the help:thumbup:! Now, the auto transimission credit is available if you are financing a 3 series and not for leasing, right?


You can't be spoon fed everything. This is pretty well covered.


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## ZoomVT (May 30, 2008)

it is available for whatever purchasing methid you use. whether it is a finance, lease, or just cash purchase.

however i was just told that they just changed the program so now the car must have the option to qualify for the credit.


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## 02fireman (May 29, 2008)

Just signed for 0.9%:thumbup: . NIIIIIIIIIIIIIIIIIIIICE..... they only get $500.00 in interest for 5 years. you would think I'm buying a GM or Ford at this rate....


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## e92N54 (Jun 4, 2008)

So I have an ED vehicle awaiting transport but still have not signed the finance documents yet (very long story) and was approved for 3.9% already. I’m a first time BMW owner with good credit. Since I haven’t signed the finance documents yet, am I qualified for the 0.9% promotion?


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## New Motors (Mar 24, 2008)

Should be no problem. Call the F & I manager and ask him.


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## adrian's bmw (Feb 14, 2003)

spencerh said:


> Thanks, really appreciate the help:thumbup:! Now, the auto transimission credit is available if you are financing a 3 series and not for leasing, right?


It's available either way.


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## masku (May 4, 2007)

What's the final word on 5 series - do you need to be a current BMW owner to qualify for the 0.9% APR?

Also on the web site

http://www.bmwusa.com/Standard/Content/FinancialServices/FinancingOffer/2008535iSedanAPR.aspx

"Be sure to ask your BMW center about adding the Premium Package at no cost."

What exactly does this mean given that my purchase price is Invoice (incl. MACO and Training Fee)? Does the Free Premium Package apply only for leasing?


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## adrian's bmw (Feb 14, 2003)

masku said:


> What's the final word on 5 series - do you need to be a current BMW owner to qualify for the 0.9% APR?
> 
> *No, it's available for Everyone OAC.*
> 
> ...


Response in bold above.


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## ZoomVT (May 30, 2008)

everyone qualifies for the 0.9% financing. and the Premium Package offers means that BMW is giving dealers an incentive for cars with a premium package. It is up to the dealer to pass that incentive to you or they can use it to work out a better deal for you.


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## spacecadet610 (Dec 20, 2005)

Woohoo my finance app got approved just now for 0.9% financing. Used my mom as a cosigner. Got a great deal with everything i think. 

Now just have to receive the car.. car arrived at the VPC 6/26 and still haven't received it! My CA told me something about the VPC or some facility moving which is why my car got delayed. Who knows if he is BSing me, as long as i get my car this month in perfect condition is all i care about.


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## Vitacura (Jul 22, 2005)

spacecadet610 said:


> Woohoo my finance app got approved just now for 0.9% financing. Used my mom as a cosigner. Got a great deal with everything i think.
> 
> Now just have to receive the car.. car arrived at the VPC 6/26 and still haven't received it! My CA told me something about the VPC or some facility moving which is why my car got delayed. Who knows if he is BSing me, as long as i get my car this month in perfect condition is all i care about.


Congrats! Was the application through the dealer? Usually it's best to do it that way than online.


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## spacecadet610 (Dec 20, 2005)

Well i applied online since the dealer is 90 miles away. I did not get approved online though. The app got sent to the dealer, then the the finance people at the dealer called BMW FS to put in a good wood and then i was approved.

I suppose going in person to the dealer is the way to do it if possible.



Vitacura said:


> Congrats! Was the application through the dealer? Usually it's best to do it that way than online.


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## adrian's bmw (Feb 14, 2003)

spacecadet610 said:


> Well i applied online since the dealer is 90 miles away. I did not get approved online though. The app got sent to the dealer, then the the finance people at the dealer called BMW FS to put in a good wood and then i was approved.
> 
> I suppose going in person to the dealer is the way to do it if possible.


For this, please buy some products from the finance manager, so that he can make a little money.


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## spacecadet610 (Dec 20, 2005)

adrian's bmw said:


> For this, please buy some products from the finance manager, so that he can make a little money.


What do you mean? I have no idea how the finance manager makes money.


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## caveatesq (Jun 23, 2005)

spacecadet610 said:


> What do you mean? I have no idea how the finance manager makes money.


Just like Robin Hood - They steal from the rich and give to the poor. Most finance managers are crooks!


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## masku (May 4, 2007)

ZoomVT said:


> everyone qualifies for the 0.9% financing. and the Premium Package offers means that BMW is giving dealers an incentive for cars with a premium package. It is up to the dealer to pass that incentive to you or they can use it to work out a better deal for you.


Picked up my new car today - at $2,000 below the originally (May '08) negotiated price. The additional $2,000 discount was for the Premium Package. Also got the 0.9% APR - I figure that saved me over $9,000 over 5 years compared to a 3.9% APR. Unbelievable deal IMO.


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## X550-ED (Aug 27, 2005)

Anyone think this deal will be around for a couple of months more? Or come back later in the year? 

News of Recession, Bank Failures, Housing Meltdown, High Fuel costs, Airlines going out of business, and Auto industry in serious trouble and all does make safe to assume so? Audi is offering the 0.9% APR up to 60 months just like BMW and so is Lexus, except Lexus's 0.9% expires on 9/3/08. 

Any ideas?


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## masku (May 4, 2007)

X550-ED said:


> Anyone think this deal will be around for a couple of months more? Or come back later in the year?
> Any ideas?


Unlikely - the deal is aimed at moving the MY08 cars before the MY09 production starts in September.


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## X550-ED (Aug 27, 2005)

masku said:


> Unlikely - the deal is aimed at moving the MY08 cars before the MY09 production starts in September.


Isn't it a little early to be clearing 08's since they are still producing them? Also, someone here ordered a car through ED for August Delivery and also got the 0.9% deal which is supposed to be on New Existing Inventory... any thoughts?


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## adrian's bmw (Feb 14, 2003)

caveatesq said:


> Just like Robin Hood - They steal from the rich and give to the poor. Most finance managers are crooks!


No they're not and I'm not gonna let you take a swipe at them and call them most of them crooks- maybe a _*few are*_, but not mine.:thumbdwn: I have two finance managers that are the most wonderful folks I've ever met in my life... Michael, who used to work at another BMW center in CA, is a father of a lovely daughter, has a family to take care of, and Ruth, who has been at our center since it was first owned by Hank Aaron, and who has two beautiful grand-daughters, is the sweetest lady. Both are highly professional, ethically sound, and do excellent work in helping folks like spacecadet get approved in rehashing credit applications with the credit buyers, getting paperwork ready, helping clients get road hazard, extended maintenance, warranties, excess wear and tear, package deals for the banks, get them funded, and closed. Maybe you made your statement in jest, but I don't think it's fair to make a blanket statement like that.

No, they're sales people just like client advisors, so they make a commission on the rate mark up and products and _*earn a living like most other professions that are commission based- real estate, bankers, brokers, and sales people.*_. So when BMW offers a special rate, there's no allowance for mark up and they make a tiny fraction than what they ordinarily make. I'm not asking you to pity them, I'm just asking that you consider some products that may give you peace of mind that you might not consider if the rate weren't so ridiculously low.


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## erdoran (Feb 29, 2008)

Adrian, that begs a question that I've wanted to ask for a while. When dealing with the post-sale items sold by F&I, just like negotiating for the car, how do you know what's a fair deal, where the F&I manager makes a fair profit but doesn't gouge the buyer? There's talk on here of a wide price range for everything from tire insurance through extended warranty, and I think all of their products can be bought for hundreds to thousands less from non-BMW sources. 

Would really like to hear your thoughts about how to keep this fair for both sides.


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## caveatesq (Jun 23, 2005)

adrian's bmw said:


> Maybe you made your statement in jest, but I don't think it's fair to make a blanket statement like that.


Notice that I did not make a blanket statement - I said "most" were crooks, not "all." Maybe yours are honest and fair dealing, but in my experience, that would be the exception and not the norm. Most of what they sell is (a) entirely unnecessary, and (b) GROSSLY overpriced. But, I guess if someone is dumb enough to pay $795 for a "paint protection package" let them go ahead. Their sucker tax payment contributes to the dealer's bottom line and to my ability to purchase at very reasonable over invoice deals.

Also, I'm not so sure that helping get purchasers with marginal credit histories approved is such a good thing. Hell, isn't that what helped drag the economy into the fine mess that its in today?


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## adrian's bmw (Feb 14, 2003)

erdoran said:


> Adrian, that begs a question that I've wanted to ask for a while. When dealing with the post-sale items sold by F&I, just like negotiating for the car, how do you know what's a fair deal, where the F&I manager makes a fair profit but doesn't gouge the buyer? There's talk on here of a wide price range for everything from tire insurance through extended warranty, and I think all of their products can be bought for hundreds to thousands less from non-BMW sources.
> 
> Would really like to hear your thoughts about how to keep this fair for both sides.


I understand that it's difficult to gauge what's fair. Keep in mind, that most products don't have much mark up anyway, so while there may be inconsistencies in terms of price, it's merely because one place may want more profit for those products to simply bolster profits that either may be thin elsewhere (front end) or because profits (and commissions) from rate mark ups or lack thereof have become so thin, it's often necessary to ask for a little more money on products because they're making hardly any money on rate.

I don't seriously think there's that huge of a disparity between products sold by the finance manager and non-BMW sources. Sure, maybe third party warranties (you can't get 2OP or extended maintenance from 3rd parties) can sometimes be less, but tire insurance is pretty consistent and can vary by $50-250.

It's also a _*matter of convenience.*_ You can roll these products into the payment which most people do rather than come out with the cash to pay for it separately. It increases the payment modestly, but because they're buying it from the center, it's _convenient_ to put it together in the whole package rather than pay for it a la carte. I think there's a cost to that convenience as there is in any purchase. I mean, I just had to buy a new frig, for example, and bought it from HH Gregg- and yes, of course I negotiated a good deal, too. They had a 24/same as cash offer, so took it, knowing I'll pay it off before then like I did when I get my TV from them. They offered me the warranty that was above and beyond the factory, so I took it as a matter of convenience since it was rolled into my same as cash offer. And yes, I asked for a discount and they gave me 10% of $299. My point is, imo, finance manager's aren't out to gouge the buyer. They merely present the products, sell the advantages and benefits, and if the buyer wants them and sees value in them, they buy them. It's up to them to ask for a discount, not the other way around.

As Forbes once famously said (and I have his picture in black and white in my office framed with the quote below), "You never make money giving away what you're supposed to sell."


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## adrian's bmw (Feb 14, 2003)

caveatesq said:


> Notice that I did not make a blanket statement - I said "most" were crooks, not "all." Maybe yours are honest and fair dealing, but in my experience, that would be the exception and not the norm. Most of what they sell is (a) entirely unnecessary, and (b) GROSSLY overpriced. But, I guess if someone is dumb enough to pay $795 for a "paint protection package" let them go ahead. Their sucker tax payment contributes to the dealer's bottom line and to my ability to purchase at very reasonable over invoice deals.
> 
> Also, I'm not so sure that helping get purchasers with marginal credit histories approved is such a good thing. Hell, isn't that what helped drag the economy into the fine mess that its in today?


Okay, I take back the "blanket" part. Sorry about that. I know you said "most" and it still rubbed me the wrong way because I love my finance managers and I really care about them.

I figured you had some negative experiences to back up your statement.

It's all relative. I mean, you can say it's unnecessary, but it's like insurance- it's peace of mind for some clients. For others, if they get a flat tire or four, they took the risk of forgoing RH and can accept the responsibility of paying for flat tires and dealing with that. The same goes for ext. maintenance and warranties- peace of mind.

Some of what they sell can seem grossly overpriced. Insurance these days in general is pretty expensive, but if you don't feel like you need it, then you've obviously decided against it and can live with the consequences of whatever repairs needed to fix your car.

The paint protection is something we don't sell. To me, it's just paying through the nose for an expensive wax job. The reason we don't sell that product is because it's not a product we can *believe in*, and if we can't believe in a product for our clients, why should we sell it to them?

And if you feel something is grossly overpriced, wouldn't you ask for a discount?

As far as helping people with "marginal" credit, I don't think they should all be helped. But there are some people who have legitimate reasons that we can work with that had challenges in the past that were beyond their control and now that they've re-established themselves, they could qualify with stipulations, (i.e. co-signer, extra security deposits, more cash down, less car, etc.)



spacecadet610 said:


> Woohoo my finance app got approved just now for 0.9% financing. Used my mom as a cosigner. Got a great deal with everything i think.
> 
> Now just have to receive the car.. car arrived at the VPC 6/26 and still haven't received it! My CA told me something about the VPC or some facility moving which is why my car got delayed. Who knows if he is BSing me, as long as i get my car this month in perfect condition is all i care about.


I meant to respond to your post- Congratulations, man!! I'm really happy it's working out for you. Thank your Mom for us. I had my Mom co-sign for me on my first BMW FS lease a long time ago, so I know how that goes.:thumbup:


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## Nick82 (Aug 25, 2006)

caveatesq said:


> Also, I'm not so sure that helping get purchasers with marginal credit histories approved is such a good thing. Hell, isn't that what helped drag the economy into the fine mess that its in today?


Another thing to consider is that BMWFS is picky about approving people. Check out threads on this board, there's quite a few folks who were suprised to be declined even with pretty respectable credit. This is particularly true for people who have never had a car loan in the past (i.e. always paid cash).

Nick


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## masku (May 4, 2007)

X550-ED said:


> Isn't it a little early to be clearing 08's since they are still producing them? Also, someone here ordered a car through ED for August Delivery and also got the 0.9% deal which is supposed to be on New Existing Inventory... any thoughts?


July is the last month of MY08 production AFAIK. Most of August is holiday-time in Germany, and September we will see MY09 production begin (at least for the 3 and 5 series).


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## suer (Jul 1, 2008)

adrian's bmw said:


> No they're not and I'm not gonna let you take a swipe at them and call them most of them crooks- maybe a _*few are*_, but not mine.:thumbdwn: I have two finance managers that are the most wonderful folks I've ever met in my life... Michael, who used to work at another BMW center in CA, is a father of a lovely daughter, has a family to take care of, and Ruth, who has been at our center since it was first owned by Hank Aaron, and who has two beautiful grand-daughters, is the sweetest lady. Both are highly professional, ethically sound, and do excellent work in helping folks like spacecadet get approved in rehashing credit applications with the credit buyers, getting paperwork ready, helping clients get road hazard, extended maintenance, warranties, excess wear and tear, package deals for the banks, get them funded, and closed. Maybe you made your statement in jest, but I don't think it's fair to make a blanket statement like that.
> 
> No, they're sales people just like client advisors, so they make a commission on the rate mark up and products and _*earn a living like most other professions that are commission based- real estate, bankers, brokers, and sales people.*_. So when BMW offers a special rate, there's no allowance for mark up and they make a tiny fraction than what they ordinarily make. I'm not asking you to pity them, I'm just asking that you consider some products that may give you peace of mind that you might not consider if the rate weren't so ridiculously low.


I totally agree. Ruth is the sweetest lady and extremely professional:thumbup:. For example, she offered me the additional tyres warranty coverage but without any attempt to persuade me one way or another. I've dealt with non-BMW FMs before who were aggressively marketing some really crappy "products". Not her, she just stated that this is part of the process that she is required to follow and it's entirely up to me. That was one of the reasons I didn't even bother to argue about "doc fees" or LAF since I got the MF I wanted without any mark-ups etc.


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## e92N54 (Jun 4, 2008)

Ok, so my CA just let me know that my vehicle NEEDS to be in their dealership inventory before I can get approved for the 0.9% as they can not lock me in until then. Is this absolutely true? If so, all I can hope for us that my car gets here before then or BMW extends this into August.


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## masku (May 4, 2007)

e92N54 said:


> Ok, so my CA just let me know that my vehicle NEEDS to be in their dealership inventory before I can get approved for the 0.9% as they can not lock me in until then.


I have heard the same thing.


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## spacecadet610 (Dec 20, 2005)

adrian's bmw said:


> No, they're sales people just like client advisors, so they make a commission on the rate mark up and products and _*earn a living like most other professions that are commission based- real estate, bankers, brokers, and sales people.*_. So when BMW offers a special rate, there's no allowance for mark up and they make a tiny fraction than what they ordinarily make. I'm not asking you to pity them, I'm just asking that you consider some products that may give you peace of mind that you might not consider if the rate weren't so ridiculously low.


Ok so i guess the finance manager i've been dealing with won't be making any money off of the 0.9% deal? She stated when i come in that we can talk about the extended warranty option. I could lump it in with the 0.9%. I'll have to do some research into reasonable prices for this and also figure out if i'm really going to keep the car beyond the warranty. What else is there? TIre insurance? Don't know about that..

Will have to search the board archives for info


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## spacecadet610 (Dec 20, 2005)

i don't think so.

My car isnt at the dealer yet and i got approved for the 0.9%. Although my car is supposed to arrive this week so maybe they just assumed that i would have the car before the promotion ran out at end of month



masku said:


> I have heard the same thing.


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## x54.4blue (Sep 17, 2005)

Do you think the program will be extended in to August ?


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## suer (Jul 1, 2008)

x54.4blue said:


> Do you think the program will be extended in to August ?


Maybe, or maybe not. We'll find out in 2 weeks :rofl: Seriously though, if you find a car you like and it's offered at a price you like, just run with it. Life is too short and this can't go much better - 0.0% and 72 months is unlikely to be offered.


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## BillLumberg (Mar 30, 2006)

#$!%, signed the paperwork for 3.9% on July 2. Damn damn damn...


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## adrian's bmw (Feb 14, 2003)

BillLumberg said:


> #$!%, signed the paperwork for 3.9% on July 2. Damn damn damn...


Yeah, but you did an ED on 7/8, so you had no choice. It wasn't like they were gonna sign you up while you were going 100+ mph on the autobahn on the way to the UPS drop box to send back the docs on 7/11.


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## BillLumberg (Mar 30, 2006)

adrian's bmw said:


> Yeah, but you did an ED on 7/8, so you had no choice. It wasn't like they were gonna sign you up while you were going 100+ mph on the autobahn on the way to the UPS drop box to send back the docs on 7/11.


Just for kicks, I think I'll cruise around at 88 mph today. Maybe I'll get lucky and a bolt of lightning will hit the dolphin fin, generating the required 1.21 gigawatts to power the flux capacitor.


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## spacecadet610 (Dec 20, 2005)

This is a cool calculator comparing how much you save with this 0.9% financing compared to purchasing outright. It takes into account your banks savings and savings interest rate. I'm not sure why it matters how long i keep the car though

http://calculators.aol.com/tools/aol/auto04/tool.fcs

I will be savings $1840 if i keep the car for 5 years


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## X550-ED (Aug 27, 2005)

spacecadet610 said:


> http://calculators.aol.com/tools/aol/auto04/tool.fcs


Cool site, thanks for sharing :thumbup:


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## berkeley223 (Jun 10, 2008)

anyone know if the .9 will last past 7/31? My car is scheduled to arrive off the boat 7/21 so ther is no guarantee it will be at the dealer by 7/31 (tho it probably will)--I don't want to lose this .9% deal on 8/1....


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## BMWFanboy (Apr 27, 2008)

berkeley223 said:


> anyone know if the .9 will last past 7/31? My car is scheduled to arrive off the boat 7/21 so ther is no guarantee it will be at the dealer by 7/31 (tho it probably will)--I don't want to lose this .9% deal on 8/1....


I don't know when they learn of next month's programs. I remember someone around here said there were no lease program changes for July but then a few days later someone found out that there were. Also, I don't know why BMW would offer the 0.9% for a month to perhaps improve sales for just a month. Maybe they want to move 2008s, I don't know.


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## adrian's bmw (Feb 14, 2003)

berkeley223 said:


> anyone know if the .9 will last past 7/31? My car is scheduled to arrive off the boat 7/21 so ther is no guarantee it will be at the dealer by 7/31 (tho it probably will)--I don't want to lose this .9% deal on 8/1....


Not only no, but heck no. You better sign up.


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