Dealership Scam?
10-23-12, 11:28 AM
#1
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Dealership Scam?
Just about an year ago, last november, I bought a brand new 2012 is250 F-sport from Lexus of Cerritos.
Now the dealerships calling me up for an upgrade.. they said they'd lower my car payments and let me walk out with a 2013 is250 F-sport in exchange for my car. Is this a scam or what? It sounds like a too good of a deal..
Honestly from my research through google I see no difference other than an upgrade for the years number :2013."
Now the dealerships calling me up for an upgrade.. they said they'd lower my car payments and let me walk out with a 2013 is250 F-sport in exchange for my car. Is this a scam or what? It sounds like a too good of a deal..
Honestly from my research through google I see no difference other than an upgrade for the years number :2013."
10-23-12, 11:33 AM
#2
Lexus Test Driver
No scam. They get to extend you for another year (lock in) and resell your current car on the used car market, where the residual value of the IS has kept up pretty well. To boot, they know an updated IS is coming, so how are they going to move all the 2013 otherwise. Look at it as a free upgrade, if you are willing to extend your commitment by another year.
10-23-12, 11:35 AM
#3
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It's year end and they are just trying to get you into a new car. They want your car back so they can sell at a good price based on the "trade" in/ "trade up". It's not a scam, but it all depends on the numbers they give you.
good luck!
10-23-12, 11:41 AM
#7
its a selling tactic dealers use...its "may" change when you get to the dealer...
Its all based on your current credit score, what your car is worth, ect. They are calling you based on the best possible offer so the only direction it can go is not what you want. Its also a "cheaper" way for a dealer to get used cars then to purchase at the auction and the fees associated from the auction.
If your interested and have the free time check it out, worst case you leave in your current car
Its all based on your current credit score, what your car is worth, ect. They are calling you based on the best possible offer so the only direction it can go is not what you want. Its also a "cheaper" way for a dealer to get used cars then to purchase at the auction and the fees associated from the auction.
If your interested and have the free time check it out, worst case you leave in your current car
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10-23-12, 11:54 AM
#8
Sounds like they will get you into a '13 model which will add to sales numbers, lock you in for another year and give them an opportunity to market other things to you once again. Your '12 can't have that many miles on it, so they probably plan on taking it and selling it as a CPO giving them another chance to make some money. Barely used, low miles and with a 3yr/100k warranty they should be able to sell the '12 quickly and make some money. So you get the benefit of a newer car, but they aren't losing at all in this deal! lol I don't see anything wrong with it!
10-23-12, 12:38 PM
#11
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its a selling tactic dealers use...its "may" change when you get to the dealer...
Its all based on your current credit score, what your car is worth, ect. They are calling you based on the best possible offer so the only direction it can go is not what you want. Its also a "cheaper" way for a dealer to get used cars then to purchase at the auction and the fees associated from the auction.
If your interested and have the free time check it out, worst case you leave in your current car
Its all based on your current credit score, what your car is worth, ect. They are calling you based on the best possible offer so the only direction it can go is not what you want. Its also a "cheaper" way for a dealer to get used cars then to purchase at the auction and the fees associated from the auction.
If your interested and have the free time check it out, worst case you leave in your current car
Sounds like they will get you into a '13 model which will add to sales numbers, lock you in for another year and give them an opportunity to market other things to you once again. Your '12 can't have that many miles on it, so they probably plan on taking it and selling it as a CPO giving them another chance to make some money. Barely used, low miles and with a 3yr/100k warranty they should be able to sell the '12 quickly and make some money. So you get the benefit of a newer car, but they aren't losing at all in this deal! lol I don't see anything wrong with it!
Thanks everybody for responding.
Im financing the vehicle, so far $8000 down.
Credit score: 750.
Do they do this every year? or is just because of the 2014 model coming up and so they want to get those 2013 out the lot.
10-23-12, 01:27 PM
#12
I figured you had put down a lot of money, which is why they are offering to "lower your payment".
As I also assume you have low mileage.
Truth be told dont do it, I work at a car dealership and it's too long of an explanation for me to give right now, but trust me when I say dont do it. Unless your car is a horrible condition/high milage/crashed. Then that would be a different story.
As I also assume you have low mileage.
Truth be told dont do it, I work at a car dealership and it's too long of an explanation for me to give right now, but trust me when I say dont do it. Unless your car is a horrible condition/high milage/crashed. Then that would be a different story.
10-23-12, 01:59 PM
#15
I checked Manheim and there are only 2 sales in CA so I can see why they want your car and many others they have called. They NEED your car so the ball is in your court if you want the new model that bad go in and put up a fight for it. The non F-Sport RWD vs of the IS250 is averaging 30k at the auctions. I would be curious as to what they said your car is worth or "may" be worth. They probably offered to purchase your car out right also.
When I was a Used Car Mgr they played lots of games over promising just to get people in the door. They focused on what year car they needed and this didn't have anything to do with a new model approaching. They would say the car was worth more then it actually was and make up reasons once they saw the car in person why it wasn't worth what they said over the phone. The list goes on. Few with good credit and equity in their car did walk with a decent deal. Many did not because credit was worse, they didn't take care of their car, cars were much older they were targeting at the time. Bottom line they play games just walk and don't look back lol.
Some like having a fresh new car but with a new model approaching the 2gen will take a market hit regardless if you keep your current car or trade it for a brand new model. I would look at what your future plans are. Would you keep this car past its pay off or do you tend to get a new car every three years or so? Just make sure its good for you and you put up a fight at the dealer should you move forward knowing they want your car to help with the used car department. It also doesn't hurt to push a new unit.
If you have any questions your welcome to PM me if you don't care to post anything publicly. I can help with numbers and what they are telling you on your current car. Not sure what a good deal is on a new IS so others could probably help out there.
When I was a Used Car Mgr they played lots of games over promising just to get people in the door. They focused on what year car they needed and this didn't have anything to do with a new model approaching. They would say the car was worth more then it actually was and make up reasons once they saw the car in person why it wasn't worth what they said over the phone. The list goes on. Few with good credit and equity in their car did walk with a decent deal. Many did not because credit was worse, they didn't take care of their car, cars were much older they were targeting at the time. Bottom line they play games just walk and don't look back lol.
Some like having a fresh new car but with a new model approaching the 2gen will take a market hit regardless if you keep your current car or trade it for a brand new model. I would look at what your future plans are. Would you keep this car past its pay off or do you tend to get a new car every three years or so? Just make sure its good for you and you put up a fight at the dealer should you move forward knowing they want your car to help with the used car department. It also doesn't hurt to push a new unit.
If you have any questions your welcome to PM me if you don't care to post anything publicly. I can help with numbers and what they are telling you on your current car. Not sure what a good deal is on a new IS so others could probably help out there.