Category: Leasing

Car leasing
Leasing
Vehicle Lease for longer term?. Lower payment?? Look closely!

We are all in search of the LOW payment when negotiating our lease. Something I hear day after day is… “I need the lowest payment possible!”  What we forget is that we should be shopping by purchase price and not by payment.
What does that mean? When you purchase or lease a car, you want to make sure you get a good deal. This is based on the price you pay for the car. The monthly payment will fall into place. Once you negotiate the purchase price of the car minus your rebates, money down or trade,  then all you have left in the term and the interest rate/ money factor. THE PURCHASE PRICE DOES NOT CHANGE WHETHER YOU LEASE OR PURCHASE your vehicle.  You could be leaving money on the table.
36-39 months is pretty standard in the leasing world for a vehicle lease agreement. Its really the most common. Its not forever and you are mostly covered by warranty depending on your miles that you are driving. Most manufactures push these terms and will offer the lowest payment, best money factor and a good residual. To go longer would be silly because the payment sometimes actually goes up. It does NOT make sense. A big down payment is not a solution!
Some  Other manufacturers do offer longer terms like 42, 48 and 60 month leases. STOP and THINK before you jump on this because the payment is lower. If you have to stretch a lease out that long to afford it, you may be on the WRONG car! This car may be too expensive for your budget.  The other aspect of choosing a longer term can be the difference in cost of tires, brakes and other maintenance. Before you sign on the dotted line, look at the whole picture and revisit the cost of a purchase. The cost of more payments, interest, maintenance and repairs adds up. Sometimes we don’t realize how that extra 6 months or year did not really save us anything if we have to spent 500.00 to 800.00 on a set of tires!!!! Maybe it opens you up to look at some different cars.

I call those problems “high class problems”. The problem of which car to choose!!!!! We should all be so lucky.

We all want a good deal. One that is fair to all parties involved. That includes the consumer and the dealer. At the end of the day, you need to make sure that you do what is in your best interest. Follow your gut, stick to your budget and take your time. We talk ourselves into things because we get so excited, but it is a contractual agreement so you need to take it seriously.

Car Dealerships
Car BuyingLeasing
Are all auto dealers the SAME?????

Are all auto dealers the same? Of coarse not!!!!! Depending on the customer service, honesty and ability to treat people will separate how the dealership is rated. Unfortunately you can always get a few selfish, dishonest salespeople or mangers that will ruin it for everybody. They are motivated more by the mighty dollar than the consumers best interest.
“There are good dealerships out there.” I hear this from readers and from consumers. This is true. I do not want to sound like I think that every dealership is trying to take advantage of the consumer. There are some good people out there that do care about their customers.

I have however been in this business for over 19 years. I am driven to educate consumers about how to make sure they protect themselves with information. There is nothing wrong with running a business and making money, but why should one consumer buy a car for invoice , and the next customer comes in and is not as educated pay MSRP?
What does the dealer say? “They should have negotiated a better price!” “The customer should have made a better choice.” Isn’t it the job as a salesperson to educate the consumer so that they make a better decision? I feel like we as sales people need to help more and educate more! I think the “sell” would be a lot easier.

There are a couple ways to check out dealers and their reputations.

* Look at their ratings with the Better Business Bureau in your area. See if they have any complaints.
* Google the dealership. See what consumers are writing. Not paid testimonials!
* Ask your friends who they deal with OR if any of them have had negative / positive experiences.
* Check with the Attorney General in your state. That is a good source to see if the dealership has had consumer issues or complaints.
* Use Social Media to benefit you and reach out to your contacts and friends and ask for referrals.

credit score
LeasingUncategorized
Interest Rate Insanity

It is astounding to me that just because a consumer may not have a rockstar FICO score (700 or higher), it opens them up to be totally taken advantage of with a car loan.
The other day I had a referral call me looking for some help purchasing a new car. She had already made contact with a dealer and they had a car she wanted, but something was making her uncomfortable. As we communicated, I asked her to find out certain information about her purchase. We were texting an talking. I told her to ask questions like:
What is the MSRP?
What is my purchase price?
What is the invoice price?
What is the interest rate?
How many months is my loan?
These are all important things to know. She knew that she was not a 700 and probably closer to 650. She mentioned that she had a relative to co-sign.
**This can be great but you need to make sure that your co signer qualifies.

The consumer had put down a 200.00 deposit before she knew her interest rate or co signers information because she wanted the car.. I told her to sleep on it and follow her gut.
The next day she called me from the dealer and I could not believe what I was hearing.
Her credit score was a little lower than she thought. This gave them the open door to bump the interest rate. They told her she would be at a 12.00% interest rate vs. 4.00% she originally thought.
Her cosigner shows up and has NO credit.
**I cannot stress enough how important it is to know this information before you go into buy a car.
All of the sudden the price was very different. I told her to get up and walk out. I would help her find what she wanted. I sat on the phone with her and walked her through it.

Within 2 minutes her interest rate went down to 7.99%!!! Now they all of the sudden they wanted to come down on price by 500.00 and lower the interest rate. That did not happen until she was ready to leave and not purchase the car! They had the car she wanted and they knew that she was fearful with the credit situation.

If she would not have listened, they would have closed the deal on those numbers. This is Insanity.
1)educate yourself
2)know the interest rates
3)take time to get that credit score up

getting a good deal
Car BuyingLeasing
Am I getting a good deal?

One of the age old questions that many people ask when they are buying or leasing a new car. “Am I getting a good deal?”
How do we know? We can go online and get analysis – paralysis with all the information. We can bully the salesman and his manager. We can spend a month going to or emailing every dealership within a 50 mile radius for a 100.00 discount. All of these options with the possibility of negative and or stressful effects on us. And what is your time worth?
A “good deal” is so relative. I am not saying that you should not do your homework, check on pricing, options and the going rate. What I am saying is that there is a value to feeling good about buying a car, being treated well and knowing that you can trust the person your working with. We all get stressed about spending money and making sure that we get a good value.
You can go to websites like:
www.nada.com
www.carguru.com
I am not a huge fan of Kelley blue book. Sometimes inflated and not always accurate. Just my opinion.
If you feel that your not trusting the person/dealership your working with, then do NOT validate the behavior  by leasing or purchasing a car from them. Getting a new car is an experience and one that we should enjoy and get excited about.
Sometimes the consumer will play “the game” with the dealer. This tells them that it is okay to treat you in a certain way.  You may go to a dealer an their price is $5.00 more per month or $200.00 more on the overall  price of the car, but they treat you exceptionally well. Is the service and the experience worth it? Of coarse it is. I guess it depends on if you value yourself and your money!
The other option of going to the dealer that was a few bucks less, but did value you or your money, treated you crappy and insulted your intelligence.If they are acting like that now, imagine when you need service.
I tell people all the time that I do not play “the Game”. If you want to go to every dealer in town and beat them up over price, go ahead. I do not see the value.  I look at the car business and see how we have validated dishonest, negative and greedy behavior for years.
IT DOES NOT HAVE TO BE THAT WAY! We have the ability to change this.

But it has to start with the consumer. What is your part and what are you willing to do?   So At the end of the day, your GOOD deal is not just about every penny you saved, but how good did it feel to walk out of the dealership with those keys in your hand? Did you say to yourself “I got a good deal”?

about us

Shopping for a car can be one of the most frustrating, time-consuming and tasking experiences. I have over 23 years of experience in the field, creating easy and stress-free car buying experiences! (I promise!) I take the time to help my clients learn about what they are getting, empowering you to find your perfect vehicle. I am backed by an awesome team, and we all work incredibly hard to get every single customer the very best deal while minimizing the amount of time that they need to search.

Contact us

  • Address:
    Diamond Auto Lease & Sales 4901 Galaxy Parkway Warrensville Heights, Ohio 44128

  • Phone:
    216-514-3433

  • Mail:
    katie@katiethecarlady.com