Mr Smith is relieved. Negotiations to buy his new car are finishing when he is informed that his worksheet is being turned over to the business office for processing the bill of sale for him to sign. Sounds easy, right? If Mr Smith thought his day was over, he is in for an unpleasant surprise. He is about to be shattered as round two is about to start
Let's look at the Business Manager's profile and sales pitch
When you enter a business office, you will likely deal with a very polite person who works on commission only (i.e. no sale, no gain). If you leave the business office having only signed the bill of sale, with no after market products added, you probably got lucky dealing with an inexperienced Business Manager, or you are clever and have learned some important steps in the buying process.
From my expertise being associated with volume dealers, I can't recall a week passing without a buyer calling the next day with buyer's remorse, wanting to cancel, after a sleepless night looking at a signed bill of sale with $2-5K worth of after market products on top
We all know that when it comes to salesman, there are inexperienced ones, good ones, and then there are top guns. A top gun Business/Finance Manager's income in a volume store can be in the $200K range (that's all commission and no salary)! They don't make that money being your friend. They make it by finding ways to convince already weary customers why they need additional products when all they probably wanted when they walked in the dealership was a car. The most effective way to avoid this situation is to demand your bill of sale to sign and then leave. If you don't, the top gun will wear you down.
Here is an example:
A very close friend of mine bought a car. I told him that when he enters the Business Manager's office, the manager on duty is Bob B*** a top gun known as biggross, very smooth, and the type that can sell ice to an Eskimo. Tell him you want the bill of sale and forget all the after market products. No problem ... except ... when my friend left the dealership the bill of sale had an Extended Warranty, Rust Protection, Perma Shine, Life Insurance, Tire Protection, and Fabric Scotchguard for a car that had leather seats!
A top salesman knows how to read you, they know when you feel guilty and can't say no. They know how to turn your ego against you, make you fearful of phantom consequences if you don't purchase their wares, small or irresponsible for not taking adequate protections, lucky for getting such a unique opportunity. They know if they're coming on too strong, or not strong enough. If you enjoy this gamesmanship or are really inter ested in addons, then have it, but realize that if your intent is to purchase a car and get out, your chances of doing so drop for every additional moment you expose yourself to the Business Manager. The best thing to do is, for the third time , get your bill of sale, sign it, and leave!
Summary...The same type extended warranty was available online for about $ 600. less, the same type rust protection could have been applied by an independent workshop saving close to $ 200., as for the perma shine and tire protection package give your head a shake its a total waste of money, and if you have scotchguard on your bill of sale you should not be allowed to shop by yourself
If i had to pick one area thats totally amazed and baffled me over the years, its the buyer that will negotiate for hours over a few bucks and then leave the business office having added up $ 5000. in aftermarket products
Here are some sales pitches to avoid
The lender will look more favourable at loan application with an extended warranty as you wont have any unforeseen expences, this pitch is especially effective with buyers having a blemished credit rating.
Answer...Its got absolutely no play in a decision making approval from a lender, its the complete opposite you have now applied for an even higher loan
You been quoted a payment during the negotiation process without knowing an extended warranty included...The top gun business Mgr will make it sound like you won the lottery having it included.
Summary...Take out the warranty and my payments are how much less ?
I need your help to level the playing field at car dealerships
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