Dealer Scam 0% APR GM Financial Offer

[Anonymous]

Just because all you see is the 0% apr offer for *Qualified Buyers* special financing rate doesn't mean it's the only one available. There are multiple special financing rate options available. As for if the dealer is receiving the rebates without you knowing, that is not possible. All incentives included in the deal would be on your purchase contract. That being said, I believe your Loyalty cash should have still applied, not for certain. And also you should have been able to get a dealer discount of at least 10% off on the deal, roughly $4k. Dealer discount does not impact GM special financing rate.

[Anonymous]

The deal is done all you can do is remember it as a lesson for next time. Best advise I can give since your on the MyFico forums is to check out the credit rebuild section and start working on your credit scores so you wont be in this position next time. Having that FICO score would have made any auto loan approval difficult. In the future once your scores get better try having your financing secured before going into a dealership. Just enjoy the New truck!

[Brian_Earl_Spilner]

Are you angry because of principal?  Without any concrete numbers to crunch, using estimations based on what you've posted, you're saving about $2k with how it's currently set up. Were you thinking you could refinance in a year?

[tparks5961]

Holy cheese and crackers!

3%?  I got 5% with an 806 Fico score.

Only you know what your situation. Can you comfortably cover the $743.00 payment?

[TattnallTrio]

Let's look at some numbers. Dealers are legally allowed to Mark up an APR by 4%. GM Financial probably called the deal at 12.9% and the dealer marked it up to 16.9%. They probably "bought down" the interest rate from 12.9% down to 3%, likely at $600 per percent.

The lower credit score comes at a price. The truck with rebates gave you a great Loan To Value calculation, plus the negative equity. 

I wouldn't like being lied to either, but they got you financed for a brand new truck and let this be an expensive lesson to read what you sign. In 72 months your credit will be re-established. 

PS) Bob Rohrman Hyundai in Indianapolis hosed me on a deal, so I can relate. 

[tcbofade]

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@tparks5961 wrote:

Holy cheese and crackers!

3%?  I got 5% with an 806 Fico score.

Only you know what your situation. Can you comfortably cover the $743.00 payment?

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Right???

I got 5% with a 740 or so...

[Nunthewizr]

Thank you for your reply! I can afford it and I do appreciate getting the great rate. I guess my biggest issue is how the Sales Advisor told me I was getting almost $10k off MSRP in the form of incentives and discounts and then the General Manager telling me he called in a "favor" to his GM Financial buddy and got me 3% financing. I was under the impression that I was getting the discount and the reduced rate. It was never mentioned it was one or the other. I thought that was sketchy especially when I was finally told almost three weeks later that I got the 0% GM Financial financing offer (which was actually 3% and not advertised or disclosed to me) that nullified all incentives and discounts. If you look at the GM/Chevy offer disclaimers it basically says that you get either the 0% financing OR the incentives. It doesn't say that you get either the 0%, 1%, 2%, 3%, 4%, etc OR the incentives. 

Again, I know that the 3% is awesome for someone with my credit score but I think it's shady AF that I was never told it would nullify everything else and never considered it because it was never advertised by GM/Chevy or the Dealership that 3% financing was actually the same as 0% financing. 

[Anonymous]

Dealerships have 2 different apr's. The one you qualify for and the one they tell you. The difference is what the dealer makes on your interest. 

he could of talked gm financial into 0%, thus eliminating your rebates, sold you 3% so the dealer makes 3% of the interest on the loan.

they made full value of the truck profit and the 3%. 

you're happy with your truck and your payments, lesson learned. They helped you so let them help themselves on the profit side.

[sccredit]

I'm gonna be the tough love here and I apologize in advance if I come off as harsh.  This is something you should have looked at before signing the contract.  I understand the pressure in finance and I know they're trying to push you through as quickly as possible.  However, you are an adult and you signed an agreement.  If you went in front of a judge that is exactly what the judge would say.  There is a reason car dealers have a reputation but they only get away with it because we as consumers go along with it.  Let this be a tough lesson but enjoy your new truck.  Those Trail Bosses are very nice trucks.    

[Jannelo]

I agree that they were very shady, and I wouldn't be happy with all of the double-talking.  But the good news is, 3 percent is amazing for your credit score.