I learned a lot from this video, and implemented on the purchase of a chevy impala for my daughter. I had to have the financing office rewrite the contract up twice we spent all day there because the numbers were not matching up. I plan to reference this video again for a new purchase Thanks
this is like a college course! I just took notes on the 9 things, and how not to annoy the dealer and now this! Which is what I WANTED to see! You. are. awesome. THANKS SO MUCH
Good stuff! Very helpful to the average buyer! I worked in the dealer scene for years as a tech and certain ones weren't so honest unfortunately. Even though I knew how to read these already(most salesmen didn't know this), I would still find some unwanted extras in my own purchases, even as an employee! Calling them out on it was very rewarding too!
Straight forward and accurate. Franchise dealers nowadays will all be pretty much straight forward. Customers with high credit scores will be in and out quickly. Those with low credit scores may have a different story. The lenders that buy you will charge a fee to the dealer which may be several hundred to a thousand or higher. That contract down at the Kia or Mitsubishi store with Rollo will have different numbers. Your credit makes or breaks you.
marc w If service contracts and extended warranties were a true benefit to the customer and they did not make money from them, they would not sell them.
@@JimmyMakingitwork It depends on your personal preference and situation really. Let's say you want to buy the new mid engine Corvette and since it's a completely redesigned engine setup and body and pretty much everything else there's no way to tell what might go wrong, so if you buy a bumper to bumper extended warranty, you know for a fact that you're covered for everything that might fail since it's an all new design. So if you have the money, it might be worth the investment if you're unsure of the future. Now, if you're buying a 6.0l gas engine Silverado truck that's pretty much been the same for 20 years, you can look at other people's problems and repairs to the truck from the past and see if any of them would make you worried about having to fix out of pocket. For example if for the past 5 years 30% of the transmissions had to be replaced before 100k miles, you might consider the warranty because you don't want to be apart of the 30% getting hit with a 4k dollar transmission repair. Like you said, they wouldn't offer warranties at the prices they do if they didn't make at least a little bit of money from it. But on the other hand, if your vehicle does break down and you have the warranty then it's probably money well spent. What might be an interesting video idea is comparing extended warranties offered at the dealership and after market 3rd party warranty companies that might offer a more competitive rate than the dealerships. I think that would be the video to make because we all know a warranty is good if we ever have to use it. But what's the risk vs reward of not getting one or waiting to get one from a 3rd party company.
Get GAP insurance!! I had my new car for a month, got TBONED by a 20 year old texting and driving, my loan was 20k and i only got 13k crom the insurance company to pay off the loan, so i still owed the bank 7k dollars... The gap insurance paid that other 7k for me 😀😀
@@daveycrockett8020 Sounds to me like you over paid for your car or you have a bad insurance company. Long story short I had my 2018 Silverado 2500 HD totaled after about 3 months of owning it with 9,300 miles on it. I paid roughly 35,500 out the door for it no taxes, insurance wanted to give me like 35,500 for replacement costs. My truck was totaled due to water damage, so I did their buyback on my own vehicle and I got 24,000 in cash from the insurance and kept my truck and then I sold it for 12,500 to a mechanic guy and so at the end of it all I got like 36,500 for a truck I paid 35,500 for. Msrp on the truck was 43,300 and since it was a brand new vehicle they had to give me the replacement costs of another brand new vehicle. I'm not saying gap insurance is bad, but if you buy your vehicle for below market value and you have a good insurance plan / company than I don't see the need to waste money on gap insurance, but there are times as you've figured out where it comes in really handy lol.
dedalliance1 it also depends on the type of vehicle you purchase. Trucks hold their value the best compared to a SUV or passenger car. Depreciation is a huge obstacle to overcome on any vehicle that is not a full sized truck. Or if you’re trading in a vehicle that you still owe more than what it’s worth you 100% need to purchase GAP coverage to protect yourself.
Thank-you for doing a video like this! My vehicule is being prepped for the pick-up and my gut was telling me to ask to send me the official written contract before I go pick it up. I figured there would be no room for debate otherwise. Now I know what to look for. I appreciate very much!
Chevy Dude, I want to thank you so much for these videos. I plan to buy a used car soon and it will be the first time at a dealership for me. You are a blessing. I have subscribed to you and I'm gonna watch every video.
I got totally screwed, I just went over my purchase contract, there charging me 14.9% on my loan.and the price of car more than what I agreed for. I'm upset they ripped me off.thanks for going over this now I know.
just refinance through your own bank or credit union. Most banks will do that, if you have decent credit. Can't do much about the contract, as you signed it.
Once again, I'd like to thank you for doing these videos. It's been a long time since i bought a new car and plan to make a purchase soon, so this helps!
thanks man, in the process of biting the bullet on a caddi wagon, cant face the mega money fer a challenger until i see the c8, great to get the knowledge first hand
I’m going to be purchasing a car in the next 2 to 3 months and I’ve really been doing my research. I’m finding your videos very helpful. It’s really a lot to soak in. I wish you were going there with me to help purchase the car lol 😆 Thanks for the information.
Hi, Thank you for your video which is very helpful. I am confused about the downpayment that you mentioned on the first part on the top disclosure. Why do you add it to the amount? Isn't it suppose to be subtracted since you are giving that money to make it less? Sorry if it is a dumb question...
@@HernanHH95 Hi Hernan, it still makes no sense. Why include the down payment beforehand? In my eyes that would be a blatant example of a crooked move from the dealer. The way the down payment is being added, is no different than adding $2,000 the total amount financed. So that once the down payment is actually taken into account it would wash itself out rendering zero dollar impact leaving the total amount financed still intact. It's too bad Chevy Dude is not chiming in because this requires a better explanation. 🙄
Overall this video is very good and about 95% accurate...the truth in lending box 100% can be handwritten. The entire contract can be handwritten. What they can’t do is print something then cross it out and hand write over it...second the prepaid finance charge was explained rather poorly. It’s most commonly seen as VSI (which he mentions) but it stands for Vendor Single Interest and is not negotiable. Most credit unions have this fee and some banks and it’s not negotiable the contract will not be funded if it’s not there. Only caveat to that is few banks will take it from the dealer proceeds if it’s not charged to the customer so one way or the other the bank gets that fee. The fee is an insurance policy the bank has to protect against repossessions. The more loans that get repo the higher this fee is from the bank. So if you see a fee of $39-$75 that bank is really only buying great credit with few exceptions. If you see a fee of $150 or more it’s a banker that buys lower credit and has higher defaults. So if you don’t want to pay a $239 VSI fee have them send you to a different lender
Adam Toungette ...in most cases the dealer can get you a better rate than you can. A lot of the banks I deal with my rates are 50 basis points less than if you walked into the credit union yourself...best bet is just know what your bank will be and see if the dealer can do better. But you should definitely know what rate you can get on your own instead of going in blind...I often save people 50-80 basis points on the rate compared to what their bank is offering. The 2 major banks people have been switching from are USAA and PenFed
The finance charge is the sum of all charges ....also cash cannot be used in a credit transaction...so down payment is illegal ....learn consumer law before financing a vehicle. ...also insurance is to be included in the finance charge ..... 15 usc 1611 ....15 usc 1622 ....15 usc 1605 .....look them up and thank me later.
I always lease so that video on lease contracts will be very helpful and interesting to me. My lease ends in August so I'm leaving again so this will help very much.
Can you do a role playing video. So we can see exactly how and what the salesperson says to get the customer to pay more. And then we also get a better idea of what to say as a rebuttal.
I have bought with True Car and I do not know if they are paid by the dealer, but I can tell you with my purchases the cars are consistently cheaper with True Car.
Thanks to all the information you bring to us, I bought 3 vehicles from a dealership and they don't like me because I don't accept any extra products and also I pay attention to all the details when about numbers means, hopefully I can make business with you someday Mike, I just need to deliver the vehicle in Maine haha.
Please do a lease video! I'm trading in my wife's traverse 3 months earlier since the dealer is paying off the last 3 months of the current lease. Looking at a 2019 traverse lease again and don't want to get scammed. I sure wished I lived closer to you and not in Illinois! I would go to you in a heartbeat!
Anytime I walk into the dealer and tell them I already have have financing setup and i just need a purchase order made they treat me like complete garbage (the finance guys, not the sales guys). I have now learned to do everything online via email. That way I can walk in, sign transfer title, license, etc and be out. Finance guys at the dealer I no longer have time for.
:15 - 11 Fake Car Fees you should not pay at a Car Dealership 0:51 - Car Dealers dislike informed Customers 1:24 - Two Rules to know about Dealer Finance 1:53 - The only legitimate fees you must pay at a car dealership 2:37 - The Finance Office is the Number 1 Profit Producer in the dealer. 3:25 - Don't Pay Dealer Prep Fees 4:26 - Don't Pay Dealer Advertising Fees 5:06 - Don't Pay Additional Dealer Mark-up 5:37 - Don't Pay Delivery or Destination Fees 6:12 - Don't Pay for Nitrogen Filled Tires at a Car Dealership 6:51 - Don't Buy Credit Life Insurance from a Car Dealership 7:12 - Don't Pay for a Vehicle Enhancement Fee in Dealer Finance 7:37 - The most commonly abused charges in Dealer Finance 7:49 - Don't pay for Window Etch Theft Protection at a Car Dealer 8:46 - Don't pay for Dealer Document Fees 10:10 - Don't pay for E-Filing Fees, Electronic Filing Fee, or Processing Fee 11:16 - Don't buy overpriced GAP insurance from a Car Dealer Show less
Here comes your new subscriber and I'm already in love with what you are doing and making it easy for us to understand what goes into car financing - keep up the good work
Good that you explain the contract, but could you please explain why you would or would not purchase the extra products on the second contract example in another/updated video. Thanks, and keep rockin the awesome videos!!
I was wondering this as well. I saw he liked your comment but didn't answer your question. He only posted this yesterday day so hopefully he will reply because that seemed like a huge mistake.
Total of payment is how much your monthly payments add up to including interest. Then you add the down payment amount to get the total amount you'll end up paying for your car over the life of the loan. The total of payments is calculated based on the negotiated price minus the down payment, divided by the length of the loan, then the interest is added.
Dealerships are not supposed to ask for down payment only the bank themselves are allowed to do so as a agreeable terms and you always ask to talk to the bank to see if it's part of the terms of purchasing the car because down-payment is not mandatory 15 usc 1662(b) mixing cash with consumer credit and also any finance charges and what in it are to be disclosed 15 usc 1605(5) finance charge defined and what's all included dealers are also supposed to disclose the way to have consumers righ to rescind on the contract with in 3 days and if they Dont it falls on lender if the lenders fail to send you the paperwork or the way to optout after 3 years you can resend on the contract 15 usc 1635(a)-right to rescission certain transactions. (B)right to resend and keep property (f) right to resend after 3 yrs if paperwork was never recived for opt-out and also you can only only lawsuit under truth in lending act if it's less than one year
Did NOBODY actually catch this??? Take another look from 4:14 to 4:25 ... so far so good right? OK, now watch VERY CAREFULLY until 4:40 - $23,901 for this car with 60 payments of 398.35 - good math. BUT!!! In MY world, a DOWN PAYMENT of $2,000 would mean I'm only financing $21,901 and not INCREASE the cost to $25,901!!! You've just gotten scammed by an "honest" dealer folks!!!
I don't recognize the dealings that went on in the video because it's vastly different than my in-person experiences. What you pointed out in this sample contract made sense. The ones that I'm presented with are nothing short of a 'magician's spell'. I would always get shafted when it came to the contract. I'd diligently follow along examining every step and charge on each page. Then when I get the contract in hand. I see numbers on it that wasn't pointed out before. Then to add insult to injury, I'd notice the "No Cooldown Clause" that says once you've had a chance to gather your balance and rest a bit and really take your time to look over the purchase order and see where you paid way over what the car is worth that YOU CAN'T CANCEL THE CONTRACT even if it is less than three days after. Since then I was grateful for the car buying process of a credit union where the specialist at the CU would do all of the haggling and documentation for me.
I’m currently buying a 2020 But they are bringing vehicle to my local dealership Color is primary choice very few in Florida limited color for my option Learning from your videos before I commit
I bought a car yesterday watched this today they put extender warranty on the car without telling me I didn’t read through it and a license plate of 400 although I had my own :(
Hey I had a scammy issue that happened to me yesterday. I wanted a car that was priced 19,000 and I had 5k to put down. On a 48 month term with 11% , they told me my payments were going to be 540$ per month. I immediately got suspicious because I ran the numbers my self and came up with 377$ per month. I believe they either forced $6000 worth of garbage like GAP ect. or jacked the price of the car from 19k to 25k . What the hell is going on?
I'm I purchasing a VEHICLE or an AUTOMOBILE? Because an Automobile by definition is designed for HOUSEHOLD USE, EXEMPT from SALES TAX, registration tax, license tax, motor vehicle fuel tax, and we want the MSO, not a certificate of title. Is this a commercial loan, lease of a vehicle?
Thank you for such an informative Video! Looking Forward to the Lease Contract Video! My Truck's Lease is up soon and I am unaware if I want to Lease another one or buy mine out, but I am gonna have to do something!! lol
last box(total sale price) in the bank information is confusing , why is the down payment added to total of payments ? i would think it would be a subtraction car is 20000 with finance charge, down payment is 5000. my total loan is 15000. by what your doing i would see 25000 in that box.
This is a good question and it's more than a little strange that he's ignoring every person who is asking the same question. Really makes a person wonder.
It's simple. If you multiply the payments by the number of payments you get a total of the payments. You already paid the down payment, so it is added to that total to calculate the total cost to you. For example, 36 payments of $500 comes to $18,000, your down payment was $6,000. How much money went out of your bank account in total to make this purchase?
There is one thing that sales and banks need to take in consideration with drivers license. If you have just moved and have a CDL WITH HAZMAT ENDORSEMENT THAT ISN'T a walk in and transfer. This process takes 7 to 10 days to do. I know this isn't the sales or dealership or banks fault at all but I ran into this issue a few years ago but everything did go through though.
Hertz Car Sales only Charges $115 Doc fee. That's the only fee Hertz charges the customer. The fees you are displaying are pretty high and you charge a finance fee. HERTZ does not charge a finance fee either. Good info for people who don't know about the fees.
This is my question, why when you describe the amounts inside the box up top the one they can't change as you said, there when you add the figures instead of deducting the down payment I heard you said plus your down payment you add the down payment? Isn't a down payment a deduction of the total price?...…… My next question is, how is the tax calculated before you deduct the down payment or the tax is on the figure after deduction of down payment? Thanks for your videos they are very informative tombs up.
Thank you for the great videos! I have a question about financing. Is it better to get financing through the dealership or go into the deal with financing already in place from my bank/CU? I'm asking about this from the perspective of negotiating the best price not about which is better for financing fees and interest rate.
I bet in the not to distant future every car manufacturer will start having car “vending machines” and if the credit score is good/requirements are met by a call center rep you can just take your car out of a vending machine and leave your trade in there. Seems to make more sense with new cars and cuts costs for the manufacturers. Of course bad credit situations will still require dealers.
Can you do the video for leasing contracts soon. I am leasing a car and will be completing the paperwork in the next few days. I’d love to know your tips before I sign the lease contract. Thanks.
Good info. I will need to watch again just to make sure I understand all of it clearly. But , I saw another comment in regards to the down payment. Isn't that supposed to help you finance less? Or did I just miss that part? I am currently looking for a truck but the down payment doesn't seem to be working in my favor? Thanks
Ahh yes I remember when I went into the dealership when I was 20 didn’t know anything and didn’t have credit history or any credit and my co signer had a score of 580. Didn’t know what apr was lol learned real fast when my apr was 28 percent and people were telling my how bad I messed up and the car I got was over priced by 4K
Chevy Dude: what's the best way to minimize the total financed price besides the down payment & APR? Can dealer/DMV fees as well as accessories be paid out of pocket? Thanks in advance✌
Is there a best time of the month/ year to buy a new or used car such as, the end of the model year? For example, buying a new 2018 model year this fall when the 2020 is released or a 2017 used car at the same time of year.
Thanks for this insight am about getting my first car an di wanted to ask is this same form still used in dealership or there is an update document dealerships use ?
I purchased last year certified pre-owned owned subaru forester 2020, in the fb the price was $21000+ but when I was already received the receipt it went up to $25000 after the $5000 down payment.
Dealers here in Maryland have a DEALER PROCESSING FEE of $500 (not required by law) but they add to every purchase, and a late DEALER DOC FEE (tags, title, paperwork) $250.00. You told us not to walk/balk on DOC FEE. Can we should we walk after hours negotiation on car because of the $500 PROCESSING FEE. Some also add a PREP FEE.
Thank you for this video. I have a question about tax and doc fees. Why dealers add them to the amount that I will be financing after I put down-payment and/or trade in amount? Let's say car cost 15K, down-payment 1K, tradein 2K, total of finance 12K. They will add all fees after that. Which means I will be paying interest over 60 months on tax, interest, and doc fees. Why is that?
Thanks for this video it’s very helpful! Question if the dealer comes and says “I can get you a better apr if you put purchase extended warranty paint protection present check stubs etc.” does that mean I’m already approved for that lower apr and should be able to get that lower rate regardless of if I decide to purchase any extras?
Yes please add a lease contract, also is there any advantage to leasing at all and how do you get out of a lease without getting taken to the cleaners?
What’s up dude!?! New subscriber here and I love what you do! I got a couple questions about picking up a Subaru. How can I get ahold of you? Thanks for everything you do!
I just never learned anything about how to properly handle a car dealership. I can't tell you how grateful I am for every thing you say. Thank you!
My husband just finance a car and after watching this video I was able to call the dealer out on 1k fees and got an awesome deal.Thank you so much !!
I learned a lot from this video, and implemented on the purchase of a chevy impala for my daughter. I had to have the financing office rewrite the contract up twice we spent all day there because the numbers were not matching up. I plan to reference this video again for a new purchase Thanks
this is like a college course! I just took notes on the 9 things, and how not to annoy the dealer and now this! Which is what I WANTED to see! You. are. awesome. THANKS SO MUCH
private private who cares about annoying the dealer
Good stuff! Very helpful to the average buyer! I worked in the dealer scene for years as a tech and certain ones weren't so honest unfortunately. Even though I knew how to read these already(most salesmen didn't know this), I would still find some unwanted extras in my own purchases, even as an employee! Calling them out on it was very rewarding too!
I am so glad I've reached a point in life that I don't have to finance my automobile purchases. Great video ..👍👍👍
Your videos have given me the tools I needed to have the upper hand on dealerships. I have saved $1,000’s in dealerships.
Straight forward and accurate. Franchise dealers nowadays will all be pretty much straight forward. Customers with high credit scores will be in and out quickly. Those with low credit scores may have a different story. The lenders that buy you will charge a fee to the dealer which may be several hundred to a thousand or higher. That contract down at the Kia or Mitsubishi store with Rollo will have different numbers. Your credit makes or breaks you.
Why don't you go over service contracts and extended warranties and gap insurance let us know what your take on that is
marc w If service contracts and extended warranties were a true benefit to the customer and they did not make money from them, they would not sell them.
@@JimmyMakingitwork It depends on your personal preference and situation really. Let's say you want to buy the new mid engine Corvette and since it's a completely redesigned engine setup and body and pretty much everything else there's no way to tell what might go wrong, so if you buy a bumper to bumper extended warranty, you know for a fact that you're covered for everything that might fail since it's an all new design. So if you have the money, it might be worth the investment if you're unsure of the future.
Now, if you're buying a 6.0l gas engine Silverado truck that's pretty much been the same for 20 years, you can look at other people's problems and repairs to the truck from the past and see if any of them would make you worried about having to fix out of pocket. For example if for the past 5 years 30% of the transmissions had to be replaced before 100k miles, you might consider the warranty because you don't want to be apart of the 30% getting hit with a 4k dollar transmission repair.
Like you said, they wouldn't offer warranties at the prices they do if they didn't make at least a little bit of money from it. But on the other hand, if your vehicle does break down and you have the warranty then it's probably money well spent.
What might be an interesting video idea is comparing extended warranties offered at the dealership and after market 3rd party warranty companies that might offer a more competitive rate than the dealerships. I think that would be the video to make because we all know a warranty is good if we ever have to use it. But what's the risk vs reward of not getting one or waiting to get one from a 3rd party company.
Get GAP insurance!! I had my new car for a month, got TBONED by a 20 year old texting and driving, my loan was 20k and i only got 13k crom the insurance company to pay off the loan, so i still owed the bank 7k dollars... The gap insurance paid that other 7k for me 😀😀
@@daveycrockett8020 Sounds to me like you over paid for your car or you have a bad insurance company. Long story short I had my 2018 Silverado 2500 HD totaled after about 3 months of owning it with 9,300 miles on it. I paid roughly 35,500 out the door for it no taxes, insurance wanted to give me like 35,500 for replacement costs. My truck was totaled due to water damage, so I did their buyback on my own vehicle and I got 24,000 in cash from the insurance and kept my truck and then I sold it for 12,500 to a mechanic guy and so at the end of it all I got like 36,500 for a truck I paid 35,500 for. Msrp on the truck was 43,300 and since it was a brand new vehicle they had to give me the replacement costs of another brand new vehicle.
I'm not saying gap insurance is bad, but if you buy your vehicle for below market value and you have a good insurance plan / company than I don't see the need to waste money on gap insurance, but there are times as you've figured out where it comes in really handy lol.
dedalliance1 it also depends on the type of vehicle you purchase. Trucks hold their value the best compared to a SUV or passenger car. Depreciation is a huge obstacle to overcome on any vehicle that is not a full sized truck. Or if you’re trading in a vehicle that you still owe more than what it’s worth you 100% need to purchase GAP coverage to protect yourself.
Thank-you for doing a video like this! My vehicule is being prepped for the pick-up and my gut was telling me to ask to send me the official written contract before I go pick it up. I figured there would be no room for debate otherwise. Now I know what to look for. I appreciate very much!
Chevy Dude, I want to thank you so much for these videos. I plan to buy a used car soon and it will be the first time at a dealership for me. You are a blessing. I have subscribed to you and I'm gonna watch every video.
I got totally screwed, I just went over my purchase contract, there charging me 14.9% on my loan.and the price of car more than what I agreed for. I'm upset they ripped me off.thanks for going over this now I know.
The problem is, some people are so excited to be buying a car. They rush through the finance office part to get out the door.
@@seanpowers346 that was some of what was with me ,trying to get done and out ,this dealer was 50 minutes from were I live.
just refinance through your own bank or credit union. Most banks will do that, if you have decent credit. Can't do much about the contract, as you signed it.
Once again, I'd like to thank you for doing these videos. It's been a long time since i bought a new car and plan to make a purchase soon, so this helps!
Thank you so much, I have been paying those fees every time I bought a car, now I know what the fees means.
thanks man, in the process of biting the bullet on a caddi wagon, cant face the mega money fer a challenger until i see the c8, great to get the knowledge first hand
Man you are great. You should be a all around car salesman for any auto!!! Not just Chevy! You make everyone life easier.
I’m going to be purchasing a car in the next 2 to 3 months and I’ve really been doing my research. I’m finding your videos very helpful. It’s really a lot to soak in. I wish you were going there with me to help purchase the car lol 😆 Thanks for the information.
Hi,
Thank you for your video which is very helpful. I am confused about the downpayment that you mentioned on the first part on the top disclosure. Why do you add it to the amount? Isn't it suppose to be subtracted since you are giving that money to make it less? Sorry if it is a dumb question...
Same question I have I’m so confused
It’s just the amount you’ll be playing at the end. You just payed the down earlier.
@@HernanHH95
Hi Hernan, it still makes no sense. Why include the down payment beforehand?
In my eyes that would be a blatant example of a crooked move from the dealer.
The way the down payment is being added, is no different than adding $2,000 the total amount financed.
So that once the down payment is actually taken into account it would wash itself out rendering zero dollar impact leaving the total amount financed still intact.
It's too bad Chevy Dude is not chiming in because this requires a better explanation. 🙄
Overall this video is very good and about 95% accurate...the truth in lending box 100% can be handwritten. The entire contract can be handwritten. What they can’t do is print something then cross it out and hand write over it...second the prepaid finance charge was explained rather poorly. It’s most commonly seen as VSI (which he mentions) but it stands for Vendor Single Interest and is not negotiable. Most credit unions have this fee and some banks and it’s not negotiable the contract will not be funded if it’s not there. Only caveat to that is few banks will take it from the dealer proceeds if it’s not charged to the customer so one way or the other the bank gets that fee. The fee is an insurance policy the bank has to protect against repossessions. The more loans that get repo the higher this fee is from the bank. So if you see a fee of $39-$75 that bank is really only buying great credit with few exceptions. If you see a fee of $150 or more it’s a banker that buys lower credit and has higher defaults. So if you don’t want to pay a $239 VSI fee have them send you to a different lender
Get your loan directly from the institution rather than dealer and get a better rate and avoid the scams and up sells...unless you have bad credit.
Adam Toungette ...in most cases the dealer can get you a better rate than you can. A lot of the banks I deal with my rates are 50 basis points less than if you walked into the credit union yourself...best bet is just know what your bank will be and see if the dealer can do better. But you should definitely know what rate you can get on your own instead of going in blind...I often save people 50-80 basis points on the rate compared to what their bank is offering. The 2 major banks people have been switching from are USAA and PenFed
I'm going tomorrow to my local toyota dealer to purchase my leased vehicle that is due to be returned or purchased. Thanks for all your videos.
i wish we have a same dealer like you.. informatively
Great video! Very educational, thank you!
If you're not informed of your rights then you're not obligated to perform on the contract
The finance charge is the sum of all charges ....also cash cannot be used in a credit transaction...so down payment is illegal ....learn consumer law before financing a vehicle. ...also insurance is to be included in the finance charge .....
15 usc 1611 ....15 usc 1622 ....15 usc 1605 .....look them up and thank me later.
I always lease so that video on lease contracts will be very helpful and interesting to me. My lease ends in August so I'm leaving again so this will help very much.
watch this about leasing..ua-cam.com/video/t1NaDucAXIg/v-deo.html
Can you do a role playing video. So we can see exactly how and what the salesperson says to get the customer to pay more. And then we also get a better idea of what to say as a rebuttal.
Hey Can you do a video if your using a TrueCar certificate at a dealership please and thank you.🙏🙏
Did you know the dealership PAYS TrueCar?. Yep, then the dealership just passes that fee on to the customer one way or another.
I have bought with True Car and I do not know if they are paid by the dealer, but I can tell you with my purchases the cars are consistently cheaper with True Car.
Thanks to all the information you bring to us, I bought 3 vehicles from a dealership and they don't like me because I don't accept any extra products and also I pay attention to all the details when about numbers means, hopefully I can make business with you someday Mike, I just need to deliver the vehicle in Maine haha.
Please do a lease video! I'm trading in my wife's traverse 3 months earlier since the dealer is paying off the last 3 months of the current lease. Looking at a 2019 traverse lease again and don't want to get scammed. I sure wished I lived closer to you and not in Illinois! I would go to you in a heartbeat!
I live in Illinois. And I'm pretty sure when I buy my next vette it will b with him
Can you make a video of what to expect when buying a car pay in full
Pretty much same process just the payments and interests sections blank
Thank you Chevy Dude you once again did an outstanding informative presentation..
Anytime I walk into the dealer and tell them I already have have financing setup and i just need a purchase order made they treat me like complete garbage (the finance guys, not the sales guys). I have now learned to do everything online via email. That way I can walk in, sign transfer title, license, etc and be out. Finance guys at the dealer I no longer have time for.
:15 - 11 Fake Car Fees you should not pay at a Car Dealership
0:51 - Car Dealers dislike informed Customers
1:24 - Two Rules to know about Dealer Finance
1:53 - The only legitimate fees you must pay at a car dealership
2:37 - The Finance Office is the Number 1 Profit Producer in the dealer.
3:25 - Don't Pay Dealer Prep Fees
4:26 - Don't Pay Dealer Advertising Fees
5:06 - Don't Pay Additional Dealer Mark-up
5:37 - Don't Pay Delivery or Destination Fees
6:12 - Don't Pay for Nitrogen Filled Tires at a Car Dealership
6:51 - Don't Buy Credit Life Insurance from a Car Dealership
7:12 - Don't Pay for a Vehicle Enhancement Fee in Dealer Finance
7:37 - The most commonly abused charges in Dealer Finance
7:49 - Don't pay for Window Etch Theft Protection at a Car Dealer
8:46 - Don't pay for Dealer Document Fees
10:10 - Don't pay for E-Filing Fees, Electronic Filing Fee, or Processing Fee
11:16 - Don't buy overpriced GAP insurance from a Car Dealer
Show less
Can't wait on your lease contract video!!! Keep up the good job!!!
Hi Chevy Dude, why do dealerships still have document fees when everything is digitized this day in age? I've been wondering this for a decade or so.
um, because they are thieves?
Awesome info... I just bought a 2019 bolt and they had us sign everything on a desktop touch screen..... crazy technology
@@ChevyDude Me neither, I kept having to resync my pen, frustrating
I’m looking for a car and find this really helpful. Thank you.
i wish you did more explaining than just reading the contract.
Here comes your new subscriber and I'm already in love with what you are doing and making it easy for us to understand what goes into car financing - keep up the good work
Good that you explain the contract, but could you please explain why you would or would not purchase the extra products on the second contract example in another/updated video. Thanks, and keep rockin the awesome videos!!
Thank you so much for your invaluable information, highly appreciate it, keep it up the outstanding job, have a great day.
can you do the same thing with a lease contract? Those are harder to understand. Thanks!!
Don't lease
If the 5 box for your down payment is $ 2000 then won’t that bring the total price down to 21,901?
I was wondering this as well. I saw he liked your comment but didn't answer your question. He only posted this yesterday day so hopefully he will reply because that seemed like a huge mistake.
Total of payment is how much your monthly payments add up to including interest. Then you add the down payment amount to get the total amount you'll end up paying for your car over the life of the loan. The total of payments is calculated based on the negotiated price minus the down payment, divided by the length of the loan, then the interest is added.
@@suezotiger make a video explaining lol
Dealerships are not supposed to ask for down payment only the bank themselves are allowed to do so as a agreeable terms and you always ask to talk to the bank to see if it's part of the terms of purchasing the car because down-payment is not mandatory 15 usc 1662(b) mixing cash with consumer credit and also any finance charges and what in it are to be disclosed 15 usc 1605(5) finance charge defined and what's all included dealers are also supposed to disclose the way to have consumers righ to rescind on the contract with in 3 days and if they Dont it falls on lender if the lenders fail to send you the paperwork or the way to optout after 3 years you can resend on the contract 15 usc 1635(a)-right to rescission certain transactions. (B)right to resend and keep property (f) right to resend after 3 yrs if paperwork was never recived for opt-out and also you can only only lawsuit under truth in lending act if it's less than one year
Did NOBODY actually catch this??? Take another look from 4:14 to 4:25 ... so far so good right? OK, now watch VERY CAREFULLY until 4:40 - $23,901 for this car with 60 payments of 398.35 - good math. BUT!!! In MY world, a DOWN PAYMENT of $2,000 would mean I'm only financing $21,901 and not INCREASE the cost to $25,901!!! You've just gotten scammed by an "honest" dealer folks!!!
Rewatch. I clearly explain why the contact must read that way. 😄
This break down is amazing. Thank you!
I don't recognize the dealings that went on in the video because it's vastly different than my in-person experiences. What you pointed out in this sample contract made sense. The ones that I'm presented with are nothing short of a 'magician's spell'. I would always get shafted when it came to the contract. I'd diligently follow along examining every step and charge on each page. Then when I get the contract in hand. I see numbers on it that wasn't pointed out before. Then to add insult to injury, I'd notice the "No Cooldown Clause" that says once you've had a chance to gather your balance and rest a bit and really take your time to look over the purchase order and see where you paid way over what the car is worth that YOU CAN'T CANCEL THE CONTRACT even if it is less than three days after. Since then I was grateful for the car buying process of a credit union where the specialist at the CU would do all of the haggling and documentation for me.
I’m currently buying a 2020 But they are bringing vehicle to my local dealership Color is primary choice very few in Florida limited color for my option Learning from your videos before I commit
6% interest!, geez, I haven't bought a car in a long time.
That’s the tax percentage in MD too
Back in the day, interest can go as high as 30%!
@@jazmin2111 yes its a bad thing, my interest for my car which was about a year ago i got 3.25% 6% is shit thats if you have bad credit i think
Very informative and should prove very helpful.
No down payment should be collected
I bought a car yesterday watched this today they put extender warranty on the car without telling me I didn’t read through it and a license plate of 400 although I had my own :(
I'd go back to them and tell them to remove those fees.
extended warranty should be able to be cancelled
Can you go over having financed thru a bank yourself? Such as giving the dealership a buyers order.
Cool vid very informative and thanks for sharing!
Hey I had a scammy issue that happened to me yesterday. I wanted a car that was priced 19,000 and I had 5k to put down. On a 48 month term with 11% , they told me my payments were going to be 540$ per month. I immediately got suspicious because I ran the numbers my self and came up with 377$ per month. I believe they either forced $6000 worth of garbage like GAP ect. or jacked the price of the car from 19k to 25k . What the hell is going on?
I'm I purchasing a VEHICLE or an AUTOMOBILE? Because an Automobile by definition is designed for HOUSEHOLD USE, EXEMPT from SALES TAX, registration tax, license tax, motor vehicle fuel tax, and we want the MSO, not a certificate of title. Is this a commercial loan, lease of a vehicle?
Finance charge is the sum of all charges. Including any additional charges such as insurance and closing fees
Thank you for such an informative Video! Looking Forward to the Lease Contract Video! My Truck's Lease is up soon and I am unaware if I want to Lease another one or buy mine out, but I am gonna have to do something!! lol
Did u mean Fleece? lol
last box(total sale price) in the bank information is confusing , why is the down payment added to total of payments ? i would think it would be a subtraction car is 20000 with finance charge, down payment is 5000. my total loan is 15000. by what your doing i would see 25000 in that box.
This is a good question and it's more than a little strange that he's ignoring every person who is asking the same question. Really makes a person wonder.
It's simple. If you multiply the payments by the number of payments you get a total of the payments. You already paid the down payment, so it is added to that total to calculate the total cost to you. For example, 36 payments of $500 comes to $18,000, your down payment was $6,000. How much money went out of your bank account in total to make this purchase?
There is one thing that sales and banks need to take in consideration with drivers license. If you have just moved and have a CDL WITH HAZMAT ENDORSEMENT THAT ISN'T a walk in and transfer. This process takes 7 to 10 days to do. I know this isn't the sales or dealership or banks fault at all but I ran into this issue a few years ago but everything did go through though.
Hertz Car Sales only Charges $115 Doc fee. That's the only fee Hertz charges the customer. The fees you are displaying are pretty high and you charge a finance fee. HERTZ does not charge a finance fee either. Good info for people who don't know about the fees.
That’s great if you are foolish enough to buy a Rental Car.
This is my question, why when you describe the amounts inside the box up top the one they can't change as you said, there when you add the figures instead of deducting the down payment I heard you said plus your down payment you add the down payment? Isn't a down payment a deduction of the total price?...…… My next question is, how is the tax calculated before you deduct the down payment or the tax is on the figure after deduction of down payment? Thanks for your videos they are very informative tombs up.
This is the same question I have... Seems to me that the downpayment is a deduction... strange right
Look Into 15 usc 1605. Federal law states no down payment Aka cash shall be included in a financing transaction.
They do not disclose this to you in the Truth in Lending box is where it must be told to you know cash shall be included.
@@rackracersauce4492 looks like we need a video explaining this box.... to many questions over this (Adding of the down payment as part of the total)
@@360MIX dude have you found a video explaining this yet? I want to understand lol
Thank you for the great videos! I have a question about financing. Is it better to get financing through the dealership or go into the deal with financing already in place from my bank/CU? I'm asking about this from the perspective of negotiating the best price not about which is better for financing fees and interest rate.
I've read it's better to shop around and it seems that credit unions usually have lower rates.
I bet in the not to distant future every car manufacturer will start having car “vending machines” and if the credit score is good/requirements are met by a call center rep you can just take your car out of a vending machine and leave your trade in there. Seems to make more sense with new cars and cuts costs for the manufacturers. Of course bad credit situations will still require dealers.
May not be feasible in salt states.
This is the same when financing a car over a few years right. I plan to finance my first car in just a couple of months
Chevy dude ! How many rebates can you stack on a car?
Thanks for your help, my question is can I avoid a GAP insurance that Toyota dealer is trying to charge my including a ELO GPS
Can you do the video for leasing contracts soon. I am leasing a car and will be completing the paperwork in the next few days. I’d love to know your tips before I sign the lease contract. Thanks.
Can't really get scammed on a lease. Just don't buy any backend products.
*Always giving out good info* 👍
Wondering if the 4 corner rule applies?
What does the minimum finance charge mean?
Good info. I will need to watch again just to make sure I understand all of it clearly. But , I saw another comment in regards to the down payment. Isn't that supposed to help you finance less? Or did I just miss that part? I am currently looking for a truck but the down payment doesn't seem to be working in my favor? Thanks
What charges can you pay for so they won't be included in the monthly payments and subject to finance charges?
looks to me like someone is paying the $235 charge twice. line Y = lines k-x, totalling $1594. then the same $235 is charged again on line z.
I just asked the exact same question 5 month after and still no response? I thought the Chevy guy read all of the comments?
Ahh yes I remember when I went into the dealership when I was 20 didn’t know anything and didn’t have credit history or any credit and my co signer had a score of 580. Didn’t know what apr was lol learned real fast when my apr was 28 percent and people were telling my how bad I messed up and the car I got was over priced by 4K
😂😂😂😂😂 Those we're the days!
Chevy Dude: what's the best way to minimize the total financed price besides the down payment & APR? Can dealer/DMV fees as well as accessories be paid out of pocket? Thanks in advance✌
fight the Doc fee !! that will save $3-500 or more! Govt fees can't be negotiated, but doc fees can be!
Great video. I am learning so much from you.
Disbility ins came in handy mike mother bought a car with it didnt pay anything injured herself and it paid 6 months of car payments
Yes. But buy it through an independent insurance agent. It's much cheaper.
Is there a best time of the month/ year to buy a new or used car such as, the end of the model year? For example, buying a new 2018 model year this fall when the 2020 is released or a 2017 used car at the same time of year.
Thanks for this insight am about getting my first car an di wanted to ask is this same form still used in dealership or there is an update document dealerships use ?
I noticed you skip over “You’re give us security interest in the property purchased” THATS THE BIGGEST AND IMPORTANT SCAM IN THE WHOLE CONTRACT.
I purchased last year certified pre-owned owned subaru forester 2020, in the fb the price was $21000+ but when I was already received the receipt it went up to $25000 after the $5000 down payment.
Always make sure you're informed of your right of rescission
What’s this mean bc I didn’t even receive a copy of the paperwork that I signed
You have no right to rescind. No state in the USA has a cooling off period on a car loan contract.
You almost remind me of John Elway.
Yes I agree that he is just that handsome
I do appreciate this information
This is so helpful, thank you!
Great walk through!
This was awesome and easy to understand
Dealers here in Maryland have a DEALER PROCESSING FEE of $500 (not required by law) but they add to every purchase, and a late DEALER DOC FEE (tags, title, paperwork) $250.00. You told us not to walk/balk on DOC FEE. Can we should we walk after hours negotiation on car because of the $500 PROCESSING FEE. Some also add a PREP FEE.
Very informative. Thanks
Thank you for this video. I have a question about tax and doc fees. Why dealers add them to the amount that I will be financing after I put down-payment and/or trade in amount? Let's say car cost 15K, down-payment 1K, tradein 2K, total of finance 12K. They will add all fees after that. Which means I will be paying interest over 60 months on tax, interest, and doc fees. Why is that?
That's a great question. It doesn't make sense to me.
When are you going to do the lease turn in video that was mention when your daughter’s new vehicle was purchased
Thanks for this video it’s very helpful! Question if the dealer comes and says “I can get you a better apr if you put purchase extended warranty paint protection present check stubs etc.” does that mean I’m already approved for that lower apr and should be able to get that lower rate regardless of if I decide to purchase any extras?
that is illegal
Yes please add a lease contract, also is there any advantage to leasing at all and how do you get out of a lease without getting taken to the cleaners?
@LEO7175 Leasing almost a must in Salt States.
What’s up dude!?! New subscriber here and I love what you do! I got a couple questions about picking up a Subaru. How can I get ahold of you? Thanks for everything you do!
WHOLE LOT OF TRUTH IN LENDING VIOLATIONS
HELP 😭Where does the bank sign on this contract🤨🤔🤓
Please go over exactly how dealers come up with the FINANCE CHARGE.
I put down $500 but in the truth in lending box it says $0
Excellent video 👏🏼