Blvdbrawler

So I was speaking to a sales rep from a "leading" Corvette dealership (Don't want to put them on blast just yet) last night because I was inquiring on ordering my Z06.

The sales rep was knowledgeable and professional but man the numbers he came back with were a bit odd to me and the Deposit certainly raised a red flag.

So the car I ordered was $87,550 but came back at almost $97k with tax title and fees?? Anybody have a similar quote jump this high? (And it was MSRP or so he said)

Also, the sales rep said he needed a $8,000 (NON-REFUNDABLE) deposit for the car??? Really???

Oh and they don't take credit cards...They only accept cashier checks or wire transfers. That didn't bother me too much I guess but its not convenient.

Anybody else have a similar experience?

R1Jester

Tax...that could make it jump. Not sure on your tax rate in NY, but I think new vehicle here in IL is 7.5%.

I've only heard of dealers in my area taking CC deposit up to $5k. Nothing over that so its not "unheard" of. But $8k non refundable??? That raises flags for me.

badhabit_wb

Get him to send an invoice that's itemized and that should clear it up

PREDATR

It happened to me yesterday as a matter of fact. I had to put down 5K in a check because they don't take CC. It was explained to me that they are:
1. Doing a factory order (which means it is custom ordered product. If I cancel past status 3000 they keep the doe but now have a custom car to sell to someone else). Of course its a vette so it would move if I don't take delivery for whatever reason. duh!
2. CC purchases can be reversed if the buyer cancels the order (dealer tells me he has gotten burn too many times with this, plus if you finance with them while also using the CC it is like having two loans with the dealership. I have no clue what that meant but just repeating what was said to me.)
3. The deposit is larger because the car cost significantly more (Wants to make sure you have skin in the game)

As far as the jump in MSRP goes, can't explain to you on that one. I was guanteed MSRP based on an estimate (we built the car and tacked on the goodies for a price) but they don't know the total price until they build it or so I was told. But if it is off, it wont be by much give or take 100.00.

I am sure some else out here will chime in. Hope this helps.

C7_Z06

I recommend for you to shop/inquire with another dealer... there are good reputable forum dealers here including ones who will give you a fully refundable security deposit in writing!

BOBSZ06

1. The deposit is 10% and $5k is not refundable if you sign up.
This is likely a courtesy delivery?

Go for it if you are sure...not many spots available.

CaryBob

That deposit raises a red flag for me. The dealer wants some protection if you later decide to walk away, so he might want a large deposit if you are ordering a configuration that would be tough to sell to someone else. But even then $8,000 sounds very high.

yur2slo

If you're not trading in another car, you're going to have to pay taxes on the total amount. At $87,550 with a NYC tax of 8.875% you're at 95.3K then add in title and fees and that's your $97K, so nothing crazy there. With credit cards, the dealer also most likely loses 3% for a transaction fee - this can add up very quickly on large deposit amounts.

mcmillion

My situation sounds similar to yours (big volume dealer). My sales tax was off they were estimating 9.75% my state is 3%, and it really skewed the numbers. These figures can all be adjusted with the finance manager prior to doc signing or use your own bank and they will handle the registration and titling. I was happy to give a large deposit; I knew it would weed out the lookers and move me up the list. It did. I'm now at 3000 with an option that was constrained.

dwward

MO sales tax on my Z06 came out to $8146.98. I'm guessing the taxes in NY are higher and you're probably paying State and NYC sales tax. Credit card companies charge a percentage fee that can be substantial on a purchase of this size.

I wired my deposit. It was not difficult.

Blvdbrawler

Thanks guys...So it sounds like everything is on the up except the nonrefundable deposit...Not that I expect to bail out but it would be nice to know if for whatever reason there's a serious problem that would cause me stop the order, I can. I'll look to see if another dealer has better deposit flexibility.

sunsalem

Good advice.


Better advice.

"Non-refundable" suggests to me this is a dealer who doesn't ordinarily deal with Corvettephiles....or he is simply a dick.

harlold

As I said in the other thread, you are an idiot to put down a non-refundable deposit.

What if the car arrives with options you didn't want or missing ones you wanted?

What if there are paint drips down the side of the car?

Do you want to be in a situation where you are forced to take something that is subpar because you don't want to eat nearly $10,000?

Unless the dealer is ordering for you at his cost - then don't.

It is a shady and poor sales tactic.

DerStig

No such thing as non refundable deposit.

dwward

You get your deposit back, of course. The dealer has to deliver the car you ordered. There is a contract.

The paint would have to be fixed. You do realize this is a new car with the same new car warranty as any other?

The nonrefundable deposit is intended to protect the dealer, to separate serious buyers from pretenders. The dealer is still obligated to deliver a car exactly as ordered. If the dealer fails to deliver the new car, the deposit is refunded.

Know the terms of the deposit before you hand over your money and you have nothing to fear.

wgcatlga

I'm not a lawyer and I didn't stay in a Holiday Inn Express, but I'm pretty sure this would fall under "contract law":

If he doesn't get the car he ordered (contract), the dealer and Chevrolet are not meeting their "side" of the contract. He might have to talk to a lawyer or file some paperwork, but if they don't deliver what he ordered, they haven't met the terms of the contract.

I'm sure we have some lawyers in here that can opine.

harlold

Yes, pour more money down the drain by having to talk to your lawyer and get them involved. I wouldn't trust a dealer that required such a hefty one. Sure, maybe $1k non-refundable. But, $8k is pure insanity. I'd still question $1k.

I'd move on to the next dealer, there are plenty of them out there.

DerStig

Wow, these Chevy dealers are certainly in a different category all together. As I was saying in another thread, I have been buying BMWs for a long time, even for a 130k car, I didn't have to put over 1k deposit, which was on a credit card and never non-refundable.

Very different culture around there I guess. I'd stay away from anyone who wants you to put non-refundable deposit down for a car.

WA 2 FST

^^^ I agree.

As I said in another thread, any dealer who is _actually_ worried about moving one of these cars if a buyer backs out... has got their head in the sand.

Until the supply is to the point where they have 4-5 sitting on the lot (can't see this happening in '15), these things are going to move fast, and in most metro areas, they will have huge markups over MSRP.

So, why should a reputable dealer even care? Doesn't matter if its a 1ZR or 3ZR with Z07 pkg, the car will not sit on the lot for more than a few days at most... the dealers all network with each other, and if they can't move it, they will trade it to another dealer who has 10 buyers lining up trying to get one of their allocations.

I may go talk to a couple of local dealers today. If I can't get the car at, or below, MSRP with a firm contact in hand and a reasonable deposit... I'm walking.

383LPE

I didn't realize vettes were selling for 90 grand. that's viper territory.