0% Apr
Thread Starter
Navigator
Joined: May 2005
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0% Apr Dead issue! how about rebates VS Apr?
When do ya'll think it will come out? ok i was unaware* of the sale of GMAC so i guess that was a dumb ignorant hehe ? i wonder what the math would look like if we figured out how much in rebates one would need to get to cover the cost of 3% or 5% APR
Last edited by SPSUPatrick; Feb 10, 2007 at 06:07 PM.
Team Owner
Joined: Feb 2001
Posts: 27,254
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From: Short Hills, NJ
You might see a 4.9% or maybe even 2.9% creep in late, LATE (2010?) in the model run but I wouldn't count on much less and it certainly won't be in conjunction with any rebates/cash back if any were even to be offered, it will be an either or situation.
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Race Director
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With GM selling off GMAC to raise money, I don't expect to see zero percent financing incentves on GM cars in the future. Look instead for discounts and rebates.
GM cut way back on the latter for the 2007s, but they're suffering a 17% month to month sales decline vs 2005 when rebates were common on GM cars and trucks, so I expect we'll be seeing the rebates return soon. GM says they don't want to do that, but given sales declines, and the fact that Chrysler, the only domestic reporting sales increases, is offering up to $3200 rebates on their cars and trucks, GM will probably be forced to return to rebates as a way of selling their cars and trucks.
The Corvette is generally exempt from all this, though, so don't hold your breath looking for a big rebate promotion on Corvettes.
GM cut way back on the latter for the 2007s, but they're suffering a 17% month to month sales decline vs 2005 when rebates were common on GM cars and trucks, so I expect we'll be seeing the rebates return soon. GM says they don't want to do that, but given sales declines, and the fact that Chrysler, the only domestic reporting sales increases, is offering up to $3200 rebates on their cars and trucks, GM will probably be forced to return to rebates as a way of selling their cars and trucks.
The Corvette is generally exempt from all this, though, so don't hold your breath looking for a big rebate promotion on Corvettes.
Instructor
Joined: Oct 2006
Posts: 237
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From: Houston TX
Rebates
The key here is that with the incentive, they're pulling in people who without the incentive would not have bought the vette. This translates to another sale, and thus, money, for GM.
Is there a flaw to my thinking?
Mark
Burning Brakes
Joined: Jan 2005
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GM sold GMAC to Cerberus Capital Group last year, in order to raise a capital cushion for their auto business.
GM offerred 0% financing through GMAC to sell cars. Cerberus bought GMAC to make money, and Cerberus can't make $$$ by offerring free financing. I doubt if you will see 0% again from GMAC and I also doubt if you will see aggressive residual values in lease deals from GMAC.
Will GM offer 0% financing around GMAC? That is doubtful because it would require a lot of capital and GM desperately wants to use that capital elsewhere, i.e. fund pension and medical plans, fund worker buyouts, plant closings, etc.
GM offerred 0% financing through GMAC to sell cars. Cerberus bought GMAC to make money, and Cerberus can't make $$$ by offerring free financing. I doubt if you will see 0% again from GMAC and I also doubt if you will see aggressive residual values in lease deals from GMAC.
Will GM offer 0% financing around GMAC? That is doubtful because it would require a lot of capital and GM desperately wants to use that capital elsewhere, i.e. fund pension and medical plans, fund worker buyouts, plant closings, etc.
Intermediate
Joined: Jan 2007
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From: Regina Saskatchewan
Just a thought, but if the GM had great incentives or financing to buy corvettes and every one could afford them, would that not take a way from some of the prestige of owning one. If there were tons of vettes out there, I dont know if I would want one as bad. Just my opinion though.
Team Owner
Joined: Jun 2001
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From: Cleveland OH
Just a thought, but if the GM had great incentives or financing to buy corvettes and every one could afford them, would that not take a way from some of the prestige of owning one. If there were tons of vettes out there, I dont know if I would want one as bad. Just my opinion though.
Team Owner
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From: Northern, VA
St. Jude Donor '15
"In honor of jpee"
Why wouldn't GM extend rebates and incentives to the Corvette? Although the car sells well on its own, this likely would entice a number of current or prospective owners who are on the fence to either trade up to a newer model or buy into the family for the first time.
The key here is that with the incentive, they're pulling in people who without the incentive would not have bought the vette. This translates to another sale, and thus, money, for GM.
Is there a flaw to my thinking?
Mark
The key here is that with the incentive, they're pulling in people who without the incentive would not have bought the vette. This translates to another sale, and thus, money, for GM.
Is there a flaw to my thinking?
Mark
As to loss in prestige if there are more Corvettes out there, maybe. But you don't really think Chev. or GM cares about that, do you? It's all about sales and survival now.
Race Director
Joined: Oct 2004
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Why wouldn't GM extend rebates and incentives to the Corvette? Although the car sells well on its own, this likely would entice a number of current or prospective owners who are on the fence to either trade up to a newer model or buy into the family for the first time.
The key here is that with the incentive, they're pulling in people who without the incentive would not have bought the vette. This translates to another sale, and thus, money, for GM.
Is there a flaw to my thinking?
Mark
The key here is that with the incentive, they're pulling in people who without the incentive would not have bought the vette. This translates to another sale, and thus, money, for GM.
Is there a flaw to my thinking?
Mark
Thread Starter
Navigator
Joined: May 2005
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those of you whom thik corvettes are rare are in a dream world they are cheep thrills granted not all can have one but most people that went to school for more than 12 years can buy one. so get off the rare thing. the reason i am asking this is beacuse i want a C6 and after getting my 04 for 0% it will be hard to pay any more.
Instructor
Joined: Mar 2005
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those of you whom thik corvettes are rare are in a dream world they are cheep thrills granted not all can have one but most people that went to school for more than 12 years can buy one. so get off the rare thing. the reason i am asking this is beacuse i want a C6 and after getting my 04 for 0% it will be hard to pay any more.