Have you heard about this fees?
01-03-07, 10:59 PM
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Have you heard about this fees?
Hi everyone, i'm a newbie to club Lexus, and i have some rookie questions:
Last week I purchased my first Lexus IS 250 RWD. I thought i got a pretty good deal like some of you for $500 above invoice. MSRP was around $37800 and the invoice should be around $31300. When i asked the dealer to break down all the the price of MSRP and invoice and packages. I found out there were somethings that i've never expect. There were three things called:
1. TDA - $400
2. Dealer holdback - $630
3. Whsl. Financial reserve -$320
the dealer explained the TDA is somekind of advestisment fee from Toyota. i forgot what was the explaination for the other two. They told me those are included in their cost and can't be voided and they said every Lexus dealership in the nation do the same thing. i've bought car from Toyota before but i've never seen those items and digits. After some negotiations but wasn't able to take any thing down from there. so end up i still bought the car for $33360 + destination charge + TTL but paid around $1350 more than i expected.
I still love my 250 every bit but just wonder am i got ripped? I was able to get $4440 off MSRP, is it a good deal? Does anyone has the same experience when purchasing your Lexus? This is my first Lexus so alot of things that i'm still learning.
thanks!
Last week I purchased my first Lexus IS 250 RWD. I thought i got a pretty good deal like some of you for $500 above invoice. MSRP was around $37800 and the invoice should be around $31300. When i asked the dealer to break down all the the price of MSRP and invoice and packages. I found out there were somethings that i've never expect. There were three things called:
1. TDA - $400
2. Dealer holdback - $630
3. Whsl. Financial reserve -$320
the dealer explained the TDA is somekind of advestisment fee from Toyota. i forgot what was the explaination for the other two. They told me those are included in their cost and can't be voided and they said every Lexus dealership in the nation do the same thing. i've bought car from Toyota before but i've never seen those items and digits. After some negotiations but wasn't able to take any thing down from there. so end up i still bought the car for $33360 + destination charge + TTL but paid around $1350 more than i expected.
I still love my 250 every bit but just wonder am i got ripped? I was able to get $4440 off MSRP, is it a good deal? Does anyone has the same experience when purchasing your Lexus? This is my first Lexus so alot of things that i'm still learning.
thanks!
01-04-07, 07:33 AM
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01-04-07, 08:50 AM
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Well, yeah, the holdback is the money that the dealer gets paid, but that doesn't mean that they'd give it up. $500 over invoice is a very good price.
Whsl. Financial reserve could be the money that the manufacturer gives the dealership for taking up floor space. I read about it someplace -- the source said it was something like $160 a month and the dealership usually receives two months.
01-04-07, 09:02 AM
#7
Well, yeah, the holdback is the money that the dealer gets paid, but that doesn't mean that they'd give it up. $500 over invoice is a very good price.
Whsl. Financial reserve could be the money that the manufacturer gives the dealership for taking up floor space. I read about it someplace -- the source said it was something like $160 a month and the dealership usually receives two months.
Whsl. Financial reserve could be the money that the manufacturer gives the dealership for taking up floor space. I read about it someplace -- the source said it was something like $160 a month and the dealership usually receives two months.
So invoice + $500 + $1350 in fees = $1850 over invoice = THEFT!!!
He should have paid invoice + $500 + $400 = $900 over invoice
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01-04-07, 09:29 AM
#8
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2. Holdback is "Flooring" - dealer gets paid on quarterly basis to cover overhead (cost of electricity etc...and basic "rent" for the cars to sit on lot, PDI, detail, etc etc)
3. Wholesale Finance Reserve - not sure what that is?
The first 2 are definately part of invoice so if you got $500 over I'd say you can rest easy it's a good deal.
Congrats and welcome to Club Lexus!
01-04-07, 09:41 AM
#10
Regardless of if it's a good deal, the dealership lied and screwed this guy over, for sure... Look at the numbers:
Invoice price - $31300
He paid $33360 (NOT including Destination + TTL)
That's $2060 over invoice!!! Definitely not $500 over invoice like he was told...
GUMGUT: Go back to the dealership with all your paperwork and ask them why you paid what you paid... Go through it LINE BY LINE with them... Either they made a mistake or deliberately screwed you, either way, they owe you some money...
Invoice price - $31300
He paid $33360 (NOT including Destination + TTL)
That's $2060 over invoice!!! Definitely not $500 over invoice like he was told...
GUMGUT: Go back to the dealership with all your paperwork and ask them why you paid what you paid... Go through it LINE BY LINE with them... Either they made a mistake or deliberately screwed you, either way, they owe you some money...
01-04-07, 12:32 PM
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Regardless of if it's a good deal, the dealership lied and screwed this guy over, for sure... Look at the numbers:
Invoice price - $31300
He paid $33360 (NOT including Destination + TTL)
That's $2060 over invoice!!! Definitely not $500 over invoice like he was told...
GUMGUT: Go back to the dealership with all your paperwork and ask them why you paid what you paid... Go through it LINE BY LINE with them... Either they made a mistake or deliberately screwed you, either way, they owe you some money...
Invoice price - $31300
He paid $33360 (NOT including Destination + TTL)
That's $2060 over invoice!!! Definitely not $500 over invoice like he was told...
GUMGUT: Go back to the dealership with all your paperwork and ask them why you paid what you paid... Go through it LINE BY LINE with them... Either they made a mistake or deliberately screwed you, either way, they owe you some money...
Go back to your dealer like technique suggested, anyways if they have ripped anybody off.. what are the chances we can get some money back?
can we file a law suit?
01-04-07, 04:58 PM
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01-04-07, 05:47 PM
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Guys,guys, guys, what's the big deal... leave it alone... the guy already left the dealer, paid what he paid... what sense is that to go back and haggle over something that was already agreed to... It's like going in to buy a shirt and then taking it home wearing it and then bringing it back and saying you paid to much... I say drive it and enjoy it.. Who cares what you paid over invoice.. If you love the car then whats the difference.... (By the way if you did pay $2k over invoice you got ripped.....lmao) Just enjoy it... Just my $.02
01-04-07, 06:31 PM
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i still don't get where everyone thinks that the dealer owes you a sale for only 500 over invoice, or at invoice.btw i still don't beleive any of you.
this guy agreed to a price, who cares what each line is for. in the end it's all profit, what's the diff what it's called.
this guy agreed to a price, who cares what each line is for. in the end it's all profit, what's the diff what it's called.
01-05-07, 05:15 AM
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i still don't get where everyone thinks that the dealer owes you a sale for only 500 over invoice, or at invoice.btw i still don't beleive any of you.
this guy agreed to a price, who cares what each line is for. in the end it's all profit, what's the diff what it's called.
this guy agreed to a price, who cares what each line is for. in the end it's all profit, what's the diff what it's called.
Well I agree that he doesn't have much recourse -- he signed the paperwork. However, it's more a point of being lied to by the dealership about two of those "fees".