Jump to content

Now overtrade still happening or not?


LoverofCar
 Share

Recommended Posts

Long time not in the car sourcing mode so not too update on the market situation now...For used car, dealers still do overtrade or not? Which new car brand offer good overtrade price for the trade in car? (>$10K+) and etc........Heard something like balloon scheme and etc.....what is it about? paiseh lah....want to start looking around to change car so need some market update from people here....

↡ Advertisement
Link to post
Share on other sites

(edited)

:wacko: Yes. It's happening still.

Even tHe conti AD are doing it.

Inflate selling price, then quote u a higher trade in price for your old car, then give some more discount.

Say they inflate by $10,000.

Then take I your old car by higher $2000.

Then after haggling, pretend to good will give you $8,000 discount if you book today.

 

The feel good buyer will fall into the sales tactics, thinking this SE is good.

 

All of the story I heard from my relatives and colleagues, is that they got a very very good price for their old cars, better then if they sell it themselves!! And they feel shiok already, and no hesitation to buy the new cars on the spot.

So you see SE know the tactics to make a car buyer feel good.....By Offering a Higher Take In price for their Old trade in cars!

In most cases, buyer will trust the SE to be a good one as one able to help the car buyers to secure a good deal on the old car price. Not knowing that the extra $2k-$5k higher take in price, was actually the over trade scheme in disguise.

Edited by Liping24cn
Link to post
Share on other sites

(edited)

Let me give you a hint though it is not recommended to.

 

Many of the ADs can get you over trade to whatever amount it takes. However, do take into consideration of your new car. Yes, it is only valid for new cars.

 

Just to share, recently i just traded in my 2010 Chery t11 Suv for a 2012 Kia Soul. I bought the Chery at 35K after a 5K downpayment with a 10 yr loan of 320 a mth. C and C guoted me 20K for the car.....i need to top up at least 14K to clear the remaining sum.

 

The new kia soul costs 99.9K when i order. With almost 5K discount, the new car price is 94.9K. I traded in and with an overtrade of 14k thus, which makes the loan = 94.5K + 14K = 108.5K

 

With a ten yr loan and a 8000 down payment (maybank, 1.88%, normal NOT Ballon or anything), i am thus paying a 1K flat installment per mth. The overtrade amount can be up to anything, it is just a matter whether you can afford it or not.

 

P.S i still waiting for my new car arrival. Should arrive in Sept :( must wait for at least 3 - 4 mths

Edited by Jerrcik
Link to post
Share on other sites

(edited)
  On 7/31/2012 at 12:53 AM, Jerrcik said:

Let me give you a hint though it is not recommended to.

 

Many of the ADs can get you over trade to whatever amount it takes. However, do take into consideration of your new car. Yes, it is only valid for new cars.

 

Just to share, recently i just traded in my 2010 Chery t11 Suv for a 2012 Kia Soul. I bought the Chery at 35K after a 5K downpayment with a 10 yr loan of 320 a mth. C and C guoted me 20K for the car.....i need to top up at least 14K to clear the remaining sum.

 

The new kia soul costs 99.9K when i order. With almost 5K discount, the new car price is 94.9K. I traded in and with an overtrade of 14k thus, which makes the loan = 94.5K + 14K = 108.5K

 

With a ten yr loan and a 8000 down payment (maybank, 1.88%, normal NOT Ballon or anything), i am thus paying a 1K flat installment per mth. The overtrade amount can be up to anything, it is just a matter whether you can afford it or not.

 

P.S i still waiting for my new car arrival. Should arrive in Sept :( must wait for at least 3 - 4 mths

 

 

since it is a new car, thought price should be "fixed"? how they inflate it to 108.5K? "adding" in body kit and accessories?

Edited by Tom_kkh
Link to post
Share on other sites

  On 7/31/2012 at 3:48 AM, Tom_kkh said:

since it is a new car, thought price should be "fixed"? how they inflate it to 108.5K? "adding" in body kit and accessories?

 

No lah, the overtrade (14k) ... is to clear the outstanding loan for his Chery.

 

However, personally I would not do it as it has a "snowball rolling" effect but as long as buyer is aware and happy .... no issue. This is a common practice ....

 

 

Link to post
Share on other sites

  On 7/31/2012 at 4:39 AM, Civic6228 said:

No lah, the overtrade (14k) ... is to clear the outstanding loan for his Chery.

 

However, personally I would not do it as it has a "snowball rolling" effect but as long as buyer is aware and happy .... no issue. This is a common practice ....

understood the overtrade is to clear the outstanding loan of old car....the finance company/bank allow that? new car price should be rather transparent right?

Link to post
Share on other sites

  On 7/31/2012 at 6:47 AM, LoverofCar said:

understood the overtrade is to clear the outstanding loan of old car....the finance company/bank allow that? new car price should be rather transparent right?

 

answer is yes. that means u need to get a higher insterest rate to get back more cash rebate. normally this is the practice. than the SE may on paper marked up the car price like adding in accessories etc.. to justify for the marked up. but in actual fact those accessories will not be given to you. its just on paper only.

Link to post
Share on other sites

  On 7/31/2012 at 6:47 AM, LoverofCar said:

understood the overtrade is to clear the outstanding loan of old car....the finance company/bank allow that? new car price should be rather transparent right?

 

Price for the new car have to transparent. But they use the "top-up COE" excuse. It is an open secret. Even banks know about it.

Link to post
Share on other sites

  On 7/31/2012 at 6:59 AM, Jerrcik said:

Price for the new car have to transparent. But they use the "top-up COE" excuse. It is an open secret. Even banks know about it.

 

ur ride they offer u 1.88%? is it because u have make a down payment of $8K for your case.

Link to post
Share on other sites

  On 7/31/2012 at 6:59 AM, Jerrcik said:

Price for the new car have to transparent. But they use the "top-up COE" excuse. It is an open secret. Even banks know about it.

 

 

OK....that make sense...the term top up COE or guarantee COE can to be used to mark up the car price...

Link to post
Share on other sites

  On 7/31/2012 at 12:53 AM, Jerrcik said:

Let me give you a hint though it is not recommended to.

 

Many of the ADs can get you over trade to whatever amount it takes. However, do take into consideration of your new car. Yes, it is only valid for new cars.

 

Just to share, recently i just traded in my 2010 Chery t11 Suv for a 2012 Kia Soul. I bought the Chery at 35K after a 5K downpayment with a 10 yr loan of 320 a mth. C and C guoted me 20K for the car.....i need to top up at least 14K to clear the remaining sum.

 

The new kia soul costs 99.9K when i order. With almost 5K discount, the new car price is 94.9K. I traded in and with an overtrade of 14k thus, which makes the loan = 94.5K + 14K = 108.5K

 

With a ten yr loan and a 8000 down payment (maybank, 1.88%, normal NOT Ballon or anything), i am thus paying a 1K flat installment per mth. The overtrade amount can be up to anything, it is just a matter whether you can afford it or not.

 

P.S i still waiting for my new car arrival. Should arrive in Sept :( must wait for at least 3 - 4 mths

 

ur Chery T11 cannot be juz $20K in value....if it's non-OPC, u can sell it easily for $50K....why did u trade it in? (doesn't sound like a good deal at all)

Link to post
Share on other sites

Neutral Newbie
  On 7/31/2012 at 12:53 AM, Jerrcik said:

Let me give you a hint though it is not recommended to.

 

Many of the ADs can get you over trade to whatever amount it takes. However, do take into consideration of your new car. Yes, it is only valid for new cars.

 

Just to share, recently i just traded in my 2010 Chery t11 Suv for a 2012 Kia Soul. I bought the Chery at 35K after a 5K downpayment with a 10 yr loan of 320 a mth. C and C guoted me 20K for the car.....i need to top up at least 14K to clear the remaining sum.

 

The new kia soul costs 99.9K when i order. With almost 5K discount, the new car price is 94.9K. I traded in and with an overtrade of 14k thus, which makes the loan = 94.5K + 14K = 108.5K

 

With a ten yr loan and a 8000 down payment (maybank, 1.88%, normal NOT Ballon or anything), i am thus paying a 1K flat installment per mth. The overtrade amount can be up to anything, it is just a matter whether you can afford it or not.

 

P.S i still waiting for my new car arrival. Should arrive in Sept :( must wait for at least 3 - 4 mths

 

 

this is not called overtrade..

Link to post
Share on other sites

  On 7/31/2012 at 7:27 AM, Alvin89 said:

this is not called overtrade..

 

than call what ? can please share your views? I also want to learn .

Link to post
Share on other sites

Neutral Newbie
  On 7/31/2012 at 7:29 AM, MkMan said:

than call what ? can please share your views? I also want to learn .

 

 

overtrade from what i know is that they pay u let say 10k higher trade in price than outside market for your used car, the amount of money u loan from bank does not affect by this amount of overtrade.

Link to post
Share on other sites

(edited)
  On 7/31/2012 at 7:45 AM, Janicedsf45dsfa said:

OMG!

 

After all the much appreciated s--t, now is OMG.... Really OMG lor this spammer!

Edited by Deckbuild
Link to post
Share on other sites

  On 7/31/2012 at 7:37 AM, Alvin89 said:

overtrade from what i know is that they pay u let say 10k higher trade in price than outside market for your used car, the amount of money u loan from bank does not affect by this amount of overtrade.

 

"The goat's hair comes from the goat's body" lah ...... I don't see any difference .... LPPL

Link to post
Share on other sites

  On 7/31/2012 at 7:51 AM, Civic6228 said:

"The goat's hair comes from the goat's body" lah ...... I don't see any difference .... LPPL

 

 

yes agreed with u bro. doesnt make a different leh.

↡ Advertisement
Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
 Share

×
×
  • Create New...