BimmerFest BMW Forum banner

1 - 8 of 8 Posts

·
Registered
Joined
·
235 Posts
Discussion Starter #1
Working up a deal for a friend here on 2 new 2010's (company leases) and I could swear I saw something a couple days ago here on the boards that said there was a $1260 Step Credit. Now I can't seem to find that.

Is there a a Step Credit currently on 328's?

The dealer here is not giving him the $1500 Holiday Credit, PLUS using a mark-up on the money factor to .00245. If he is going to use the .00245 he has to give the $1500 !! The dealer has this deal about $80 bucks per month more and not budging. My buddy is hacked.

Would appreciate confirmation or denial on the Step Credit.

Thanks
 

·
BMW
Joined
·
884 Posts
Working up a deal for a friend here on 2 new 2010's (company leases) and I could swear I saw something a couple days ago here on the boards that said there was a $1260 Step Credit. Now I can't seem to find that.

Is there a a Step Credit currently on 328's? - Not for MY10

The dealer here is not giving him the $1500 Holiday Credit, PLUS using a mark-up on the money factor to .00245. If he is going to use the .00245 he has to give the $1500 !! The dealer has this deal about $80 bucks per month more and not budging. My buddy is hacked. - Buy rate is .00250 :dunno:

Would appreciate confirmation or denial on the Step Credit.

Thanks
Holiday credit is applied as a CAP REDUCTION not as a discount to the sell price.

See blue
 

·
Registered
Joined
·
235 Posts
Discussion Starter #5
Holiday credit is applied as a CAP REDUCTION not as a discount to the sell price.

See blue
OK, I am confused. The 1500 credit does come off the Cap Cost, which with exception to how sales tax is calculated in Texas, is the sales price. I understand that this has nothing to do with MSRP, but ultimately the 1500 comes off the Selling price/Cap Cost (again, tax notwithstanding).
 

·
Registered
Joined
·
948 Posts
OK, I am confused. The 1500 credit does come off the Cap Cost, which with exception to how sales tax is calculated in Texas, is the sales price. I understand that this has nothing to do with MSRP, but ultimately the 1500 comes off the Selling price/Cap Cost (again, tax notwithstanding).
my dealer here was using 6k off of 750i as discount not credit, for sure they try to pull one on you.
 

·
BMW
Joined
·
884 Posts
OK, I am confused. The 1500 credit does come off the Cap Cost, which with exception to how sales tax is calculated in Texas, is the sales price. I understand that this has nothing to do with MSRP, but ultimately the 1500 comes off the Selling price/Cap Cost (again, tax notwithstanding).
Okay, let's clear it up.

Holiday credit is a manufacturer to customer rebate; the dealer must apply it to all who lease/finance thru FS.

It's all in the figure of speech/language/contract. It's either half full or half empty

Example;
You walk in and lease a 328i
Buyer and seller agree on a selling price of 30K

30K is your initial cap cost < selling price
Buyer now wants to apply the holiday credit to reduce the selling price
30K - 1,500 = 28,500.00 < Holiday credit is not applied this way on the lease agreement

In your lease agreement/contract;
Initial cap price is still 30K
Down payment will show 1,500.00

Is this the same as leasing the car for 28,500? Yes and no

If the 1,500.00 is applied as a discount to lower the selling price you do not have to pay tax. Because it shows as a down payment you are taxed.

Bottom line;
You lease a 328i you are getting a 1,500 down payment from BMW :thumbup:

Leasee is still 100% responsible in paying all the normal drive off fees including taxes

If dealer says to you; come on in I can lease you a car with 0 down at 300 a month. Does this mean you drove out of the dealer with paying no money up front. Chances are no...because down payment is not a requirement BUT inception fees are. If you did drive away with out paying a penny up front than all they did was roll the inception fees into your adjusted cap = payments.
 
1 - 8 of 8 Posts
Top