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Ok so based on things I have been reading on the forum about residual rates dropping, I went ahead and applied for a lease online for a 335i coupe. When applying online I picked my local dealership as my preferred dealer and submitted the app. After optioning the car the MSRP came to $50,670 and with a $3500 cap cost reduction, I got locked in at a payment of $695/mo. This gave me till 6/30/08 to do a deal, I am still trying to sell my Audi so I needed some time.

Now over the last week my fiance and I discussed doing a Euro Delivery, and decided to go for it. So I contacted a board sponsor on here to get the ball rolling and he came back with an excellent deal that I immediately took. Without bringing any cash to the table (beyond security dep. title/lic fees), my payment was just over $660/mo and this was perfect for me. Since he works at a different dealership I needed to submit another app to BMW for financing. He filled in all the new details for me, and I figured that since I already was approved at the higher payment that this would only be a formality. Well I was wrong.

BMWFS Denied my new deal!!! They said I need to have a $3500 cap cost reduction with this new deal because they can't give a "more favorable call" to another dealer. WTF???? How does this make any sense. My payment is $35/mo less, yet they deny me. I could not believe it.

So what can I do?? My rate is locked for 60 days and now I am thinking I'll forget the whole thing altogether. I called BMWFS and they said this has to be handled through the dealer, and he says there isn't anything else I can do except put in an new app with a co-signer so that it looks like a completely different deal, which I am not doing.
 

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Flying monkey herder
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wait, are they saying they would only approve you with 3500 down?

if that is the case, i suspect the money down is a security hedge if your credit or income is on the border.
 

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Freedom isn't free!!
2018 Glacier Silver 340i M Sport
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Ok so based on things I have been reading on the forum about residual rates dropping, I went ahead and applied for a lease online for a 335i coupe. When applying online I picked my local dealership as my preferred dealer and submitted the app. After optioning the car the MSRP came to $50,670 and with a $3500 cap cost reduction, I got locked in at a payment of $695/mo. This gave me till 6/30/08 to do a deal, I am still trying to sell my Audi so I needed some time.

Now over the last week my fiance and I discussed doing a Euro Delivery, and decided to go for it. So I contacted a board sponsor on here to get the ball rolling and he came back with an excellent deal that I immediately took. Without bringing any cash to the table (beyond security dep. title/lic fees), my payment was just over $660/mo and this was perfect for me. Since he works at a different dealership I needed to submit another app to BMW for financing. He filled in all the new details for me, and I figured that since I already was approved at the higher payment that this would only be a formality. Well I was wrong.

BMWFS Denied my new deal!!! They said I need to have a $3500 cap cost reduction with this new deal because they can't give a "more favorable call" to another dealer. WTF???? How does this make any sense. My payment is $35/mo less, yet they deny me. I could not believe it.

So what can I do?? My rate is locked for 60 days and now I am thinking I'll forget the whole thing altogether. I called BMWFS and they said this has to be handled through the dealer, and he says there isn't anything else I can do except put in an new app with a co-signer so that it looks like a completely different deal, which I am not doing.
Is there any reason you can't take the deal you made with the board sponsor to your original dealer and get them to duplicate it? It's not to the board sponsor's benefit, but that's a situation BMWFS has created, not you. Seems from what you said BMWFS said they should be willing to to the no money down deal with the original dealer since that's the one they're trying to "protect".
 

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I'd call the board sponsor to discuss and ask for ideas. A nutty idea I had is to have the board sponsor add $3500 to the price you agreed on--but include a $3500 cash rebate to you after deal closing. That way you can do a $3500 cap cost reduction and you get the same deal in the end. Of course it should be legitimately documented, not done sneakily! Or perhaps the sponsor can call BMWFS and discuss with them and see what could be done.

If the reason is a credit or income thing, that's an entirely different matter, and you should look at what makes the most sense for you financially.

What you might want to do to cover your bases is reapply with bmsfs for the board sponsor and include the $3500 cap cost reduction in that application. At least you'll have an approval and rate lock, but you aren't committed to doing anything.
 

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Flying monkey herder
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BMWFS Denied my new deal!!! They said I need to have a $3500 cap cost reduction with this new deal because they can't give a "more favorable call" to another dealer. WTF???? How does this make any sense. My payment is $35/mo less, yet they deny me. I could not believe it.

So what can I do?? My rate is locked for 60 days and now I am thinking I'll forget the whole thing altogether. I called BMWFS and they said this has to be handled through the dealer, and he says there isn't anything else I can do except put in an new app with a co-signer so that it looks like a completely different deal, which I am not doing.
between the "more favorable call" and the cosigner, you sound like you're on the edge of approval.
the more favorable call i believe means, approval without a downpayment, which is reinforced by the fact they want you to have a cosigner.
sounds like it has nothing to do with the two dealers, its that bmwfs wants a downpayment or a cosigner due to your income or credit level being unacceptable without either.

in your eyes, the deal may look better without the downpayment, with the lower payments. in the end, they probably will not fund the lease for 50K ( their liability is the same regardless of the payment, its based on the MSRP of the car) without the $3500 deposit or cosigner.

the 3500 down is probably what their system came up with as the deposit needed to secure the lease given your credit and/or income, regardless of the particulars of the deal. both of them are putting the same financial liability in your hands, which they feel requires a downpayment for them to accept.
 

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2021 540xi M Sport / Premium / Driving Assistance Plus / Parking Assistance
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Seems to me they didn't deny based on your credit rating alone, but on the fact that you had another outstanding credit application with another dealer.

Personally I would never have applied at a different dealer without at least giving the first dealer a chance to match the deal. Also, every hard inquiry on your credit report is a negative; those multiple inquiries will remain on your record and could count against you.
 

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RaveD, all "major purchase" credit inquiries within a 30 day time window count as one because the credit bureaus assume you'll shop around for major credit. also, BMWFS doesn't appear to have a problem with multiple credit apps; I have a lease approval at more than one dealer--I had applied at the beginning of discussions to show good faith, and then things didn't work out. I had no problem getting approved for a different dealer. When I heard about residuals possibly dropping, I applied for a couple of different dealers since I was checking out cars that they had, and again absolutely no problem.
 
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