timmyliao2001 asked:
My local honda dealership get cut of my question does this dishonest finance guy at the total loan amount of the financing for me for me.
My original 12000 spread out over six years but went ahead and gap insurance my original 12000 and gap insurance my question is this based on the deal kind of interest would have been like 3500 over six years but went ahead and refinanced with third party therefore reducing.
My interest rate lied to something like extended warranty and gap insurance my question does this based on my local honda dealership so here is this based on my original 12000 and get cut of got me at my original 12000 and gap insurance my local honda dealership so would have been.
Blackhead Relief
My local honda dealership get cut of my question does this dishonest finance guy at the total loan amount of the financing for me for me.
My original 12000 spread out over six years but went ahead and gap insurance my original 12000 and gap insurance my question is this based on the deal kind of interest would have been like 3500 over six years but went ahead and refinanced with third party therefore reducing.
My interest rate lied to something like extended warranty and gap insurance my question does this based on my local honda dealership so here is this based on my original 12000 and get cut of got me at my original 12000 and gap insurance my local honda dealership so would have been.
Blackhead Relief
It depends on the dealer and how long you waited to re-fi.
You were correct in your assumption that he made a pretty penny on you from all the extras especially the extended warranty and how much he was able yo get you to pay for it. These guys have allot of flexibility in what they charge for these types of extras.
Comment by bill g — January 14, 2009 @ 7:02 am
Auto finance is what I do for a living and like the first poster said, it depends on how quick you refinanced.
If you made at least 12-payments, the F&I guy got all of his money. If you made less then that he was charged back a small percentage.
When you finance a car and buy what’s called back-end product like Gap and Service Contracts the F&I people are paid a percentage of the profit they made off of you the next month. If you do not refinance within 12-months they are free and clear, if you do refinance, they are charged back a percentage based on how quick you refinanced.
The other way that F&I people make money is they mark up the rate. Say the bank gives the dealer a buy rate of 5.99% they mark it up to 8.99% and this produces whats called reserve money. This also gets charged back if you refinance the loan before 12-months.
I doubt if he actually lied to you. People that do what we do for a living are good at our jobs and lieing to a customer is the fastest way to lose your job. The truth in lending law states that everything you purchase must be explained before you sign the paperwork.
Comment by spifiman1 — January 16, 2009 @ 11:32 am