wexman

12Pack, that will normally be true. You will generally (not always) be better off by taking 0% instead of the rebate, because you will save more than the rebate in interest over the life of the loan (depending, again, on loan amount and term).

Do an amortization of the same loan amount at 0% and whatever interest rate, and see how much interest you will pay.

THat is why 0% PLUS a rebate is such a good deal.

12PACK

Agreed, as there can be a big difference in interest comparing 0% for 36 months or 72 months, what Dodge is offering for the Caravan's right now. ($3500 or $4500 back)

Gee, by the time I order, if a certain senator from MA is living at 1600 Penn Ave, and the economy starts to tank, 0% for 72 might be offered for the HD's.

Wouldn't it be ironic if when the current rebate/incentive offers expires next week, Dodge sees not many HD's are selling in the northeast (due to supply as you know) so they offer a regional 0% for 60 months? Wouldn't that break your heart for the wait they're putting you through in your ram doesn't arrive by then?

wexman

If anything, just the opposite will happen. There ar no 600s to go around, so dealers will be able to gouge with the few they have. In other words, you just can't "walk" to the next dealer, like you could with a Neon or Intrepid.

Supply and demand, my friend. Right now, there is no supply, but there is demand.

Next time, I go with Tomeygun.

12PACK

Like my fellow DTR and DiRT member MedicShawn did. I think it took him 2 months. Before the 2004.5 Order Status Thread, I didn't realize dealer allocation, and more so transportion was such a major issue. Too bad the HD's are built in Mexico, instead of US plants. Your issue probably would have been avoided. Not many boats are running between St. Louis and Philly. You'd definitely be riding the rails.

NDanecker

I was also told this so it may be true.

dcorneli

Yup. It's the cost of financing that gets you. If you take the cost of financing at the bogus rate the dealership offered me, it would cost $2,990.00 over the life of the loan in interest. The difference in the cash back was only $1,500. So, by taking the $2,000 and 0%, instead of the $3,500 and 2.99%, I saved $1,490!!

I worked the numbers all which-a-ways in Excel, and the $2000+0% was always the better deal -- that is, unless you're paying cash!

wexman

Actually, 0% IS paying cash, just paying it over time.

So, if you are just going to write a check, take the BIGGER rebate, if it's an either/or choice.

If I am not successful in getting the dealer to honor the 0+, the I probably will taker the bigger rebate, and pay the rest in cash.

dcorneli

Scott, I'd hedge against that possibility by having the dealership go ahead and call the Program Headquarters number ahead of time. That way you don't spend an HOUR of your delivery time going back and forth over it.

But hey, if you're going to pay cash, $3,500 off is pretty sweet.

Mexstan

dcorneli, if it were me I would write a short letter to the president of that dealership outlining what happened. If his guy is doing something illegal he may not be aware of it and will thank you. In any case the president needs to know that customers such as you are savvy enough to go thru the steps to right the wrong.

wexman

That's a very good idea, and let DC know on the satisfaction survey they send out.

I can't even get my salesman to return my call about where my truck is, let alone do that.