NSW - 2.8% finance rates on Octavia range

[VAG newbie]

Go to another dealer they obviously don't want your business and in the light of the way they are ignoring you you would be stupid to give them any business.

The problem is, they are the only one offering the Octys 90TSI with DSG at $26985 driveaway. The only other dealer in Brisbane is doing it at $28990. Of course I can always ask them to price match it, the only problem is I am not prepared to pay at that price, but lower, or ask for some freebies (A Golf 90TSI Trendline with DSG is only $27490 driveaway, which hassimilar equipment level. Most people would rather spend the extra $500 to get a VW for better brand image and resale).

But I suppose I can always give the other dealer a call and find out what this 2.8% rate is.

[K1W1]

Both dealers pay the same price to Skoda and I'm sure that the other one will be more than happy to liberate your money from your pocket if you go in and tell them you want to buy a car today and lets talk seriously about the price.

[VAG newbie]

Both dealers pay the same price to Skoda and I'm sure that the other one will be more than happy to liberate your money from your pocket if you go in and tell them you want to buy a car today and lets talk seriously about the price.

Ok, here is the dilemma. My parents are tossing between the Golf 77TSI and Octavia 90TSI. They prefer the former if they have spare cash in hand, but they don't. So they are looking into finance, and the 2.8% is so sweet which makes the Octavia more attractive. If there is no catch, they will go with Octavia, by then, we will sit down and talk price. But if there are a lot of catches, then they'd rather go to a third party financier and get the Golf as it is cheaper and it's a VW, then we won't talk on price on the Octy. (Please don't lecture me about Octy has a bigger engine, better equipment...etc, they don't care! They just want a car that will get them from A to B, and with the handling and safety of Euro cars.)

Personally I still think there is a catch to it. It is a way for Skoda to get people to go to the dealership and sit behind a wheel of a Skoda, then they will appreciate how good it is and will buy it. Why do I think there must be a catch? Because if there isn't, why is it so hard for people including myself to find out exactly what it is? It should be just a simple phone call, but how come with so many VAG expert on this forum, nobody seem to have an answer? I suspect anyone who tries to find out have been put on hold like me.

Anyway, I wish I am wrong, and there is absolutely no catch to it. Skoda just want to clear their 2011 stocks. I'll chase my dealer again, and then the other dealership. I am afraid they will tell me "oh! its Saturday, our finance manager will be back on Monday, and I'll ask him to call you!"

Stay tuned!

[woofy]

The catch from memory is that it's a business hire purchase so it it's not for business use (mine is) they won't be eligible. I could be co poetry wrong but my memory is that it is.

[VAG newbie]

The catch from memory is that it's a business hire purchase so it it's not for business use (mine is) they won't be eligible. I could be co poetry wrong but my memory is that it is.

Updates! The offer is not limited to business buyer. ie. you don't have to have an ABN!

I spoke with finance manager (finally! After a few aggressive work with the sales person). No real catch, but there will be a admin fee of ~$1450, which you have to add in your budget. There is no other hidden costs. You don't have to pay RRP to use it. Negotiate with whatever price you have, then you finance that price. that's it! It's a fixed rate over 36-48 months. You can also tailor the repayment by having different amount of residual/baloon payment at he end of the term.

The only catch is, you have to pick up the car before Oct 31, so you have to be happy with whatever stocked car. So no real choice of color if unavailable (I'm afraid there is only black, white, silver and greys left), and no options if not already fitted. It's just a way for Skoda to clear their MY11 stock in preparation for MY12.

So that settles it. I am bringing my parents to try out the Octy. I hope they'll like it.

[woofy]

B&^^* hell, $1450, that is one hell of a catch right there, I guess the savings in interest might add up over time but I've usually paid around $200 or less if any in a setup fee. Some dodgy ones add in an admin fee every month as well.

[VAG newbie]

B&^^* hell, $1450, that is one hell of a catch right there, I guess the savings in interest might add up over time but I've usually paid around $200 or less if any in a setup fee. Some dodgy ones add in an admin fee every month as well.

Yeah, depends on how much you finance. The more you finance, the more you are likely to save on the interest.

But the closest rate I can get is at least 5% higher than that. So even if I go for the cheapest Octy, which is about $25000, 5% interest is already $1250. So in roughly in one year you get your admin fee paid for.

Also this admin fee doesn't have to be paid upfront, you can spread it out as part of the repayment.

Well, that's the bare minimum I'm gonna slash on that $26985 90TSI DSG.

[wai]

Then again, my dealer told me that the best time to negotiate a deal is after the sales. During the sales, they have people (almost) queueing up to buy cars. The month after the sales sees many sales reps get nothing as they have very few enquiries, even though they are prepared to do better deals.

A friend of mine ordered a new Forester in min-June to be delivered mid-September because of certain term deposits becoming available in September. In mid July, he received a call from the sales rep "begging" him to accept delivery before the end of July. As a sweetener, he would throw in over $1,000 of extras that he was not willing to when the sale was negotiated.

With these special finance deals, there are always catches. It can be current stock, and even here, check the build and compliance dates. When I bought my Caddy in late July, if I have not made it a condition of purchase that both the build and compliance years had to be 2011, I would have been supplied with the oldest one in stock which was around November 2010.

You certainly can get a good deal, however just make sure everything is checked and assume nothing.

[VAG newbie]

Then again, my dealer told me that the best time to negotiate a deal is after the sales. During the sales, they have people (almost) queueing up to buy cars. The month after the sales sees many sales reps get nothing as they have very few enquiries, even though they are prepared to do better deals.

A friend of mine ordered a new Forester in min-June to be delivered mid-September because of certain term deposits becoming available in September. In mid July, he received a call from the sales rep "begging" him to accept delivery before the end of July. As a sweetener, he would throw in over $1,000 of extras that he was not willing to when the sale was negotiated.

With these special finance deals, there are always catches. It can be current stock, and even here, check the build and compliance dates. When I bought my Caddy in late July, if I have not made it a condition of purchase that both the build and compliance years had to be 2011, I would have been supplied with the oldest one in stock which was around November 2010.

You certainly can get a good deal, however just make sure everything is checked and assume nothing.

Thanks for the advice. I'll certainly look out for the built date.

The 2.8% finance is strictly speaking, not a sale. It's not the negotiation between you and the salesman, it's after the negotiation, then you go finance it.

So after the offer is over, even if the salesman is willing to negotiate, there won't be 2.8% (assuming Skoda won't extend the offer). Also these offer only applies to cars in stock, and I don't think there are that many Octavias in stock. I think only about 10 90TSI in QLD. So if it's all sold out, it's all gone.

The $26985 is not a sale from Skoda Aus, these are 3 cars sitting in the show room they wanna get rid off. I'll treat them as demos even tho they haven't been registered, so I'll negotiate a bit more.

Certainly your theory applies to Golf and Mazda 3s at present. For the Golf, I don't know after the sale, how many dealer are willing to throw in driveaway price. For the basic 77TSI, it represent 20% discount when ORC are paid for. If you look at Golf MKVI forum, there is one thread recording how much discounts people have been achieving. Most people saved about 10-15%, nobody achieved 20% discount. So I guess it's pretty good deal now and I suspect anyone can achieve it once the sale is over.

Also for Mazda3s, I went to the dealer the other day, most of the automatic 3 Neo are gone. He had to look into the computer data base to check if any more in stock yard. So for popular cars, they do get sold out! Once sold out, how can you negotiate?

Just a few things to think about during the "car sale"!