Holden offering 0.5% finance and no deposit

[Shonky.]

Originally Posted by flappist

Has anyone actually contacted Holder to find out the real story rather than assuming or reading it on a forum somewhere?

I just rang holden to enquire about a SS ute and was told that the 0.5% finance was available to new cars, demos and applied to whatever price I negotiated.
I specifically asked about RRP and was told that it was not a criterion.

do you really need to?

Value can't be created from nothing, somethings gotta give.

If you work hard and time it right you should get an SS ute for around $36 to $37 driveaway (they're great buying and something I have considered off and on for years) Best I have been able to negotiate is around $35.5k

I will eat my hat if you get one at that price @ 0.5%

[flappist]

Originally Posted by shonkymofo

do you really need to?

Value can't be created from nothing, somethings gotta give.

If you work hard and time it right you should get an SS ute for around $36 to $37 driveaway (they're great buying and something I have considered off and on for years) Best I have been able to negotiate is around $35.5k

I will eat my hat if you get one at that price @ 0.5%

Is the concept that Holden may be actually subsidising interest on finance to stimulate sales to abhorant to you that you cannot even contemplate that it may actually be a bloody good deal?

If you want a $35k SS why don't YOU ring around and find out rather than just assume.

I do know that the recent 2% Nissan deal was for everything, discounts were given and SQUILLIONS of cars were sold.

[Brazen]

Originally Posted by flappist

I do know that the recent 2% Nissan deal was for everything, discounts were given and SQUILLIONS of cars were sold.

Yeah, Nissan was expecting 2000 people to take up the offer for the month, but 4000 did. They are continuing the deal on some specific models.

[Shonky.]

Originally Posted by flappist

Is the concept that Holden may be actually subsidising interest on finance to stimulate sales to abhorant to you that you cannot even contemplate that it may actually be a bloody good deal?

No, no it is not. Don't know why you would think that it is. Hardly at odds with anything I have said, in fact isn't that exactly what I have said?

Holden are subsidising the finance, I know. It's just a different way of discounting isn't it? Gut the sale price, load it with free extras, subsidise the finance, either way. My point is there is no free lunch, there is only so much value they can strip out regardless of how you cut it.

Originally Posted by flappist

If you want a $35k SS why don't YOU ring around and find out rather than just assume.

I don't want one, just thought you sounded like you might, so was giving you my experiences from shopping for them to potentially stop you getting one for $39 and thinking it is a sweet deal

Don't know why you are so angry Sir

[BlueOvalPrint]

Sucker deal for buyers or not, it will move metal at Holden. Like a 5 year interest free deal on flatscreen TVs at Harvey Norman, it pulls the punters into their showroom and away from the competitors. And dealers get to upsell even more customers into paint protection packages etc.

Toyota, Mitsubishi, Nissan and other major players have had low interest finance deals in the last years and on other non-car forums I've seen a lot of interest in those brands while the deals are on, regardless of the merits of the cars they sell. And they aren't damaging resale values as much as dropping prices way below RRP does.

I'd seriously consider updating my 2009 G6ET if Ford offered sub-1% finance like this. Assuming $25K trade-in or $30K private sale, easy repayments of the balance for just over 3 years and a manageable balloon payment sounds tempting.

But, once again the question has to be asked... hello? Anybody home at Ford Australia marketing?

[trippytaka]

That's less than inflation.

[Shonky.]

Originally Posted by BlueOvalPrint

Sucker deal for buyers or not, it will move metal at Holden. Like a 5 year interest free deal on flatscreen TVs at Harvey Norman, it pulls the punters into their showroom and away from the competitors. And dealers get to upsell even more customers into paint protection packages etc.

Toyota, Mitsubishi, Nissan and other major players have had low interest finance deals in the last years and on other non-car forums I've seen a lot of interest in those brands while the deals are on, regardless of the merits of the cars they sell. And they aren't damaging resale values as much as dropping prices way below RRP does.

I'd seriously consider updating my 2009 G6ET if Ford offered sub-1% finance like this. Assuming $25K trade-in or $30K private sale, easy repayments of the balance for just over 3 years and a manageable balloon payment sounds tempting.

But, once again the question has to be asked... hello? Anybody home at Ford Australia marketing?

It does mean that good deals are accessible to more people as one does not need to be prepared to negotiate with the salesman on price.

And def agree on the resale thing. Resale value is a huge element of brand loyalty. So many stories of disillusioned owners on here alone who have paid the tourist price only to have their resale value smashed by those who negotiate 15% off RRP.

Yep, thinking outside of the square is what is needed to survive in lean markets

[jpd80]

Originally Posted by flappist

Has anyone actually contacted Holder to find out the real story rather than assuming or reading it on a forum somewhere?

I just rang holden to enquire about a SS ute and was told that the 0.5% finance was available to new cars, demos and applied to whatever price I negotiated.
I specifically asked about RRP and was told that it was not a criterion.

Tony, I think he's just lied to you...

It's clearly on the conditions,I've blown them up a bit so we can read, this is for the Commodore:




Dratt, it didn't come out bigger but ther's some double dutch in there about other offers cannot be combined,
applies to vehciles delivered before 31-8- 12 and Comparison rate holds true for $30,000 financed over 5 years..
"Different fees terms and loan amounts may result in different comparison rate."

[BadMax]

I was talking to a mate about Renault doing this. He pointed out the vehicle (in Renault's case) will attract zero discount.
So in other words, either pay full RRP plus all other costs at full RRP, or possibly screw a dealer down many thousands of dollars.

[stevz]

Originally Posted by jpd80

Tony, I think he's just lied to you...

It's clearly on the conditions,I've blown them up a bit so we can read, this is for the Commodore:


image

Dratt, it didn't come out bigger but ther's some double dutch in there about other offers cannot be combined,
applies to vehciles delivered before 31-8- 12 and Comparison rate holds true for $30,000 financed over 5 years..
"Different fees terms and loan amounts may result in different comparison rate."

So where exactly does it say you have to pay RRP?

[flappist]

Originally Posted by shonkymofo

No, no it is not. Don't know why you would think that it is. Hardly at odds with anything I have said, in fact isn't that exactly what I have said?

Holden are subsidising the finance, I know. It's just a different way of discounting isn't it? Gut the sale price, load it with free extras, subsidise the finance, either way. My point is there is no free lunch, there is only so much value they can strip out regardless of how you cut it.



I don't want one, just thought you sounded like you might, so was giving you my experiences from shopping for them to potentially stop you getting one for $39 and thinking it is a sweet deal

Don't know why you are so angry Sir

After further investigation it appears you may be right.
I wonder how well it will work? Maybe Holden are very aware of their potential market........

[jpd80]

Originally Posted by stevz

So where exactly does it say you have to pay RRP?

The conditions are barely legible but it says,

"Not available with other Holden offers"

So, a reasonable person would assume that a 35.990 drive away Commodore could not be had on 0.5% finance.
I have to say that I and a lot of other people would be happy to be proven wrong on this point because it could be just
the shot in the arm local manufacturers need to start car sales- can anyone clarify Holden/s barely legible conditions?


Oh and the 0.5% comparison rate is only for $30,000 financed over five years,
the conditions go on to say that a different comparison rate may apply for differing terms...

FYI, Commodore finance is restricted to 3 years...

[Brazen]

Originally Posted by jpd80

The conditions are barely legible but it says,

"Not available with other Holden offers"

So, a reasonable person would assume that a 35.990 drive away Commodore could not be had on 0.5% finance.
I have to say that I and a lot of other people would be happy to be proven wrong on this point because it could be just
the shot in the arm local manufacturers need to start car sales- can anyone clarify Holden/s barely legible conditions?


Oh and the 0.5% comparison rate is only for $30,000 financed over five years,
the conditions go on to say that a different comparison rate may apply for differing terms...

FYI, Commodore finance is restricted to 3 years...

Of course the comparison rate will be different for different amounts, it is a comparison rate set using a sample borrowing amount and incorporating all fees and charges. The 'base' interest rate is identical no matter what you are borrowing.

[jpd80]

Originally Posted by Brazen

Of course the comparison rate will be different for different amounts, it is a comparison rate set using a sample borrowing amount and incorporating all fees and charges. The 'base' interest rate is identical no matter what you are borrowing.

OK, so what do you make of the statement, "Not available with other Holden offers"
Does that imply that people seeking 0.5% finance pay RRP?
Or does that just mean stuff like free roadside assist and the like?

[weairy]

Originally Posted by 2011G6E

Really? Interesting...What did he pay for it if I may ask?

The Hilux was $63k and change with everything in the end, including ARB deluxe winch bar and LDK steel tray @ 5.75% fully financed.

[Bossxr8]

As much as its a shonky way to bring in suckers who don't read the fine print, at least Holden are making an effort to sell cars.

Ford could not be bothered. You can't tell me its not a deliberate way to shut the place down?

If they really wanted to succeed they would move heaven and earth to try to save it. When you are struggling is when you need to put the most effort in to improve things, not sit on your hands and let it go.

[bobthebilda]

Just doing a few quick sums ( and assumptions), i reckon these offers will continue for a while.

FCAI website says 21241 vehicles were produced in Australia last month. Sales figures show australians bought 9757 locally made cars last month.

commodore 2399, cruze 1875, caprice 128, commodore ute 622
falcon 941, falcon ute 397, territory 1084
aurion 536, camry 1775

Even taking out 7000 for exports, leaves a few thousand extra floating around. And i reckon this has been ocurring for quite a few months already.

[weairy]

Originally Posted by bobthebilda

Just doing a few quick sums ( and assumptions), i reckon these offers will continue for a while.

FCAI website says 21241 vehicles were produced in Australia last month. Sales figures show australians bought 9757 locally made cars last month.

commodore 2399, cruze 1875, caprice 128, commodore ute 622
falcon 941, falcon ute 397, territory 1084
aurion 536, camry 1775

Even taking out 7000 for exports, leaves a few thousand extra floating around. And i reckon this has been ocurring for quite a few months already.

Those are some horrendous figures for Falcons

[Joe5619]

I saw the add & don't get something. It is 0.5% comparison over 5 years, yet you can only get loans for 36 months!! Talk about misleading & surly that kind of advertising has got to be against the law?

[Joe5619]

Originally Posted by bobthebilda

Just doing a few quick sums ( and assumptions), i reckon these offers will continue for a while.

FCAI website says 21241 vehicles were produced in Australia last month. Sales figures show australians bought 9757 locally made cars last month.

commodore 2399, cruze 1875, caprice 128, commodore ute 622
falcon 941, falcon ute 397, territory 1084
aurion 536, camry 1775

Even taking out 7000 for exports, leaves a few thousand extra floating around. And i reckon this has been ocurring for quite a few months already.

At the end of the day, we have no data to say what Toyota (or Holden) is exporting to be coming up with an "extra floating" number!!

[Shonky.]

Originally Posted by Joe5619

I saw the add & don't get something. It is 0.5% comparison over 5 years, yet you can only get loans for 36 months!! Talk about misleading & surly that kind of advertising has got to be against the law?

funnily enough it is actually legislation that demands they use that comparison rate.

All car loan comparison rates have to be over a 5 year term and with a loan amount of $30k

Same as home loans. Comarison rate is over 25 years and for $150k (even for loans that are specifically for borrowing amounts of >$250k and not even available for those borrowing less)

Comparison rates were meant to make consumer decisions easier, but the way they are administered makes it quite the opposite.

[bobthebilda]

Originally Posted by Joe5619

At the end of the day, we have no data to say what Toyota (or Holden) is exporting to be coming up with an "extra floating" number!!

We or you, its called historical data minus 1 year. Or in some cases, its a matter of asking a friend (who works at a plant) how many left hand drives they made in the month.

[jpd80]

Originally Posted by bobthebilda

We or you, its called historical data minus 1 year. Or in some cases, its a matter of asking a friend (who works at a plant) how many left hand drives they made in the month.

Toyota has a contract for around 40,000/year to the Middle East, Holden exports around 2,500 Caprice/year to the Middle East,
whatever PPVs they can supply and around 200/mth kits for Chinese Buick Park Avenue plus whatever Commodores NZ wants....

[bobthebilda]

Originally Posted by jpd80

Toyota has a contract for around 40,000/year to the Middle East, Holden exports around 2,500 Caprice/year to the Middle East,
whatever PPVs they can supply and around 200/mth kits for Chinese Buick Park Avenue plus whatever Commodores NZ wants....

Well you paint an even worse case scenario than what i estimate. Toyota I believe are exporting more than 40,000 to ME. And Toyota and Ford obviously do a little to NZ.

But regardless, I should have said something like "i reckon these offers will continue for a while". Oh gee, look at Holdens website and the 0.5% offer that was due to finish today, has now been extended until the 19th. And after the 19th??????

[jpd80]

Originally Posted by bobthebilda

Well you paint an even worse case scenario than what i estimate. Toyota I believe are exporting more than 40,000 to ME. And Toyota and Ford obviously do a little to NZ.

But regardless, I should have said something like "i reckon these offers will continue for a while". Oh gee, look at Holdens website and the 0.5% offer that was due to finish today, has now been extended until the 19th. And after the 19th??????

Makes me wonder how great a success this offer really was.... maybe the sales just aren't there at the moment
and if that's true, all the deals in the world won't work if people don't want to buy.

[nstg8a]

with a model as long in the tooth as ve is and the quite significant publicity of vf coming im not surprised commodore sales are tanking a bit.

cheap interest is great, but i wonder how many repeat commodre buyers have already owned multiple ve's... upgrading to the same car must bite. doing it maybe three times is borderline insanity imo.

[jpd80]

Originally Posted by nstg8a

with a model as long in the tooth as ve is and the quite significant publicity of vf coming im not surprised commodore sales are tanking a bit.

cheap interest is great, but i wonder how many repeat commodre buyers have already owned multiple ve's... upgrading to the same car must bite. doing it maybe three times is borderline insanity imo.

A lot of anecdotal evidence that repeat buyers on second VE will hold on for VF,
the next six months or so could be really painful for Commodore sales.....

[csv8]

Holden will extend its 0.5 per cent finance deal until this weekend – the close of business on Saturday in most states and Sunday in metro Sydney – following higher than expected demand.

The deal – effectively a discount packaged into a finance offer - was supposed to last one week only and was due to end today (Wednesday).

But following a 50 per cent sales increase, Holden has decided to extend the offer.

Based on the average sales so far this year, Holden was on track to post its lowest annual sales result in 20 years.
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Holden’s sales and marketing director John Elsworth told Drive: “Due to the overwhelming response we’ve decided to extend this offer.”

Holden wouldn’t give exact sales numbers, but the company did say retail orders “spiked by about 50 per cent” over the past week.

Customers have a choice of taking up the 0.5 per cent finance offer and paying the full retail price of the car – or pay cash or arrange their own finance and haggle a sharp drive-away price.

In some cases, buyers may be better arranging their own finance and negotiating a sharp price on the new car (see example below).

When asked if Holden would do it again, Elsworth said:

“It definitely worked, and is working, that’s why we’re extending it. I would have a high degree of confidence that we will have a finance offer in the market again at some point in the future. When that is we are yet to decide."

Holden is working with four finance companies on the promotion, and subsidises the repayments directly with the financiers in lieu of discounting the price of the new car.

Renault and Nissan are also offering 0 per cent and 1 per cent finance offers respectively, and with similar pricing conditions, until the end of the month.

Does the 0.5 per cent deal add-up?

Holden SS ute at full retail: $47,000 drive-away.

0.5 per cent finance on $47,000 over three years is $310 per week.

Holden SS ute discounted to $38,000 drive-away.

12 per cent finance on $38,000 over three years is $293 per week.

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[Bearman]

The above post is spot on.

I dropped in on a Holden dealer just after lunch for a sticky beak. Got chatting to a salesman who went on to say the finance offer is a crock of ****. It was only available on RRP, a 3 year deal with a 35% (from memory) residual, basically a lease deal. He went on to say that for prices that could be negotiated people were far better off to do their own finance. He also said that for the 38 or so sales for the week only 1 utilized the 0.5% offer.

[jpd80]

Nice try Holden but, you cannot transpose what works for $20,000 car onto $47,000 cars.
What you end up doing is subveening the residual value of the car and the buyer gets a huge
headache when they go to trade in and realise just how much value they have lost......