If your car is only worth £50

I'd be pretty pissed off having a genuine £1000 trade in value car and only getting £1k for it when Joe Bloggs in his clapped out fiesta valued at £50 also gets the same £1000 trade in.

So what's the catch

 

they just add the cost that they overpaid you for your car into the price of the new car or the finance with which you buy the new car.

simple really, theres lots of people out there that fall for it, thinking there getting a really good deal when in actual fact they are being ripped off right left and centre

 

Get a straight sale price first - then see if you can knock another grand off trading a £50.00 Fiesta. I'd say the chances are fairly minimal

 

Yeah cant believe people are fooled by this sort of thing!

Its a case of either a £10k car for sale, or price it at £11k and offer a minimum £1k trade in!

 

Don't get nothing for free. Its almost an idiot tax.

5t

 

Cant see how they can then make advertised car dearer to cover the cost of the £1k they've just given you for a £50 scrap car.

If its advertised at £5k, that is exactly what you'll pay minus the £1k trade in for your £50 fiesta. They cant just suddenly say, no its now £6k because your using a trade in.

Better finance deal perhaps? But then who says you'll take finance? May have the £££ in cash.

I agree its a lot of bollocks, just struggling to work out where the catch is

Like i said before i would be well fecked off having a genuine £1k trade in car when joe bloggs gets the same £1k trade in for his £50 scrapheap.

 

They dont make it dearer than the advertised price, you are already paying to much as advertised or the car will be a pre-reg and not technically worth as much as a new car but they charge new car money.

 

Can't believe there are actually numpties out there who fall for it.

 

The dealers that offer minimum £1k trade-in are going after a particular type of buyer: the type that has a £50 Fiesta and needs finance at any cost. They probably won't dicker on the price as long as they "get" £1000 for their rust-bucket and the finance company doesn't mind about the CCJ.

If you have a genuine £1000 trade in and won't put up with 29.9% APR and cars that are overpriced by around 10% then you're more likely to go to a normal dealer.

 

think you will find that the 5k car is priced up at 5995

now if you dont have a trade in you maybe barter it down to anywhere between 5-5.5k and think you done well

or you trade in your banger for 1k get the car for 4995 .

either way dealer still gets 5k for a 5k car .

if paying cash you save a little bit but if your financed up then the dealer makes even more as they get a commision from the finance house .

dealer wouldnt be doing these deals if they werent making money .

might also find that 1k trade in only works against certain cars = unmovable high mileage base models

 

take your 1k trade in and sell it for £800 in the yellow paper (quick sale) buy a £50 crapbox and use that in the deal for the newer car


but as above, the car deals just pre-inflate the prices elsewhere to compensate, either list price or finance

 

Just compare prices for similar vehicles in the Autotrader, then go to Pikey credit 4 everychav and compare, Carcraft are like this, they sell based on Mr and Mrs dim but flash knowing they can afford 50 pounds a week if they dont buy any fruit and veg and live of chips as opposed to the actual value,

Basically they sell finance, the cars are incidental.

 

As J4CKO says, take a look on Carcraft. They have an 02 plate Focus with 50k miles for £5.5k, Autotrader has lower mileage 52's for £5k.

 

I used to work at a garage doing this years ago - firstly all cars are priced £995 more than they should be (which doesnt matter because £50 fiesta owner is stupid), the finance is high (doesnt matter......we know the buyer is stupid) and whether you traded a car worth £50 or £900 it makes bugger all difference to the garage because they are all ****ters that get sent to auction.

You could argue the price down for cash but we would often put people off buying at all if they were going to do that.....better to put off the cash buyer and the £50 profit (for the salesman) on the deal and get the 17 year old with the feista to trade and the 30% APR to earn the salesman £1000.

 

Many years ago this was explained to me when I come to trade in my old car

One dealer offered me 1500 for my car (only running on 3 cylinders, knackered engine but still ran) but the car we wanted was 3995

Went to another dealer he offered us 400 for my car, and the car we wanted (exact same spec model etc as the previous dealers car) was 2600

He explained how it all worked and said they dont bother, they give real money prices for trade ins, and keep the forecourt price realistic too

that car ran for 7 years perfectly without a single glitch, so we did get a bargain

 

Always best to sell your old car privately and go to a decent dealer and pay cash for the new car, dont be afraid to haggle or walk away.

 

Completely agree, I actually encourage customers to do this before they buy cars off me at work! Trouble is, we get all the idiots that have been to CarCreditExpressSuperStore0%Finance or whatever, and get wound up with me when I actually offer them a realistic part exchange value for their car......can be quite entertaining watching their faces drop at first...but then you have to go through the process of explaining exactly why the price is so much lower than they were expecting! Bless em