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Old 08-05-2007, 07:58 PM   #1 (permalink)
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how does this work?

i'm sorta looking for a 2500 classic diesel, and i'm wondering how the cash alowances and bonus cash works. i've never purchased a new vehicle, so it's pretty much greek to me. i've seen where chevy is offering $4000 cash allowance and $1000 bonus cash on the 07's, and $4750 bonus cash and $1000 cash allowance on the 06's. what does all this mean?


thanks in advance everybody!

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Old 08-05-2007, 11:07 PM   #2 (permalink)
Jaybeecon
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It *should* work where that $5,000 or $5,750 it taken right off your deal. The thing is, many dealers like to toss that figure in first - taking it off the MSRP. This may look good but actually means that they've stuck you for about five grand.

Make your deal and do not even consider the discounts. Go for a purchase price of at or very near invoice. (If it's a leftover '06 then you should be able to get it for way below invoice) Then, once you reach a purchase price on the truck, deduct the incentive money.

If the new truck has a MSRP of $50K, you should be able to get it for $44K to $45K. Call it $45K for figuring. Then deduct the $5K incentive and you are down to $40K. Then deduct any equity from your trade and get $40K - $xxK. Whatever is left is what you pay tax on. Add that number plus the sales tax plus any dealer fees etc and you have the total amount you should be paying. After that you work your finance deal.

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Old 08-06-2007, 02:47 AM   #3 (permalink)
jeff442
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yes thats pretty good advice. just remember that cash back or rebates are from the factory not the stealer if the stealer acts like its thier discount go elsewhere or let them know that you know its factory money.
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Old 08-06-2007, 07:02 AM   #4 (permalink)
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any idea where i can find what invoice would be on an 06? i've found it at kbb.com for 07's....

my boyfriend is convinced that i will get nowhere near invoice since it's still techincally a "new truck", even though the 08's are about to come out. i want to prove him wrong....
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-2016 Silverado 2500HD: Butte Red CCSB, Z71, Duramax, all stock
-2005 Chevy Corvette: Quicksilver Metallic, auto, stock daily driver
-Previous: 2007.5 GMC 2500HD ECSB Duramax; 2007 Chevy 2500HD CCSB Duramax; 2004 GTO; 2000 Z28 highly modded
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Old 08-06-2007, 07:07 AM   #5 (permalink)
Reineke
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I bought my 05 below invoice in November of 04, so it is possible. With the one in question being an 06, you shouldn't have too much trouble negotiating down there.
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Old 08-06-2007, 02:35 PM   #6 (permalink)
Tigeman
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You should be able to get any truck at invoice, I don't care where ur at, unless that dealer just doesn't want to deal.

As Jaybeacon said, make sure they don't try and throw in the rebate and tell you they are giving you some special deal w/ their rebate they're throwing in. I always ask what the price they're selling it to you is, BEFORE rebates. Just know exactly what the rebates are before you go in and you can't be screwed that way.

If you'll pm me your zip code, dealer name, and VIN of the vehicle your looking at I'll send you a link w/ the wholesale invoice for that truck. It however won't include the dealer's holdback or his advertising fees that GM makes them tack on.... which all those together can range from $1000 to $3000, depending on where they are located (Rural or big city). You can then ask the dealer to see his invoice. If he won't do that, then you really don't want to deal w/ that guy.

Something you really should look at though, what's the re-sale value of the 06 vs. the 07' classic? The 06' might be immediately worth $3K-$4K less than the classic, even if it is new. The difference between the two might be less than that. Just my $.02
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Old 08-06-2007, 09:05 PM   #7 (permalink)
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thanks for your help!

this 06 definitely isnt set in stone, i'm just exploring my options. if i could get this truck down in the 32-33K range, i would be ecstatic. it would be something i'd probably keep for 10 years or longer. and i'm trying to get my payments as low as possible - i pay $480 combined for my truck and car now, so i'm trying to get as close to that as possible, so i'm thinking the 06 is gonna be my ticket, if they're willing to work with me. but if i find a nice 07 for the right price, i wouldnt be opposed either...
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