**Buyer Beware**

Hey Folks! I know enough people on here from Colorado that I wanted to share a recent experience that hopefully saves you from going through what I did.

So here is the short version - when I bought my truck, I was given a payment schedule by the salesperson that provided payment options for $0, $3000 or $5000 down and a corresponding dollar amount for the monthly payment. I decided what option I wanted and continued the purchasing process with the Finance person. They proceeded to offer me the typical options - extended warranty, accessory options, etc. I declined all and was told that I could still have the extended warranty at a slightly lesser term, because they had "dealership coupons" to redeem and my payment would not go up a cent. So I happily signed my paperwork and went on down the road in my new truck.

So a couple months go by and I go back to my paperwork (all of which was given to me on a jump drive) and look through to find that something doesn't jive. The monthly payment figures provided to me by the salesperson already have the costs of the extended warranty (that I declined) built into them. Now it makes sense why my payment would not go up if I chose the "free option" for the extended warranty.

I went back to the dealership on a busy Saturday to get this resolved. I was told by the Sales Manager that it would be 20-25 minutes before someone could see me until I briefly mentioned what had happened and miraculously the same Finance guy who had helped me before was immediately available. Long story longer, after discussing the matter with the Finance guy, they were happy to refund a prorated amount for a now CANCELLED extended warranty. What happened to "I can offer you this free using dealership coupons."? Also, why would the refund be prorated if the truck is only a few months old, with very few miles and under factory warranty? I wrestled with that as well, but figured I would cut my losses without needing to be obnoxious to get my point across. It was obvious to me that someone had been caught with their hand in the cookie jar!

I'm not wanting this post to be a topic of discussion or interpretation. I'm simply letting you all know in case you find yourself in similar circumstances. Maybe my experience can help you resolve your issue as well.

*I've specifically not mentioned the name of the dealer to protect the "not-so-innocent", but I'm sure if you were to shop for a Toyota in Boulder, CO these folks might be your first stop.

 

Good on ya for spotting this scam. Also, good on ya for not being a bitch and mentioning names.

From personal experience, I will say that your example here is being repeated everywhere in most all fields and professions. Its a full time job keeping up with the games business’ play including hospitals, banks, doctors, lawyers, and health insurance companies. The other full time job is keeping the scammers from stealing your hard earned money from your own bank account/credit cards.

It definitely BUYER BE AWARE these days. Read the fine print people and keep your head on a swivel!

 

I am not surprised by your experience. Both the salesman and finance person are paid on commission. Therefore, it’s in their best interest to get prospective buyers to use their (dealership) financing and to purchase options. I am surprised that the dealership would give you your paperwork on a jump drive. Dealerships are known for killing trees. Plus, there are some some documents that are printed on standard forms that are printed out on Dot Mattix printers....like the title application and Lien docs.

Nevertheless, it is always a necessity for anyone purchasing a vehicle to review ALL the paperwork that they are signing, one at a time. Never allow anyone to rush you, or put you under any pressure to sign or accept terms that you are not comfortable with. Under the Fair Credit Reporting Act, dealerships are bound by law to be truthful with their financial practices. You should take this matter further up the chain. Get Toyota and the dealership’s ownership involved with this matter.

On a personal note, I walked out of a Toyota dealership once, without buying a car after hours of searching and negotiation. All because I got in front of the finance guy refused to finalize my paperwork without additional options. He literally told me that the finance company would not finance my loan without an extended warranty and GAP. I told him that it was as BS. I asked him to show me that policy in writing and he could not, so, I got up and left the dealership.

 

Toyota dealerships have been the hardest to deal with in my experience. Always take twice as long and they try every trick.
On my Jeep I was offered a crazy expensive extended warranty. I only took it after they lowered my interest rate half a point. Payment only went up a little since I held out. I Canceled it at no charge the next week. The cost was taken from the overall cost and more of my payment went to principle each month. If you cancel quick the dealership and salesman don’t get to keep the commission on the sale. My son worked for a Honda dealership and when I bought one from him for my daughter, he asked me not to cancel it until a few weeks had passed so he could keep his cut. Usually after 30 days they will prorate and it cost you $50 to cancel. At least in TX

 

I don't assume anything anyone "says" (especially an automobile dealer) is true. Unless it's explicitly spelled out in writing I don't believe a word.

 

When I bought our Avalon the dealer tried the same thing! We got Toyota financing and after declining all extended warranties and service plans, he kept trying to push the warranty on us. Finally he said he could offer it at a drastically discounted price that would not affect the car payment at all.. This sounded fishy to me - how can I finance an additional cost and keep the same payment?Before I signed the paperwork I read through the financials and the warranty was still there, listed at full price. I mentioned it to him and he said that the cost savings came because he was able to lower my interest rate with Toyota financing.. he literally stumbled when trying to deliver an explanation. I flat out told him that was dishonest, and why the hell would we not get the lowest possible interest rate in the first place if we qualified for it? At that point I told him we would like to drop the warranty and keep the interest rate, and if he couldn't do it we would walk. He dropped the warranty and we kept the 1/2 point drop on the interest rate, which was already very low.

I've also had issues with the service department at this dealership being complete POSes. I'm not going to take the high road - it's Bountiful Toyota in Bountiful, UT.

Toyota dealers, and auto finance guys in general seem to be pretty dishonest.

I would absolutely reveal the dealer if I were you. I would also post honest Yelp and Google reviews. It's amazing how quickly a tune can change when you put this information out in to the world for all to see.

 

Any finance guys here? What amount of control do the Toyota finance guys have over the interest rate if offered by Toyota? Do they get some kick back if you pay a higher interest rate than you qualify for? I'm genuinely curious - wondered this after this experience and now that I'm thinking about it I'm wondering again.

 

The best thing I did when purchasing my Tundra was to get my own financing through my credit union. I told the dealership what their rates where and they couldn't beat it so I didn't have to haggle with their finance guy.

 

We typically do just go through our own credit union, but as you said and we have noticed, sometimes you can get a better rate with dealer arranged financing, especially when it's the brand's own finance company.

 

When I bought Tacoma and finance dude offered a interest rate reduction wit extended warranty I just asked "would you have offered without the warranty?". He said "of course". I said fine I will take it.

 

Yeah...I think I’m reconsidering the high road because I’m still eating a few hundred dollars for something I never wanted. It shouldn’t be my job to sniff out deception on a monetary transaction. I shouldn’t have to negotiate to get my own money back! Larry Miller Toyota in Boulder will never see another dime from me and I’ll be returning to Stapp Interstate Toyota for all future business. Oops!!! Did I say that??

 

I will never buy from my local dealer again, they believe they have the market coverd in my area and would not budge on a Highlander price for the wife and that was after buying my Tundra the year before. What I've learned after buying two new cars in last few years is to do research and use the web. Dealing with a car salesman can sometimes be more difficult than catching a greased pig.

 

I have bought five vehicles from the same dealer who sells Subaru and Toyota. I have to drive an hour and 45 mins to get there. The same salesman has sold me all the cars and has been there for 20 years. He has me email three other dealers with the options I want and he beats the lowest price. Finance is always through Toyota or subaru. No shady trash, no extended warranty, no $500 wax job. He even refunded the $$$ for the floor mats on the tundra and sold me the weather guards at cost. Not all dealers are created equal. The dealer 20 minutes from my house is total slime trash. I wouldn't let him touch my wheel barrow.

 

LMT here in Motor City is just as slimy not only the sales department but the service department as well. From now on it will be Pueblo Toyota, or anyone but LMT.

 

Both Stevenson's here in Denver (West) and Aurora (East) have treated me OK. Talking about the service departments only.

 

I’ve had that happen to me as well. I caught it while doing the math on agreed upon price of car and monthly payment. This was at a Mazda dealer off Colfax on the west end. I told the finance dick to pound sand. Shady bastards think everyone is an idiot.

I know everyone says there are good people working in car sales but my experience is everyone of them is a shady POS and I go in with that mind set.

 

I can't wait for the next way of purchasing cars that takes out the human element out of it

 

EXACTLY! Though, I can honestly say that, my Pueblo experience has been the best I have ever had. Imagine not finding anything shady in the finance contract.

 

Maybe I’ll make the drive south next time!

 

I would!
We originally went down with a printout and item number of an SR5 Premium TR4. As usual I am on guard because the pimp approaches within 10 seconds of being there.
I am in dick mode and tell him I am here for this one only and no other. He comes back with a golf cart and we go looking. It's not there, not his fault, the IT folks put the info in wrong. The one we wanted was like a silver sky metallic, moon roof and 3rd row seat.
Again it was put in the system wrong. This guy talks with the sales manager and tells him the story. Without hesitation the manager said, our bad put him in a limited at the price of the SR5 Premium T4R.
So, being in dick mode still, I look for a Limited priced at $47k and they priced it at $38k, the price of the Premium we originally went to look at. I got the rate and credit union I wanted. I got a great deal, and I ate a little crow and apologized for being a dick.

 

That’s the way to treat a customer. I like it!

 

https://youtu.be/noqdlCmn4h0

Just saying.

 

I have the most trouble with the finance guy, sales guys are bearable for the most part. Wife and I usually have 25-40% down payment from the bank account and finance rest at the dealer till we can get money moved from other accounts because we buy on weekends. Last time wife and I bought 2 cars. My used 16 Tundra and her new 16 Prius. I know that I don't want anything from the dealership not offered by Toyota but guy is always a hard selling ass. I know that in a week or so I will pay off this dealer loan when I can get to the the credit union so I just politely say no about 12 times for all the crap. Except this time, lol, dealer 0% on wifes new and 1.9% on my used is less than my investments. I kept the loans for now.

 

I agree @TomC843. I hate debt and rarely carry any loans... However I have 0.9 on the tundra and 0% on the wife's outback. With inflation doing what it does best I decided to keep the loans for a while. Maybe some day we can get more than 0.0000374% interest from the bank!!!!