Cash rebates! Rebates!

[Sofarsogood]

Thought I'd get some attention. It seems to be the rage nowadays, PI/AD offering cash rebates so that the banks can tie you to fulfilling the loan tenure. I only know that's one of the catch i.e. the tie-up. The other would be the higher interest for the loan if u do take up the rebate. My question is, is it really worth it to take the rebates, knowing u will drive the car for more than the loan period? Or its just another gimmick?

[RadX]

Many cars have fallen into the -ve equity range, thus if they need to sell the car, they would need to topup. this rebate thingy helps the oqner meet that topup, but paying a much higher interest rate...and loaning for it.

 

For eg, every $100, he is paying $103.5 and over 10 years, that is $35....work that into thousands and u see the big picture.

 

Well, guess, banks know how to assist themselves and customers

[Sofarsogood]

Yup, I reckon there's no free lunch. In fact, I am fortunate now because the resale price of my car would pay off the outstanding loan, still got a bit of spare change. Call it fickle, but guys always tend to itch when walking pass a showroom

[Cheekg98]

best is pay cash in full !

[Sofarsogood]

Pay in full? ha ha... its like a wet dream!

[RadX]

u niece v rich ha...

[Cheekg98]

wet dream is good

[Sofarsogood]

Yup, a real expensive wet dream.

[Walterkoh]

hi all,

its not car buyers dun wan to pay full in cash, cos to b realistic, most of us live on credit, house loan, car loan, even buy handphone also can pay by instalments, buy home electrical appliances can have zero downpayment n pay thru credit card instalments.

so, who dun wan to have so much spare cash to pay cash for cars?

the gahmen changed the tax structure till all old cars (mainly 2 yrs n above) have -ve equity n will the present low COE, it makes it more worthwhile to change to a new car (lower depreciation, new models, new technologies, nicer looks, better consumption, new warranty for the next 3 years, guaranteed no wear n tear replacements, most importantly, CHEAPER PRICE)

so how to find the lump sum of money like 15k to top up for old car? at least now they have a choice to pay tat sum of money thru instalments, its a very good idea

cheerss

[Khee]

Many cars have fallen into the -ve equity range, thus if they need to sell the car, they would need to topup.

Well, guess, banks know how to assist themselves and customers

 

i think all cars are -ve equity... if owners dun managed the finance, they are going to pay dearly for it...

[Quantum]

Thought I'd get some attention. It seems to be the rage nowadays, PI/AD offering cash rebates so that the banks can tie you to fulfilling the loan tenure. I only know that's one of the catch i.e. the tie-up. The other would be the higher interest for the loan if u do take up the rebate. My question is, is it really worth it to take the rebates, knowing u will drive the car for more than the loan period? Or its just another gimmick?

of course it is gimmick

rebate plus rebate at end civic FD less 70k can get one

[Vesfreq]

wah piang, even handphone also pay instalment. HP are luxury items. Don't need to even upgrade in the first place. Can call/ SMS. Good already. If die die want to upgrade, can always diet few months to save up. Not that bad.

 

Actually, paying a substantial amount up front is better. Eliminates all the silly risk of not being able to pay up and having to cough out more money to sell. Pay in full even better, but most people live on credit.

 

One day, asked a friend why no one save up and pay full upfront, since a lot of people can afford monthly instalment. Amount of interest payable can be sufficient for the next car too.

[Sunnyvip]

Hi Sofarsogood

 

Getting a rebate is tantamount to the bank taking your own money first and give it to you...it is not their money but yours!!...there is a chinese saying "goat's fur grows on goat's skin"..(sorry for the bad word-for-word translation)...

 

But do agree with some bros here that genuinely if need the rebate to finance the nec top-up to dispose of the current car then will be an avenue for cash strap buyers...but if go for cash rebate one thing for sure is that will have to drive for at least 5-7 yrs before selling it so if getting a new car just be sure that you gonna drive it for that period of time...if not want to change again then need another rebate and your loan will never be repaid but instead will spiral like a snowball!!..

[Carndablues]

best is pay cash in full !

 

Actually, it's not. The car prices from BM for example come with a rebate if you take up their in-house financing, amounts to $1500 (the minimum loan is 25k @ 3.25%)

 

If you want to pay cash in full, you have to pay $1500 more, which means you are about $700 worse off as the interest amount on the loan is about $800.

 

It's important to do your sums first!

[Walterkoh]

hi

its a very simple thing to do: first they mark up the price by $1,500 and $500. then if u take in house finance, they deduct $1,500. if u take in house insurance, they deduct again the $500. so???????

its still

GOAT HAIR COME FROM GOAT!!!

 

CHEERS

[Veximan]

very true..

[Carndablues]

Hmmm...so what you're saying is that if you do not take the inhouse finance and inhouse insurance, not only will you be paying $2000 more, you are actually paying $4000 more as the initial $2000 is factored into the "discounted" selling price?

 

Anyway, the point is, don't pay in full, you'll be shafted no end!

[Fortress]

Sigh...not many understand that passing from one pocket to another, the same amount is not the same but muitiple to your disadvantage...