{"id":2228,"date":"2012-09-11T08:47:05","date_gmt":"2012-09-10T22:47:05","guid":{"rendered":"http:\/\/blog.privatefleet.com.au\/?p=2228"},"modified":"2020-06-20T01:42:47","modified_gmt":"2020-06-19T15:42:47","slug":"zero-percent-interest-sounds-too-good-to-be-true","status":"publish","type":"post","link":"https:\/\/www.privatefleet.com.au\/blog\/home\/zero-percent-interest-sounds-too-good-to-be-true\/","title":{"rendered":"Zero Percent Interest? Sounds Too Good To Be True."},"content":{"rendered":"

There are some great interest rates around for new car buyers right now- even as low as zero percent. Are they the real deal or is there a catch?<\/p>\n

\"\"<\/a><\/p>\n

Too often you hear the consumer watchdogs say \u2018If it sounds too good to be true, then it probably is\u201d<\/p>\n

So does that apply to these fabulous interest rate offers?<\/p>\n

Well, yes and no.<\/p>\n

When a manufacturer offers a great rate it will be honoured (unlike some sharks), but it will be on their terms-not yours. Often that means the deal isn\u2019t so good for you after all.<\/p>\n

Let\u2019s explain.<\/p>\n

Suppose you see a great 2.9 percent interest rate on the car of your dreams.<\/p>\n

Should you rush in and buy?<\/p>\n

Mmm, maybe, but there are a few questions to ask first before you sign up<\/p>\n

\u00a0<\/em><\/p>\n

Q1- Is the offer on the exact car I want?<\/em><\/strong><\/p>\n

You may find the dealer has a special offer only on a special spec car that they want to move quickly. Maybe the manual (but you want the auto- or vice versa), maybe it\u2019s a run out model that could cost you thousands in depreciation<\/a><\/em> when the new model is announced a few weeks later.<\/p>\n

If it is the right car, right colour and right spec go on to Q2.<\/p>\n

 <\/p>\n

Q2- Do I get a discount?<\/em><\/strong><\/p>\n

Almost certainly the answer is \u2018NO\u2019.<\/p>\n

The interest rate is usually only available if you pay the full manufacturer\u2019s recommended price.<\/p>\n

So you have to weigh the interest rate saving against the discount you don\u2019t get- we\u2019ll show you how later.<\/p>\n

Q3- Can I delay delivery?<\/em><\/strong><\/p>\n

You may want your car right now, and that will be fine. But what if you aren\u2019t quite ready and want to wait a few weeks before taking delivery? That could be a problem, the salesman wants his commission now and will almost certainly insist you sign up today- tomorrow may be too late and next month is a definite no-no.<\/p>\n

Q4- Can I change the interest terms?<\/em><\/strong><\/p>\n

These \u2018specials\u2019 usually have restrictive and narrow terms. For example, they may be for a no deposit, no residual fixed term of three years. If you want a four year term with a residual payment, then \u2013 no deal. Similarly the deal may be for a high residual, but you want to pay the lot off with no residual. So-again, no deal.<\/p>\n

Q5- Can I do a trade in?<\/em><\/strong><\/p>\n

Yes, they will usually accept trade ins, but you may not get the best trade in price.<\/p>\n

\u00a0<\/em>Q6- I was going to pay cash but I can\u2019t resist such a good interest rate.<\/em><\/strong><\/p>\n

Many feel like you- but think again. This ain\u2019t a free lunch, so if you have cash, then use it to negotiate a discount that you otherwise wouldn\u2019t get.<\/p>\n

The Golden Rule is to check ALL the figures first!<\/strong><\/p>\n

\u00a0<\/strong>Be careful, do the figures then check again to see if it\u2019s still worthwhile.<\/p>\n

Here\u2019s what we mean.<\/p>\n

You want to buy a new car that is $40,000. You have no trade in and you are happy with the 2.9 per cent interest over five years that\u2019s on offer, and you\u2019re ready to sign up.<\/p>\n

Hold on! Wait! Check it out first!<\/p>\n

Let\u2019s suppose Private Fleet can negotiate a discount on the car of $3000, and you can get an interest rate from your own sources of 5.6 percent.<\/p>\n

Now let\u2019s look at the actual cost to you.<\/span><\/p>\n

Example 1. Pay $40,000 and get 2.9% interest over 5 years. Your total cost will be $43,018.20.<\/p>\n

Example 2. Private Fleet has negotiated a buy price of $37,000 and you are paying 5.6%. Now your total cost is $42,507.12. That, then, is a saving of a cool $501.08-straight into your pocket.<\/p>\n

Not such a good deal after all, is it?<\/p>\n

So to conclude, what really matters is your total cost<\/em> not the enticement special.<\/p>\n

Sometimes it can work for you, but so often you can do better-with our help of course! http:\/\/credit-n.ru\/offers-zaim\/ezaem-zaim-online-za-15-minut.html<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

There are some great interest rates around for new car buyers right now- even as low as zero percent. Are they the real deal or is there a catch? Too often you hear the consumer watchdogs say \u2018If it sounds too good to be true, then it probably is\u201d So does that apply to these […]<\/p>\n","protected":false},"author":25,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2228","post","type-post","status-publish","format-standard","hentry","category-home"],"_links":{"self":[{"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/posts\/2228","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/users\/25"}],"replies":[{"embeddable":true,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/comments?post=2228"}],"version-history":[{"count":16,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/posts\/2228\/revisions"}],"predecessor-version":[{"id":12257,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/posts\/2228\/revisions\/12257"}],"wp:attachment":[{"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/media?parent=2228"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/categories?post=2228"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.privatefleet.com.au\/blog\/wp-json\/wp\/v2\/tags?post=2228"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}