[Harvey T. Gluck]

I can't understand whats going on with the $1500.00 Rebate on the 3 Series...Ordered a new 335XI on the last day of October......My terms were for a 24 month lease or the possibility of a purchase.....The dealer said you can make up your mind when the car comes in...
Fast forward --car arrived Tuesday @ the Dealer.....He called me today to arrange Delivery.......I said I will take the Lease for 24 months......Okay everything is fine till I asked how is the $1500.00 Rebate handeled.....
He said you do not Qualify for 2 REASONS...The order went in the last day of October ---Deal was effective Nov 1......and even if I was Eligible you do not get the $1500.00 back (under lease terms)-- until and IF you purchase it @the end of the lease......Why you say---Dealers answer $1500 is built in to the Residual.....
BUT-- BUT if you Buy it now maybe we can reprocess and you will get the $1500.00-------BUT-- BUT we can't do anything on the Lease terms......
Forget the January 3rd Delivery time that does not come into effect IF YOU ORDER BEFORE NOV 1 even if you Purchase it..
A lot of Double talk, and I didn't read the Nine Paragraphs that explain the entire offering..
Finally I called BMW they do NOTHING BUT PASS THE BUCK BACK TO THE DEALER----This answer coming from BMW FINANCIAL SERVICES AND CUSTOMER SERVICE....
By the way this is like my 10th BMW...I told the Dealer to stick it-------and they don't want to because its a $59,000.00 335XI....Harvey T. Gluck

[jonni44]

I think you have a crappy dealer. I've only bought two BMWs from my dealer and upon purchasing the second one I got an unreal deal. I even found a mistake on their website about their finance rates and not only did they give me the mistake of the finance they compensated me for telling them about it.

[John 070]

Good for you, when you don't "have to have" something, then you can walk away and adhere to principles. At the time I bought my car, I got $1700 off, which was a lot. People on the forum were getting roughly $500, there were zero cars available in stock (E92's). Then the sales mgr. adds like $700 to the deal, claims marketing and training fees, MACO or something. I told him that's ok, I'll decline on those charges, so take them off. He said everyone pays them, so we'll just add them. I said no thanks, I no longer want the car. Then he comes back and says they'll take them off. I know they actually enjoy the tit for tat, it's like a game to them. That's why I don't even take them seriously, I reserve the right to keep driving my old car and buy nothing.

[Mace]

I believe the $1,500 is based on when you purchase.

The $1,500 is NOT built into the residual, the residual is a straight percentage of the MSRP and has nothing to do with the holiday credit. It is cash from BMWFS and has nothing to do with the dealer or the selling price.

This one, if you've relayed the information correctly, is outrageous. Tell them to stuff it and go to another dealer.

Regarding your title, the holiday credit is not a farce, it's legit, but this dealer should be drawn and quartered. BMWFS probably referred you back to the dealer because they don't have anything to do with your purchase other than to finance it (and provide the credit of course). They should have been able to clairify the rules regarding the credit for you, I'm surprised you had a problem. I just talked with BMWFS the other day about another question and they were very helpful and took about 15 minutes with me even though the situation was hypothetical regarding a potential future purchase. Could it be that you were a bit steamed at the dealer and might not have explained the situation clearly to FS?

[emcmtony]

Actually....the residual changed when the came out with the 1500 dollar credit. I signed for my car in late October. While it was being shipped I went in to the dealership about this and they did the financing both ways. The residual on my 328xi went from 63 percent to 59 percent (3 yr lease, 12K per year). I ended up better off with the old deal.

[SilverII]

just walk away

[Mace]

Originally Posted by emcmtony

Actually....the residual changed when the came out with the 1500 dollar credit. I signed for my car in late October. While it was being shipped I went in to the dealership about this and they did the financing both ways. The residual on my 328xi went from 63 percent to 59 percent (3 yr lease, 12K per year). I ended up better off with the old deal.

Assuming you're talking about the holiday credit you got screwed. It has nothing to do with the residual but that doesn't stop a dealer from TELLING you it does. The holiday credit is just that, a credit from BMWFS to you, that's it. There is no "both ways" required, there's nothing in there about changing the residual, MF, origination fee, doc fees, nothing. Certainly, you may loosen up your negotiating a bit by letting them raise the MF a bit, or add $100 to the origination fee because you know you've got the credit but there's nothing that requires this at all.

[dtc100]

The dealer did not explain well, but they were correct about a lease, because even though BMW now offers $1500 rebate on a lease, it also lowered the residual by just as much, so it is a wash. But I think the lease rate has improved so if you take today's lease deal, you may still do better than the old lease deal you had signed, just not $1500 better.

For a lease, you just cannot keep your old residual and rate deals, then get the extra $1500 too, it does not work that way with a lease. You can take the $1500, but then you must also go with the current residual and lease rate.

[pwhipple06]

Make the statement with your feet! That is the ultimate slap in the face. If you dont NEED something, you have all the power to voice your opinion.

[dtc100]

BTW, if you pay cash, then you should be able to get the extra $1500 benefit, but remember the car is also several months older, the value of the car goes down as the model year passes by month by month. If you wait till the end of the model year, the car will be even cheaper to buy in cash, but if you lease, there will not be much difference.

[TheStigsTwin]

I'm glad you walked. I predict an apologetic phone call from them within 48 hours.

[Mace]

Originally Posted by dtc100

The dealer did not explain well, but they were correct about a lease, because even though BMW now offers $1500 rebate on a lease, it also lowered the residual by just as much, so it is a wash. But I think the lease rate has improved so if you take today's lease deal, you may still do better than the old lease deal you had signed, just not $1500 better.

For a lease, you just cannot keep your old residual and rate deals, then get the extra $1500 too, it does not work that way with a lease. You can take the $1500, but then you must also go with the current residual and lease rate.

You have a reference for this? Holiday credit says absolutely nothing about changing the details of the lease. Now, if you're comparing an incentive offered in one month with another incentive you're mixing and matching and that would be the case but you don't change the residual just because you take the $1,500 holiday credit in the same month. The OP isn't clear, is this the holiday credit?

[Philz BMW]

good for you for walking, gotta be able to do that. When I was negotiating my car, and it finally got to the point of the "sales manager" he said something like "we really have nowhere to go here on the price, it's the best we can do." To which I replied, "I have somewhere to go, home. And I'll leave right now."

Started walking to the door. "Wait, Wait. What will it take to get this deal done?"

[cssnms]

Originally Posted by Mace

You have a reference for this? Holiday credit says absolutely nothing about changing the details of the lease. Now, if you're comparing an incentive offered in one month with another incentive you're mixing and matching and that would be the case but you don't change the residual just because you take the $1,500 holiday credit in the same month. The OP isn't clear, is this the holiday credit?

True one has nothing to do with the other, but it's BMW's way of playing hide the sausage. They offer this credit but at the same time they lower the residual which more-or-less offsets the benefit of the credit.

I ordered my car back in Sept under the $3500 eco credit, by the time the car arrived the specials had changed to a $2500 eco credit, plus a $1500 holiday credit. Sounds like it would be a better deal right? Well guess what, BWM lowered the residual value on the car at the same time the new deal rolled out, which adversely impacted my lease rate. That said, my dealer made it work and they honored my original deal rather than risk losing a customer.

[Harvey T. Gluck]

I am now REALLY Confused... The $1500.00 Rebate that I know of appeared on or about NOV 1, 2010..I thought the only string attached was that you had to be in the car by 1/3/2011.
Now it appears- 1.you can't have entered into a Purchase or a Lease before 11/1/2010.
2. If you decide to Lease the $1500.00 credit is offset by the Residuals so its a Wash.
3. The only way to take True Advantage of the Deal is an outright Purchase..
Am I correct or am I still wrong?...........It would have seemed to me that the Correct way to Calculate was to Divide the $1500.00 by the lenght of Lease which in my case is 24 Months.....which is like a lower payment of about $60.00 a month...
AGAIN I REPEAT---I am truly confused.....Thanks Guys for any further input....Harvey T. Gluck

[cssnms]

It's only a wash if you were to compare it againt the higher residual on the car the month before. There is a benefit, because if there was no credit your lease rate would be higher, so theoretically the credit does help to lower your lease payment. Buying a car and leasing a car are two totally different transactions. The credit would help if you were to buy the car by lowering the sale price, at the same time the credit helps if you lease by lowering the sale price. The other factors that impact the amount of the monthly lease payment are the money factor and residual value. BMWFS determines what the residual value is on the car, so they can manipulate that value and they do for a variety of reasons.

[Harvey T. Gluck]

Thats not true here, because the Dealer is telling me that the Lease rate is the same today for me as it was Nov 1 because the residual changed which offsets the $1500.00 Rebate..So they give you the rebate in there calculaions, but you can only get credit for it at the...end of Lease assuming you Buy the car.....
If I were to Buy it NOW I would also get the rebate, but only by getting BMW'S Financials okay since I entered into the Deal one day before the announcement......Harvey

[mishenka]

Holiday Finance Credit offer is being made by BMW of North America, LLC and only applies to specific new 2011 BMW Models leased or financed through BMW Financial Services. Available new 2011 models receiving the credit are: 1 Series, 3 Series, 5 Series, 7 Series (except 760 and Alpina's), X5, X6, M3, X5M, X6M, and Z4. Holiday Finance Credit amounts of either $1,500 or $2,500 are based on model. Holiday Credit must be applied to a Lease, OwnersChoice or Retail Finance contract though BMW Financial Services by January 3, 2011. The current lease offers can be found at http://www.bmwusa.com/standard/conte...aseoffers.aspx. The current finance offers, 0.9% APR on the 2011 models, can be found at http://www.bmwusa.com/standard/conte...r/default.aspx is applied directly to the contract, reducing the amount financed and is disclosed as such on the contract. Subject to credit approval.

[bavarianboar]

Walk away. If your car is a unique order, good luck to the dealer trying to sell the car.

This is how it works from what I know. This was my situation.

Ordered: July 21. Delivery:Oct 15.

Ordered: Higher MF, Lower Residual, NO Rebates, only $1000 off valid through Sept 30, (Ultimate drive credit).

Before Delivery: Lower MF, Higher Residual, First month payment by BMWFS (SoCal Special), $1000 off (was extended to Oct 31st), all new rated. To top is up, I was also charged the newer (raised) price of the base model, because the car left port of entry/VPC after the change came in effect.

My Client advisor told me this: From the day or order to delivery, I can give you any deal whatever works out in your favor, even if the rates change. BUT MF and Residual go hand in hand, have to be from same month.

BMWFS never built any credits into residuals from what I know. $1500 is a lot of money, something similar to what I ended up saving on my car. All rebates come as cap cost reductions when leasing. If a discount can be applied for buying, it can be applied for leasing, no difference.

Good luck to the dealer selling that car. Go elsewhere, make a better deal for your money. Tell them on their face, they dont have a good business practice.

[dtc100]

Originally Posted by Harvey T. Gluck

Thats not true here, because the Dealer is telling me that the Lease rate is the same today for me as it was Nov 1 because the residual changed which offsets the $1500.00 Rebate..So they give you the rebate in there calculaions, but you can only get credit for it at the...end of Lease assuming you Buy the car.....
If I were to Buy it NOW I would also get the rebate, but only by getting BMW'S Financials okay since I entered into the Deal one day before the announcement......Harvey

I assume when you ordered the car you made a lease deal with the dealer at that time, which included a total drive off amount (the total cash you need to put down at lease signing), and a monthly payment amount including tax?

Now with the current $1500 and the new lease residual and least rate, just ask the dealer what will be the final drive off and the monthly payment including tax. You should see very similar amounts. If they are higher, then the dealer is trying to rip you off, but you should not expect much better numbers either. If the dealer can make better numbers for you this time, it will be only because the last deal you made with them was not very good and the dealer is able to cut some extra profit and still make the new deal with you to keep you as a customer.

[Race_Doc11]

Good for you...go to another dealer I was offered the $1500 on the lease without even asking.

Originally Posted by Harvey T. Gluck

I can't understand whats going on with the $1500.00 Rebate on the 3 Series...Ordered a new 335XI on the last day of October......My terms were for a 24 month lease or the possibility of a purchase.....The dealer said you can make up your mind when the car comes in...
Fast forward --car arrived Tuesday @ the Dealer.....He called me today to arrange Delivery.......I said I will take the Lease for 24 months......Okay everything is fine till I asked how is the $1500.00 Rebate handeled.....
He said you do not Qualify for 2 REASONS...The order went in the last day of October ---Deal was effective Nov 1......and even if I was Eligible you do not get the $1500.00 back (under lease terms)-- until and IF you purchase it @the end of the lease......Why you say---Dealers answer $1500 is built in to the Residual.....
BUT-- BUT if you Buy it now maybe we can reprocess and you will get the $1500.00-------BUT-- BUT we can't do anything on the Lease terms......
Forget the January 3rd Delivery time that does not come into effect IF YOU ORDER BEFORE NOV 1 even if you Purchase it..
A lot of Double talk, and I didn't read the Nine Paragraphs that explain the entire offering..
Finally I called BMW they do NOTHING BUT PASS THE BUCK BACK TO THE DEALER----This answer coming from BMW FINANCIAL SERVICES AND CUSTOMER SERVICE....
By the way this is like my 10th BMW...I told the Dealer to stick it-------and they don't want to because its a $59,000.00 335XI....Harvey T. Gluck

[renaultf1]

Originally Posted by bavarianboar

Before Delivery: Lower MF, Higher Residual, First month payment by BMWFS (SoCal Special), $1000 off (was extended to Oct 31st), all new rated. To top is up, I was also charged the newer (raised) price of the base model, because the car left port of entry/VPC after the change came in effect.

Interesting. Mine car was ordered in August and arrived in October after the price increase. My dealer modified their discount (without me asking) and I wasn't charged the increase.