Millennials. Who knows what they’re thinking? Well, maybe GM and Dodge did … in the early and mid-2000s.
According to Edmunds, the 18-34 age group of used car buyers are flocking to some discontinued metal including the Dodge Magnum, Chrysler Pacifica, Pontiac Aztek, Chevrolet Trailblazer and Saturn Outlook.
But, why would they be buying models that were so derided or unpopular when new?
I guarantee that every brand loyalist will have a reason to hate me after reading this article.
Every manufacturer sells a shitty car or two and then hides those defects behind a not-so-small army of lawyers, dealers, and corporate employees.
It’s the corporate American way. In our legal world, the power of denial can save you billions of dollars if you have the right army to fight your battles.
Every manufacturer plays this game. Every… single… one…
AutoNation won’t sell any cars with open recalls, used or new, at its dealerships, according to Automotive News.
AutoNation CEO Mike Jackson said the costly policy would mean that roughly 5 percent to 10 percent of cars on its lots would be unsellable at any one time. The change in policy for AutoNation comes while different bills work their way through Congress that could prohibit used car dealers to sell cars without recall repair work.
“The recall situation for the U.S. auto industry is a black eye. It is a dysfunctional nightmare that the industry should be ashamed of, and customers are right to be angry and confused,” Jackson told Automotive News. “As part of the industry, we have to hold a mirror up and say, ‘What can we do better as a company?'”
Going to visit a dealer on a rainy day or the third Sunday after a holiday might not help you get a better deal on a used car, but tracking how long it’s been sitting on the lot may work in your favor. Aged inventory takes up valuable lot space while interest adds up every day motivating most dealers to drop the price to sell it quickly.
Most cars arrive on a dealer lot arrive from wholesale auctions or customer trade-in and are paid out from dealer funds or by a loan through floorplan financing. As with most loans, interest and fees are paid until the loan is satisfied for the floorplan. Each day of interest cuts into the potential profit for a vehicle so dealers try to move inventory as quickly as possible.
Fiat Chrysler Automobile dealers won’t be able to sell cars without recall repair work or they risk losing their incentive money under a new agreement with the federal government, Automotive News is reporting.
The agreement was part of the sweeping package penalties imposed by the National Highway Traffic Safety Administration, including up to $105 million in fines. According to the consent agreement by the federal bureau and FCA, the company already asks dealers to complete recall work, but the new mandate would reinforce that existing policy.
In the United States, it’s illegal for a dealer to sell a new car without recall repair work, but no such law exists for used cars. A recent proposal in Congress to force used car dealers to complete open recall repair work was met with opposition.
General Motors disclosed in its quarterly Securities and Exchange Commission filing Thursday that the Federal Trade Commission is investigating the automaker for selling used cars under recall, the Detroit News is reporting.
According to the automaker, the FTC notified GM that it was investigating “certified pre-owned vehicle advertising where dealers had certified vehicles allegedly needing recall repairs.”
The filing acknowledges the investigation is connected with the 2014 recall of 2.59 million cars with faulty ignition switches that could turn the car off while driving, disabling its airbags. So far, 124 deaths have been linked to the defect.
Several times in the last few weeks I have had a friend come up to me and tell me that they bought a used car, there is some problem with it, and now they want to sue the dealer. And if not a lawsuit, then at least they want some sort of compensation, like a free replacement car.
I generally listen intently to their problem, and confirm that I’m understanding it, and make eye contact to show that I care, and then tell them something along the lines of the fact that this is the single stupidest thing I’ve ever heard in my entire life.
Here’s a newsflash for everyone out there who bought a used car with a problem: You bought your vehicle in as-is condition. This means you must accept it “as it is,” even if how it “is” is fitted with brake pads that are actually USB sticks. Even if its mirrors are sun visor mirrors taped on the mirror housings. Even if it is a Pontiac G6. You now own this car and you signed the papers saying so. The dealership held up its part of the obligation in selling you the car. Now you must hold up your part of the obligation in getting the thing the hell off the dealer’s lot.
The National Automobile Dealers Association new electric vehicle retention list released last week has a tasty little tidbit in its roundup of value retention rates.
Tesla’s Model S, which topped the 3-year value retention rate list for EVs in the new list, also sported a better value rate for most cars on a similar list released last year for all segments, including mid-size luxury cars. That includes BMW.
But the news may not be all good, all the time.
Movie director John Landis is probably best known for his 1978 comedy classic Animal House. I am such a fan of it that I recently made a pilgrimage to the Dexter Lake Club, the Oregon roadhouse used in the film where the frat boys partied during their road trip in a black suicide-door 1964 Lincoln Continental. (“Do you mind if we dance wif yo dates?”)
To folks in the retail automobile business Landis is better known for his lesser-known 2004 Independent Film Channel documentary Slasher, a movie that represents the most authentic cinematic depiction ever about selling cars. (Read More…)
In a hurry to trade your new Buick Regal for something else? You’re not alone, as the sedan joins a handful of models traded-in after a year of ownership.