Conference 7.286::dcu

    What the "GRAND PRIX" Flyers say (haven't gotten one in the mail yet)
    is that the DCU is giving us the run-around.  Notice that services
    are the pits.  Or maybe, they are trying to tell us that the DCU
    gives us mostly GAS?
    
    I commented on this to a teller at the branch here in CXO and the
    teller said that it doesn't compare to the run-around that DCU gives
    its employees.
    
    BobW
    

I think the goal here was reasonable - car loans are a money maker for 
DCU - they don't make much on the savings and checking, so they need 
Car loans, H.E. loans, etc, to help pay the rent...But again, DCU has 
messed up in the 'image' department, creating the impression that it 
has $$$ to burn.  What would I have done?  Used to cost of the mailing 
to cheapen the cost of the car loans, and advertised them in the 
statement mailing.

    Hey, in all fairness, we collectively have been berating the DCU
    for not being communicative enough with their constiuents.  Maybe
    we ought to lighten up on them since they *ARE* trying to communicate
    (and included in those who should lighten up is yours truly).
    
    BobW
    

    I couldn't believe my eyes when I saw that *JUNK MAIL* in my mailbox!
    I resent having my minimum balance raised without notice because
    DCU had some stricter requirements to meet yet they have enough
    money to *WAIST* on this type of garbage.
    
    If DCU wants to increase the volume of car loans then they should
    get competitive with the other car loan alternatives.  How about
    offering a *FIXED* rate car loan at competitive rates!  That would
    have gotten my business last September.  They were 10.5% for a variable
    3 year loan.  Hell, I got a fixed 4 year loan for 9.75!!  I just
    can't believe they won't fix a car loan rate.
    
    The only new loans this inspires are from people who haven't done
    their homework on available loans!

    Phil

       Plus, they still want 20% down, which you can avoid anywhere
    else. DCU is the LAST place I'd get a new car loan.
                                                     Denny

re:    < Note 79.6 by VINO::GRANSEWICZ "Auhhhhh, I've been slimed!" >
   
   > I couldn't believe my eyes when I saw that *JUNK MAIL* in my mailbox!
   > I resent having my minimum balance raised without notice because
   > DCU had some stricter requirements to meet yet they have enough
   > money to *WAIST* on this type of garbage.
    
    DCU is certainly living off the fat of their ignorant customers,
    but I'd like to hip you into something: DCU is wasting our dollars,
    not waisting it. (Unless the people who profited from the Grand
    Prix brochure carry their cash around in money belts. Then it would
    be both wasted _and_ waisted.) In any case, I agree: DCU's promotion
    budget should be put on a diet.

    RE: .8
    
    Ooops!!  I was so pissed at this outrageous WASTE of OUR dollars
    that my spelling went down hyll!! ;-)
    
    RE: .9
    
    Re-read my reply please.  I stated "at the time" which was last
    September.  DCU has made no changes that I am aware of to the car
    loan terms (fixed vs variable).  As for their rates, it would take
    10 - 15 seconds (1 call) to find someplace better.  And you'd think
    that since they're variable, they'd have *better* rates!  I couldn't
    figure them out.  After this latest junk mail campaign, I'm beginning
    to get the picture!
    
    Phil

    
    What bothered me was the fact that I got three of them at the same
    address. Mine, my wifes (she works at DEC too.), and one for our
    common 100 account.
    
    We always get three of everything. Be nice if they had a way to
    note duplicates. Although the maintenance/programming would probably
    cost more than the duplicates.
    

	I got a car loan from DCU less than a year ago. It was very difficult
to obtain and I haven't had fun dealing with DCU. But, it was a much better
rate than what I was paying and people I talked to said I wouldn't find much
better (although it was variable). It also offerred payroll deductions. I
believe it was 9.00% for 3 years and now it is 9.50%. My previous loan through
the dealer was 12.99% (13%) fixed for 4 years. I saved a couple thousand
dollars. This is my first car loan.

	My question is this. Many people are screaming about what a joke DCU
car loans are and that better rates etc. are very easily accessible. Does
anyone have any concrete examples for my next car loan (esp. for Colorado)?

Chuck

    RE: .12
    
    Rates vary from region to region and over time.  You just have to
    throroughly check out what's available when you need a loan.  After
    all it *is* a several thousand dollar purchase (interest cost
    of the loan)!  All I know is that in Sept. of 1987 in Mass., DCU
    was not the best.  I found a much better deal from *another* credit
    union!
    
    I believe many people get DCU loans based on convenience.
    
    Phil
    

    This is an official response by John Tilley of the DCU. The portion of
    that response, dated 18-January-1988, that applies to this topic note is
    included below. See note 2.22 for more information. 
    
    Whether you agree or disagree with the response from the DCU,
    *PLEASE* remember I'm just the MESSENGER.
    
    Carl Leeber
******************************************************************************
    DCU'S PROMOTIONAL EXPENSES: I have passed your compliments to the
    artist who helped create the Grand Prix car loan promotion mailing.
    The perception of an expensive package and a "Madison Avenue" look
    is a tribute to all staff members who worked on the project. To
    put the cost in perspective, the ENTIRE promotion will be paid for
    by 3 of the new seven year year car loans. DCU is competing against
    banks and auto makers with multi-million dollar marketing budgets
    for our customer's loan business, looking "low-budget" won't help
    us sell loans. Although we are separate companies, DCU does carry
    the Digital name and the obligation to maintain the corporation's
    image within the marketplace.
******************************************************************************

    
    Re: .14
    
    >                                                             To
    >put the cost in perspective, the ENTIRE promotion will be paid for
    >by 3 of the new seven year year car loans.
    
    	I hate to sound like I'm getting too picky, but this answer
    is a bit ambigious.  Does John mean that the *profit* from three
    new loans (i.e. the interest income from the auto loan minus
    the interest expense of paying the depositors) or the raw auto loan
    interest *alone* paid for the cost of the program?
    
    	If its the first, then great, we collectivly got a good deal on the
    advertisement and I would owe DCU an incredible amount of praise.  If
    it is the second, as I suspect, then John gave us a very misleading
    return-on-investment answer.  It would be like DEC doing a one million
    dollar advertisement and saying that a single one million dollar
    order would offset the cost -- sort of ignores the costs of designing,
    manufacturing and selling the systems...  ROI *has* to include the
    cost of doing business or it isn't a valid figure.
    
    							-craig

    RE: .13
    
    There is a obvious and minor typo in the entry 79.13:
    
>   by 3 of the new seven year year car loans. DCU is competing against
    
    was supposed to be:
    
    by 3 of the new seven year car loans. DCU is competing against
                              ^
                     extra "year" removed!
    
    Carl