Conference 7.286::dcu

    
     I'm thinking abou it too...... I was talking to the DCU people here
    in the mill about it. They said when you go to a participating dealer.
    You have to ask for the salespeople that are listed in the DCU folder.
    According to the DCU people, you shouldn't have to "haggle" as if you
    came "in off the street".... The prices supposedly better that you
    would get otherwise..... I guess the best thing to do is check with 
    Consumer Reports, or other reliable source on new/used car prices.
    Edward's is another one to look at..... If you are thinking of trading
    your present car...... It's good to check the "blue-book" #'s.... 
    The DCU has them.... 
    
     Any other pointers people should know..?....

    I'm thinking about getting a Mazda and the Shrewsbury DCU gave
    me a copy of the same brochure.  The Mazda dealer on the list is
    128 Mazda in Wakefield.  I stopped by them and after a short
    discussion decided not to pursue a purchase at that dealer any further.
    
    Then I called the DCU info line to ask them why the program applies
    only to a limited number of dealers.  It's because an outside
    agency arranged with the DCU to set up this program, and there is
    a contract that prevents DCU from offerring the lower rate to
    other dealers.  The agency did not buy down the rate; the DCU
    is eating the difference.  In my case the difference works out
    to a little over a dollar a month for a 36 month loan.
    
    Doug.
    
    

Now, digital policy prevents me from saying bad things about car dealerships
in specific, and private businesses in general.

so I am NOT going to post the reputation of places like

128 mazda (actually, 128 anything) 

Atamian VW (actually Atamian anything) (personal experience with this one, btw)

and several of the other dealers listed, all of whom seem to specialize in 
high volume sales, low service...

Caveat Emptor, as they used to say...

grins,

clark.

re: .1

> Edwards...

Close.  It's Edmunds.

re: in general

They have these kinds of 'sales' several times a year here in Texas.  Usually
the dealerships put up 'Credit Union Sale' banners, etc.

Bob

   Re: Note 649.2 by STARCH::HAGERMAN 
   

�    Then I called the DCU info line to ask them why the program applies
�    only to a limited number of dealers.  It's because an outside
�    agency arranged with the DCU to set up this program, and there is
�    a contract that prevents DCU from offerring the lower rate to
�    other dealers.  The agency did not buy down the rate; the DCU
�    is eating the difference.  In my case the difference works out
    
   Are you saying that some agency came to DCU and got them to sign a
   contract to lower the rate for selected dealerships and DCU GOT
   NOTHING IN RETURN?
   
   Are any Dayton, Ohio dealers on this list (I suspect not)?  If not,
   and (because I am unlikely to travel to MA to purchase a car)  I am
   not going to benefit from this, I feel I am subsidising these lower
   rates.
   
   To any board member:  What gives?  I could see a modicum of reason
   for discounting rates to buy Digital computers, but can see no valid
   reason for favoring certain car dealerships when no renumeration is
   to be had.  Is this the case?

I live in Mass, but I'm not going to benefit from it either -- I don't
need a new car.  Note that the DCU *does* make money from this, if it
convinces someone to buy a car (and finance it through the DCU) who
otherwise would not have bought a car.

To my mind, this is at heart the same issue as providing a special deal
for buying Digital PC's, or having free ATMs for folks in certain
geographical areas, or having branches in certain buildings.  All of
those things benefit a subset of the membership.  I feel that it is
important for the DCU to provide broad-based programs, but I don't
think the DCU should refrain from also offering targetted programs
when they make business sense.  I'd encourage the DCU to try to touch
as broad a base of members as possible with the various targetted
programs, of course.  

	Enjoy,
	Larry

Reminder: an auto dealership sometimes refuses to perform
warranty work unless the car was purchased at that dealership. 
(Exceptions are made if you have moved from one home to another.)
So, don't plan on buying inside Route 128 if you live/work/exist
solely outside Route 495. 

Sally 

   Re: .6
   
   If what the note said was correct, then this doesn't benefit a subset
   of DCU members; it benefits a group of car dealerships.  The DCU
   should have no inherent interest is directing business to a selected
   group of dealerships if there is no benefit to the DCU.  
   
   You cannot say the benefit is that DCU will get more car loans.   If
   they want more loans, then they should lower the rate across the
   board.  I feel the Digital computer loan discount was marginally
   acceptable because of the close ties DCU and its members have with
   Digital. (Clearly the beneficiary of the Digital discount was
   Digital, not a subset of DCU members (unless you want to define the
   subset as those members who buy Digital stuff)).
   
   I don't see any special relationship between DCU and a select group
   of dealerships.  Is there one?  Are they large investors in DCU?

�   You cannot say the benefit is that DCU will get more car loans.   If
�   they want more loans, then they should lower the rate across the
�   board.  
    
    The way I read the mailing is that the DCU is offering the same loan
    rate for these cars as they would any car purchased by a member.  The
    difference is they have a bunch of dealers lined up with prenegotiated
    prices.

I got a flyer in my statement from one of my other CUs and they were having
a 'special' sale with selected dealers, too.  In this case, they mentioned that
you would be able to get the vehicle at 'fleet' prices with no haggling if you
talked to the appropriate person at the dealer.

My guess is that since a similar thing happened around this time last year,
that once a year, certain dealerships will make their vehicles available to
CU members at fleet prices thru the fleet sales manager.  As others have said,
the prices aren't bad, but they aren't great.  You can do better by haggling
with a regular salesperson, but if you don't want to be bothered, this is an
easy way to get a reasonable price w/out a big hassle.

Bob

P.S.  Look for interest rate specials to start popping up soon.  It was about
this time last year that we got our loan with a CU that was at least 1% less
than what DCU was offering.

	From my experience this is going to be a lucrative venture for both
	DCU and the selected dealers.

	I am in the market for a new car.  I was going to hold off until the
	summer, but when I received this mailing, I decided to take a look.
	Yesterday, I signed a per-sales argreement and am waiting for DCU to
	get back to me (it has only been 20 hours).  The dealer told me that
	he had sold 11 cars to DCU members through the program (and this is
	only the first day of the sale).

	So, DCU is generating revenue and dealers are moving cars.  It is
	unfortunate that this is only a local program.  Maybe someone in
	DCU should look for similar programs in other parts of the country
	to participare in for which non-GMA DCU members can benefit.

	~Jon.

    
     I went to Main St. Ford last night to see what they had.......
    
     -When I walked in I asked for the 2 people listed on the brochure,
     I never saw/met any of them. The salesperson that I was set-up with 
     said they couldn't talk any deal/trade unless I had the EXACT $$
     figure (loan) that was left on my trade. I was interested in 4x4 F150
     pickups..... He told me they had "none" on the lot..... A lot of
     "bull".... I even told them that I already had the loan pre-approved,
     which I did from the DCU.... They didn't even look at my present
     vehicle... as I wanted to get an idea on what trade $$ I might get.
    
     -The only thing they were really interested in was getting my name and
     no. I gave them my work no.  If they are really desperate... They can
     talk to my voicemail.... Also Main St. Ford had this "credit-union"
     sale with other credit unions as well..... I don't think they are 
     interested in selling cars at all..... Especially to C.U. members....
     They make less $$ in the deal...... 
    
        My 2 cents.......  

I'd consider writing up your experience with this
place in a letter and dropping it in the mail
to DCU.  I'm sure that DCU is interested in hearing
how people fare with the dealer's they've selected.

After all, a dealer who gives you a bad time 
ultimately can reflect on DCU since they encouraged
you to visit the place.

./chris

    
     RE: Last 2 replies...... I just got off the phone with the DCU about
    this.... They were glad I told them about the Main St. Ford experience.
    They also told me they have been getting other complaints about the
    dealers participating in the DCU private sale..... It sounds like the 
    DCU is standing behind it's members on this one.......
    
    

Here in Dallas, the auto dealers involved in these 'credit union' sales seem
to be the high volume ones.  So I'm not surprised at their less than great
interpersonal skills.

I also suspect that this isn't something that DCU did on their own.  As an
earlier noter mentioned, the "credit union" sale signs are up.  Some private
marketing company probably puts the whole thing together and pitches it to
the dealers and credit unions.

So, in this case, I wouldn't be inclined to blame DCU for any problems you
might encounter with the dealers.

Bob