Warning About Dealers And Their Pricing

[JJZ 109]

So I've heard. It really blows my mind to be honest. I asked my 80 year old father last night if he ever remembered paying MSRP for anything and he said no. What's happening right now is unprecedented. There was a group of guys on another chat site last night that thought I was nuts and living under some kind of rock because I am warning against what's going on right now. The thing about it is there are deals to be had out there if you're willing to broaden your horizons as Hey Dude put it and shop around. I found a few here recently. But I am unfortunately finding out what you're saying is true.

You absolutely may have to go far afield for what passes for a "deal" today. As you say most of us don't recall having to pay MSRP and not being able to negotiate.
Fortunately for me, a personal friend owns a Ford dealership and accepted the X Plan deal for my truck. Many are not currently doing that. Combined with crazy trade in prices I literally couldn't afford NOT to get a new truck. Knocked 6 months off loan term compared to the original term on the traded truck. Also dropped payment by $110.
There are guys from all over the country ordering new Fords at one dealer in Iowa and another in New Jersey because they're giving 2-4% off invoice. That's pretty rare in these times. And if one is considering a new Ford truck, the order banks will be closed on April 1. No word on when they'll reopen for 2023 MY orders.

 

[Torvy]

I have noticed used truck availability getting a little better. I guess those who have been driving a big truck only for appearances have had some gas/diesel pump sticker shock.

 

[JJZ 109]

I have noticed used truck availability getting a little better. I guess those who have been driving a big truck only for appearances have had some gas/diesel pump sticker shock.

In the end I know it's the same amount of money. But to avoid sticker shock I've been topping off when I hit the half tank mark.
$70 for a half tank a few days ago.

 

[drumminj]

There are guys from all over the country ordering new Fords at one dealer in Iowa and another in New Jersey because they're giving 2-4% off invoice. That's pretty rare in these times.

Same thing is true for Ram trucks -- certain dealers are moving a lot of inventory by going the low profit/high volume approach. While it's good to have that option, I fear the consequences -- you're left with "mega dealers" far away and no local businesses

 

[Torvy]

In the end I know it's the same amount of money. But to avoid sticker shock I've been topping off when I hit the half tank mark.

That is a good practice when prices are rising or unstable. Fill it up when prices dip and keep it that way. Gives you more flexibility when they go up.

 

[IndyJay]

I have noticed used truck availability getting a little better. I guess those who have been driving a big truck only for appearances have had some gas/diesel pump sticker shock.

Add to that the fact that new trucks are finally starting to come in to the dealers. People that ordered their new trucks long ago are finally bringing their trade-ins to the lot or selling privately. I'd like to refresh my ride but the price for used is still crazy high so i am waiting it out. My old truck still runs fine, not looking to impress family and friends.

 

[JJZ 109]

That is a good practice when prices are rising or unstable. Fill it up when prices dip and keep it that way. Gives you more flexibility when they go up.

I recently started using the Get Upside app. Reviews are mixed on the App Store. The discount doesn't apply at the pump and it's only participating stations. It goes into your account and you can redeem it whenever you want.
Some chains like Circle K and Valero are often participators. I gave it a shot because I really saw nothing to lose. I've seen discounts as low as 1 cent per gallon and as high as 25 cents. It varies every day and by every vendor.
In 5 uses I've got a little over $10 in the account. It's OK I guess if you happen to be near a participating station but not really worth driving out of your way for. Jury's still out for me.

 

[Hay Dude]

What do you think is coming?

High inflation and high fuel prices (already here), rising interest rates (already have started), possibly a world war will have a dramatic affect on the nation’s economy. It could cause shortages. For example, look at the sanctions on Russia and what that has done to fuel and wheat prices.

 

[ovrszd]

I put the odds of a World War at 10% or less. I only give it that high of mark to factor in accidents.

I put the odds of a Recession in the next 12 months at 50% or higher. I give it that high of mark to factor in those in our society that are still borrowing money and increasing their debt ratio at a rapid pace.

I put the odds of shortages at 70% or higher. That's based on the fact that we are all sheep. When one hoards we all think we have to hoard. Hoarding guarantees one thing. Shortages.

We are in a "Perfect Storm" situation. A very large percentage of things in our lives are in fragile territory. The last time I saw this was in the 80s. It was quite a shock for society. It will be this time too. Those in control of the money flow on planet earth will have to shock it back into control. I saw local banks charging 20% for small loans. In the end those with financial power will have more. The middle class will be smaller and have less.

 

[Torvy]

I recently started using the Get Upside app. Reviews are mixed on the App Store. The discount doesn't apply at the pump and it's only participating stations. It goes into your account and you can redeem it whenever you want.
Some chains like Circle K and Valero are often participators. I gave it a shot because I really saw nothing to lose. I've seen discounts as low as 1 cent per gallon and as high as 25 cents. It varies every day and by every vendor.
In 5 uses I've got a little over $10 in the account. It's OK I guess if you happen to be near a participating station but not really worth driving out of your way for. Jury's still out for me.

I use gas buddy when I am away from home to find good deals. Some Krogers around here have gas stations and you can use points from buying groceries there to reduce gas prices 3 cents to a dollar. Sams usually has the lowest around here. Paid 3.62 this morning. Only 4 cents better than surrounding stations. Often they are 20 cents or better than the competitors.

 

[5030]

Kroger Mastercard for me as well. We get points off on food and cents off on gas. Last time I filled my buggy, I got 45 cents off. Max 30 gallons, but then we live close to a Kroger gas station. With fuel prices the way they are, ever bit helps.

 

[Torvy]

Kroger Mastercard for me as well. We get points off on food and cents off on gas. Last time I filled my buggy, I got 45 cents off. Max 30 gallons, but then we live close to a Kroger gas station. With fuel prices the way they are, ever bit helps.

Ours is just a store discount card, not a credit card.

 

[Cahaba Valley Farm]

rising interest rates (already have started)

Where do you think those will go or top out at? Same as '81,'82?

 

[coobie]

Where do you think those will go or top out at? Same as '81,'82?

When I purchased my first house back in 1980 with great credit rating interest rates were 14% for a 30 year mortgage ..

 

[Cahaba Valley Farm]

When I purchased my first house back in 1980 with great credit rating interest rates were 14% for a 30 year mortgage ..

Is that where you think they may end up?

 

[IndyJay]

When I purchased my first house back in 1980 with great credit rating interest rates were 14% for a 30 year mortgage ..

We got 14.75% for 20 year in 1982.

 

[Cahaba Valley Farm]

We got 14.75% for 20 year in 1982.

What's your opinion? You think they're going back to that?

 

[IndyJay]

What's your opinion? You think they're going back to that?

I don't know about them, but I'm not.
It's hard to say what is going to happen. All part of the great reset...

"You'll own nothing and be happy" - Klaus Schwab at 2020 World Economic Forum, Davos

 

[5030]

"You'll own nothing and be happy" - Klaus Schwab at 2020 World Economic Forum, Davos

That is a very scary statement. But then Klaus is as close to a modern day socialist pig as you can get. He even looks like Colonel Klink on Hogan's Hero's. Same thick accent too.

 

[Torvy]

My gut says we'll be over 10% before it's over. Not sure we will get to 14+. We are covering the 70s in my history classes, so it is easy for kids to see the parallels. In Econ inflation comes up a bit more often.

The root problem back then is everyone in elected office assumed Keynes was right. Nixon had Milton Friedman in his employ and ignored his advice.

Today we know Keynes was wrong, but some people still cling to the false hope that government can fix it. They can make it worse by continuing to spend money, but no US policy maker of any persuasion has the insight to make the hard decisions to actually cut spending. Given that it is the only lever they have, they will not fix it. It is up to the Fed to be the grownups. I'm not confident they will act prudently either.

My prediction assumes that the war stalls out in Europe. If China, Iran or North Korea decide to follow Putin's road map, it will be much worse. (Not to mention some other heretofore unexpected calamity)