Big Truck Financing - Ontario

I guess by the lender...just like a mortgage broker or insurance broker...it's just no built into the rate...too many hands in the cookie jar ...a dealer gets paid from the insurance guy and the lender...CIT is big in the business...they pay my buddy at one Volvo dealer 2points per prospect they bring them ...same with insurance they pay the dealer ...I forget what they call the finance rep at the dealer...mmm

 

I worked for a GM dealer as a business manager, which i guess is a fancy way of calling us "The finance person". We call it getting paid off the back end. The better the persons credit, the better we were paid.
On some difficult "subprime" deals, it would be VERY time consuming and some creative thought to get a person approved.
In addition to getting paid by the lender, i made a percentage from selling extended warranty and life and disability and doc fees.
You have a very valid point about how its built into the rate. However, I won't undervalue the work that a lot of these guys provide. I've seen other finance guys who throw an app in, get a decline - and dont bother to even try to make things work for the customer. By positioning the customer "just so", it may be good enough to get a customer bought by the finance company.
We all know that there are many terrible financing companies out there that will put the screws to you. Reading the fine print, and finding somebody who will actually "work the deal" will serve you better in the end.

Sara

 

Ha..Yes you are correct..that's why I asked around and found a broker..yes credit matters and putting a deal together matters ...but what matters most is getting a good deal for the situation you are in....My brother turned me on to these guys...open leases..no penalty and got 7.5% rate...not bad....PLus I was told many finance guys especially in TO...say they have low rates but as you know on truck deals..there is NO rate on the lease...so many get screwed over good and bad because they did not check out the payment with the rate....

have good day...

 

Good conversation!
I like these conversations where I can learn new things too.

 

I have to ask...if you are looking at a '03 and down truck (good choice BTW) why are you seeking financing? There are plenty of these trucks with lots of life left in them (if you know what to look for) for under $20K. If this is your first truck, dont buy anything fancy like a W900L or the like, you will be discouraged in time with the crappy fuel economy. You are also gonna wanna have about $10K in the bank after buying this truck, or access to that amount for expense. Who's to say that a valve spring wont break tomorrow and take out a piston? I hope you have done extensive homework on purchasing your truck because I dont want to see you end up working for a buck a mile just to try and keep barely above the red...

I have 3 trucks on the highway at the moment and none are going down the road for less than $2 a mile...n thats hauling a 53' tandem dryvan. Anything less then that and you will be feeling the pinch fairly quickly...

 

Whatever you do don't use Riordan out of Kitchener. I lease purchased a 2004 379 Pete with 690000 advertised km's on the truck. When I checked the computer I found out that there was 500000 km's more then was showing. When I brought it to there attention they basically laughed at me. I kept the truck because I had to much money into it but I would never deal with Riordan or recommend Riordan to anyone. Mistakes can be made but I strongly believe this was not a mistake. Choose your leasing company wisely.

 

One of the first things I do is have the ECM verified before even taking an oil sample from the truck. Alot of times the ECM is replaced n wont show true mileage, but an oil sample at least will give you a very good look into what shape the inside of the engine is in. Alot of shops will tell you the ODO mileage is accurate, but ya now how easy it is to change out a speedo? I bought a truck early on before the idea came to me of checking the ECM. Guy told me it had 1.1M Km on it n it looked like it did, a lil rough, but not bad at all, took it into the dealer a couple months later n found out it had 2.1M on it....####...

 

Shortly after I bought the truck I checked the ECM and when I saw there was 354000 more miles on it then what I was told I brought it to there attention. They ignored me then accused me of trying to get out of paying full price for the truck. I just paid it off its mine now but I'm lucky I have a good job and can afford the repairs of a high mileage truck. Riordan screwed me and got away with it. The salesman is the Herb Tarlic (WKRP) of salesmen. Think long and hard before you deal with this nest of vipers.

 

Wow. No wonder he likes being out on the road all the time.

 

Another thing to do is get the engine manufacturer to run the serial number. They can tell you the in-service date (for warranty purposes), whether there have been any recalls, what updates have been done, service history, etc. (might require a release from the current owner, but if they won't give it, run away). I do that on any used truck I am looking to purchase. You'd be surprised (or not) at things you can find out. Found one truck that had an engine in-service date several months before the documented one for the truck. Turned out the truck had been in an accident on it's first run and virtually totalled... dealer hanky-pankyness going on.