Comments on: My American Express Car Buying Service Experience: Amex vs. Carsdirect.com and Costco http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/ Keeping an eye on the best credit card offers Tue, 07 Feb 2012 07:43:04 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: testboomzoom http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-211464 testboomzoom Mon, 05 Dec 2011 08:39:04 +0000 http://www.creditcardwatcher.com/?p=708#comment-211464 Hard to discern from your article without the cold hard numbers and make/model. That being said, I always use Consumer Reports rule of thumb, which I believe is $300-$500 over invoice -- with the caveat that (1) the dealer makes more than that as a profit margin (including at least the holdback); (2) there may be other incentives available; and (3) depending on whether a car is "hot" or "not," that $300-$500 may be more or less, depending on the real demand out there. Also a factor is whether the dealer is a jerk who just won't really negotiate (not that they are obligated to, of course). In '09 I had a quote of $20,500 + tax/title/license from TWO dealers for an '09 Honda Accord EX. Other dealers wouldn't touch that price, and one goof repeatedly tried to get me to agree to prices of $23,500 and $22,500, knowing full well I had valid quotes $3000 and $2000 lower! I wound up asking him if anyone who agreed to those prices "got kissed" to go along with what else they were doing to the customer. Hard to discern from your article without the cold hard numbers and make/model. That being said, I always use Consumer Reports rule of thumb, which I believe is $300-$500 over invoice — with the caveat that (1) the dealer makes more than that as a profit margin (including at least the holdback); (2) there may be other incentives available; and (3) depending on whether a car is “hot” or “not,” that $300-$500 may be more or less, depending on the real demand out there.

Also a factor is whether the dealer is a jerk who just won’t really negotiate (not that they are obligated to, of course). In ’09 I had a quote of $20,500 + tax/title/license from TWO dealers for an ’09 Honda Accord EX. Other dealers wouldn’t touch that price, and one goof repeatedly tried to get me to agree to prices of $23,500 and $22,500, knowing full well I had valid quotes $3000 and $2000 lower! I wound up asking him if anyone who agreed to those prices “got kissed” to go along with what else they were doing to the customer.

]]> By: RK http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-71000 RK Thu, 03 Mar 2011 19:12:32 +0000 http://www.creditcardwatcher.com/?p=708#comment-71000 AM - AAA, AMEX, Bank Of America and others all use ZAG.com. I just configured the exact same car through AAA, AMEX and BoA and they all gave me the same three prices and dealers. My experience simply is this service may work if they have your car in stock. Zag.com sent me the same three dealers, regardless of AAA, Amex, BoA, and none had the car in stock. I simply would prefer a list of particpant Zag.com dealers within 150 miles of me so I can call them to find out whether they even have the car in stock. AM – AAA, AMEX, Bank Of America and others all use ZAG.com. I just configured the exact same car through AAA, AMEX and BoA and they all gave me the same three prices and dealers.

My experience simply is this service may work if they have your car in stock. Zag.com sent me the same three dealers, regardless of AAA, Amex, BoA, and none had the car in stock. I simply would prefer a list of particpant Zag.com dealers within 150 miles of me so I can call them to find out whether they even have the car in stock.

]]> By: joseph http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-12049 joseph Mon, 05 Jul 2010 16:24:17 +0000 http://www.creditcardwatcher.com/?p=708#comment-12049 I used AMEX to purchase a 2010 MB E550 and got a price THOUSANDS better than available locally. Although the dealer I purchased from was in Delaware, over 200 miles away, they delivered the car tome at no charge, on a flatbed and covered. Also this vehicle had to be built to spec in Germany since not a one existed throughout America exactly as I wanted it. I could not have been more satisfied with both the service (AMEX/ZAG) and the dealer, Euro Motorcars in Bethesda. I used AMEX to purchase a 2010 MB E550 and got a price THOUSANDS better than available locally. Although the dealer I purchased from was in Delaware, over 200 miles away, they delivered the car tome at no charge, on a flatbed and covered. Also this vehicle had to be built to spec in Germany since not a one existed throughout America exactly as I wanted it.

I could not have been more satisfied with both the service (AMEX/ZAG) and the dealer, Euro Motorcars in Bethesda.

]]> By: AM http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-9027 AM Fri, 02 Apr 2010 05:47:04 +0000 http://www.creditcardwatcher.com/?p=708#comment-9027 I am not sure but I think not anymore. Each gave me a different dealer. 3 in case of AMEX. 1 in case of AAA. I talked to ZAG too ie they called me after I filed a complaint with AMEX. The AAA dealer was not part of them. Even if they are part of the same network, the experience with them was as different as night and day. Next time, I will use either AAA or a professional shopping service which charges a flat fee. I had used them in thepast and regret not doing so this time. I stuck with the AAA offer, albeit probably higher than what the professional program could have got me, since there was an issue with delivery time and allocation from factory to dealers. I am not sure but I think not anymore. Each gave me a different dealer. 3 in case of AMEX. 1 in case of AAA. I talked to ZAG too ie they called me after I filed a complaint with AMEX. The AAA dealer was not part of them. Even if they are part of the same network, the experience with them was as different as night and day. Next time, I will use either AAA or a professional shopping service which charges a flat fee. I had used them in thepast and regret not doing so this time. I stuck with the AAA offer, albeit probably higher than what the professional program could have got me, since there was an issue with delivery time and allocation from factory to dealers.

]]> By: Mike http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-8860 Mike Mon, 22 Mar 2010 19:31:35 +0000 http://www.creditcardwatcher.com/?p=708#comment-8860 AM- after reading your story I am quite puzzled. Both the AAA and AMEX programs are run by the same company Zag, your results should have been the same with both. AM- after reading your story I am quite puzzled. Both the AAA and AMEX programs are run by the same company Zag, your results should have been the same with both.

]]> By: AM http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-7812 AM Thu, 28 Jan 2010 19:27:49 +0000 http://www.creditcardwatcher.com/?p=708#comment-7812 I recently had the displeasure of trying to buy a new car myself and not go thru a professional independent buyer service which I had utilized in the past. I went thru AMEX program first. Overall was not happy with it. Similar to the car buying websites listed above, they are in agreement with certain dealers ie it is not a regional or statewide search. I got three choices. The two whom I had to call or go to to see if they will offer lower price than the one with the guaranteed lowest price. One wanted to sell above that AMEX price and was close to MSRP. The other one said he will sell at invoice but then never followed up and would not return calls or emails. The guareanteed lowest price one in one way or another would not communicate a firm answer to my question about factory allocations (see below) and eventually would not even return calls or emails.I also found out that the listed AMEX price has more add-ons in the form of port fees and other fees which are not listed or included in the AMEX price. In addition, if the car you want is in low supply or if you have to wait till the factory allows a dealer to order it based on how much they sold the previous quarter (called allocation), the dealers will not give you a straight answer re delivery time. SO one month got wasted and after giving up on AMEX and on my own, I ended up using the AAA car buying program. It was very easy. Very straightforward. Haggle free. Was not the lowest price out there but the whole point is not to deal with dealers directly if avoidable. In the long run, the buying process can be painful or easy and the extra bucks for less pain is worth it. Think of it as novocaine free dentistry versus a professional dental practice. I recently had the displeasure of trying to buy a new car myself and not go thru a professional independent buyer service which I had utilized in the past. I went thru AMEX program first. Overall was not happy with it. Similar to the car buying websites listed above, they are in agreement with certain dealers ie it is not a regional or statewide search. I got three choices. The two whom I had to call or go to to see if they will offer lower price than the one with the guaranteed lowest price. One wanted to sell above that AMEX price and was close to MSRP. The other one said he will sell at invoice but then never followed up and would not return calls or emails. The guareanteed lowest price one in one way or another would not communicate a firm answer to my question about factory allocations (see below) and eventually would not even return calls or emails.I also found out that the listed AMEX price has more add-ons in the form of port fees and other fees which are not listed or included in the AMEX price. In addition, if the car you want is in low supply or if you have to wait till the factory allows a dealer to order it based on how much they sold the previous quarter (called allocation), the dealers will not give you a straight answer re delivery time. SO one month got wasted and after giving up on AMEX and on my own, I ended up using the AAA car buying program. It was very easy. Very straightforward. Haggle free. Was not the lowest price out there but the whole point is not to deal with dealers directly if avoidable. In the long run, the buying process can be painful or easy and the extra bucks for less pain is worth it. Think of it as novocaine free dentistry versus a professional dental practice.

]]> By: DJ http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-7794 DJ Tue, 26 Jan 2010 21:01:46 +0000 http://www.creditcardwatcher.com/?p=708#comment-7794 My experience could not have been more different with AMEX. I was given two dealerships that participated in their program. Both contacted me via email, and then, phone. I was trying to buy an Acura TL AWD. One dealership said they didn't have the color I wanted. Even though it was early in the model year (2010), they didn't even make an attempt to try to find the color I wanted, either....not even wanting to see what they had coming in for the immediate future. Further, they said the AMEX pricing was wrong. Even though AMEX said the dealership was required to accept the pricing, the dealership said they would not. Won't be using AMEX again (nor the dealership who participates in their program). My experience could not have been more different with AMEX. I was given two dealerships that participated in their program. Both contacted me via email, and then, phone. I was trying to buy an Acura TL AWD. One dealership said they didn’t have the color I wanted. Even though it was early in the model year (2010), they didn’t even make an attempt to try to find the color I wanted, either….not even wanting to see what they had coming in for the immediate future.

Further, they said the AMEX pricing was wrong. Even though AMEX said the dealership was required to accept the pricing, the dealership said they would not.

Won’t be using AMEX again (nor the dealership who participates in their program).

]]> By: amir http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-7673 amir Mon, 18 Jan 2010 00:43:06 +0000 http://www.creditcardwatcher.com/?p=708#comment-7673 Thanx for the thorough review. I am in a quagmire b/c of different dealers telling me different things and then not following thru. AAA will give you a bare minimum price sheet for $12-14. Useful tool. The dealers as a whole make an enjoyable experience miserable. In their blood I guess. I too liked the AMEX site better. Got fair offers. The one which undercut the rest, does not even reply to emails. Thanx for the thorough review. I am in a quagmire b/c of different dealers telling me different things and then not following thru. AAA will give you a bare minimum price sheet for $12-14. Useful tool. The dealers as a whole make an enjoyable experience miserable. In their blood I guess. I too liked the AMEX site better. Got fair offers. The one which undercut the rest, does not even reply to emails.

]]> By: Rich http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-7178 Rich Fri, 18 Dec 2009 02:20:21 +0000 http://www.creditcardwatcher.com/?p=708#comment-7178 Your description of your buying experience seems "spot on" to me, basaed on several "fleet department" purchases over the last 18 years. An additional comment with respect to used cars: I belive that off-lease "certified preowned vehicles" are a reasonably good option. Yes, there is more legwork involved, but the savings are also substantial if you are targeting a higher-end car. Your description of your buying experience seems “spot on” to me, basaed on several “fleet department” purchases over the last 18 years.

An additional comment with respect to used cars: I belive that off-lease “certified preowned vehicles” are a reasonably good option. Yes, there is more legwork involved, but the savings are also substantial if you are targeting a higher-end car.

]]> By: Jody Porter http://www.creditcardwatcher.com/my-american-express-car-buying-service-experience/#comment-7112 Jody Porter Sun, 13 Dec 2009 19:15:41 +0000 http://www.creditcardwatcher.com/?p=708#comment-7112 Re: American Express Car buying service I also had an excellent experience with AE and recently bought vehicles with Costco (a Toyota) and with AE (Lexus). The service was good from both but only 1 of 3 dealers from each service actually contacted me with a price by e-mail. I'd use the AE for a higher end vehicle and make sure you have NOT visited the dealer prior to using the service as if you have met a sales person the internet price was not applicable. The price quoted was good for 3 days only and we put $5,000 down with AE. The Costco deal was also good and honest. The other dealers who contacted me were a waste of time so you have to ignore sales pitches and stick to the exact vehicle you want and get a price the first time. Re: American Express Car buying service
I also had an excellent experience with AE and recently bought vehicles with Costco (a Toyota) and with AE (Lexus). The service was good from both but only 1 of 3 dealers from each service actually contacted me with a price by e-mail. I’d use the AE for a higher end vehicle and make sure you have NOT visited the dealer prior to using the service as if you have met a sales person the internet price was not applicable. The price quoted was good for 3 days only and we put $5,000 down with AE. The Costco deal was also good and honest. The other dealers who contacted me were a waste of time so you have to ignore sales pitches and stick to the exact vehicle you want and get a price the first time.

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