Zero percent auto financing is a wonderful marketing ploy perpetrated upon the unsuspecting consumers that lure you away from the other car dealerships. The financing may appear as zero percent, but ultimately your payments will be exactly the same as what they would have been had you signed on for 3.9%, or whatever the going rate is at the time.
The zero looms high above, giving hope to a debt-saddled nation. While the auto financiers are not doing anything illegal, they are misrepresenting the total cost to you, the consumer. They have just figured out a clever way to disguise those hidden fees that add up very quickly.
In the end, people just like to think that they received a deal for something, sticking it to big business. Whatever helps you through the night works. The auto industry is a massive conglomeration that picks your pocket at every turn, and then you really get swamped when you visit the refilling station.
By offering zero percent auto financing, the car dealerships are securing the business of your loan, rather than having you take a loan out from a bank, credit union, or other financial institution. By offering zero percent, they are luring you away from your bank, and making sure that they are the ones that are cashing your cheques.
In the attempt to infiltrate the pockets of Joe Public, the auto industry has leaned on several tried and true methods of duping the masses. Zero percent financing is a gimmick, but one that is steeped in mystique, and the alluring 0% sign out front of the dealership. The truth behind this concept is that there is no money changing hands in the financing portion, but the dealership is still taking the exact same amount of money out of your account.
Zero percent auto financing works on the basic principle that the majority of people want something for nothing, and are more than willing to shell out the big bucks because they perceive a deal. The only steal occurring is the dignity of the customer. We are used to being tricked by big business, but when we feel as though we are winning a battle, we abandon reason and logic.
Zero percent financing is nothing more than a fallacy. The truth is that auto financiers have come up with a way to make the customer feel as though they are getting a great deal. Especially considering the dire straits facing the auto industry in this current economic slump, they are only interested in securing your hard earned cash into their well-lined pockets.
The concept of zero percent auto financing is appealing to the general populace, because people like to feel as though they are winning the fight. Just like a sale, people will flock to a store in an attempt to stick it to the man. This thought process is flawed, however, because the auto finance company is getting precisely the exact amount that they want to get for each and every vehicle.
They are able to manipulate the numbers in any way that they want in order to convince the buyer that they are stealing the vehicle. If you have a trade-in vehicle, then the game really swings to their advantage.
The auto industry shows you a little black book, which basically reduces your car to the worth of a day old donut, and then tricks you into believing that they will get you a little bit more because you look like a nice guy. This is where they are able to move numbers around, and hide your total cost until the papers are ready for the signing.
The plain and simple truth is rarely plain and often simple. Zero percent auto financing will indubitably lure the token rubes and naive dupes into the dealership, which is exactly what the marketers intended when they dreamed up the zero percent financing scheme. This is much akin to fish jumping into a boat, needing only the club to the head to finish you off. In life, unfortunately, if something sounds too good to be true, it typically is.
Auto dealerships are in the business of making money, and offering the buyer a zero percent financing option is not in their best business interest. With this in mind, it is imperative to realize that you will have paid for the supposed savings in some other area. There are many obscure and abstract fees assigned to a vehicle, some of which are purely there to free up some of your money from the tight purse-strings you think you are using.
Any business savvy person will realize that the big business is going to make their money somewhere, somehow. The cost of the vehicle will have been raised slightly to accommodate the reduced interest rate, or perhaps they will just give you a little bit less for your trade.
Either way, zero percent financing is truly a phantom notion. It is an oxymoron, sort of like saying free agency. There is nothing free about it, and in the end, the business winds up winning on the transaction.
There has yet to be a company, especially a big auto manufacturer, that has ever decided to reward the car buyer with a great deal. As soon as you walk on to the lot, they are trying to figure out a way to separate you from your money. With zero percent financing, people will walk onto a lot looking to get a deal, but in reality will walk away thousands of dollars in debt. Sales people and marketers earn tremendous salaries figuring out ways to swindle hard-working, honest people out of their money.
The auto industry, which is currently being smothered in financial turmoil, will try anything now to lure you into purchasing a North American vehicle. The fine print is often hiding some key wording that ensures that you pay exactly what they want you to pay for the car. In the end, no matter where you buy your vehicle, depending on whether or not there are mitigating factors that have influenced you to a certain dealership, no fantastic deal will have occurred. The plain and simple truth about zero percent auto financing is that it does not exist.
On paper, the business people will show you the simple little interest formula that will heighten your monthly payments, and then bring you back to showing you that big 0. However, that 0 is exactly what you will be saving. Even though the big auto manufacturer’s wind up mistreating the car buyer, they have still managed to accrue massive losses in what they thought they were going to make quarterly. Greed, perhaps the deadliest of the seven deadly sins, leads the auto industry into nefarious tactics aimed at fooling the public.
If buying a new car is at the forefront of your agenda, do not be swayed by the fancy 0% sign out front. The money you believe that you are saving at that dealership will have come out of your own pocket. Shop around wisely for a vehicle, and do not get tricked into thinking that the auto industry has your best interest at heart.
That would be like thinking that a loan shark would be fine if you defaulted on a payment because you seem like a nice guy, and he sold you a big song and dance routine about getting the best price, even lower than he could get himself. Businesses lie, and the zero percent auto financing lie is about as big as they come. Let the buyer beware.
Nobody gets a steal, except for the auto industry. Playing on your pride and gullibility, they always come out on the other side smelling like roses, while you are left scratching your head at how such a great deal suddenly turned into another big hunk of debt.