Topic: Auto Brokers

[RunsinLight]

Never even heard of them before today. Has anyone used one before? Assuming they are most valuable when buying a used car. Has anyone used them to purchase new cars?

[inco]

They were a lot more common than they are today methinks, but they are still around and I have used the same guy ever since his dealership was sold about 10 years ago. With less leasing going on they are fewer than they were.

Are they worth it? To some people no - they can negotiate well enough on their own. A broker really is another layer of expense, although mostly that cost is invisible because dealers are paying them and not us. Not always, I know, but usually. Instead of paying a dealer sales person commission, they are paying it to the broker.

I look at it from another angle though and that is industry knowledge. He knows the deals, the rates and those metal moving places where you can often get better deals. And that's time saved for me. I tell him cars we want and let him fight it out be it leasing or purchasing because he can do both.

However, not all deals are the same, and of our two cars he got the deal on one, but not the other.  Our Subaru dealer was more competitive than his, but we had leased two other Subies from them and that made a difference.

[Gardiner Westbound]

Dealfinder Inc. is recommended by MoneySense and Lemon-Aid. It will source a new vehicle through a local dealer at an excellent price hassle-free. Just visit the dealer, sign the paperwork and drive your new car away. It does not handle trade-ins or used cars. The fee is $159 plus tax.

The Consumer Reports' New Car Price Report provides the buyer with the true Canadian dealer cost, holdback amount, discount and rebate information at US$30 a report, less for multiple reports. Apply a reasonable mark-up and take the report to the dealer. Alternately hand it to the salesman and invite him to add the minimum mark-up required for dealer profit telling him you will buy if the price is right.

The Automobile Protection Association (APA) new and used car buying service supplies Manufacturer Suggested Retail Price (MSRP), dealer invoice, holdback, rebate info, statutory costs, a price that excludes mystery charges and stealth fees, and identifies a dealer who will deliver the vehicle at that price. APA pricing is often improvable. Annual membership is $77, plus $65 per transaction.

[5 Wheel Drive]

When '09 Forester #1 got written off after only 1 payment, my insurace company wanted me to use a service called Automall Network.  They call themselves a broker.  I spoke to a person there once, then refused to deal with them.

First off, they could guarantee me that I would get a Forester Touring package.  They couldn't gurantee me exactly which one.  When we got the first one, we waited 6 weeks for a dark grey metallic 5 speed.  They couldn't guarentee me that I wouldn't end up with a red automatic, for example.  Hmmm...no thanks....

Secondly, they refused to give me any details about pricing, financing, or payment options until I signed something agreeing to buy the car through them.  Hmmmm...REALLY!  Now you can just go screw yourself!!!

Bought '09 Forester #2 at Otto's where we got the first one.  The sales manager did some dealing and got me another dark grey metallic 5 speed with in 2 weeks of finding out the first one was a write off.  Much better...