Why do 4S stores prefer not to charge interest, but also to persuade you to take out a loan to buy a car, what's the trick?
Do you know? Why are those 4S shops so keen to promote "zero interest" loan car buying services? On the surface, this seems to be a good policy for car buyers to save a lot of money, but behind it is actually the careful planning of car dealers. In this way, car dealers can not only immediately withdraw funds, but also skillfully bind customers to ensure future repair, maintenance and other service income. What's more, this strategy is almost risky - because the loan contract is between you and the bank, and it is not directly related to the 4S store. It looks like it's helping consumers, but it's actually taking advantage of it.
The seemingly "zero-interest" car purchase loan is not as simple as it seems. You think you've picked up a big bargain, but who knows you might be falling into a well-laid trap. Let's talk about the gameplay behind this today, and don't be blinded by those glamorous advertising words.
First of all, it is important to understand that business activities are by no means charity, especially for commodities such as car sales. The so-called "zero interest" sounds like you don't have to pay an extra penny, but is there really no additional cost? No, it's definitely not like that. There are so many doorways in here.
You may not have noticed that although it is said to be "zero interest", when signing a loan contract, 4S stores often let you buy various "additional services", such as high insurance packages, extended warranty services, and so on. These seemingly dispensable services are not cheap and are often very profitable. That's one of their little ways of making money.
Let's talk about this maintenance thing. Once you take out a loan from a 4S shop to buy a car, basically the follow-up maintenance and repair have to go back to the shop to do it, and the price is naturally much more expensive than the car repair shop outside. Do the math, how much does it cost to maintain and repair over the course of a year? In the long run, this account is not cost-effective.
And, don't forget, taking out a loan to buy a car means that your car is "mortgaged". Until you pay off the loan, the car is bank's. If you are short on money and fail to repay the loan on time, you will encounter great trouble. This risk is not reminded of in the advertisement.
Let's talk about another "pit" of this car loan. Although the loan scheme launched by many 4S stores is "zero interest", it has actually done something about the price of the car. To put it simply, the original price may be artificially inflated. Compare the price paid in full with the price of the loan to buy a car, and you will find that, oops, this is different! Isn't this just collecting interest in disguise? It's just a different way to hide the interest in the selling price.
Don't look at these methods as "hidden", but as long as you pay attention to observation and careful comparison, these small actions can still be recognized. As consumers, we have to keep our eyes open, learn to distinguish the true from the false from various information, and control the cost.
Having said all this, you may ask, is it worth it to take out a loan to buy a car? It really depends on the individual situation. If you have sufficient cash flow and are not willing to take on these additional financial burdens, it is certainly more appropriate to buy a car in full. But if you feel that paying in installments will allow you to better adjust the use of your funds, or if you know these dealers' tricks and can avoid these pitfalls, then it is not impossible to take out a loan to buy a car.
So, the key is to understand your financial situation, understand the market, and don't be fooled by those bells and whistles. Sometimes, a little homework can save you a lot of detours on the battlefield of car purchase. What seems to save may be a consumption trap, but the real saving lies in your control and understanding of the entire purchase process.
In the end, each option has its pros and cons, and it's important to fit your own situation. Don't blindly follow the trend, and don't be fooled by the so-called "zero interest". Buying a car wisely starts from understanding every detail, which is the consumption wisdom that every car owner should have.