No more leases...for GM too???

[K Dawg ONE]

I dont have anything online that I can cite from, but, was just informed by a sales manager who just got finished watching an IDL brodcast that as of July 31, GM is done leasing (just like Chrsyler LLC).

Well, I should say, that there will no longer be any lease 'Programs' (ie, 0.9%, 1.9%, ect.)

If you want to lease, expect to be paying upwards of 10-14% interests rates.

Most every other vehicle will now have 0% financing for 72 months...

Dont know how this is gonna play out for you US customers though.

As a point of interest, Chrsyler LLC pulled its low interest programs on its products here in Canada on July 1 and supllimented them with 10-14% rates (and now, they are totally out of the leasing game come Aug 1 it seems)

[tirediron]

I've seen all morning on this site that is true in Canada.

No word or buzz here in the Detroit area.



That sucks btw

[K Dawg ONE]

Just awaiting the HOL and ill post up the details of as soon as I get them...

[big swede]

Originally Posted by K Dawg ONE

I dont have anything online that I can cite from, but, was just informed by a sales manager who just got finished watching an IDL brodcast that as of July 31, GM is done leasing (just like Chrsyler LLC).

Well, I should say, that there will no longer be any lease 'Programs' (ie, 0.9%, 1.9%, ect.)

If you want to lease, expect to be paying upwards of 10-14% interests rates.

Most every other vehicle will now have 0% financing for 72 months...

Dont know how this is gonna play out for you US customers though.

As a point of interest, Chrsyler LLC pulled its low interest programs on its products here in Canada on July 1 and supllimented them with 10-14% rates (and now, they are totally out of the leasing game come Aug 1 it seems)

If that's the going rates you would have to be an idiot to lease. I think the big three are in for a bit of a shock if they try and get rid of leases. I have never leased a car in my life but how do you think this country got into the financial mess that it's in? Most people cannot save a nickel but are very confident in making a payment every month. There are a large percentage of people that if you offered them a monthly price they will jump all over it and not even look at what that combine price is over the course of ownership. Offer them a phone for $10 a month or $100 outright and they will jump on the $10 a month plan even if that is $10 a month for as long as they have the phone.

[BryceStrong]

If any of these rumors are true, it would be GMAC that is done with leasing. Wells Fargo, in addition to leasing companies, still offer programs. Still big news but leasing isn't going away.

[Buickman]

story now is that your 5 yr buy pyt is your 3 yr lease pyt. confirmation later today. how much more stupid stuff and Red Ink do we need to see before RIR is thrown out?

[tirediron]

Originally Posted by K Dawg ONE

Just awaiting the HOL and ill post up the details of as soon as I get them...

Whats your percentage lease to buy in Canada?
Its 80% here.

[Ambalanche]

This will have the effect of just another hurdle to selling cars in the US. I know people who ONLY lease.

[steinravnik]

Originally Posted by Buickman

story now is that your 5 yr buy pyt is your 3 yr lease pyt. confirmation later today. how much more stupid stuff and Red Ink do we need to see before RIR is thrown out?

This probably has more to do with the issues in the credit markets than "RIR".

[K Dawg ONE]

Originally Posted by tirediron

Whats your percentage lease to buy in Canada?
Its 80% here.

We are about the same here in Canada on average too (about 80%)...at our dealer though, we are 89% lease rate

[K Dawg ONE]

Originally Posted by BryceStrong

If any of these rumors are true, it would be GMAC that is done with leasing. I know that Wells Fargo, in addition to leasing companies, still offer leases.

You are correct, it is GMAC that is done leasing...you can still go bank lease rates, but, they are not very competitive at all (around 12% here in Canada)...

[tirediron]

Originally Posted by K Dawg ONE

We are about the same here in Canada on average too (about 80%)...at our dealer though, we are 89% lease rate

Is everyone freaking out?
I would be.

[K Dawg ONE]

Originally Posted by tirediron

Is everyone freaking out?
I would be.

Yeah, I just this moment lost a GM Employee Order.

I was gonna order order him a 2009 G5 SE 1SB in expectation that when the car came at the end-to-mid September that programs would be comparable to now (maybe a point increase interest or a point or two drop in residual, but, generally, close to now). At that point, we could use the $2600 CAW incentive that goes into effect Sept 16 ontop of Employee Order.

And now, he can order today and be price/rate protected, but, unable to use the CAW incentive (aka BUZZ) in September as it was not available under todays programs (which increases his payment about $50/mo over what I quoted).

OR...

He can order now and use the BUZZ in September, but, would have to use the NEW programs which means like 14% rates which means his payments go up alsmot $150/mo!

[montrealvue]

I currently lease a GM vehicle but if I can't lease another one I will look at another brand. I know what I can pay on a lease per month and am not willing to own a GM. GM is gonna lose big time on this one.

[mjd1001]

Originally Posted by montrealvue

I currently lease a GM vehicle but if I can't lease another one I will look at another brand. I know what I can pay on a lease per month and am not willing to own a GM. GM is gonna lose big time on this one.

Unless, of course, this will eventually trickle down to all other auto companies. I have always purchased, not leased, so I don't know all the ins and outs of the program...but if you can only lease a GM or Chyrsler vehicle through outside programs from now on (banks) and if the rates go up 10%....I dont' think Honda and Toyota and Ford are going to stand around and see money left on the table by keeping their lease rates the same. If it is going to cost you 10% more to go to outside sources to lease a GM or Chrysler vehicle...I'd be willing to bet that most other auto manufacturers will increase their lease rates 5-8% at least.