Oh..Boy...I hurt my neighbors feelings (and I truly didn't mean to)

[BlueJazz]

He's a right-wing Guy but a pretty nice fellow..just a little clueless.

He bought a brand-new car Friday and the dealer had two "Saving Plans"
(OK.. Gimmicks)

Anyway..First plan is $2500.00 cash Back
Second is Free Gas for one Year.
He took the Free Gas.

I asked him.."How much do you spend each week on Fuel"
He says "Well.. I Fill up every Sat. ...costs about 55 bucks.

I did some quick math in my head and said:
"Ah..Paul..You Know, Gas would have to go to about $5.40 per Gallon (Right Now!) for you to even break even on that deal.....I'm not saying that it can't happen but it's rather unlikely..I would have grabbed the Cash"

His face kinda' fell and he muttered something and went back to his house.

Damn..Sometimes, I hate to be Logical....

[lonestarnot]

1. OMG

:rofl: poor sap.

[BayCityProgressive]

2. that sucks

it sucks when you buy something new that you are proud of and then learn you were ripped off..

[MissWaverly]

22. can I ask a dumb question, is the bonus gas taxed

would he pay taxes on the cash bonus, that makes a big difference, I rec'd money in a lump sum,
it = 1250, well after taxes it was $750 and I never really did see it back in my income taxes.

[blonndee]

3. But who knows, the way things are going he

MIGHT have gotten the better deal. :( Hopefully not, though.

Or he could be really sneaky and do a little *ahem* siphoning if his family has more than one car. Not that I think that's an acceptable thing to do! But neither do I appreciate gimmicky, misleading car "deals."

[LA lady]

4. Hope you're right

I am scared that with the situation in the Middle East, he may have gambled correctly....

[cigsandcoffee]

5. If he spends $55 dollars a week...

...it comes to $2860. Seems like he did alright, but maybe I'm missing something.

[BlueJazz]

7. True ...But he would have had an Extra 2500.00 to buy Gas with.

I figured he burns about 950 gallons per year.
Add 2500 to the 2860 he spends divided by 950 gallons and....it's close to 5.40 Plus or minus...

[blonndee]

8. But now he won't be spending that $2860.

Am I just way off on this? I'm not understanding your calculations.

[BlueJazz]

14. Ahh....I'm sorry...I meant he gets 99 cents off of each gallon ..

....he buys for a year.

Christ..and I called HIM Clueless. (should have checked my post better!) :)

[blonndee]

20. LOL

Ok, that clears it up a bit. :)

[cigsandcoffee]

9. I'm not so sure about your policework there...

If he uses $55 in gasoline a week, he would have spent $2860 at the end of one year. If he'd taken the cash instead, he'd be down $360. I can't see any other way to figure it.

He may lose if the price of gas goes down a good bit, but that doesn't seem likely.

[Nikki Stone 1]

13. The real savings comes if could apply the "cash back" to his down payment

thereby saving the interest. If the interest on the loan was high enough, saving the extra interest makes the cash back option better.

[cigsandcoffee]

16. I'm sure you're right, but I wasn't taking financing in to account.

I'm getting in way over my head in the math department.

[Nikki Stone 1]

27. Financing was my first thought. I hate dealer financing with a passion.

And we'll have to watch those gas prices to see if your neighbor saves or loses.

[juajen]

19. Woops

LOL

[annabanana]

6. self delete

(innumerate... is that "math" for illiterate?)

[Nikki Stone 1]

10. Did the "cash back" get left on the loan ?

And was it a csr company's loan? If so, then you are correct that he should have taken the money instead of leaving it on the loan to jack up the interest. (He could have applied the "cash back" to the loan and had a lower monthly payment.)

[Full Metal]

11. That's why I drive a motorcycle and take public transportation:

$5.00 every two weeks. Conservation starts at home people. ;)

[Monkeyman]

15. 49 PANHEAD HERE

[blonndee]

18. So does massive head trauma.

Just kidding. I wish there were adequate public transportation where I live, but for far too many people, it's not available or the routes are hours long to commute. It's outrageous. It seems like with all the money we spend and re-spend on repairing roads and such, there should be some way to implement efficient and available public transportation.

[Full Metal]

24. lol and that's a fact Jack:

I've been in two wrecks and I know alot of people who've not been as fortunate as I am but gas + insurance costs = 2 wheels.

[knowbody0]

12. tell him to get some storage containers

and learn to siphon. he could sell it black market. (it's the neocon way)

[liberal N proud]

17. And that is the scam business of the car sales today

Every car company has a gimmick, you have to figure out which one is the better deal IF you are in the car market anyway.

[tridim]

26. You're right, cash back and free gas are both a scam

It's like using one of those "cash" checks you get in your credit card statements. These "deals" are money makers for the lender and the salesperson. It'd be much better for the consumer if they just lowered the price of the car.

[Nikki Stone 1]

29. If "cash back" can be applied to the down payment and reduce the interest

then that is always the better deal. A 10,000 car ends up costing at least 15 or 16 with financing. A bigger down payment reduces the interest you pay and the monthly payment.

[Lusted4]

21. Dang it - - - - I just scratched a hole in my head over this post /nt

[BlueJazz]

25. Damn..So have I and I'm the one that started the damn post.

My Fuckin' right-wing neighbor...he caused all this shit..
I'm gonna' go burn his house down!

:rofl: :rofl:

[movonne]

23. I sure don't think that should have hurt his feeling, (except for making

him feel dumb)it could help him the next time he is made an offer...

[Freedom_Aflaim]

28. Depends on how it is done

In some cases they are giving folks debit cards worth $xxx dollars to be used for gas.

And you can be certain that its not unlimited free gas, otherwise he could fill up the entire neighborhood with gas each week on the auto dealers dime.

But your're right, some folks are very clueless with it comes to simple math like this.