Supplier Discount Program - Good Deal?

[rinbea]

We are eligible for the GM Supplier Discount Program to buy a new vehicle.

"The information provided to explain this is as follows:
The Supplier Discount price (what you will pay) on most vehicles is calculated by taking the GMS price (the price a GM employee would pay) and adding 4%. You can also combine your Supplier Discount with current incentives in your region to receive the maximum value possible."

I have no car sense... is this really a good deal or just an ok one.

Any additional info would be helpful.
Thanks.

[Mr Nowrench]

The beauty of the vendor plan is that it takes negotiating price with the dealer out of the equation. A welcome benefit - and all you have to do is get the paperwork from GM.

I'm to the point however, where buying last years lease turn in is too good of a deal to pass up. I've always bought new cars, but I'm done. For instance, a new Buick LeSabre with leather and toys stickers around $33,000, but you can buy a similarly equipped 2002/2003 lease turn in with mileage in the teens for under $20,000. You can buy a 5 year/100,000 mile extended warranty for under $2000, and you end up with a great vehicle, with a huge warranty, and you save over $10,000. Someone else has driven it, but it'll be "your car" in less than a week, if you know what I mean.

[rinbea]

Thanks for the info.
How do you find Lease turned in vehicles?

[Mr Nowrench]

Most dealers have lease turn in vehicles that they buy at auto auctions. I wouldn't suggest buying one that was turned in to the dealer directly because the buyout is usually too high. GM will send the cars to an auction and take a lower price than the actual lease buyout price. It doesn't make sense, but that's how it works.

Right now, GM has incentives to turn in lease cars early to help sell more 2003 models now. I saw two Bonneville's with 3,000 and 6,000 miles - too bad I wanted something else.

GM dealers can also bid for "factory cars", which are around 6 months old and have really low miles. There are cars coming up daily for bid. You could always ask your GM dealer to bid on a certain model/color/etc.

Hope that helps.