no_really

anyone notice the 0% financing is for last years models? They want to clear their lots - similar to close-out sales at clothing stores. Inventory left on their lots costs more than what they give up with financing deals and rebates/cash back offers. They are in the business of selling cars. Their financing arm brings in tons of money and facilitates the sales process, but they need to get the product off the lot in order to make room for next year's offerings. Only a simpleton would think a company is going bankrupt simply because they have a sale at the end of a product cycle.

steven975

they've been doing 0% for the majority of the last 3 years. There's times when they don't, but it seems more often than not, they do 0-1.9% financing. I figure a "break even" rate needed is 3.5% to cover inflation and admin costs.

It's not the 0%, but the 0%+ significant incentives on the order of 30% in some cases. Bankrupt, no, but they are clearly overproducing.