Dealer profit

Ssteigss10

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2019 CX-9 GT Machine Grey
About to pull trigger on 19 CX-9 GT. Does anyone know if dealer makes profit if I use the Mazda 1.9% Financing. Rates on Cx-9 have been at O% for a while. Hoping dealer will sell at a lower price if they are making something back on financing.
 
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I doubt they make anything on 1.9% since Mazda uses a separate finance company (Chase). Perhaps if they had their own finance arm like the larger companies do they get some of it.
 
I just got a 2018 Signature last week. With Mazda incentives, you can choose either the financing or what is currently $1,500 cash, but you cannot combine. The $500 loyalty discount is also borne by Mazda, not the dealership. Dealerships however do have an additional $500 "Dealer Engagement" that is their option to use that comes out of their pocket. My deal shaped up like this:

MSRP - $45,310
Invoice - $42,915 (-$2,395)
Sale Price - $42,012 (-$903)

Additional discounts of $2,500:
Mazda Rebate - $1,500
Dealer Engagement Concession - $500
Mazda Loyalty - $500

Final price before tax - $39,412

Hope this helps, good luck, and have fun!
 
In my region the offer for 2018 models is: "0.9% APR for up to 60 MONTHS PLUS $750 APR CUSTOMER CASH" On a 2019 it's 1.9% or $1k. The offers vary in different regions.

5 year treasury bonds have a current interest rate today of 2.78%. That is the best rate for borrowing a 100% safe asset anywhere in the world. For any car loan at 0.9%, or 1.9%, for a depreciating asset like a car, you know that the rate is subsidized. The car maker is paying the rate down for marketing purposes. The car maker themselves, or the bank they hire, Chase in Mazda's case, can't get money for 5 years at 1.9, plus there are the administrative costs. The dealership only gets a kickback when they sell the customer a loan above market rate.
 
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