Bad economy means unprecedented deals for car-buyers - KWWL - Eastern Iowa Breaking News, Weather, Closings

Bad economy means unprecedented deals for car-buyers


by Bryan Goettel

IOWA CITY (KWWL) - In the midst of a struggling economy, auto dealers have dealt with consumers putting the brakes on buying a car. But many are facing the crisis head on and are offering some unprecedented deals.

So you're thinking of getting a car, but are hesitant because of these uncertain economic times? Manufacturers are pulling out all the stops. Hyundai is going so far as promising free returns for people who experience an involuntary loss of income.

"What they're trying to do is just generate business, create business, give people that reassurance that it's all right to go out and buy a new vehicle right now," said McEleney Autoplex manager Patrick Eads.

But there is a catch: it must be a new car and the program is only offered within a year of the purchase date. Volkswagen is offering less than one percent financing.

"Most banks and credit unions on the same type of term want six, seven, eight percent so that's a huge savings for somebody," said Carousel Motors General Manager Pat Lind.

The catch here -- the deal is only on used cars. Auto manufacturers are going to great lengths to lure people to the lots. And dealers like Pat Lind are reaping the rewards.

"Our business has been pretty steady, but now that consumers can actually be rewarded by getting a better deal because of some tough business climates in other parts of the country," said Lind.

"When you have your major manufacturers stepping up like this, things are getting better. And this is just a sign of the times," said Eads.

At Carousel Motors Lind says another obstacle is actually tougher to deal with than the economy -- Iowa bowl trips. It inevitably leads to a slower December because fans put off buying a car so they can be along for the ride with the Hawkeyes.

Online Reporter: Bryan Goettel

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