Costco Car Buying Service?

**TexasHusker** · 04-02-2017, 06:12 PM

Originally posted by james.hendrickson View Post

Hi All,

My girlfriend and I love Costco. We usually go about once a month - they have good deals on frozen chicken breasts, eggs, cheese, frozen broccoli, asparagus, etc.

But, you can use Costco for automotive services - and I just learned this today - they also have a car buying service. I have heard the service charges about $500 over invoice and dealers pay Costco $500 for each car sold through their service.

So here is my question - does the service deliver a similar value on cars the same way it does for food? E.g. 15% off retail?

I wouldn't pay for it.

Number one, there are A LOT of cars that can be bought for significantly LESS than invoice. Ford, GM, and Chrysler products especially so.

There are A LOT of cars that can't be bought for even close to invoice. Land Rovers, as an example, are rarely sold for much under MSRP, and there is a long waiting list to buy them as they come off the boat for sticker.

There is a LOT of information out there with this new world wide web thing they've got these days. You should be armed with information on what this or that car should cost, and you shouldn't have to pay someone $500 for doing it for you. Unless you just don't want the hassle.

**kork13** · 04-02-2017, 06:40 PM

I've used it once before (~10 years ago), and I was very happy with it. Can you get a better price with some smart negotiation? Yes, probably. But if you hate the games of car buying that you get from car dealerships, this program (or similar, I've also used the one offered by USAA) is a great option. The car prices are reasonable, and you simply pick the car you want, they find it, you sign the paperwork, and pay the pre-arranged price. It's literally that simple. I fully expect that I will always use some form of this service as long as it's available to me. The $300-$500 extra that I pay with these programs is 100% worth it to me if I don't have to waste my time and patience negotiating with a sleaze-ball salesman.

**PeggyHefferon** · 04-02-2017, 06:46 PM

Originally posted by kork13 View Post

I've used it once before (~10 years ago), and I was very happy with it. Can you get a better price with some smart negotiation? Yes, probably. But if you hate the games of car buying that you get from car dealerships, this program (or similar, I've also used the one offered by USAA) is a great option. The car prices are reasonable, and you simply pick the car you want, they find it, you sign the paperwork, and pay the pre-arranged price. It's literally that simple. I fully expect that I will always use some form of this service as long as it's available to me. The $300-$500 extra that I pay with these programs is 100% worth it to me if I don't have to waste my time and patience negotiating with a sleaze-ball salesman.

You can accomplish the same thing without the extra charge by purchasing your car over the Internet directly from the dealership. Most dealerships have someone responsible for internet sales now.

I know there are some on here that are old school and want face to face or phone calls, but if I am going to have a back and forth negotiating price I would rather do it from my sofa than waiting at a salespersons desk as he makes the trip to check with his manager.

**Drake3287** · 04-03-2017, 08:58 AM

This service in only good for people that can't, won't or hate negotiating with car dealers. Perfect for the older buyer like my mother or someone like that.

If your willing to spend the time and energy dealing with dealerships, you can get a better deal on your own. Even an extra $500. off is well worth a few hours of my time.

Costco Car Buying Service?