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1/4/2020 - Mercedes MSRP 2020 Gle New Car Extended Warranty & Prepaid Maintenance

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Old Jan 4, 2020 | 10:24 PM
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1/4/2020 - Mercedes MSRP 2020 Gle New Car Extended Warranty & Prepaid Maintenance

Greg has PM'd me for updated Mercedes MSRP for Extended New Car Warranty and MSRP Prepaid Maintenance.

Both New Car ELW and Prepaid Maintenance is the same whether for a 2020 GLE450 or for 2020 GLE350.

Mercedes MSRP for Extended New Car Warranty goes up 15% if purchased after 30 days from date of original purchase

If purchasing Prepaid Maintenance after 30 days from date of original purchase - Prepaid Maintenance must be purchased BEFORE Service Check-In. or your Prepaid Service Plan will kick in starting NEXT service.

Tafel Motors (Louisville Mercedes Benz) remains a excellent "Go-To-Buy" because their F&I strategy is to maximize # contracts sold - by servicing out-of-area customer they "bet" with those added contracts they will total up a score that gives them slightly better margin from Mercedes Financial when everything is added up at the end of the quarter - versus "most" dealers don't bet to pick up that bonus extra/added margin.
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Old Jan 5, 2020 | 02:12 PM
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Originally Posted by fabbrisd1
Greg has PM'd me for updated Mercedes MSRP for Extended New Car Warranty and MSRP Prepaid Maintenance.

Both New Car ELW and Prepaid Maintenance is the same whether for a 2020 GLE450 or for 2020 GLE350.

Mercedes MSRP for Extended New Car Warranty goes up 15% if purchased after 30 days from date of original purchase

If purchasing Prepaid Maintenance after 30 days from date of original purchase - Prepaid Maintenance must be purchased BEFORE Service Check-In. or your Prepaid Service Plan will kick in starting NEXT service.

Tafel Motors (Louisville Mercedes Benz) remains a excellent "Go-To-Buy" because their F&I strategy is to maximize # contracts sold - by servicing out-of-area customer they "bet" with those added contracts they will total up a score that gives them slightly better margin from Mercedes Financial when everything is added up at the end of the quarter - versus "most" dealers don't bet to pick up that bonus extra/added margin.
Thanks for the update, this is helpful. So how much is Tafel off the MSRP for both the prepaid maintenance and ELW?

And buying the ELW off Tafel would essentially be the same discount up until the basic warranty (4 yr) expires, right?
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Old Jan 5, 2020 | 05:37 PM
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Originally Posted by Virginbenz
Thanks for the update, this is helpful. So how much is Tafel off the MSRP for both the prepaid maintenance and ELW?

And buying the ELW off Tafel would essentially be the same discount up until the basic warranty (4 yr) expires, right?
In my experience, Prepaid Maintenance is MSRP. Tafel does not discount off of that (haven't found any dealer that discounts off MSRP for pre-paid maintenance).
As far as ELW, I think 30% is the rough ball park for discount off MSRP.

The price may change yearly so if you wait till near the 4 year mark to buy ELW, you may be paying more. (Not to mention the additional 15% 30 days after vehicle is delivered). ELW is fully refundable, so if you are not sure if you want it or will keep the car that long, It's best if you buy ELW within 30 days of taking delivery of the car. Worst case you can get it refunded if you end up getting rid of the car before the 4 year factory warranty expires. Even after ELW kicks in, you can get a pro-rated refund.
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Old Jan 6, 2020 | 06:01 AM
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Originally Posted by thenew3
In my experience, Prepaid Maintenance is MSRP. Tafel does not discount off of that (haven't found any dealer that discounts off MSRP for pre-paid maintenance).
As far as ELW, I think 30% is the rough ball park for discount off MSRP.
Same here (I bought both from Tafel in June).
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Old Nov 30, 2020 | 01:39 PM
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Hey guys, question on the PPM.

I've inquired couple local dealers on how much Service A and B cost nowadays and I got different pricing. One has brake fluid included and the other lower one has no brake fluid and is separate. If I buy the Prepaid Maintenance package for a specific dollar amount, do they come with predetermined services to be performed like brake fluid is included in the Service Bs? I ask because if I'm going to do a PPM from an out-of-state dealer, then if I go to a local dealer and their service B typically have brake fluid as a separate add-on, then it's going to be unecomic for me.
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Old Nov 30, 2020 | 02:56 PM
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IMO You're likely better off including any extended warranties (tires, maintenance, glass, etc) in the price negotiations for the Out The Door price. That leaves the Dealer to bundle everything, so you don't have to guess their profit centers. If you concentrate on one specific item (like Doc fee), you are playing into their hands. Reframe the negotiations around what you will be paying, not a specific element of the deal.

In other words, if they want to focus on the back end (F&I) then let them. If they want to focus on the ACV, let them. Just focus on what you pay, total.
Be aware of Supply and Demand, have a number in mind, then negotiate. You probably won't get everything at the price you want, but neither will they. And in the end, you will have an ally instead of an adversary.

Last edited by mikapen; Nov 30, 2020 at 03:04 PM.
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Old Nov 30, 2020 | 04:09 PM
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PPM plans

Originally Posted by Virginbenz
Hey guys, question on the PPM.

I've inquired couple local dealers on how much Service A and B cost nowadays and I got different pricing. One has brake fluid included and the other lower one has no brake fluid and is separate. If I buy the Prepaid Maintenance package for a specific dollar amount, do they come with predetermined services to be performed like brake fluid is included in the Service Bs? I ask because if I'm going to do a PPM from an out-of-state dealer, then if I go to a local dealer and their service B typically have brake fluid as a separate add-on, then it's going to be unecomic for me.
There are a couple PPM plan types, Premier, which you can purchase up to 10,000 miles or your first service, and Star, for older vehicles. Within those there are various service packages available which could include or exclude brake fluid, for instance, so you need to be sure you are comparing the proverbial apples to apples. Be aware the dealer's cost for the PPM plan goes up 5% 30 days after purchase, so best to get it initially.
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Old Nov 30, 2020 | 05:36 PM
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Curious that neither the A and the B services do not mention tire rotation. So presumably if you get PPM, you still have to pay an additional fifty bucks or so for tire service.
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Old Nov 30, 2020 | 07:55 PM
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No tire rotation in PPM

Originally Posted by paulmj1
Curious that neither the A and the B services do not mention tire rotation. So presumably if you get PPM, you still have to pay an additional fifty bucks or so for tire service.
Well, since rotation is not practical for vehicles with staggered wheels/tires, excluding it simplifies the number of plans.
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Old Dec 1, 2020 | 02:47 PM
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Thanks OP . Is there a AMG version of these stuffs? My local dealer quotes $3,750 for a 4-year PPM of a 2021 GLE 53 SUV. I'm wondering if it makes sense.

Last edited by Kurt Liu; Dec 1, 2020 at 02:52 PM.
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Old Dec 1, 2020 | 03:07 PM
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Originally Posted by Kurt Liu
Thanks OP . Is there a AMG version of these stuffs? My local dealer quotes $3,750 for a 4-year PPM of a 2021 GLE 53 SUV. I'm wondering if it makes sense.
You really need to calculate the potential savings yourself based on what your dealer charges for A & B services. When I bought my car, my F&I person tried to initially sell me the 4 year PPM. I knew what I've paid in the past for A & B services and when I added them up in my head, the PPM seemed higher. She ran the numbers herself and agreed that the PPM didn't make sense to purchase on day 1. However, for the GLE63 the 40k mile service is significant so she told me to wait until just before the 40k service and purchase a PPM at that point. Apparently the cost of the 40k mile service is more than a 2 yr PPM.
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