Thread: Buying Mazda CX3

Just been to the showroom and they offered me 40,000 baht discount on the CX3 SP, which is posted at 1,045,000 baht. I was happy with the price and the extras, 1 year first class insurance, sunfilm, por ror bor, registration costs, 24 hour roadside assistance for 3 years and service for 3 times.
I was to pay, 209,000 down and 16,000 a month for 5 years.
Then they said the interest was 3.25% and I told them that on the website it says 1.99%. I am happy to get the finance as I thought foreigners couldn't get it but said to hold until I checked it out. They said that 1.99% wouldn't get all the extras. I'm confused. Are they trying to get one over on me?

If you accept their offer of 209,000 baht deposit and sixty payments of 16,000 baht, you end up paying 1,169,000 baht. The cash price is 1,045,000 baht so you are paying an extra 124,00 baht for the credit and the supposed freebies.

There is no point you quibbling about interest rates and all you have to do is to work out if the additional items, plus the chance of "paying slowly", is worth the rather large extra payment.

I would advise that you paid cash. Thais think we are as daft as they are.

The sales people would prefer you to buy on credit as they will make more money as they get a proportion of the interest paid. Pay cash and ask for a reduction in the price. The more you pay, the more they get. They throw in a few sweeteners to trap you into buying by credit.

Ordinarily, in the UK I would eschew credit and aim for as big a discount as possible while paying cash. The problem of course is that readily available reductions usually translates into a greater depreciation. But we're talking about the UK here and the reality of 5-6% APR/AER interest rates.

Thailand is different. I've seen credit deals over 6 year periods where it is interest free albeit with no discounts but with the Thai market and its absurdly high second hand car values there is no real depreciation for anything up to 3 years in some cases. Really, one would have to be stupid to not bite their hands off in getting such a credit deal. 2% over 5 years is a steal and worth it even if it means foregoing the extras. Can you still get 3% on deposit at the bank?

Originally Posted by can123

If you accept their offer of 209,000 baht deposit and sixty payments of 16,000 baht, you end up paying 1,169,000 baht. The cash price is 1,045,000 baht so you are paying an extra 124,00 baht for the credit and the supposed freebies.

There is no point you quibbling about interest rates and all you have to do is to work out if the additional items, plus the chance of "paying slowly", is worth the rather large extra payment.

I would advise that you paid cash. Thais think we are as daft as they are.

I don't have 1 million lying around to pay cash.

Originally Posted by Seekingasylum

Ordinarily, in the UK I would eschew credit and aim for as big a discount as possible while paying cash. The problem of course is that readily available reductions usually translates into a greater depreciation. But we're talking about the UK here and the reality of 5-6% APR/AER interest rates.

Thailand is different. I've seen credit deals over 6 year periods where it is interest free albeit with no discounts but with the Thai market and its absurdly high second hand car values there is no real depreciation for anything up to 3 years in some cases. Really, one would have to be stupid to not bite their hands off in getting such a credit deal. 2% over 5 years is a steal and worth it even if it means foregoing the extras. Can you still get 3% on deposit at the bank?

I haven't checked at the bank yet. I have a mortgage with Krung Thai so they would lend me the cash.

They wouldn't offer less that 3%.

Work out what the "extras" would cost if bought separately and then compare total costs.

Another option is to go to a different showroom and see what deal they offer.

Originally Posted by ChalkyDee

Originally Posted by Seekingasylum

Ordinarily, in the UK I would eschew credit and aim for as big a discount as possible while paying cash. The problem of course is that readily available reductions usually translates into a greater depreciation. But we're talking about the UK here and the reality of 5-6% APR/AER interest rates.

Thailand is different. I've seen credit deals over 6 year periods where it is interest free albeit with no discounts but with the Thai market and its absurdly high second hand car values there is no real depreciation for anything up to 3 years in some cases. Really, one would have to be stupid to not bite their hands off in getting such a credit deal. 2% over 5 years is a steal and worth it even if it means foregoing the extras. Can you still get 3% on deposit at the bank?

I haven't checked at the bank yet. I have a mortgage with Krung Thai so they would lend me the cash.

They wouldn't offer less that 3%.

I only referred to the bank in terms of the deposit rate offered in order to demonstrate why a Thai credit deal is usually quite good. In Thailand, the best loan deals are always with the car dealer.
Irrespective of how much one had in the bank, the best way to go to pay for a new car in Thailand is through the dealer's credit scheme.
Before plumping for Mazda at 1.99% check out Honda and see if they are offering interest free loans. Ford are usually quite aggressive with this too but their automatic shift is known to be crap.

Originally Posted by Seekingasylum

Originally Posted by ChalkyDee

Originally Posted by Seekingasylum

Ordinarily, in the UK I would eschew credit and aim for as big a discount as possible while paying cash. The problem of course is that readily available reductions usually translates into a greater depreciation. But we're talking about the UK here and the reality of 5-6% APR/AER interest rates.

Thailand is different. I've seen credit deals over 6 year periods where it is interest free albeit with no discounts but with the Thai market and its absurdly high second hand car values there is no real depreciation for anything up to 3 years in some cases. Really, one would have to be stupid to not bite their hands off in getting such a credit deal. 2% over 5 years is a steal and worth it even if it means foregoing the extras. Can you still get 3% on deposit at the bank?

I haven't checked at the bank yet. I have a mortgage with Krung Thai so they would lend me the cash.

They wouldn't offer less that 3%.

I only referred to the bank in terms of the deposit rate offered in order to demonstrate why a Thai credit deal is usually quite good. In Thailand, the best loan deals are always with the car dealer.
Irrespective of how much one had in the bank, the best way to go to pay for a new car in Thailand is through the dealer's credit scheme.
Before plumping for Mazda at 1.99% check out Honda and see if they are offering interest free loans. Ford are usually quite aggressive with this too but their automatic shift is known to be crap.

I have my heart set on a Mazda but the back seat and boot(trunk) space is not nearly as good as the HRV, which is a similar price.

Thanks for your comments. The big decision is to sell the gold and stock in SCB and TMB SET 50 or go for the finance. It does make sense NOT to pay cash if I am getting more than 3% with my investments.

Check out the recalls on Mazda 3 and CX3 before buying. World Wide recall!

Originally Posted by Jesus Jones

Check out the recalls on Mazda 3 and CX3 before buying. World Wide recall!

So how can they have cars in their showroom if they have been recalled?

Err, just about every large scale manufacturer issues recalls from time to time - the supply chains are all inextricably inter-connected to a degree that the issue becomes inevitable for all at some point. Basing one's choice of mass market vehicle on recalls is really quite asinine.

Originally Posted by ChalkyDee

I was to pay, 209,000 down and 16,000 a month for 5 years. Then they said the interest was 3.25% and I told them that on the website it says 1.99%.

1,045,000 - 209,000 = 836,000 ie what you borrow from the finance company and what you have to pay interest on.

16,000 baht monthly for 60 months equals an annual interest rate of 5.6%

Originally Posted by lom

Originally Posted by ChalkyDee

I was to pay, 209,000 down and 16,000 a month for 5 years. Then they said the interest was 3.25% and I told them that on the website it says 1.99%.

1,045,000 - 209,000 = 836,000 ie what you borrow from the finance company and what you have to pay interest on.

16,000 baht monthly for 60 months equals an annual interest rate of 5.6%

Wow and their September promotion states 1.99%. I'll cal the main centre and ask what's going on.


Hold on
16,000 x 5 x 12 = 960,000

So 960,000 - 836,000 = 124,000 which is the total interest paid

124,000/836,000x 100 = 14.83%

14.83% / 5 years = 2.96% per year

Originally Posted by Seekingasylum

Err, just about every large scale manufacturer issues recalls from time to time - the supply chains are all inextricably inter-connected to a degree that the issue becomes inevitable for all at some point. Basing one's choice of mass market vehicle on recalls is really quite asinine.

Err, Kawasaki did not!

I forgot about the versys fault JJ I got my wife to ring the dealer I bought it off and they said there was no recall
I think I will ride down there when I'm back
I will look over your old thread for the numbers thanks for the reminder

Originally Posted by ChalkyDee

I'll cal the main centre and ask what's going on.

Won't get you anywhere.. 5.6% is still cheap for being a car loan.
The common way for them to present a low interest rate is to have a high fixed fee for opening the loan.