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Buyback is a Sham

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Old 09-25-2003, 04:07 PM
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Buyback is a Sham

Well, looks like my 5th Mazda purchase is going to be my last. I got my repurchase papers back and Mazda is refusing to make me whole. They will not reimburse the window tint, even though it clearly adds value to the car and they will not reimburse the lost sales tax credit. Had I not bought this car, I would have a car with a trade value of $30,000. Trading that car in on the purchase of a new car would save me $1,875 in Texas sales taxes. Now I have nothing.

When I told them that I clearly relied upon the published data released by Mazda in making my decision and, based upon that data I traded in my BMW and tinted the RX8, and that there is no way in Hell they could win this argument in court, the reps answer was, "Yes we can. Horsepower estimation is not an exact science and anything plus or minus 5% is reasonable and would stand up in court. This buyback is a courtesy offered by Mazda and is not intended to reimburse all monies one might be out".

Now I know why the new horsepower figure is down only 4%......it keeps Mazda in the safe zone and free from litigation. If I didn't trust the new horsepower figures before I CERTAINLY don't trust them now.

So, had I been a moron and paid $5,000 over MSRP for this car, Mazda would reimburse even the $5,000. I did my homework, paid $500 under MSRP and Mazda will not reimburse the $2,085 I am out in tint and sales taxes. Makes a whole Hell of a lot of sense. Worse, they would not transfer me to anyone higher up and were indifferent about losing a very loyal customer. Bad business.
Old 09-25-2003, 04:17 PM
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Re: Buyback is a Sham

Originally posted by TomsterRX8
Well, looks like my 5th Mazda purchase is going to be my last. I got my repurchase papers back and Mazda is refusing to make me whole. They will not reimburse the window tint, even though it clearly adds value to the car and they will not reimburse the lost sales tax credit. Had I not bought this car, I would have a car with a trade value of $30,000. Trading that car in on the purchase of a new car would save me $1,875 in Texas sales taxes. Now I have nothing.

When I told them that I clearly relied upon the published data released by Mazda in making my decision and, based upon that data I traded in my BMW and tinted the RX8, and that there is no way in Hell they could win this argument in court, the reps answer was, "Yes we can. Horsepower estimation is not an exact science and anything plus or minus 5% is reasonable and would stand up in court. This buyback is a courtesy offered by Mazda and is not intended to reimburse all monies one might be out".

Now I know why the new horsepower figure is down only 4%......it keeps Mazda in the safe zone and free from litigation. If I didn't trust the new horsepower figures before I CERTAINLY don't trust them now.

So, had I been a moron and paid $5,000 over MSRP for this car, Mazda would reimburse even the $5,000. I did my homework, paid $500 under MSRP and Mazda will not reimburse the $2,085 I am out in tint and sales taxes. Makes a whole Hell of a lot of sense. Worse, they would not transfer me to anyone higher up and were indifferent about losing a very loyal customer. Bad business.
They definitely have to reimburse your sales tax.

As far as the window tints, In my opinion, "unless you had them done by Mazda, they don't have to reimburse you for them. I consider window tinting a modification.

Think of it this way. If you put your own rims and tires on the RX-8 and got rid of the stock rims and tires, do you think that they should pay the difference between the value of the stock tires and the value of your new ones? I don't think so...

I would fight for the sales tax, not the window tint value
Old 09-25-2003, 04:19 PM
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Caveat Emptor.
Old 09-25-2003, 04:23 PM
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I see no reason why they should reimburse you the tint job. you didn't HAVE to have tint - it was your choice - it was not part of the vehicle the way you purchased it. And if i remember correctly, you were the one that pid $300 for a tint job? If that is the case, you paid too much anyway, even if you got high performance tint. Thinking you get this money back is ludicrous.

But you should get your tax back.
Old 09-25-2003, 04:26 PM
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Originally posted by RX8Lover
I see no reason why they should reimburse you the tint job. you didn't HAVE to have tint - it was your choice - it was not part of the vehicle the way you purchased it. And if i remember correctly, you were the one that pid $300 for a tint job? If that is the case, you paid too much anyway, even if you got high performance tint. Thinking you get this money back is ludicrous.

But you should get your tax back.
I wouldn't say that $300 IS WAY TO MUCH. I think it's resonable, maybe on the high end? But it is resonable none-the-less.
Old 09-25-2003, 04:28 PM
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I agree, I would think they should pay the sales tax. But I also agree, they shouldn't have to pay anything for the tint job. What if you had paid $10k for some whacky turbo system, I doubt you would expect them to pay for that.

Regardless, good luck in your battle.
Old 09-25-2003, 04:28 PM
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Rotarymagic,

Not to steal his thunder, but his point on taxes is that he traded in a $30,000 can and PAID less tax when he bought the Mazda. Now he will have to buy another car without a trade in and pay FULL taxes on the NEW purchase. Mazda is paying him back the taxes he has paid, but will not pay him for the taxes he will have to pay DUE TO MAZDA.

And yes, I would say that someone who 'damaged' me (don't flame me for this, used for discussion purposes) should have to reimbure me for ALL costs of that damage. So if I had put tint on the car, selling it back is a cost of the damage. If I put new rims and wheels on the car, damage. Now, if I did not have the originals wheels then they should reduce the price by that amount.

Just an opinion of fairness.
Old 09-25-2003, 04:44 PM
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but fairness is not the real issue here. the issue is how much is he owed by mazda and that is specifically spelled out in the buyback agreement- no reimbursement for non-mazda parts. the tint was not bought from mazda so that is out and so would any aftermarket wheels and tires. now the tax situation is iffy. it could be argued that he put himself in the tax situation by taking the buyback insstead of the free maintainance. but it actually comes down to the wording of the buyback agreement and i am sure that extra money loss incurred by purchasing a new vehicle are not included. they are giving back the value of the trade-in, correct? conclusion: make sure you understand any agreement before you sign.
Old 09-25-2003, 04:51 PM
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Sorry TomsterRX8 about your disappointment.

I knew that they would not reimburse for tinting. They would only reimburse Mazda accessories. (additions)

As far as sales tax is concerned I believe some people here are not understanding you. They have to give you the sales tax paid in the sale but they do not have to give you the sales tax not paid by the reduction of price due to your trade-in (difference) - tax savings. That cannot be re-created either. When all this first happened I checked this out. I traded a 2001 Millennia S in excellent shape - not a scratch and saved about a $1000 in taxes from the reduction in the cost or balance to be taxed. What you walk away from in this deal is your total monies from the deal. The savings on the next car is lost BUT YOU DID DRIVE A NEW CAR FOR NEARLY 2 MONTHS. THat is kinda how you have to look at it. YOu are still getting your money back but not your old car.

When I bought the Millennia S, the night I took delivery I drove it home (about 38 miles) and noticed wheel shake in the interstate. That simple problem began a 7 month vigil that I became furious at Mazda over the situation - tires not covered under warranty - not our fault - nothing we can do - hourse were spent on my behal and 2 days of driving the car around to specialists - days off work since no one seemed to be able to balance the tires or fix the problem. Finally Mazda stepped in an bought me 4 new tires - this after 2 were certified bad and 14 visits to various places including two dealers. I swore I would never buy a Mazda again and missed MY BMW (like you had) greatly but here I am again with a Mazda. The Millennia was fine after the tire replacement and rode like a dream after the fact. Where does this put you now? Are you going to keep it or still get your money?

Oh, some may say why didn't I lemon law the car. Well, I could have. Florida has a almost always win on these things (I am told) but I truly wanted to work it out - did not expect it to take 7 months but it did.
Old 09-25-2003, 04:59 PM
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I'm sorry to hear your experience
sucks they wouldn't give you anyone higher
Old 09-25-2003, 06:43 PM
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TomsterRX8,

the 238 hp number is exactly 4.8% less than the initial 250hp announced by Mazda. Even 1hp less -> 237 hp -> is 5.2% less than the initial 250 hp announcement and over the 5% limit.

Now who gave the 238hp number? A dyno machine? Or Mazda North America's legal department?
Old 09-25-2003, 06:47 PM
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thats an interesting point you bring to the table
Old 09-25-2003, 07:08 PM
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Consider yourself lucky that you live in a state where you pay sales tax only on the difference. In California you have to pay sales tax on the full amount, with or without a trade-in.
Old 09-25-2003, 07:08 PM
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I have to agree with the majority of posts here, They should not have to reimburse you for the tint, but they should reimburse you for the sales tax. The differential here has already been succinctly explianed by rod, so you are being made whole, in one capacity in that regard. There are two sides to that issue, I do recognize that. Sorry for your disapointment, hope you have better luck with your next car
Old 09-25-2003, 07:11 PM
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Originally posted by mazdabob
Consider yourself lucky that you live in a state where you pay sales tax only on the difference. In California you have to pay sales tax on the full amount, with or without a trade-in.
Which I would think would make a lot more people sell their cars themselves in CA.

Here in CO most people trade for the tax reasons mentioned above...
Old 09-25-2003, 08:38 PM
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i can understand your frustration
but i have no idea why you would expect mazda to pay you for losses you HAVEN'T accrued, or any losses for that matter.
why should they give you EXTRA money to buy another car? i cant see why you would expect that

anyway, this entire issue is just plain sucky for a lot of people
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Old 09-25-2003, 10:21 PM
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Um for the record, 238 is 3.64% less than the published number of 247 hp.
Old 09-25-2003, 10:36 PM
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Question Comon now

The bad marketing and PR department of mazda says nothing on the quality of the cars and those who engineered them. so dont go finding business elsewhere unless they start offering crappy products.

Sure their other departments may be a pain in the ***... bottom line is, youre getting a great car. In the rx-8's defence, it can put out 250ps if it wasnt for your country. i really dont understand why people would sell back the car for such a small difference while knowing that its not because of the mazda engineers but because of US emissions laws. if you were to clear up this problem, the additional price would be brought on by the Government, not mazda delivering a bad product. unfortunately, mazda has to take on this problem themselves.
Old 09-25-2003, 11:20 PM
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Originally posted by aussie77
Um for the record, 238 is 3.64% less than the published number of 247 hp.

Even though there are a lot of people who dispute it, it started at 250 HP. I am reading directly from the Mazda USA brochure and it states "..this RX-8's propulsion comes from a smooth-revving 250-hp RENESIS rotary engine...". Now, this IS a USA brochure and it is not any ps etc etc. So, they have to protect themselves from THIS starting point, not the revised 247. So one less horsepower is more than 5%.
Old 09-26-2003, 12:15 AM
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Originally posted by mazdabob
Consider yourself lucky that you live in a state where you pay sales tax only on the difference. In California you have to pay sales tax on the full amount, with or without a trade-in.
In California, it's the same way--you pay the difference between the value you receive on your trade in and what you pay for the new car.

I talked to my tax guy last week about the lost tax benefit (from my trade-in on the 8) on a new car purchase if I returned the 8. He said, I shouldn't expect any breaks from the tax system. Based on that, it would be nice if Mazda could (be made to?) step up on this piece.
Old 09-26-2003, 12:34 AM
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No they don't. When did that come out? I'm sure it was long before there was even a pre-order mechanism in place. They can say anything they want before the car is available for purchase.

jds

Originally posted by 350 Formula



Even though there are a lot of people who dispute it, it started at 250 HP. I am reading directly from the Mazda USA brochure and it states "..this RX-8's propulsion comes from a smooth-revving 250-hp RENESIS rotary engine...". Now, this IS a USA brochure and it is not any ps etc etc. So, they have to protect themselves from THIS starting point, not the revised 247. So one less horsepower is more than 5%.
Old 09-26-2003, 12:38 AM
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Re: Buyback is a Sham

If you're taking them up on the buyback over the horsepower fiasco then to be completely frank...I doubt they consider you such a loyal customer.

jds

Originally posted by TomsterRX8
Well, looks like my 5th Mazda purchase is going to be my last. ... Worse, they would not transfer me to anyone higher up and were indifferent about losing a very loyal customer. Bad business.
Old 09-26-2003, 06:19 AM
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I can't see mazda returning a sales tax credit, but I can see the state giving you one. I would check directly with the state and see if you can get the taxes you paid on the 8 to go twords a new car. I can't imagine a state so backwards that the only way to get this benefit is if you trade a car in at the dealer - what about private sales? of course I live in a state with no sales tax, and no income tax either, so what do I know.
Old 09-26-2003, 06:44 AM
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Re: Re: Buyback is a Sham

Originally posted by bureau13
If you're taking them up on the buyback over the horsepower fiasco then to be completely frank...I doubt they consider you such a loyal customer.

jds

Very good point. :D
Old 09-26-2003, 07:19 AM
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Avoid all the hassle and keep the car.

You are certainly entitled to your opinion, but a good argument can be made that considering all the issues at play, a few numbers on paper isn't much of a reason to return the car anyway.

This is not an invitation to rehash the pros and cons of accepting the buyback, just offering another reasonable option.


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