By Joe Benton
ConsumerAffairs.com
February 13, 2007
General Motors, in a one-week effort to unload unsold cars and trucks left over from January, is offering zero percent financing or $500 bonus cash to consumers who will drive off one of the vehicles cluttering dealers' lots.
Don't be fooled by the television advertisements however. Not all GM cars or trucks are part of the sales deal and all of the incentives will not be available everywhere in the country.
The bonus cash is on the table for consumers in the Midwest and Northeast and zero percent financing is part of the deal for up to five years on some cars and trucks everywhere else. The free financing will be available in the Midwest and Northeast only for 2006 and 2007 model year GMC Sierra and Chevrolet Silverado pickups.
The GM sales promotion does not include hot sellers like the Pontiac Solstice, Saturn Sky, Chevrolet Corvette Z06, Saturn Vue Hybrid and medium-duty trucks. The Cadillac, Hummer and Saab brands are not part of either the bonus cash or zero percent financing program either.
The GM sale runs until February 20.
GM has repeatedly avoided big discount programs when other automakers offered incentive deals. The GM strategy is focused on at higher profitability at the risk of reduced sales.
Now GM is trying to boost sales following a nearly 17 percent decline in demand in January. GM's incentives in January were at their lowest level since 2002 averaging $2,365. DaimlerChrysler averaged $3,853 and Ford Motor Co. $3,502 in January.
