Canadian members: L&M Financing/Trading policies

Discussion in 'Basses [BG]' started by MovingPitchers, Jul 12, 2013.

  1. I don't want to be racist, or anything, but it seems like it's only Canada that has L&M stores. So this is meant for my Canadian brethren and sisters.

    At L&M, you can trade in used instruments and use that credit (they dont buy it from you sadly) towards a financed instrument.

    How much would they take for a MIM 2001 Fender Jazz Bass that's been pretty dinged up?

    Thinking of getting an MIA Jazz Bass and don't wanna fork over $100 every month.
  2. The_Holy_Grail


    Jan 9, 2011
    I'd give a guess at $300.
  3. James_E

    James_E Supporting Member

    Jan 26, 2008
    Ontario, Canada
    MIM Jazz bass banged up? They'd probably sell it for $300 TOPS. Then they would give you 80% of that, or $240. That would be a great deal if you could get it, my guess is they'd offer you even less than that and then they sell it for less than $300. They will give you 80% of what they eventually sell it for, if the item you are trading against is of reasonably higher value than the trade-in item, and 70% if it is not.

    You'd then pay (1349-240) + tax = $1109 + tax = $1253. Then you finance that over 12 months, you're paying a bit over $100 per month even with no interest. At their 17% interest rate it's going to be a bit more as well.
  4. hdracer


    Feb 15, 2009
    Elk River, MN.
    Why would asking that question be racist?
  5. bassthumpersf


    May 30, 2010
    Nationalist, not racist.
  6. I'm asking myself this as well.

    Regardless, being that I work in managment for Long & McQuade, I've sent you a PM.
  7. It's always best to try & sell it yourself before letting the store consign it for you. They do not have your best interest in mind with your used instrument.
  8. guy n. cognito

    guy n. cognito Secret Agent Member

    Dec 28, 2005
    Nashville, TN
    Thank you.
  9. 17 percent interest? Ouch.
  10. I don't think you understand how our interest rates work.

    Our interest rate of 17% per annum is calculated at 1.42% monthly on the declining balance, so the actual paid interest over the course of a year works out to about 9.5% assuming a 12 month period and a payment is made once monthly as agreed upon.
  11. guy n. cognito

    guy n. cognito Secret Agent Member

    Dec 28, 2005
    Nashville, TN
    Deceptive rate descriptions like this are not allowed in the US. The interest rate IS 17%.
  12. We're not in the US, now are we. :D

    Yes, the interest rate if you were to not make a single payment would be 17% over the course of a year.
  13. nashman


    Feb 11, 2011
    Play current bass.
    Don't owe money for any consumer product.
    Scrimp and save until you have enough to buy new bass with cash.
    Sell current bass.
    Otherwise you are basically just paying interest for the benefit of getting the new bass sooner.
  14. Hevy T

    Hevy T Supporting Member

    Jan 11, 2011
    Lethbridge, AB Canada
    I deal with l and m in lethbridge quite a bit and have had no problems. Also they will pay cash for used instruments along as the item is not financed.

    I even think what they value items at is pretty good, considering you don't have to post an ad on kijiji or cl and wait 2 months and field a 1/2 dozen of nonserious lowballers.

    You get the deal done now and move on...
  15. guy n. cognito

    guy n. cognito Secret Agent Member

    Dec 28, 2005
    Nashville, TN
    No. The interest rate IS 17%. Selling it to potential clients as "well, it's 17....but its really 9%" is deceptive, dishonest, and possibly illegal....even in your country. Do you managers prompt you to advertise your financing this way?
  16. Best advice ever. Having played bass for more than 25 years, one thing I would regret is to not save my money for buying a high end Fender Jazz Bass or a precision at the time. This would have saved me lots of money at the end !!!

    Play an instrument that you own, not that you owe, best advice !
  17. DiabolusInMusic

    DiabolusInMusic Functionless Art is Merely Tolerated Vandalism

    L&M gives %50-60 of what they will sell the item for. So I bet they offer you $200, absolute tops for your MIM.
  18. Crabby


    Dec 22, 2004
    I don't think Zentner was being dishonest as his description was pretty clear. You have to agree to a monthly payment plan before you qet the financing and with each payment you make, the balance decreases so your overall interest rate over the 12 months decreases from 17%. I don't see any deception here, its pretty clear.

    I can say from 25 years of dealing with L&M that they are consistent, clear and very straightforward in they way they do business. You can have new gear now and pay for it as you go as long as you agree to the terms and make your payments.

    Their trade in policy is the same for everyone. They give you 80% of what they will resell the item for and tell you up front exactly what that amount will be. You don't have to worry that you have been given a lowball quote and find out later they are re selling the item for 5 times what they gave you for it. The offer might not appeal to you and you are always better off selling privately, but if you need new gear now, its all laid out before you sign up with no surprises.
  19. James_E

    James_E Supporting Member

    Jan 26, 2008
    Ontario, Canada
    I have never got less than 70% from L&M (70% of what they intend to sell it for.) 80% if you are trading up to a more expensive item. This is my experience here in Toronto area. Maybe it's different at different sites.
  20. powmetalbassist

    powmetalbassist Supporting Member

    They told me up front about the declining interest rate, I financed a cab once. Personally if someone says 17% and it works out to be less this is a positive deception for the consumer. Also if the business didn't tell me about the declining interest isn't that just going to kill the transaction?