Fountain Valley-based Hyundai Motor America is adding a Trade-In Value Guarantee feature to its popular Assurance program in an effort to curb fears about vehicle depreciation.
Courtesy of Hyundai Motor America
Starting May 1, when a consumer buys a new Hyundai model, the buyer will be given a guaranteed value for the vehicle based on figures from the Automotive Lease Guide if it is traded in after two to four years of ownership.
Hyundai officials said the program ensures buyers "more car for the money" now and later, and it is made possible by the automaker's residual values, which are among the highest in the industry.
"Hyundai Assurance is a partnership with our owners in their purchase of a vehicle," said John Krafcik, president and CEO of Hyundai Motor America. "Depreciation is the single highest cost of car ownership. While Hyundai's depreciation is now among the lowest in the industry, Assurance will remove many of the barriers and concerns about vehicle ownership."
The new offering is part of the Hyundai Assurance program, which covers all of the automaker's cars sold in the U.S. The program includes a five-year, 60,000-mile new-vehicle warranty and a 10-year, 100,000-mile powertrain guarantee, as well as five years of free roadside assistance.
With the new feature, when a customer trades in the vehicle, the car will be evaluated to determine the current market worth, compared to the guaranteed value, and the company will give the consumer the higher of the two prices. For example, if the current market value is higher than the ensured price, the customer can apply that sum to the purchase of a new Hyundai. On the other hand, if the assessed worth is lower than the guarantee, the consumer can use the latter toward the purchase of a new Hyundai financed through the automaker's credit program.
Customers must show proof that their vehicle was regularly maintained at authorized Hyundai dealerships.
"Through Assurance, we share in our owners' investment, and the Trade-in Value benefit extends this (company-owner) partnership from the initial purchase all the way through what we hope will be the consumer's next purchase of another Hyundai," said Krafcik.
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