| Members Are Asked... many questions by people they are introducing to the Five Star Auto Club. I have given the correct answers to these:
Question: This sounds too good to be true. How can Five Star Auto Club afford to pay the downpayment and 24 monthly payments on my "Dream Vehicle"?
Answer: Well, the answer is simple to arrive at with a little math. Assume that you want a vehicle with a $25,000.00 U.S. M.S.R.P. The normal monthly lease payments would be approximately $410.00 U.S. per month. You would be required to sell 11 memberships @ $395.00 U.S. each to qualify for this price vehicle. Five Star Auto Club would pay you $100.00 U.S. bonus for each of the 11 memberships which means that Five Star Auto Club would retain $295.00 U.S. x 11 = $3,245.00 U.S. At the end of 12 months each Member will pay their second year annual dues. You would receive another $100.00 U.S. bonus for each of the 11 members and Five Star Auto Club would retain an additional $3,245.00 U.S. totaling $6,490.00 U.S. Now, there will be a minimum of 33 members in your secondary group, an average of 3 for each member in your primary group, that will pay $100.00 U.S. per month dues. If Five Star takes only $5.00 U.S. per month from each of the member's monthly dues, this would be $5.00 U.S. x 33 members = $165.00 U.S. per month x 24 months = $3,960.00 U.S. Add this $3,960.00 U.S. to the $6,400.00 U.S. and you have a minimum of $10,450.00 U.S. credited to your lease account. The monthly lease payment of $410.00 U.S. x 24 months = $9,840.00 U.S. Subtract the $9,480.00 U.S. total lease payments from the $10,450.00 U.S. in your lease account and you will see that Five Star Auto Club has a surplus of $610.00 U.S. to allow for an increase in interest rates and/or vehicle M.S.R.P. NOTE: each membership that you sell, over the number required to qualify you for your vehicle, will make you $100.00 U.S. bonus and credit another $295.00 U.S. to your lease account making Five Star Auto Club additional profit on your leased vehicle. The $100.00 U.S. monthly dues each member pays Five Star Auto Club is used to pay the $20.00 U.S. or $40.00 U.S. monthly commission, paid to you for your secondary group, approximately $39.00 U.S. each month for each member. Using these figures, when Five Star Auto Club has only 100,000 members x $39.00 U.S. gross profit per month from each member...$3,900,000.00 U.S. per month profit. I don't think we need to be concerned about Five Star Auto Club running short of cash.
Question: Is Five Star Auto Club a vehicle leasing company?
Answer: No!! Five Star Auto Club is not the lessor or lessee, nor does Five Star Auto Club derive any rebates or commissions referring our members to our 4,000 Nationwide Authorized Dealer Network. The club acts as a member's agent, advisor, negotiator and facilitator only. Five Star Auto Club does not purchase or sell motor vehicles.
Question:
How old do you have to be to become a member and qualify for a vehicle?
Answer: You must be 18 years old to become a member or consultant. In the event that a person is still attending college, does not have a residence of their own or does not have a full time job it may be neccesary for their parents or other established adult to co-sign the lease. Each case is different.
Question: When I enroll a person in my primary group as a consultant only and later they pay their $395.00 U.S. annual dues to become a member, do I receive a $100.00 bonus?
Answer: Yes, as soon as Five Star Auto Club receives their $395.00 U.S., your account will be credited the $100.00 U.S. bonus.
Question:What do I use for my I.D. number on the membership application if I enroll a member or consultant prior to Five Star Auto Club assigning me an I.D. number?
Answer: Five Star Auto Club will assign you an I.D. number. It will be included in your marketing kit.
Question: What day of the month does Five Star Auto club close their books to figure the commissions due?
Answer: All membership applications and dues that are received by Five Star Auto Club on or before the last day of each month are posted for that month's bonuses and commissions. The checks will be mailed on the fourteenth (14th) day of each month, unless the fourteenth (14th) falls on a weekend or holiday and then they will be mailed on the next business day.
Question:As a consultant or member-consultant are there any limits as to how many memberships I can sell to earn $100.00
U.S. bonuses?
Answer: No you can enroll as many members as you can and earn $100.00 U.S. bonus on each.
Question: Can I upgrade, realizing how easy it is to qualify for a more expensive vehicle?
Answer: Yes, with written request, you can upgrade at any time with no penalty within same manufacturers line. Also, the same applies to taking a less expensive vehicle with the idea of qualifying for 2 vehicles. You could be smiling behind the wheel of your midsize vehicle, showing it to everyone you know while selling them a membership in your primary group to qualify for your second, more expensive "Dream Vehicle".
Question: How many vehicles can I qualify per household or I.D. number?
Answer: There are no limits to how many vehicles you can qualify for. You can get one vehicle for each membership you pay and qualify for. Example: You join as a member or member-consultant, pay your dues and qualify for your first vehicle. Now, you want a second vehicle. Pay $395.00 U.S. annual dues and $100.00 U.S. monthly dues and qualify for your second vehicle - just as you did your first. Do this until you have your own fleet!!
Question: When do I begin paying my $100.00 U.S. per month Membership dues?
Answer: Once a member submits their signed membership application, the first monthly dues begin on the 10th of the next month following the month they became a member. Since a member-consultant receives $100.00 U.S. bonus for each member sold in their primary group, you only have to use the bonus from one of the memberships you sold to pay the first month's dues. By the second month you should have many members in your primary group along with many members in your secondary group that you will receive $20.00 U.S. or $40.00 U.S. for each member every month. Most member-consultants will rarely have to pay any dues out of pocket for more than one month.
Question: What happens if one of my secondary group drops out or cancels?
Answer: Nothing. You are not required to replace that member in order to stay qualified for your vehicle. You would not earn your secondary commission on that member any longer.
Question: How long does it take for a vehicle to be delivered from the time I place my order?
Answer: This varies from make and model, as well as availability. If you select a popular color with optional equipment that most dealers would order on cars they stock, then if could be a matter of a week or less. If you want an exact color with specific equipment, then your vehicle may have to be a manufacturer's order taking 8 to 12 weeks on average. If a member qualifies more quickly than average, Five Star Auto Club will, at their option, source the industry for a suitable vehicle, in stock, of the same make, model, color and options, if available within a reasonable distance to member.
Question: Where are vehicles delivered?
Answer: Five Star Auto Club has a 4,000 plus dealership network we draw from so in most cases a dealer will be within a 50 mile radius from most members' home or business. If a Member has a preference, we will try and accommodate them if the recommended dealer will match our price from our contracted dealer network.
Question: How many miles can I drive my vehicle before I am charged for mileage?
Answer: This varies between 12,000 and 15,000 miles per year. The cents per mile for the additional miles will also vary, based on the class of vehicle you select. The miles are allowed per year and the cents per mile for overage on the vehicle you select can be quoted to you by Five Star Auto, Inc. Corporate Offices in New York after you ahve submitted your Vehicle Acquisition Form. Actually any overage should not be a concern inasmuch as you are only paying $100.00 U.S. per month plus receiving a monthly commission check.
Question: Who pays taxes, license and title fees?
Answer: Members are responsible for all taxes, license and title fees based on local rates. Some states have no sales tax and some have 8% or more. The good news is that taxes are based on the actual lease payment - not the retail sal price of the vehicle. You don't pay any lease payments but Five Star Auto Club pays them for you - but you pay the taxes. The taxes are based on what your lease payment should be. So on a two year lease at say $225.00 U.S. per month for a $12,000 U.S. vehicle in a state with a 6% tax rate you would pay $13.50 U.S. per month. This would be a total of $324.00 U.S. for the entire twenty-four month lease. License and title fees range from $75.00 U.S. to $150.00 U.S. on average. All of these fees are paid by you to the dealer at the time you take delivery of your Dream Vehicle. Don't forget - by the time you qualify for your vehicle you should have received bonuses and commissions from Five Star Auto Club for much more than you will have to pay in fees to the dealer and the required insurance.
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