Frequently Asked Questions
As a GM employee, what are my options?
As a General Motors Employee you are eligible to purchase up to 6 vehicles per model year. This includes 2 company owned (PEP/GMU) vehicles, and 4 GMO (factory orders) or GMS (in stock) vehicles. Refer to the section on "Eligible Participants" or contact Mike Boggia "PEP KING" at (330) 726-2277 or (800) 686-6141.
Who can purchase?
Under provisions of the GM New Vehicle Purchase Program (GMO, GMS) the following persons are "eligible purchasers" and may receive program assistance from GM: GM Employee, retiree, surviving spouse of decease employee/retiree
Under provisions of the GM New Vehicle Purchase Program (GMO, GMS) the following persons may be sponsored by an "eligible purchaser" to receive program assistance from GM:
Note: Parents, brothers, and sisters are not eligible for Saturn vehicle purchases under GMO.
- Spouse of employee or retiree
- Children/step-children of employee, retiree, or spouse
- Parents/step-parents, brothers and sisters of employee or retiree
- Parents/step-parents and children/step-children of the spouse of an employee or retiree
- Parents/step-parents and children/step-children of a deceased employee/retiree
- Parents/step-parents and children/step-children of a surviving spouse
- Fathers, Mothers, Brothers, Sisters and In-Laws
Under provisions of the GM Company-Owned Vehicle (PEP) Purchase/GMU Program, the following persons are "eligible purchasers" and may receive program assistance from GM:
Under provisions of the GM Company-Owned Vehicle (PEP) Purchase/GMU Program the following persons may be sponsored by an "eligible participant" to receive program assistance from GM:
- GM Employee, retiree, or surviving spouse (who has not remarried)
Spouse of employee or retiree
- Dependent children/step-children (under 21 years of age or full time student) of employee, retiree, or spouse
- Dependent children/step-children (under 21 years of age or full time student) of surviving spouse (who has not remarried)
What about financing?
GMAC Financial services are offered.
What is the warranty on my car?
G.M. Vehicle Protection Plans may be purchased to suit your needs. Most General Motors vehicles come with a 3 year/36,000 mile bumper to bumper warranty. If you find you need better protection, contact the GM Employees Purchasing Department.
How soon can I get my new vehicle?
GMO purchases - factory orders usually take 6 to 10 weeks. GMS purchases - in stock; or, company owned vehicles (PEP/GMU) can usually be obtained in 2 to 3 months, but may take longer.
Can I get after market options?
Yes. All after market options and accessories are available for you. Certain after market add ons may be residualized in a lease.
Who may buy from The PEP KING?
- You may purchase or lease your vehicle through any GM dealer.
- The PEP KING specializes in GM employee purchases, and will provide a hassle free buying/leasing experience.
- The PEP KING sells Buick, Pontiac, and GMC Trucks.. As one of the nation's leading General Motors sales force, we are here to meet all of your buying needs. No matter the model, color, or options, we will get your vehicle for you.
COMPANY-OWNED VEHICLES (PEP)
Vehicles in use by GM company units under the GMU/Product Evaluation Program (PEP) must be tagged by eligible participants by calling (800)815-3812, and following the automated system. Vehicles are sold at a price established by GM with accumulated mileage. The sale contract for the vehicle is assigned to an eligible dealer of the participant's choice who is willing to handle the transaction. The dealer picks up the vehicle at the end of the duty cycle, arranges for payment as necessary, inspects the vehicle, and delivers it to the purchaser. The participant is to be furnished a copy of the dealer invoice displaying the price and documentation of any and all incentives applicable to the vehicle. Such allowances are passed to the purchaser as a specific reduction in purchase price.
Note: Participants who elect to tag a vehicle outside of their local area must make arrangements through a dealer to pick up the vehicle or pay for its transportation from the point at which it comes out of company vehicle service to the dealer's area.
PEP Vehicles - We will sell to employees at the PEP price designated by the Car Division. There is no additional dealer mark up. We will perform a lube, oil change and filter at no charge.
The participant agrees to purchase the vehicle from GENERAL MOTORS at the special price in effect at the time the order is received by the vehicle division. The sale contract for the vehicle is assigned to an eligible dealer of the participant's choice who is willing to handle the transaction. The dealer orders the vehicle, arranges for payment as necessary, inspects the vehicle, and delivers it to the purchaser. The participant is to be furnished a copy of the dealer invoice displaying the price and documentation of any and all incentives that are included on the vehicle. Such allowances are passed to the purchaser as a specific reduction in purchase price.
The participant locates a vehicle in dealer stock at a set price from GM.
SPECIAL CHARGES OR FEES
Additional fees, either to the participant or GM, for handling these transactions are contrary to the intent of the program. The vehicle under GMO or Company-Owned Vehicle Program is purchased from GM by an eligible participant by way of assignment of the contract for sale through an authorized dealer. The price to the participant is the applicable discounted price established by GM, less any applicable incentives that may be in effect at the time of sale. There will be NO assessment of additional fees (such as "documentary fees" or "handling fees").
The solicitation or acceptance of money or items of value from a dealer in connection with the purchase of an GMO or Company-Owned vehicle under the GM Employee Purchase Program is a violation of GM company policy and this program. Violations can result in disciplinary action including termination of employment of the employee/sponsor. These situations are governed by the chairman's Letter on Gift Policy which pertains to all GM employees.
To offer or provide money or items of value to GM employees or eligible participants in connection with vehicle purchases under the GM Employee Vehicle Purchase Program is strictly prohibited. Dealer participation in such activities will result in chargeback for the applicable employee purchase allowance(s) and may include recision of dealer privileges to participate in this Program.
GMAC Smartlease Programs are available to participants (except GMAC Capital Corporation employees) under these programs. The selected dealer can supply details and handle applications to GMAC. No other lease arrangements are available to participants under these programs. A Chevrolet or GMC Truck chassis on which a recreational vehicle (Class A or C motor home) is mounted may NOT be leased under Smartlease by GMAC. A Smartlease will count toward the maximum number of vehicles per year and must be retained a minimum of twelve months after entering the lease.
GM PROTECTION PLAN
THE GM Protection Plan will be sold to participants at a special price when a vehicle is purchased under the GMO, GMS, or Company-Owned Vehicle Purchase Program. Application can be made at the dealership, or by calling the GM Protection Plan directly at 1-800-723-4677.
Vehicles purchased under the GM New Vehicle Purchase Program or the GM Company-Owned Vehicle Program must be for the personal use of the purchaser. It is contrary to the intent and rules of the program to purchase/register a vehicle to an eligible participant but then surrender said vehicle to an ineligible person for part or all of the required retention period. Vehicles purchased under the Program must be registered, licensed, titled, insured and owned by only persons eligible under the Program (except such vehicle may be jointly registered in the name of an eligible participant and their spouse), and financial ownership and participation must be limited to these parties for the required period. Co-titling with a business entity or an ineligible person is not allowed, nor is co-signing of the financing with an ineligible person, except with a spouse as noted above. It is the sponsor's responsibility to provide these program rules to the eligible family member to whom the purchase certificate is being transferred. Violations of Program rules will result in sanctions against the sponsor. Any attempt to mask ineligible ownership of a vehicle will result in immediate disqualification from the Program for the employee/sponsor/dealer.
Eligible purchasers (defined in paragraph 5.2.2*) are entitled to purchase or sponsor a maximum of six vehicles (four GMO of GMS, and two GMU/PEP) per model year. Vehicles purchased under these programs must be retained by the eligible participant for at least six months after the date of purchase.
ADDITIONAL PROGRAM ELIGIBILITY
Retiree is defined as a GM employee retired under the provisions of the GM Pension Plan or Salaried Retirement Program.
A laid off employee may participate in the Program during the first twelve (12) months of layoff (24 months if the employee has 10 or more years of service or seniority at the time of layoff).
An employee on an approved disability leave of absence may participate during the entire period of the disability leave. However, an employee on an approved leave of absence for other reasons may only participate during the first twelve (12) months of such a leave.
A GM Scholar and a College Intern may purchase a vehicle during the period of employment.
Former employees who are entitled to deferred vested pension benefits, and temporary contract employees are NOT eligible.
An employee who quits or is separated (including contractual terminations) may NOT participate in the program, even if the vehicle had been ordered prior to the effective date of separation.
*Refers to General Motors Dealership Policies & Procedures Manual.
Program for GM Employees
Financing or Lease Rates will be calculated at retention for GMAC employees.
The GM Protection Plan may be purchased at GM employee cost. We will furnish GMPP price list upon request.
After deciding on a vehicle, what do employees need to do?
- Fill out credit application where applicable
- Send a copy of invoice in the case of PEP/GMU vehicles
- Fax this information to Mike Boggia, "The Pep King
What do employees need to do at the time of the sale?
- Get a hard copy of credit application
- Provide the Dealer with the GM Employee Purchase Certificate. This certificate must become a part of the Dearlership's permanent Deal Record. (This is the yellow certificate)
What do GM employees do at Lease Maturity?
- Call the Pep King at Youngstown Buik 6 months before maturity to discuss options. You may need an extension or you may want to tag another vehicle. This may take 60-90 days or longer. That's why it is important to call 6 months in advance.
Specific vehicles may be excluded from participation in the GM Employee Purchase Programs.
COMPANY-OWNED VEHICLES (PEP)
Vehicles in use by GM company units under the GMU/Product Evaluation Program (PEP) must be tagged by eligible participants for purchase at the end of the duty cycle. Vehicles are sold as "Used" and on an "as is" basis, and the vehicle warranty is limited to the remainder of the GM New Vehicle Warranty, with the start date being the date the vehicle was first put into service. Used company vehicles purchased by dealer at auction or through other channels are not eligible.
Tagged units will be transferred to a designated Dealer franchised for the vehicle line and model at the end of company use. If the vehicle is refused by the participant who tagged it, the vehicle is to be returned immediately to the GM facility where it was in service. This vehicle is NO LONGER available for sale to a GM employee, and is NOT eligible for rebates/incentives.
GMO AND GMS
Eligible participants may purchase new and unused GM passenger cars and light duty trucks (including vans and van conversions) under GMO. These vehicles are sold by GM Divisions or subsidiaries to their AUTHORIZED dealers. Vehicles will be sold through dealers franchised to sell the vehicle, and the vehicle, as equipped, must be eligible for purchase in the country where the participant resides.
A GMC Truck chassis on which a recreational vehicle (Class A or C motor home) is mounted is eligible under GMO or GMS; however ONLY the base vehicle is eligible under these programs, and the participant must be the original purchase of the vehicle as evidenced by the vehicle registration.
Under GMS, a participant may purchase new and unused units, dealer demonstrators, driver training vehicles, and GM special event vehicles. Other used units such as PEP/GMU vehicles sold directly to dealers are NOT eligible.
The General Motors Employee Vehicle Purchase Programs provide eligible participants the opportunity to purchase GM vehicles under either two programs, the GM New Vehicle Purchase Program and the GM Company-Owned Vehicle Purchase Program. The following provides a summary of the program parameters.
A vehicle is located in the GM Dealer stock by eligible participant. At a set price from GM.
GMU/COMPANY OWNED VEHICLE (PEP)
A vehicle is tagged while in use at a GM unit by an eligible participant. This vehicle is assigned to a GM Dealer who accepts the assignment, receives the vehicle at the end of the service period, and prepares and delivers it to the eligible participant through the dealer.
A certificate of identification and eligibility assists dealers in administration of the GM Employee Vehicle Purchase Programs. This certificate is applied for by the eligible purchaser (defined in paragraph 5.2.2*) by phone with GM Vehicle Purchase Center (this number is only for GMS) 1-800-235-4646, and a hard copy GENERAL MOTORS VEHICLE PURCHASE CERTIFICATE is mailed to the participant's home address. Each certificate has an identifying authorization number which is used by the dealership to report the transaction, and is keyed to the participant's vehicle purchase file. (Illustration i.7.)
The certificate authorization number must be supplied to the dealer when an vehicle is ordered, and the number must be supplied to the GM Vehicle Coordinator when a PEP/GMU unit is tagged for purchase. The participant must surrender the completed and signed certificate to the dealer at the time of delivery with any GMO, GMS or PEP/GMU purchase. If the vehicle is being purchased by a sponsored purchaser (defined in paragraph 5.2.2*), the name of the purchaser must be entered on the certificate, and the relationship to the eligible purchasee (defined in paragraph 5.2.2*) must be noted prior to the time that the certificate is released to that person.
It is the dealer's responsibility to know the purchaser, and relationship to the employee, retiree, or surviving spouse. If a dealer delivers a vehicle to a person known to be not eligible under the GM Employee Vehicle Purchase Programs, the sale will become an ineligible delivery and handling allowance and incentives will be charged back to the dealer by GM. The Dealer is supplied a worksheet that can be reproduced and used with each deal. Prior to delivery of the vehicle the dealer will contact the GM Vehicle Purchase Center, using 1-800-235-4646, to verify the continued eligibility of the purchaser/sponsor. The certificate will be retained in the "deal file" with the rest of the sale and transfer documents.
*Refers to the General Motors Dealership Policies & Procedures Manual