Need Your Advise. Looking to buy a New car CA$H (car loan, vehicle)

[30STM]

how much of a discount should I ask and expect if I pay for a car in CA$H?

[00molavi]

Not much. Actually dealers make money from financing. All sorts of finance charge, credit check and fuzzy math. So when you pay cash, you take a bunch of fun and profit out of their pocket. Nothing wrong with it, but don't expect the red carpet. I always pay cash myself. You know what you paid for the car.

[sailordave]

Not sure. I say shop around. Find a car model you really want after test driving. Once you've decided on a model, cross shop competing dealerships within the same region. You may find a big price difference for the same car in different areas. My uncle once tried to buy a new car with cash. He knew exactly what he wanted. First dealership gave him the run around and attitude. Second dealership in the next parish (county) over was happy to see him and work with his desires and give him a deal. He drove off in the new car and went right back to the first dealership to show the A holes he was serious about wanting to buy and show them the commission they lost out on for their attitude. That first dealership is now out of business (just a few years after his purchase) while the other dealership has expanded.

[30STM]

Originally Posted by 00molavi

Not much. Actually dealers make money from financing. All sorts of finance charge, credit check and fuzzy math. So when you pay cash, you take a bunch of fun and profit out of their pocket. Nothing wrong with it, but don't expect the red carpet. I always pay cash myself. You know what you paid for the car.

very interesting an a friend just emailing me the same info you just mentioned. He said DONT tell them your buying cash till the VERY end of the sale.

[vmaxnc]

Little to no discount. This isn't the old days where the owner of a dealership might just stick the money in his pocket, or otherwise fudge the books to his advantage.

[sailordave]

Your biggest discount is not paying interest on a car loan.

[greg42]

Originally Posted by 30STM

very interesting an a friend just emailing me the same info you just mentioned. He said DONT tell them your buying cash till the VERY end of the sale.

This is what I've heard these days as well.

I wonder, if you do it right and read everything carefully, if it wouldn't be better to go through with the finance, then pay it off immediately? This presumes no prepayment penalty, etc, so you REALLY must read it carefully.

[southernnaturelover]

Many times they're already trying to check your credit before the deal is even reached.

You can probably get a bigger cash discount by buying a slightly used vehicle, they don't have as much invested in those because they shafted the person that traded it in.

[trlhiker]

I wouldn't pay in cash. Make a good deal, let them finance you and when you make the first payment, pay it off.

[SpeedyAZ]

Originally Posted by 30STM

very interesting an a friend just emailing me the same info you just mentioned. He said DONT tell them your buying cash till the VERY end of the sale.

Just allow them to believe that you're financing until you've agreed on a set dollar price for the vehicle, NEVER and I mean NEVER allow the dealer to try to do the whole "how much do you want to spend each MONTH?" crap. Every time I've went to dealerships, they immediately start talking about monthly payments rather than the price of the vehicle itself, do NOT allow this to happen. Always tell them, "I'm looking to a buy a vehicle between X dollars and X dollars" it's even better if you know the exact vehicle you want, know the true market value of the vehicle, understand the dealer markup, and negotiate with all this information in mind. You can find it all online anymore and save yourself some big bucks.

Do your research and become knowledgeable; these two things will save you more money than anything else.