I've browsed some car dealer use lots recently. One thing I was wondering is, offering to pay in full as opposed to being financed a leverage for a better price? I got the impression from some salesmen that they were pushing to finance.
__________________ Throw the bums out!
48 CJ-2A, Bone stock except it has Allstate locking hubs.
86 CJ-7, 4.0 HO, AX-15, D-30, AMC-20
84 CJ-7, YJ tub and fenders, 258 ci, T-176, D-30, D-44 Trutracs F/R, 4.27s, 33s
77-90ish Wagoneer/TJ/CJ Yard Sale Special, 360AMC, TH400, Quadratrac, D-44s F/R, 3.07s, 34" LTBs.
They want the finance, that way they either get a kickback from the lender or if they carry the note they will get all the interest etc. Plus if talking finance they can smooth talk the numbers, and tweak figures and slide in some extras like gap, accessories, warranties etc. You would think that cash is king, many times its not, but I'm sure they would still like to make a sale.
Cash isn't king. I get people fairly often that think they can get deal paying cash. It doesnt matter in the least. Give me $10 from your left pocket, or $10 from your right, and i still get $10. If what I'm selling cost $10, you get it regardless if you pay me cash or the bank pays me cash, its all cash to me. If you default on the loan is the banks problem, not mine. I'm already paid in full no matter what. If what I'm selling cost $15, you don't.
If you're talking about a jd byrider type dealer, they often won't take cash. They intend to sell each vehicle a dozen times, not once. For that to happen they HAVE to finance themselves so they can repo from you later.
I don't trust any large dealership any more. Like for instance I got my cargo van from a small dealer and felt I got a good deal and yes I paid in full. The van retails in fair condition (according to NADA and KBB) for around $4,800 at that time considering it only had 168,700 miles. I paid $875. But.... I had to put $1,250 for a new possi-lock diff too. With that said, I still got by on a good deal. Guy ran it without ever checking the gear lube level. Axle bearing seals do wear out over time and start to leak. Well... usually the bearings wear out and the seal starts to leak as a result. Got over 200,000 and counting - still driving it.
If we are talking New Vehicles Best way to buy is shop their internet site & Deal with their internet sales manager do all negotiation online & shop other same brand dealers & pit 1 against the other for the best deal if Financing is needed go through your Credit Union/Financial Institution,It's harder to shop used vehicles that way though.
New: tell them to show you the invoice (that's what they paid for the car), you can try to beat them up lower than that if it's the last day of the month or nearing it, but pretty much best deals come at invoice less the incentives they have (ask what incentives are on the vehicle before you start talking price, some incentives they are not required to give you, so feel free to call a few dealers). You can try and play the pit the dealers against each other, but that'll be more frustrating for you than anything else. New cars are about volume and finance.
Biggest thing I can say is don't be afraid to be tough, but don't be a d**k. It won't help you at all.