OT: Paying cash for a new car, tips?

[kookmyers]

I’m not sure if this has been mentioned yet, but if paying cash, be sure to hand over your highest rewards credit card and have them charge the max they will allow. It’s always been $5k for me. I cant get them to give me a slightly better price to account for what they pay in fees so might as well reap some benefit.

[tomato coupe]

Originally Posted by NYCfixie

I did this on two brand new cars (for mother and mother-in-law), at different dealerships, in different states, and had the same outcome...

Similar story, but without the dealer shenanigans. I made the deal via email over the course of 3 hours, and arranged for my mom to pick up the car the next day. (I'm in another state.) When she went to pick up the car, the salesman claimed to not know anything about the deal. It turns out they had two salesmen with the same (uncommon) name, and the wrong one responded to the initial page. It was an honest mistake, and everything was sorted out within an hour.

[pdonk]

Originally Posted by LJohnny

My understanding is that once going through dealership financing, they get their interest (in full for the loan term) no matter how quickly you pay after signing. I think financing through a credit union-type institution allows for interest to be paid at the rate of the agreement until the loan is paid, ie if paid before the term of the loan, paid interest amount paid will be lower.

Originally Posted by rice rocket

This is bad info.

Maybe, maybe not. When I financed my car, I asked about paying it off early and was told that the monthly payment price was basically the cost of the vehicle, plus financing over the life of the loan divided by the length of load, so there was incentive or savings to pay off early. When I read the agreement, it was pretty clear that the lender got its interest no matter what.

[Ryun]

Ill throw one more thing out there...

With current used car supply being extremely limited most dealers will be more aggressive on pricing if they know they are getting a solid used car they can retail.
Some mid line imports are still thin on new car availability and will actually prioritize new car transactions that will bring in a used car.

So the throw the trade in at the end from the 80s playbook may not work as intended.

[45K10]

Great comments everyone, thanks!

So what is the best way to handle the test drive?

We have a good idea of what type of car we want but we would like to test drive some different makes and models.

Do you schedule one online and and try and fend off the sales people?

Just show up at the dealer and ask for test drive?

[TiminVA]

Originally Posted by Ryun

Ill throw one more thing out there...

With current used car supply being extremely limited most dealers will be more aggressive on pricing if they know they are getting a solid used car they can retail.
Some mid line imports are still thin on new car availability and will actually prioritize new car transactions that will bring in a used car.

So the throw the trade in at the end from the 80s playbook may not work as intended.

I'll agree on this. I recently traded my 8 year old Subaru Crosstrek in on a 2024 Crosstrek. I was considering selling the old one myself or to Carvana, Carmax, etc and checked all usual places for pricing. The Subaru dealership I went with offered me $3000 more than any of the other places and $1500 - $2000 more than I would have priced it at if selling myself.

[fourflys]

Originally Posted by 45K10

Great comments everyone, thanks!

So what is the best way to handle the test drive?

We have a good idea of what type of car we want but we would like to test drive some different makes and models.

Do you schedule one online and and try and fend off the sales people?

Just show up at the dealer tand ask for test drive?

You can go test drive any car without doing a deal.. probably have to let them copy your license and insurance.. and dealing with going to the dealer vice online isn’t that bad.. just go in and tell them they have 30 min and be prepared to walk out at 30 min if that’s important to you.. not all dealers ar me that predatory (some are for sure)

[NYCfixie]

Originally Posted by fourflys

You can go test drive any car without doing a deal.. probably have to let them copy your license and insurance..

And I always ask for it back when I leave. They DO NOT need that info until you actually buy a car. Dealerships are not great about protecting personal information so I shred it myself.

[yngpunk]

Originally Posted by 45K10

Great comments everyone, thanks!

So what is the best way to handle the test drive?

We have a good idea of what type of car we want but we would like to test drive some different makes and models.

Do you schedule one online and and try and fend off the sales people?

Just show up at the dealer and ask for test drive?

Essentially, yes..."just show up at the dealer and ask for a test drive", but you're setting yourself up for a bunch of headache in having to deal with a new sales person at each location. Although, couldn't hurt to try to set up appointments and confirm that the car you are looking at is available on the lot (esp. with used cars).

I'm a big proponent of going to CarMax and test driving as many cars as you want...literally, just point to the car and tell your sales associate (after you've checked in) I want to test drive that one...one after the other if needed. Once you figure out what you want, you can buy there or find it elsewhere and test drive the actual vehicle you'll be buying.

[fourflys]

Originally Posted by yngpunk

Essentially, yes..."just show up at the dealer and ask for a test drive", but you're setting yourself up for a bunch of headache in having to deal with a new sales person at each location. Although, couldn't hurt to try to set up appointments and confirm that the car you are looking at is available on the lot (esp. with used cars).

I'm a big proponent of going to CarMax and test driving as many cars as you want...literally, just point to the car and tell your sales associate (after you've checked in) I want to test drive that one...one after the other if needed. Once you figure out what you want, you can buy there or find it elsewhere and test drive the actual vehicle you'll be buying.

Agree, CARMAX is also great to just walk and look at/sit in cars..

[yngpunk]

Originally Posted by fourflys

You can go test drive any car without doing a deal.. probably have to let them copy your license and insurance.. and dealing with going to the dealer vice online isn’t that bad.. just go in and tell them they have 30 min and be prepared to walk out at 30 min if that’s important to you.. not all dealers ar me that predatory (some are for sure)

You shouldn't need to provide a copy of your insurance to test drive a vehicle. You should be covered by the dealer's insurance policy should you get in an accident or damage something.

[tomato coupe]

Originally Posted by fourflys

You can go test drive any car without doing a deal...

... with the possible exception of a new Corvette. A lot of dealers won't let you sit in a new Corvette, much less drive it, until the deal its done. Apparently, it's really important to many buyers that they take possession of their new car with only 1.3 miles on the odometer.

[Ralph]

I might add....I always try to treat them with the same respect I want back. I try to be nice, friendly and business like, and I expect the same from them. It doesn't hurt to make a good impression. You can do business without being a jerk.

I really dislike buying from our local Honda dealership (which I did once for CRV), An Auto Nation. They play all these games. Buying my wife's Lincoln Nautilus was a good experience from that dealership and dealing with their service department is the same. It's amazing the difference in dealerships.

[benb]

Originally Posted by tomato coupe

... with the possible exception of a new Corvette. A lot of dealers won't let you sit in a new Corvette, much less drive it, until the deal its done. Apparently, it's really important to many buyers that they take possession of their new car with only 1.3 miles on the odometer.

Eh... legit worry if a car has a break in period and/or a manual transmission.

They don't want to buy one that someone test drove to 100+ mph in the break in period and then accidentally downshifted from 5th to 2nd.

[rice rocket]

Originally Posted by tomato coupe

... with the possible exception of a new Corvette. A lot of dealers won't let you sit in a new Corvette, much less drive it, until the deal its done. Apparently, it's really important to many buyers that they take possession of their new car with only 1.3 miles on the odometer.

I was at the 24 Hours of Daytona last weekend, they had a few on display, doors were open, including a Z06 w/ Z07 package. Sticker on it was $154k.