Insisting on financing

[SageMother]

Last year I wanted to buy a vehicle, used, and had $5,000.00 cash and wanted to stay within that price. First the saleman wanted to use that as a down payment on something totally unworhty of a high price, let's face it its not like I was buying something that appreciated. Then, once I settled on a vehicle he still wanted to fill out the paperwork as if I was going to finance. I kept telling him there was no need to collect the information because I was paying cash. It tookk about 20 minutes for the dealership to get things arranged for cash.

Is it my imagination or were they beng pruposely obtuse because they make more money on financing than cahs purchases...or was it them not being flexible enough to think outside of their usual sequence?

[LyricB]

Dealerships make a ton of money on interest income, so it's only natural that they would try to talk you into financing something. Rude, but natural.

[moonmagick]

My husband is a car salesman and I seem to remember him mentioning that the dealership gets so much of a bonus at the end of the month if they finance so many automobiles through a certain lender. I could be wrong on that, but it seems to stick out.

[nangel78]

I recommend cash as well. They do make a lot of money from the interest. Cars depreciate very quickly once they leave the lot.

[Calypso]

Good for you, SageMother. Some salesmen can be pretty sneaky about talking you into spending way more than you can afford. I'm glad you stuck to your guns and got the price you wanted. (Can I take you with me next time I go car shopping???? )

[katharina]

Quote:

Originally Posted by SageMother

Is it my imagination or were they beng pruposely obtuse because they make more money on financing than cahs purchases...or was it them not being flexible enough to think outside of their usual sequence?

Nope, not your imagination at all. The same thing happened to us last August. We had NO desire to finance and had the cash and they looked at me like I was nuts or something. I didn't WANT to pay thousands more by financing.