[Emoto]

Considering how to purchase a 2016. I will qualify for financing, and am seeing rates like 2.9 offered by the dealer, which isn't terrible. Or, I could scrape together cash.

The question is: If I finance, is there something that can be "split" between I and the dealer that might be used to bring down the price of the car?

Or... is paying cash a better lever?

I have only purchased one new car in my life, so am almost entirely ignorant, and not afraid to admit it.

[Glen e]

A dealer def makes money when you finance with him, anywhere from .25 to 1.5 pct points.

A general rule of thumb is a dealer does NOTHING for free unless it is needed to make a deal.

However when it comes to money nothing is a "lever"..... the dealer gets funded when you use cash, use his financing or you get your own financing ......it's basically all the same to him

[Emoto]

Originally Posted by Glen e

A dealer def makes money when you finance with him, anywhere from .25 to 1.5 pct points.

A general rule of thumb is a dealer does NOTHING for free unless it is needed to make a deal.

However when it comes to money nothing is a "lever"..... the dealer gets funded when you use cash, use his financing or you get your own financing ......it's basically all the same to him

Thanks for the info.

So, they make some small % on it. Hmmm.

Maybe I am dreaming, but why not offer to finance in exchange for having no tacked on fees like paperwork fees or whatever they're called? Then, just pay it off fast.

[Mud Z06]

Originally Posted by Emoto

Thanks for the info.

So, they make some small % on it. Hmmm.

Maybe I am dreaming, but why not offer to finance in exchange for having no tacked on fees like paperwork fees or whatever they're called? Then, just pay it off fast.

people do that. just make sure there is not early payoff penalty.

[Emoto]

Originally Posted by Mud Z06

people do that. just make sure there is not early payoff penalty.

Good point. Or minimum finance charge to satisfy the loan. Has to be worth it for what you're getting.