Originally Posted by Seann45
Dealers get a kickback when they sell financing.. so don't count on much of a discount for that.. but knock 30% off the asking price before you even start. No trade is also worth a discount..
I was going to say the same thing. I worked in wholesale lending doing indirect loans for many years, and there is definitely extra profit to the dealership when you finance, so I wouldn't let them know you're paying cash until AFTER you landed on a final price. Nothing wrong with saying you will finance and then changing your mind. Remember those old Carmax commercials where they used a long skinny balloon to demonstrate how dealerships work? Squeeze one end the other gets bigger - it's exactly like that! The dealership also gets a kickback from the manufacturer above and beyond the invoice price and usually a volume incentive as well. In other words, they pay less than invoice when all is said and done. Shopping on or near the last day of the month often yields the best deal, especially if they need your sale to meet the next incentive level from the manufacturer. If you shop earlier in the month, be prepared to walk away. I've used this method when buying cars and each and every time, they call me back at month end to offer me a better deal. Best of luck to you and kudos for paying cash!