buying a new car with a credit card | TigerDroppings.com

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tiddlesmcdiddles
LSU Fan
Lafayette, LA
Member since Apr 2013
729 posts

buying a new car with a credit card


I will be buying a new truck soon and was wondering if anyone has used a credit card to make the purchase then pay the balance off immediately. This way i would be able to get reward points back instead of just writing a check






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Broke
LSU Fan
AKA Buttercup
Member since Sep 2006
55596 posts

re: buying a new car with a credit card


Most dealerships won't allow you to put an entire car on it but they'll allow some.





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Croacka
UNLV Fan
Denham Springs
Member since Dec 2008
49527 posts

re: buying a new car with a credit card


Yeah, they may try to charge a processing fee

I've put down a down payment or deposit, but that's it






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the LSUSaint
LSU Fan
Member since Nov 2009
5209 posts

re: buying a new car with a credit card


They will incurr a 2-3% fee as a merchant taking the card. I guess they would do it, but not without passing the fee to you.

So whatever points you get would cost you the fee they pass on to you.

$900 on 30k vehicle






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tiddlesmcdiddles
LSU Fan
Lafayette, LA
Member since Apr 2013
729 posts

re: buying a new car with a credit card


quote:

I guess they would do it, but not without passing the fee to you.



this is what i kind of figured

thanks



This post was edited on 5/15 at 3:22 pm


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notiger1997
Member since May 2009
22188 posts

re: buying a new car with a credit card


I put $2,000 of the downpayment with my credit card. No problems at all.





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Zach
LSU Fan
Member since May 2005
62912 posts

re: buying a new car with a credit card


quote:

Most dealerships won't allow you to put an entire car on it but they'll allow some.


Oh yes they will.
When I was dating Lucy about 20 years ago I saw her Visa bill and looked at it. The balance due was $28k with a minimum payment of 200 hundred. She was paying the minimum.

Me: What is this?
Lucy: I bought a new Mitsubichi Eclipse.
Me: You put it on a card?
Lucy: Yes
Me: This is at 18% interest.
Lucy: So what?
Me: It will take you 50 years to pay it off.
Lucy: What can I do?

I took her to a bank and got her a conventional loan to pay off the credit card and repay the loan at 6%.

We got married a year later. She decided to let me handle the finances.






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barry
Cincinnati Fan
Location, Location, Location
Member since Aug 2006
37908 posts

re: buying a new car with a credit card


Wow she must be smoking hot





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cwill
New Orleans Saints Fan
Member since Jan 2005
23954 posts

re: buying a new car with a credit card


I tried that 5 years ago with my AMEX and they just told me "no".





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yellowfin
Illinois Fan
Coastal Bar
Member since May 2006
67622 posts

re: buying a new car with a credit card


They have limits of a few thousand they'll allow you to put on a card





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Chris Farley
Maryland Fan
Regulating
Member since Sep 2009
3637 posts

re: buying a new car with a credit card


I did this last year and I think the dealership's max was 3k.





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PlanoPrivateer
LSU Fan
Frisco, TX
Member since Jan 2004
1326 posts

re: buying a new car with a credit card


When we bought our last car my wife and I asked if we could put it on our credit card. Our limit was high enough to do so. When it came time to close the deal they told us we could only put the down payment on the credit card not the whole thing. We walked away from the deal.





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Shaun176
LSU Fan
Baton Rouge
Member since Aug 2008
702 posts

re: buying a new car with a credit card


I did this in 1999 at Team Honda in Baton Rouge. Total was around 20k. I got air miles. I also registered, paid tax and titled the car at the dmv. It was a used car. I only paid the dealership the amount for the car and $10 notary fee. Drove off with the car, bill of sale and signed title as if it were a private sale.

I did a private sale on my other car and paid off the credit card bill before the interest kicked in. I got a airmiles ticket at 25k miles. Ended up using it to go to Mexico.



This post was edited on 5/15 at 7:32 pm


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keeton350
Alabama Fan
Member since Nov 2005
383 posts

re: buying a new car with a credit card


I traded in a car and the remainder owed on the new one was 4500 I put it all on the capital 1 venturer





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RLDSC FAN
Southern Cal Fan
Rancho Cucamonga, CA
Member since Nov 2008
15794 posts

re: buying a new car with a credit card


quote:

Wow she must be smoking hot


my thoughts exactly






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dallastiger55
LSU Fan
Jennings, LA
Member since Jan 2010
4697 posts

re: buying a new car with a credit card


Put 6k down payment on mine last month. Get 2x
Miles so 12k miles in one transaction. Not bad


Paid it off two days later






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the LSUSaint
LSU Fan
Member since Nov 2009
5209 posts

re: buying a new car with a credit card


quote:

I tried that 5 years ago with my AMEX and they just told me "no".



Amex charges the merchant a much higher discount rate thatn do Visa, MC, Discover....usually Amex is well over 3% and goes higher depending on industry.






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the LSUSaint
LSU Fan
Member since Nov 2009
5209 posts

re: buying a new car with a credit card


quote:

It was a used car. I only paid the dealership the amount for the car and $10 notary fee. Drove off with the car, bill of sale and signed title as if it were a private sale.


Yep, they absorbed the discount fee on the sale on the card because they have a much higher profit margin on used cars....

example: They may have gotten hat used car in a trade-in situation on a new car they sold. Offered some guy 3k on the trade and sold it to you for 5k...they figured meh and absorbed the $150 in card fees which, btw, is a deductible expense for them at the end of the year.






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the LSUSaint
LSU Fan
Member since Nov 2009
5209 posts

re: buying a new car with a credit card


quote:

Get 2x
Miles


which card?






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tiddlesmcdiddles
LSU Fan
Lafayette, LA
Member since Apr 2013
729 posts

re: buying a new car with a credit card


quote:

example: They may have gotten hat used car in a trade-in situation on a new car they sold. Offered some guy 3k on the trade and sold it to you for 5k...they figured meh and absorbed the $150 in card fees which, btw, is a deductible expense for them at the end of the year.


good point.

i would like to use my AMEX but i would settle for the visa if it came to it. my visa racks sky miles. i guess ill see how much they will let me put on it






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