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re: Myth about paying cash for cars

Posted on 8/6/14 at 11:20 pm to
Posted by Big Ragoo
Louisiana
Member since Jun 2008
192 posts
Posted on 8/6/14 at 11:20 pm to
It's not a myth. Dealers offer better deals for cash. They get spiffs! Any business wants cash vs having to administer a credit deal.
Posted by PPBeastMode
Member since Sep 2010
2400 posts
Posted on 8/6/14 at 11:21 pm to
The dealer said the dealership will only make $300 off the car that they sold to me. BS
Posted by Gaston
Dirty Coast
Member since Aug 2008
39062 posts
Posted on 8/6/14 at 11:23 pm to
I pay with a check from a credit union. They cash the bank check and get 100% of their money. I don't understand the difference.
Posted by Big Ragoo
Louisiana
Member since Jun 2008
192 posts
Posted on 8/6/14 at 11:28 pm to
That's called cash to the dealer. There is no difference. I'm referring to credit transactions from the dealer / manufacturer. Ie. Audi Credit, Ford Motor Credit etc...
Posted by RougeTiger
The Field, LA
Member since Sep 2009
1591 posts
Posted on 8/6/14 at 11:34 pm to
One in the hand is worth more than two in the bush, bro.
Posted by novabill
Crossville, TN
Member since Sep 2005
10456 posts
Posted on 8/6/14 at 11:36 pm to
quote:

Thanks for clarity. Dirty, evil car dealers trying to make money. Debils!


Everyone knows they need to make money. But the way the game is played, they make their money by deception off of those that are less informed.

I called a dealership this last week with the specs on the car I wanted and what I was willing to pay. After some back and forth, and me not moving, they agreed to my price. I drive 45 minutes to the lot and after another hour the manager comes out with paperwork that is 1200 above what we agreed to and assumed I would be ok with it. I walked.
Posted by novabill
Crossville, TN
Member since Sep 2005
10456 posts
Posted on 8/6/14 at 11:43 pm to
quote:

doesnt mean I will get controlled.


There is my issue. You have to be in control don't you. You have been trained that is the most important thing, being in control of the client.

I will have a nice day and find a dealer that is more progressive instead of being old car dogs.
Posted by DownshiftAndFloorIt
Here
Member since Jan 2011
66763 posts
Posted on 8/6/14 at 11:54 pm to
Salesmen are worthless.

Posted by novabill
Crossville, TN
Member since Sep 2005
10456 posts
Posted on 8/6/14 at 11:55 pm to
quote:

they want to know bottom dollar out the door and that is something salespeople dont do or know.


Not true, you have seen more than one person in this thread indicate that they have bought a car that way. Yourself have said you know the taxes, title and doc fee. Now all you need to know is the price of the car, which you do not want to give, and you can calculate the "out the door" price.
Posted by Hammertime
Will trade dowsing rod for titties
Member since Jan 2012
43030 posts
Posted on 8/7/14 at 12:19 am to
quote:

I hate the " out the door" people. They dont understand thats not how it works. Someone some day will buy this car. I treat all people the same and just because your interested in the car doesnt mean I will get controlled. We do an old school version of car sales. If you dont like that we only mark the xar up 2 to 4k and insist we only pay 500 for these cars then have a nice day.
Car salesmen are some of the stupidest people in the world. There's a reason why you are selling cars and not working at CERN.

Say it takes you 2 months to sell a car for a $3k profit. If you would've come down to $500 profit on that price, you could've had 10 sales in that same two months. Once those people are happy and feel like they got a good deal, they send other people to buy cars from you. You make more money and your life is easier.

Look at how much money they make at Brookhaven Honda selling 4 wheelers. They are normally $1000 less than anywhere else, and people come from 200 miles away to buy 4 wheelers.

You can also look at the high volume dealerships in Texas. They typically make under $1500 on each car, but sell a frick ton. Hell, they sell on the internet and don't really have salesmen at all.

I know exactly what I am gonna pay before I show up. As long as everything goes well on the test drive, I'm offering what I'm offering and I don't do the back and forth. If I walk up with a stack of cash, take the small profit and replace the car within the week and mark that one up. Car lots are just ate up with the dumbass and they are too cocky and stupid to realize it.
Posted by Hammertime
Will trade dowsing rod for titties
Member since Jan 2012
43030 posts
Posted on 8/7/14 at 12:19 am to
(no message)
This post was edited on 8/7/14 at 12:21 am
Posted by YouthInAsia
Member since May 2008
623 posts
Posted on 8/7/14 at 1:38 am to
quote:

Why do buyers think that they are entitled to some drastic discount off of sticker price because they are paying cash? And I mean ENTITLED. Not like just trying to get a good deal. Does everyone here realize that the dealership actually makes less money like that? They make more money financing cars, not selling them as cash deals. I hope this clears some things up for a lot of people.


LOL you didn't make your quota.
Posted by dreaux
baton rouge
Member since Oct 2006
40881 posts
Posted on 8/7/14 at 1:55 am to
a car off the lot it a lot better then one of hundreds just sitting there...big picture.
Posted by KG6
Member since Aug 2009
10920 posts
Posted on 8/7/14 at 7:48 am to
NM
This post was edited on 8/7/14 at 7:49 am
Posted by brgfather129
Los Angeles, CA
Member since Jul 2009
17107 posts
Posted on 8/7/14 at 7:51 am to
quote:

Look at how much money they make at Brookhaven Honda selling 4 wheelers. They are normally $1000 less than anywhere else, and people come from 200 miles away to buy 4 wheelers.

You can also look at the high volume dealerships in Texas. They typically make under $1500 on each car, but sell a frick ton. Hell, they sell on the internet and don't really have salesmen at all.


Hell, look at CarMax. People will knowingly pay a premium on a used car just so they don't have to deal with the sales process. You would think some forward thinking dealers would sit back and realize that sales model could potentially be more effective than trotting out some guy with a beer gut and pit stains who thinks he is Ricky Roma with a foursquare sheet.
Posted by yellowfin
Coastal Bar
Member since May 2006
97718 posts
Posted on 8/7/14 at 8:01 am to
quote:

It's not a myth. Dealers offer better deals for cash. They get spiffs! Any business wants cash vs having to administer a credit deal.


I guess some of you are just really uniformed
Posted by iglass
North Alabama
Member since Apr 2012
2921 posts
Posted on 8/7/14 at 8:04 am to
The whole sales model is hosed. Here's what I want from a car salesman...

- someone who is actually knowledgeable about the cars I am interested in

- someone who had decision making authority

- someone who can make recommendations based on what I want and need - beyond price ranges

In short, I want a salesman, not an order taker. And you'd better %^%(@*^%* respect me when I ask for the bottom line out the door price - I don't want to hear about dock fees, undercoatings, taxes, finance fees, or any other BS - give me the bottom line number I am going to write a check for. Give me a good deal and I'll give you a quick sale.
Posted by TexasTiger1185
New Orleans
Member since Sep 2011
13071 posts
Posted on 8/7/14 at 8:06 am to
quote:

Why do buyers think that they are entitled to some drastic discount off of sticker price because they are paying cash? And I mean ENTITLED. Not like just trying to get a good deal. Does everyone here realize that the dealership actually makes less money like that? They make more money financing cars, not selling them as cash deals. I hope this clears some things up for a lot of people.


A dollar today is worth more than a dollar tomorrow.
Posted by shel311
McKinney, Texas
Member since Aug 2004
111143 posts
Posted on 8/7/14 at 8:09 am to
quote:

Does everyone here realize that the dealership actually makes less money like that? They make more money financing cars, not selling them as cash deals
I'm not sure this is correct.
Posted by Croacka
Denham Springs
Member since Dec 2008
61441 posts
Posted on 8/7/14 at 8:10 am to
Pretty sure it is
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