Tried to tell em

[SlingShot]

I think everyone has there own way of buying a car.

For me, I've been using the same dealer for a couple decades. When there is a car I want, I just call my sales guy and tell him what I want and what options. They in turn give me their best price, and order it for me. In the mean time I get my own financing, from my bank that I do all my business with.

IMO shopping based on the monthly payment it the worst thing you can do.

[myold88]

Originally Posted by SlingShot

I think everyone has there own way of buying a car.

For me, I've been using the same dealer for a couple decades. When there is a car I want, I just call my sales guy and tell him what I want and what options. They in turn give me their best price, and order it for me. In the mean time I get my own financing, from my bank that I do all my business with.

IMO shopping based on the monthly payment it the worst thing you can do.

^^^^ This. Your financial situation is no ones business but yours and maybe
your bank, if you must borrow. A dealer is only interested in putting you in the
cheapest car at the highest price possable. I Just couldn't imagine buying a car on
the "How much can you afford or how much do you want to pay a month?" basis.

[baum]

I laugh at when people are so anti dealer financing.. why? Many times (purchasing my camaro including) i have had a dealer beat any bank (or cu) by more than .5-1%. If you can get a lower monthly price for the same term why not?

By law (at lease in mn) a dealer can mark up their buy rate (the rate the bank sells it to them at) by 2%. then again they can also give it to you for their buy rate. EX when i purchaed my camaro in '13 my Cu was at 1.99% the dealer had me in at 1.35% why wouldnt you go with them? cheaper payment. who cares if the dealer makes a couple hundred dollars for setting up the loans?

yes its a good thing to know what you can get (apr) else where, but if you have the credit to back it up the apr is negotiable at a dealer

[Hixson]

Originally Posted by pbeyer2010

As a word to the wise to the younger more vulnerable C5 folks out there, here is a bit of information i have found useful over the years, my apologies for hijacking the thread OP...

Starting your negotiations with a dealer with "what are you willing to pay per month" is basically the same as handing your checkbook over to them. The price of the car has been thrown out the window and they will just extend your payment cycle out 12,24,36 more months to make their nut.

Always, always always nail down "Out the door" pricing first ! Price + Taxes title and fees. Don't even mention financing until your ready to sign the deal, let them assume you are paying cash. Dealers make more money on the financing than they do on the sale of the vehicle. When they try to raise the price because you want to talk financing, call them out on their BS and demand the agreed to out the door price. Then back into the financing.

Hopefully you will bring your own financing to the table in the form of Cash or an unsecured auto loan so essentially the dealer is left out of the financing. Remember, even 0% APR is not free money. You wont get the same factory and/or dealer incentives that you would if you were not taking the 0%. This is to account for the loss of profit in the financing. Which again leads me back to the importance of nailing down the out the door price first !!

Sorry, thats my rant i am done !

I bought my 2015 Camaro 1SS new from a dealer in KC March of 2016 - was 23 at the time. Drove about 4 hours to see the car in person. Id been in sales training for a while to sell Caterpillar Equipment but I walked in having done a ton of research and I walked out with a wicked deal. I was in good shape because it was a year old new 2015 they wanted to move
but I got it well below invoice, recent college graduate discount, own a competitor discount, and 0% financing from them lol. Ive only bought a car once, but im assuming some people can get 0% financing and dealer incentives like I did right?

[Snoman]

Originally Posted by baum

I laugh at when people are so anti dealer financing.. why? Many times (purchasing my camaro including) i have had a dealer beat any bank (or cu) by more than .5-1%. If you can get a lower monthly price for the same term why not?

By law (at lease in mn) a dealer can mark up their buy rate (the rate the bank sells it to them at) by 2%. then again they can also give it to you for their buy rate. EX when i purchaed my camaro in '13 my Cu was at 1.99% the dealer had me in at 1.35% why wouldnt you go with them? cheaper payment. who cares if the dealer makes a couple hundred dollars for setting up the loans?

yes its a good thing to know what you can get (apr) else where, but if you have the credit to back it up the apr is negotiable at a dealer

What you are speaking about is referred to as Usery laws and it is governed at the State level, not Federal. In Texas, Usery rate is 24% maximum. The general consensus of the thread is to always secure financing before shopping for a vehicle. The buyer is encouraged to invite the seller to offer BETTER financing, but it is foolish to walk into a dealership without pre-financing from a third party, no matter what your credit score is.

[Snoman]

Originally Posted by Hixson

I bought my 2015 Camaro 1SS new from a dealer in KC March of 2016 - was 23 at the time. Drove about 4 hours to see the car in person. Id been in sales training for a while to sell Caterpillar Equipment but I walked in having done a ton of research and I walked out with a wicked deal. I was in good shape because it was a year old new 2015 they wanted to move
but I got it well below invoice, recent college graduate discount, own a competitor discount, and 0% financing from them lol. Ive only bought a car once, but im assuming some people can get 0% financing and dealer incentives like I did right?

March of '16 you purchased an untitled '15? If you are happy with the purchase price then you did well.

If you had pre-financing or paid cash you would have gotten the car a little cheaper, but likely would have paid 1% on your car note.

[Jackass]

Originally Posted by KROLIS

So I took my car for a oil change last Saturday, got a call from dealer on Wednesday asking if I would like to sell my car. Tell em no, maybe my wifes car. They said COME ON DOWN we can make a deal.(LOL) Went in told the guy I would pay $400 a month (which is more than what the payment is on the car).Told them what I was looking for (2017 2lt/rs). Guy came back asking if I was firm on the $400, said yes, why what are YOU looking at. He said $861 a month for 6 years LOL.

Now I went there knowing I could never get that but they CALLED me. Shortest time spent in dealer ship ever (30 minutes).

Same dealer that let me walk over $25 a month on another car about 6 months ago.

Old gimmick , new faces , same old shit !

[prod]

$800/mnth for a $35k msrp?
I would have told them I needed a test drive, run the piss out of that car, then at the end when asked if I wanted it, just walk out laughing my head off. If they treat your business like a joke, do the same to them.

[redcoats1976]

i paid cash for mine.its great to come in straight from the beach,holy denim shorts,tank top,looking grungy and try out several cars,then write a check for the one you want.really screws with their minds when they say"what do you want your monthly payment to be?"and you write them a check.

[upstater]

Originally Posted by Snoman

What you are speaking about is referred to as Usery laws and it is governed at the State level, not Federal. In Texas, Usery rate is 24% maximum. The general consensus of the thread is to always secure financing before shopping for a vehicle. The buyer is encouraged to invite the seller to offer BETTER financing, but it is foolish to walk into a dealership without pre-financing from a third party, no matter what your credit score is.

Not correct. What he is talking about is the maximum dealer markup rate with the finance institutions. Most vary around 2 to 3% max. So, dealer buy rate is 1.35%, he can mark it up to 3.35%. Far cry from State usury statutes for the credit challenged.

[Snoman]

Originally Posted by upstater

Not correct. What he is talking about is the maximum dealer markup rate with the finance institutions. Most vary around 2 to 3% max. So, dealer buy rate is 1.35%, he can mark it up to 3.35%. Far cry from State usury statutes for the credit challenged.

Interest rate mark up from loan source to end user is the same parallel as Usery. Tomato Tomoto. Some states choose to regulate the mark up, other states let free market reign and they regulate the maximum chargable to the end user. It's the exact same thing and it varies State to State.

[MyLocalDJ]

Love it! Great discussions....

[DvKillar]

another tip.. if you will be trading in a car, DO NOT TELL THEM UNTIL DEAL IS DONE!
they are only going to screw you on that too! after the deal is approved on by both parties do you ask what they would give for your trade-in. get best value that way!

[lbls1]

Don't tell them what you want to pay per month. The dealers will get you with really high interest rates, long payment terms and a really screwed deal.

The best scenario is to secure your own financing, figure out what you can pay per month, which includes your down payment and the balance of the proposed cost. After this, you go out and bargain hard. If you really want a good deal, get out of the mentality that car shopping is one stop shopping. You have to shop a lot.......on line, on foot, on phone, etc. When you get your best price, then figure in your monthly expense from the exercise you should've done earlier, bring the bank check and your down payment...............DONE.