haggling and buying a car from a dealer ?

ShiWarrior

ShiWarrior

ShiWarrior

Don
Joined
20 Oct 2002
Posts
34,766
Location
Oxfordshire / Bucks
Hi all

I'm after some advice

has anyone bought a car circa 10K and managed to get the dealer to drop the price for you ?

i heard they make their money mostly via finance ?

if I'm looking for a car that's say 11K, if i was to knock them down , what's the best way to do this ?

If I was to go via finance route, i would want to pay this off in FULL straight away, another words i can buy the car without finance

thank you
 
Once upon a time it wasn’t so difficult.
You will be lucky now however.
The likes of cinch, cazoo, motorpoint etc are setting the value of second hand cars. It’s not easy to find a private sale on a car that’s owned outright.
I would always try though.
 
On a car of that value knocking a grand off is very very unlikely. Id bet you might be able to do a few hundred off, at most if you have something to make it worth their while, a part ex or big big finance, but 10k aint gonna be worth their time realistically.
 
mustang2019 said:
I would always recommend to check the history of a car before purchasing, you can find hidden issues and then use that as a bargaining tool when negotiating. Recently purchased a car that came up as unrecorded however was previously in a crash, I was able to see the crash photos on Full Car Checks, the helped me bring the price down!
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Bring the price down? I'd had steered clear if the dealer had tried to hide that.
 
mustang2019 said:
I would always recommend to check the history of a car before purchasing, you can find hidden issues and then use that as a bargaining tool when negotiating. Recently purchased a car that came up as unrecorded however was previously in a crash, I was able to see the crash photos on Full Car Checks, the helped me bring the price down!
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yeah i will never skimp on a history check (V Check seems to be the go to site)

i use total car check for initial look, see any previous adverts and how much they were up for sale for, which gives an indication of how long its been on the forecourt for, which would work as a bargining tool i suppose

then i do a FULL check if there's a car I'm interested in
 
After I agreed a price with the dealer I bought my wifes current car off, I had a very detailed chat about this. He explained that it’s getting harder to make good money in the trade these days, so he found it hard to negotiate on the price of cars with the potential buyer. He would rather have some negotiate a service or something along those lines into the deal.

Also mentioned that people who other cash expecting a discount, he found it hard not to laugh. As it cost him, to put that money into his business account. Plus he makes more money when someone put the car on finance.
It’s much better to do a balance transfer.
 
inflames said:
After I agreed a price with the dealer I bought my wifes current car off, I had a very detailed chat about this. He explained that it’s getting harder to make good money in the trade these days, so he found it hard to negotiate on the price of cars with the potential buyer. He would rather have some negotiate a service or something along those lines into the deal.

Also mentioned that people who other cash expecting a discount, he found it hard not to laugh. As it cost him, to put that money into his business account. Plus he makes more money when someone put the car on finance.
It’s much better to do a balance transfer.
Click to expand...

I have never understood how places say it costs them more in cash. Is banking cash really that more expensive than payment gateway fees.

Also how would a dealer make more on finance? Do they get a referral fee? Is it not the finance company that makes the ££££ dealer just gets the value from the finance company no?
 
You can always try but I've not had much luck lately - last purchase they were happy to throw the additional detailing/protection for free and managed to get a few things which were coming up on needing replacement like front brake pads done but no movement on price.
 
Very little movement on any of my last three purhcased cars to be honest. As others are saying deals on the extras seem easy enough to get, extended warranties / diamond brite / gap insurance etc, but not much movement on the actual car.

I have maanged to get maybe 10-20% above the initial part ex offered for the car I was trading in on each though, so that still seems to be the way if you are trading in, but then they use that as a reason to not move on the car :p
 
Vanquish-Storm said:
I have never understood how places say it costs them more in cash. Is banking cash really that more expensive than payment gateway fees.

Also how would a dealer make more on finance? Do they get a referral fee? Is it not the finance company that makes the ££££ dealer just gets the value from the finance company no?
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They don't like card payments a lot of the time either, they're normally happy enough for you to put a deposit down by card but full balance by BT.
 
Vanquish-Storm said:
I have never understood how places say it costs them more in cash. Is banking cash really that more expensive than payment gateway fees.

Also how would a dealer make more on finance? Do they get a referral fee? Is it not the finance company that makes the ££££ dealer just gets the value from the finance company no?
Click to expand...

Cash can be surprisingly expensive to deal with.

And, yes, my mate makes a living out of being certified to arrange finance, he then gets dealers to point people his way for a kickback. Also he sometimes gets to deliver the cars, it's a nice bonus driving someones Ferrari to them!
 
tom_e said:
They don't like card payments a lot of the time either, they're normally happy enough for you to put a deposit down by card but full balance by BT.
Click to expand...

I have only ever paid by card or done finance so can’t say really, I was never pushed to BT.
wesimmo said:
Cash can be surprisingly expensive to deal with.

And, yes, my mate makes a living out of being certified to arrange finance, he then gets dealers to point people his way for a kickback. Also he sometimes gets to deliver the cars, it's a nice bonus driving someones Ferrari to them!
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How does that work, is it independent dealers? I have only ever just had a decisions there and then from the dealers computer in the past sorry.
 
Vanquish-Storm said:
How does that work, is it independent dealers? I have only ever just had a decisions there and then from the dealers computer in the past sorry.
Click to expand...

Yeah, mainly, it's not that easy to get certified to arrange finance, so for a lot of people it just means they concentrate on their job of selling cars and pay a fee for the facility. Plus my mate takes the risk on defaults etc to some degree.

Also, some cases require specialist lenders, he knows who to go to for what situation.
 
Vanquish-Storm said:
I have never understood how places say it costs them more in cash. Is banking cash really that more expensive than payment gateway fees.

Also how would a dealer make more on finance? Do they get a referral fee? Is it not the finance company that makes the ££££ dealer just gets the value from the finance company no?
Click to expand...
I think we are talking cross purpose... it is more expensive to take cash as you then need to pay someone to bank it/risk of fraud/fake notes is high. Taking "cash" as in balance transfer is often a good idea for dealers in terms of cash flow, but they'll certainly make "more profit" by selling finance.
 
ShiWarrior said:
i saw this video a while back, but its in the US, but same principle id imagine

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The great thing about the UK is you can screw the salesmen by taking the loan and using that as an instrument to negotiate the price/freebies and then cancel the loan within 14 days.
 
ShiWarrior said:
cancel ? you mean pay it off?
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Cancel is even better than pay it off. Subtle difference but if you cancel the product you incur £0 in fees. Pay it off often means settling the loan and covering any interest "to date".

Obviously in both instances you need to cover the loan amount.

We are talking pennies but it all adds up :cry: :D
 
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