DON'T PAY CASH AT CAR DEALERSHIPS! (Here's Why) - Car Dealer Reacts - Marko - WhiteBoard Finance

I’ve done this. It works better if you visit the dealership several times and waste days of their time. Also get your own bank in competition with the dealership. Say “my bank will only lend $___ for this vehicle. My back says it’s not with more than $_____. Also start calling other like dealerships and ask those salespeople questions right in front of the ones your sitting in front of. I left a Chevy dealership one time with an asst manager physically angry in my face spitting because I said my credit Union was $500 under our already agreed to price and went over his head to the general manager to get the final $500 off AND then got the asst manager to give me free bed liner, sliding back window and trailer hitch. He walked up to me and said very angry “what kind of hitch do you want? Are you towing a boat, RV, jet skis or what”? I said “oh I don’t have anything to tow I just want a free hitch”. He went back in his glass booth screaming and throwing things. I hate car salesmen.

I used physical cash to buy my first first car, it had less than 30 miles. They wanted $27,000, back in 2005 had saved up for several years to get a brand new vehicle. I said I want that vehicle there, but I won't pay more than $22,000. Out the door with everything. They laughed until I pulled out an envelope with $100 bills and stacked it up on the desk. He said $25,000 is the lowest he could go. I started to put the money away. The look on his face was hysterical. I told him if it's still here in 3 days , my offer remains. The 3rd day he folded for$22K

Our cars are high-volume models like Toyotas. Here's what works. YOU SIMPLY DON'T NEGOTIATE, YOU DICTATE PRICE. You make a list of every Toyota dealer within 200 miles. You go to the first dealer, ask for the price (let's say they want $30K), and walk away. You call the second dealer on the list, and ask them if they'd sell you the car for $29K. Repeat, repeat, repeat until everyone says, no. The final price has dropped dramatically. A Toyota Highlander is a commodity, so it's easy to play everyone off each other.

I'm 68, female, short, and my late father taught me these tricks when I was very young. He'd let me go with him, sit, watch and listen. I've bought no less than 15 vehicles, motorcycles and company trucks over years. I walk in alone, and the salesmen think they've got a sucker. Thanks Dad! You taught me well👍🏼💪.

Man you're lucky to get to hangout and do videos with your dad. I use to do projects with my pops and sometimes I felt like it was a burden lol. But when their gone, all you can do is remember all of those times u spent together. Take care of yourself and your pops. Always cherish your time together because the memories will always keep him alive within u.

I'm 57, and have never had a car payment. Only bought one new one, and the novelty wore off in hours. Hate dealing with dealerships because of all the games to take advantage of you. Just buy what you CAN afford, and skip all the stress debt can cause. Then save some money over time, and upgrade when you have the money.

My last used car was selling for $10k plus taxes and dmv registration. I got the dealer to agree 10k out the door with financing. The finance guy kept trying to sell gap for almost $1k. He tried everything, he then said he would add it for no cost but he actually reduced the price of the car by $900. So next month I called bank and canceled gap and they refunded $900 😂

Don't tell them you are paying cash till you agree upon a price. If they start slapping add ons like processing fees, walk away. If they ask how you are paying, say "I'll have an answer for you based on price." If they get dodgy, walk away. Any add ons like super warranties are almost pure profit for them. I bought one of these and had a transmission failure due to a bad tube. They refused to cover it. Complete waste of money. Also a local dealer advertised a really low sales price on their cars. We walked in and offered cash. They said that price was only good on financed vehicles. That should be illegal. It's bait n switch.

I wish I could take these guys with me when I buy a car. I'm 68 year old female and the car salesman sees me coming with the word sucker written on my forehead. I've been ripped off with every car I've purchased. The dealership's know how to get every penny from me and I've been so naïve. Hopefully these videos will help me in the future when I'm ready for another car. Thanks for the great advice.

I once went to a Honda dealership and the salesman raved how well the car was made and then they tried to sell me the extended warranty 😂

You guys are the definition of awesome! Thank you for your efforts to bring your expertise, common sense (not so common) and truthful opinions to those consumers who need a break to afford one of the most expensive purchases in their financial lives. Thank you and God bless!

I still like to pay cash, if possible, simply because I don't want to now deal with a bank, early payoff issues, or other issues that arise from the loan. Even if it costs me a few extra bucks, I don't want to risk the added headaches. I'm not sure if this is the end-all best way, but it works for me and my mental health.

I was in the process of buying a Toyota King Cab years ago and I had made a deal of $17,000 or so out the door with my salesman.When I was in the finance dept. and ready to sign the contract the price was $268 more than I was told.When I told her that I already had a out the door deal she said"we can't sell you that for that amount"I asked for my keys back and left.They were trying like hell to get me back but I refused and never bought the truck.

Times have changed. Dealers used to drool when you paid cash. Now they resent you for it. My parents actually said they were going to finance the car, negotiate the price for that, then pull out the checkbook and pay for it. They upset a lot of dealers by doing that. It also saved them a lot of money.

Years ago I paid $900 for a 3 year complete drivetrain warranty. When my universal joint broke, I found out that many parts of the drivetrain weren’t covered under the policy. U-joints were not covered. I’ll never buy extra insurance again.

I was at a dealer, got to the out the door price, had my insurance check that covered the cost of car to the penny, and the dealership refused to sell the car, indicating they only deal with people who finance their cars. I made a stink about this as my husband and I got up and walked out, speaking really loud... and 2 other couples got up from their tables with finance people and also walked out.

Should always listen to advice and I like these guys. But every situation is different. We just bought a new car first of Jan 2021. The dealership really tried to force financing on us. They said we HAD to finance 80% of the total cost and HAD to pay on the loan for a minimum of 6 months or they would stick us with a $1,600 penalty fee. We expected this and took on the challenge. I walked into the dealership already knowing that the car we were looking at had been on their lot for over 6 months. They wanted to sell this car. We offered $2,000 below their price and called it the out-the-door total. Take it or we walk. Just as we were walking out the door, they accepted the offer. The finance guy started his "speal" about the multi-teered extended coverage, but I stopped him and said "we have an out-the-door price". We were done in 5 minutes. Wrote out a check and drove home.

A friend of mine who recently purchased a new car had me examine the sales proposal prior to agreeing to it( I was in the business for nearly 40 years ) and many things they told him were absolutely insane! For example 1) $500 in " closing costs " 2) 250 for " DMV paperwork processing " This was in addition to actual state fees, which legitimately in PA are about $75, depending on if you need new plates... 3) an additional " Doc Fee " of $475 4 for their grand finale, they told him that, under state law, he had to finance with them....if they accepted his cash, they could " lose their license..." I of course told him if he wanted to pay liars an extra $1300 bucks for absolutely nothing real, he was dealing with the right guys. I did a little research, directed him to a dealership that was well recommended.... He's driving his new car now. I'm sure you can guess where he bought it. Great video, guys.

I did the same thing to negotiate down as far as I thought they would go with the out the door price. Then when they put the finance papers in front of me, I wrote a check. No finance fees, no nothing just out the door cash...

I can also attest to this. I have only owned hoopties and was trying to get a more reliable car. Got to the beginning of the Pandemic and stated I need to get something with a payment which I had avoided my whole life. Watched some videos and why you don't tell dealerships you are paying cash. It was spot on as to what I was warned about. And i was buying used. Same as the movie theaters... Concessions are so expensive because they don't make money on tickets.