Can you save money by paying cash for your next car, instead of going through a dealer’s finance department?
The short answer is no, not anymore.
1. Paying Cash Won’t Help You Negotiate.
First off, paying cash won’t give you any negotiating leverage. Dealers get their money from finance the companies the same day. In fact, dealers may be less likely to cut you a good deal.
2. Dealers want you to finance through them.
The simple truth is that dealers want you to finance through them. If you pay cash, they lose the opportunity to make money off insurance and warranty sales.
3. Many Manufacturers Offer Financing Rebates
Financing through a deal can work in your favor. Many manufacturers offer rebates for using their own finance company, like Ford Credit, Toyota Financial, etc.
4. If You Finance, Pay Off New Car Loans in Full Before 1st Payment
A savvy buyer will take the financing incentives and do the deal, then pay off the loan in full before the first payment. It’s really the best of both worlds.
5. Use a Car Pro Certified Dealer
Keep in mind that at Car Pro Certified Dealer, you’ll be treated fairly through the financing process.