Question about paying for new car in a car dealership garage

sitstill

This is probably a silly question but hopefully someone can help.

I'm looking to buy a new car. My previous car I got finance from the garage where I bought it.

This time I have a loan from the credit union and the money should be in my account on Monday. I know the car I want to buy so when I go looking next week I will be a "cash buyer".

Obviously though I wouldn't be actually handing over €25,000 in cash to the guy in the car garage would I? Or do I write then a cheque or pay by debit card? How do you actually pay for a new car if not taking finance off them? Also, are they likely to give me a discount for paying cash?

Thanks

uck51js9zml2yt

You need to negotiate a price and a discount for cash.
If you give us details of the car someone might be able to advise on that part.
Normally a deposit when agreeing to buy and the balance on collection a few days later.
The car needs to be prepared for you.

bazz26

sitstill wrote: »

This is probably a silly question but hopefully someone can help.

I'm looking to buy a new car. My previous car I got finance from the garage where I bought it.

This time I have a loan from the credit union and the money should be in my account on Monday. I know the car I want to buy so when I go looking next week I will be a "cash buyer".

Obviously though I wouldn't be actually handing over €25,000 in cash to the guy in the car garage would I? Or do I write then a cheque or pay by debit card? How do you actually pay for a new car if not taking finance off them? Also, are they likely to give me a discount for paying cash?

Thanks

Cash sale in motor dealer terms means you buying a new(er) car without trading in another car against it rather than the method of payment. It is also referred to as a straight deal. Cash or straight deal should earn you a discount.

Regarding payment method, just get a draft for the amount made out to the dealer once you have agreed a price on the car.

Aint Eazy Being Cheezy

Deposit by card, balance by bank draft

pm1977x

I paid "cash" via bank draft a few days after agreeing the deal, when picking up the car, small deposit via debit card on the day.

sitstill

pm1977x wrote: »

I paid "cash" via bank draft a few days after agreeing the deal, when picking up the car, small deposit via debit card on the day.

Thanks for the advice everyone.

I want to buy the new Opel Astra hatchback diesel which is €24000 and they are offering €3000 scrapping so that makes it €21000. How much of a cash discount am I likely to get on that?

mickdw

sitstill wrote: »

Thanks for the advice everyone.

I want to buy the new Opel Astra hatchback diesel which is €24000 and they are offering €3000 scrapping so that makes it €21000. How much of a cash discount am I likely to get on that?

Well that changes things abit.
You are not so much a straight deal buyer.
They are discounting 3k already for you so you might struggle to get any more.
Generally for a straight deal, you could expect the guts of 2k off full retail. You are already beating this with your scrappage deal.

Dia1988

My two cents...........

Motor dealers increasingly want to flip all "cash customers" to PCP customers.

Why?
-Todays PCP customers can be retained future customers
-There is more profitability in PCP customers as the customer focuses on the monthly rental amount rather than the overall cost of the car/credit
-The Dealership gets commission from the in house Finance deals, and they may also have credit amount targets to hit every quarter.
-The "Cash customer" is often not loyal to the dealership and will shop for the very last cent.

So, in my opinion Dealerships would be more inclined to offer a greater discount to the PCP customer opposed to the "cash customer", as the PCP customer has more to offer in terms of profitability and loyalty to the Dealership.

bmm

The key to getting a better deal is to play one opel dealer against another opel dealer. It means driving further if you have a service issue but may bring in a few extra hundred of savings.

Dia1988

bmm wrote: »

The key to getting a better deal is to play one opel dealer against another opel dealer. It means driving further if you have a service issue but may bring in a few extra hundred of savings.

Or can I be so cheeky and just lie what one opel dealer is offering, itll save time and driving

Opel Dealer X is giving me 3k scrappage, a years tax, 2 free services and 2 tickets to the toy show. So, what can you do for me Opel Dealer Y?

Opel Dealer Y: bull****!!....toy show tickets are priceless!!

CiniO

sitstill wrote: »

Obviously though I wouldn't be actually handing over €25,000 in cash to the guy in the car garage would I?

Out of curiosiuty, why dealing with highish amounts in cash like that is quite of the question in Ireland?

I would find it easier to get €25k in cash (it's only 50 notes of €500) than dealing with bank to arrange a draft and all hassle associated with it.

Dia1988

CiniO wrote: »

Out of curiosiuty, why dealing with highish amounts in cash like that is quite of the question in Ireland?

I would find it easier to get €25k in cash (it's only 50 notes of €500) than dealing with bank to arrange a draft and all hassle associated with it.

The majority of garages have cash limits of 5000 cash for anti money laundering purposes.

Plus, getting a bank draft would be easier than getting cash which in most cases is made up of 50 note denominations. 500 e notes are quite scarce.

grogi

bmm wrote: »

The key to getting a better deal is to play one opel dealer against another opel dealer. It means driving further if you have a service issue but may bring in a few extra hundred of savings.

How come? Warranty is honored in the whole network. Asaik it is easy money for the dealer, they charge the importer for the job.

mickdw

grogi wrote: »

How come? Warranty is honored in the whole network. Asaik it is easy money for the dealer, they charge the importer for the job.

You might get a bit more goodwill from supplying dealer when warranty expires etc but yes you can certainly go to any dealer for warranty and service.
I believe the labour rate paid to dealer for warranty work is very very poor.

dudara

When we purchased recently, we paid a deposit of several grand by debit card, and the remainder via electronic bank transfer.

We got a reasonable trade in value on our old car, so it was very hard to push for a few extra € off.

pm1977x

We got him to give his 'best price' including trade-in and then I haggled a bit further, got approx €150 off just for asking, then settled at €200 off, all for one minute of my time. Definitely haggle, all he can say is no, he's not going to pull out of the deal! Btw, this was on a car costing less than 10k.

JIdontknow

bmm wrote: »

The key to getting a better deal is to play one opel dealer against another opel dealer. It means driving further if you have a service issue but may bring in a few extra hundred of savings.

This. I know someone who went to the three nearest main dealers for a new car (wasn't Opel), turned one garage came up with the best price and package, when the person went back to the other garages, one wouldn't budge and more or lesss aid the price is the price, other garage budged a bit but not enough. They got the car from the cheapest main dealer (approx 1-2k difference in price between everything I believe).

EmonMCC

I have a similar yet different question: I'm about to relocate from the states and will be looking to get a used car in the 10,000 EUR ballbpark. Obviously I will not have a checking account with an Irish bank right away, but have plenty of funds in my US account. What would be the best approach to get the money to the dealer?

Cash a US check in a bank branch and hand the cash to the dealer is obviously a bad idea. Do they accept money orders or cashiers checks which I could get from the bank in exchange for my US check? What would be the amount limits on these? Alternatively I could transfer money from the US to my German account if that's a simpler way to access the funds in Ireland???