Why can you use 'paying by cash' as a bargaining tool?

cooldudecol

Hi,

I've always seen my dad ask for a discount if he pays by cash.... is there a reason why you can use cash sales as a bargaining ploy?

Thanks!

rsykes2000

If a retailer takes credit / debit cards, they pay a fee. So if you can pay by cash, then in theory no fee for the retailer, so they may be more amenable to discounting.

southernscouser

Also, if your not buying from a "known store" ie Tescos they may do the custom but not disclose it to the vat man! :rolleyes:

smartie1976

Also, if you give 'em cash, they've got it then and there. no hassle, no delays on cheques, instant payment = instant money. And at the end of the day what every seller wants is cash in their hands/bank, not tied up in stock or in debtors.

freebie_junkie

theres a % cost to take cards and also theres always teh chance that a card payment or cheque will bounce or teh money wont arrive, at least if you have cash its in your hand right away and you cant be diddled at a later stage. i come from a big Gypsy family and most of teh fellas who buy and sell vans etc. will only take cash coz you can trust someone more if they hand over cash.