New car - cashback possibility?

osaddict

I am going to lend my dad some money to buy a car, however, someone at work said they took out a new card and purchased a car on this and got cash-back then paid off the card or something... (this was about 18 months ago)

So... essentially I'm buying a used Golf for around 9k, what cunning ideas can you guys come up with to make some extra cash on the side (for me or my dad, same same)...

I still want something 'decent' - i.e. to blag an extra 20 quid more I don't want to go with some bank that are a nightmare to deal with etc... so nothing too bonkers!

I've only ever had a debit card, so suggest away for any cunning ideas?!

YorkshireBoy

Do you have the £9K required for the car now...in cash?

And if so, what rate of interest is it making...and what do you think it'll make over the next year or so?

Gordon_the_Moron

Some car dealers charge for credit card transactions or will offer a discount for cash, this will void the gain from taking out a credit card for this transaction.

If you are not in debt you should get a cashback credit card for day to day spending instead of using a debit card though :money:

osaddict

YorkshireBoy wrote: »

Do you have the £9K required for the car now...in cash?

And if so, what rate of interest is it making...and what do you think it'll make over the next year or so?

Yes, and essentially zero as I've been thinking what to do with it but had other commitments / been lazy, so it's not doing a lot right now...

YorkshireBoy

Use your cash...and haggle!

osaddict

Gordon_the_Moron wrote: »

Some car dealers charge for credit card transactions or will offer a discount for cash, this will void the gain from taking out a credit card for this transaction.

If you are not in debt you should get a cashback credit card for day to day spending instead of using a debit card though :money:

That's a point - this is a VW dealer though, so big showroom etc, not a little place round the corner (my dad's calling them tomorrow though, so I'll ask him to check)

I have zero debt, so yeah, I guess that might be a sensible plan anyway, I've always steered away from credit cards in the past as I've not needed the credit facility, or wanted the burdon of paying them back - reading though it seems one can link to a current account essentially to pay it back. Not sure what happens if you don't have sufficient funds to cover it in the current account though!

PNPSUKNET

If you dont have the funds to pay back, they bounce and not only does your bank charge you but so does the issuer as well as been removed from the 0% and getting further intrest at standard rate

sicker

3 years ago I got £90 cash back on my Egg Monry cc on a £9000 balance for my new car. I completed all the negotiations as to the price then offered my card for payment. The salesman said he could not accept payment by credit card. The manager was called who tried to make a surcharge for using the card but eventually agreed to no exra charges as I went to walk out of the deal. You have to be prepared to fight and remember to try for freebies such as floor mats ect. which the manufactures usualy are prepared to give.

osaddict

I guessed as much, I doubt that would be too much of a problem for me though, I'm quite careful (touch wood!)

I wonder if they would give me say a 10k limit on my first credit card though, for example the Amex Platinum?

Rob_07

osaddict wrote: »

I guessed as much, I doubt that would be too much of a problem for me though, I'm quite careful (touch wood!)

I wonder if they would give me say a 10k limit on my first credit card though, for example the Amex Platinum?

Hi,
There is only one way to find out and that is to apply!

You did say earlier that you haven't really used credit cards, this may proove as a slight problem if you haven't got much credit history in terms of repayment. If you haven't any or very little you may find that you either are declined for the credit card or are given a low initial limit until you build some history with the company.

The best place to apply for a card is probably the bank that you have your current account with but this may not offer cashback and a 0% deal. The amex criteria is incredibly strict and you should search the forums where there has been a number of discussions about this.

Also bear in mind that it takes time to complete the application process and recieve the card its not an instant thing minimum a week but could be longer.

Hope this helps
Rob

osaddict

Rob_07 wrote: »

Hi,
There is only one way to find out and that is to apply!

You did say earlier that you haven't really used credit cards, this may proove as a slight problem if you haven't got much credit history in terms of repayment. If you haven't any or very little you may find that you either are declined for the credit card or are given a low initial limit until you build some history with the company.

The best place to apply for a card is probably the bank that you have your current account with but this may not offer cashback and a 0% deal. The amex criteria is incredibly strict and you should search the forums where there has been a number of discussions about this.

Also bear in mind that it takes time to complete the application process and recieve the card its not an instant thing minimum a week but could be longer.

Hope this helps
Rob

I feared as much, I essentially don't have a credit history then I suppose - the only borrowing I have done is my student loan, over the 3 years I did my degree, all of which has been paid back, initially out of my wages, then in a lump sum. Other than that, no credit cards, loans, hire-purchase, etc.

Also - as you say, there would be a waiting period involved too. It seems Amex would be the most cashback possible - £100, with other cards being significantly less. So, based on the fact that it's unlikely I'd get a 9k limit, and it would take a while to get through, perhaps I'd best forget about that idea.

Not sure if my parents could apply for an Amex though, they probably have a v good credit rating, plenty of history, and to my knowledge nothing late/bad etc.