Discount for cash?

cheesenmarmite

Hi all,
I am planning to buy a second hand car, and have seen a couple I like the look of with a local approved used dealership.

I'll be selling my old car privately so won't be trading anything in, but when it comes to negotiating the price is it still worth asking if they'd give me a discount for paying cash? Does such a practice still exist or is that all in the past now? :rotfl: Particularly with a dealer rather than a private seller?

If it is worth asking, what's the kind of % discount I could expect or ask for?

Thanks!

poppasmurf_bewdley

You can't really talk percentages. It all depends on the price of the car you intend buying. I would tend to talk about discount in £'s. I got £500 off the asking price of £12k last year even with a part exchange of less than £1k.

Mine was a cash deal, but you can pretend of take finance to try and get a bigger discount and then tell them you have fixed up finance elsewhere. It's worth a try.

JournalGirl

Also worth considering whether you could purchase on credit card for additional protection. I have done this twice, one garage charged me 2% for doing it, the other didn't charge me at all. Then pay the credit card off with your cash.

poppasmurf_bewdley

JournalGirl wrote: »

Also worth considering whether you could purchase on credit card for additional protection. I have done this twice, one garage charged me 2% for doing it, the other didn't charge me at all. Then pay the credit card off with your cash.

Good point. I paid the deposit (£500) with my credit card and paid the balance with my debit card on delivery. Using the CC meant I got the protection by law should anything have gone wrong.

cheesenmarmite

Thanks both - good tip about the credit card!

used_car_manager

cheesenmarmite wrote: »

Hi all,
I am planning to buy a second hand car, and have seen a couple I like the look of with a local approved used dealership.

I'll be selling my old car privately so won't be trading anything in, but when it comes to negotiating the price is it still worth asking if they'd give me a discount for paying cash? Does such a practice still exist or is that all in the past now? :rotfl: Particularly with a dealer rather than a private seller?

If it is worth asking, what's the kind of % discount I could expect or ask for?

Thanks!

cash customer dont get as much discount as finance customers because theres only one pot of profit with cash but 2 pots with finance, so dealers can give more as they earn finance commission and volume bonus..

depending on which dealer and how long they have had the car i would imagine £300-£500 max if your lucky

artbaron

I would never buy from a trader or dealer now but years ago I did and I found it useful to actually show them the cash as a motivator. After getting the price knocked down to "the best we can do, mate" - £7495 - I showed them £7K from the £8K I had in my pocket and said well, this is all I've got. They took it right away. It was a good car, too.

steve-L

cheesenmarmite wrote: »

Hi all,
I am planning to buy a second hand car, and have seen a couple I like the look of with a local approved used dealership.

I'll be selling my old car privately so won't be trading anything in, but when it comes to negotiating the price is it still worth asking if they'd give me a discount for paying cash? Does such a practice still exist or is that all in the past now? :rotfl: Particularly with a dealer rather than a private seller?

If it is worth asking, what's the kind of % discount I could expect or ask for?

Thanks!

Out of interest.... why buy from a dealer if you are planning on selling privately? You get a bigger 'discount' from a private seller (usually) than you'll get from a dealer?

Hintza

steve-L wrote: »

Out of interest.... why buy from a dealer if you are planning on selling privately? You get a bigger 'discount' from a private seller (usually) than you'll get from a dealer?

Generally speaking it is the bought as seen and there will be little or no recourse if it blows up 5 miles down the road.

nomoneytoday

Discounts for cash have now been taken over by "discounts for finance" instead IMHO

cheesenmarmite

Hintza wrote: »

Generally speaking it is the bought as seen and there will be little or no recourse if it blows up 5 miles down the road.

I guess this is why I'd prefer to buy from a dealer - feels like a safer option!

Thanks for the feedback everyone - very useful.