Why won't car dealers accept third party finance?

FindMyWayBack

Well I just rang another BIG dealer and the answer was no, so there it is, a complete waste of time.

MrFrugalFever

FindMyWayBack said:

Well I just rang another BIG dealer and the answer was no, so there it is, a complete waste of time.

What are you considering as a big dealer? If you’re referring to a car supermarket then I imagine they may well refuse, they operate on high volume, low profit.

CSL0183

FindMyWayBack said:

CSL0183 said:

FindMyWayBack said:

As the title says, obviously it means they don't get a cut, but is there another reason?
Also does anyone know of any big known dealers who do please?

Your statement is incorrect though on the whole. You have visited one dodgy scrupulous car dealer, I have visited perhaps 20 that do accept third party finance. I would say the norm would be with my experience and your experience is highly unusual. 

Car dealers DO accept third party finance. As long as the funds hit their business account then they simply do not care. 

Thank you for your reply, you seem quite annoyed I felt it coming through your post.
I have had dealings with several large dealerships and certainly not dodgy and unscrupulous ones. I wouldn't be that foolish.
I promise you that they have refused for a variety of reasons including that it would be against the code of practice, and that they simply do not do it.
I was very surprised by it.
If you do a Google search as I did, you will find articles about this by the various financial bodies.

Just last week I purchased a £96k RS6 via Halifax’s 4.9% PCP with a main Audi dealer.

I negotiated the deal, they upped both the PX and the discount applied. I made them think that I was going to take their 8.9% APR plan with Audi/VW finance. They done the usual, asked me what my monthly budget was and got within £50 a month of it. When telling them that it really was my maximum budget they stalled and said that’s the best they can do on the car. I then said okay, if I can arrange my own finance will they offer me the same price and same PX, they answered Yes, not a problem. 

I logged into my Halifax account, applied for the finance and the process was actually a lot quicker than dealing with Audi finance. It was approved there and then and the funds were sent to the dealership that same afternoon. Couple of days later I picked up the car. 

I just don’t understand the logic of any main dealer refusing a sale based on where the money is coming from. Infact, I’m struggling to actually believe it. Tell me what difference there is in going 3rd party (as in Halifax PCP) to simply bank transferring the cash price of the vehicle from your account into their account? 

Perhaps they are saying no to you due to the companies that you are putting forward. Perhaps there are trust issues or they’ve had problems in the past but for me, Halifax paying Audi, well there’s no such issues. 

Is it perhaps a problem with just you and the finance houses you are using or is the issue widespread? I would say former rather than the latter. 

CSL0183

FindMyWayBack said:

Well I just rang another BIG dealer and the answer was no, so there it is, a complete waste of time.

Did you ask them if you can pay via BACS and not use any finance house?

They are basically saying they will only sell
you a car if you take out their finance product? 

Go phone a random Audi main dealer, ask if you can pay via Halifax finance. You can then tell us which dealership is refusing and then I can phone them and query it just to confirm what you are saying.  

Sorry, I just don’t believe you. Are you at the wind up?

macman

Trust of the finance house cannot possibly be an issue here, as regardless of who it is, the car isn't going to leave the forecourt before the finance has actually arrived in the dealer's account.

FindMyWayBack

MrFrugalFever said:

FindMyWayBack said:

Well I just rang another BIG dealer and the answer was no, so there it is, a complete waste of time.

What are you considering as a big dealer? If you’re referring to a car supermarket then I imagine they may well refuse, they operate on high volume, low profit.

Main dealers and one supermarket type.

FindMyWayBack

macman said:

Trust of the finance house cannot possibly be an issue here, as regardless of who it is, the car isn't going to leave the forecourt before the finance has actually arrived in the dealer's account.

Yes, that is exactly what I said to a salesman  and his manager today, but I got nowhere.

FindMyWayBack

CSL0183 said:

FindMyWayBack said:

CSL0183 said:

FindMyWayBack said:

As the title says, obviously it means they don't get a cut, but is there another reason?
Also does anyone know of any big known dealers who do please?

Your statement is incorrect though on the whole. You have visited one dodgy scrupulous car dealer, I have visited perhaps 20 that do accept third party finance. I would say the norm would be with my experience and your experience is highly unusual. 

Car dealers DO accept third party finance. As long as the funds hit their business account then they simply do not care. 

Thank you for your reply, you seem quite annoyed I felt it coming through your post.
I have had dealings with several large dealerships and certainly not dodgy and unscrupulous ones. I wouldn't be that foolish.
I promise you that they have refused for a variety of reasons including that it would be against the code of practice, and that they simply do not do it.
I was very surprised by it.
If you do a Google search as I did, you will find articles about this by the various financial bodies.

Just last week I purchased a £96k RS6 via Halifax’s 4.9% PCP with a main Audi dealer.

I negotiated the deal, they upped both the PX and the discount applied. I made them think that I was going to take their 8.9% APR plan with Audi/VW finance. They done the usual, asked me what my monthly budget was and got within £50 a month of it. When telling them that it really was my maximum budget they stalled and said that’s the best they can do on the car. I then said okay, if I can arrange my own finance will they offer me the same price and same PX, they answered Yes, not a problem. 

I logged into my Halifax account, applied for the finance and the process was actually a lot quicker than dealing with Audi finance. It was approved there and then and the funds were sent to the dealership that same afternoon. Couple of days later I picked up the car. 

I just don’t understand the logic of any main dealer refusing a sale based on where the money is coming from. Infact, I’m struggling to actually believe it. Tell me what difference there is in going 3rd party (as in Halifax PCP) to simply bank transferring the cash price of the vehicle from your account into their account? 

Perhaps they are saying no to you due to the companies that you are putting forward. Perhaps there are trust issues or they’ve had problems in the past but for me, Halifax paying Audi, well there’s no such issues. 

Is it perhaps a problem with just you and the finance houses you are using or is the issue widespread? I would say former rather than the latter. 

You are living in a different world from most people with your 96K vehicles and all your arrogance. Go back to the start and read what MY situation is and stop swanking and boasting. This post is about ME and my achieving an end goal, it's not about you bragging how easy it all is for you. In your other post you have accused me of lying and and that I am 'on the wind up' how dare you? I would be obliged if you don't use my thread as a stage for your showing off and accusations.

FindMyWayBack

CSL0183 said:

FindMyWayBack said:

Well I just rang another BIG dealer and the answer was no, so there it is, a complete waste of time.

Go phone a random Audi main dealer, ask if you can pay via Halifax finance. You can then tell us which dealership is refusing and then I can phone them and query it just to confirm what you are saying.  

Sorry, I just don’t believe you. Are you at the wind up?

This is what I am referring to, how dare you? As if I would want you to do anything for me, I bet the dealers can't bear you, talk about overbearing and arrogant.

MrFrugalFever

FMWB, if you rang me at my dealership, I’d welcome you in and discuss your payment options and accept whatever method you wished to use providing it was NOT actual physical pound notes!

edited..