How to pay for a new car?

sandy700

I am thinking of buying a brand new car.
I have the money in the bank to pay cash but should I?

Benny2020

Are you thinking of stealing it?

EssexExile

The last two times I bought a new car the dealers paid me to take the 0% finance. It seemed rude not to, otherwise I would've paid cash.

Grumpy_chap

sandy700 said:

I am thinking of buying a brand new car.
I have the money in the bank to pay cash but should I?

Are there any incentives for taking Dealer / Manufacturer finance?  
Cheapest overall cost may then be to take the finance, secure the incentives, then pay off early using the cash so avoiding interest cost.

Bigwheels1111

First things first, it could be 2023 before your new car arrives and if the price goes up you have to pay the new price.
Ive seen a few posts about it in the last 3 weeks.
2 reports I’ve read said the dealer called them the day before and said pay up or loose the car.

Second point, financing is good if you get a discount. On the day you collect the car call and pay off the finance under the 14 day cooling off period. My friend has done it on his last 3 cars. Mercedes - Toyota - MG.

sandy700

Benny2020 said:

Are you thinking of stealing it?

There's always one.

Benny2020

sandy700 said:

Benny2020 said:

Are you thinking of stealing it?

There's always one.

And its usually me.

Mutton_Geoff

EssexExile said:

The last two times I bought a new car the dealers paid me to take the 0% finance. It seemed rude not to, otherwise I would've paid cash.

All very well if you don't need the borrowing facility elsewhere, otherwise any of these interest free loans still eat into your creditworthiness.

DiseasedBunny

Depends on what the car is- I bought a new Hyundai 2 weeks ago, but not getting it till September 🥲

diystarter7

Ask the dealer about the incentives for taking out finance and if it works in your favour, take it.

iwb100

Yeah look up what manufacturer offers are for your chosen car. Take the deals if they offer any deposit contributions or are easier to negotiate a discount with. Then pay off within the first month once you have the car. Unless it’s 0% and then you might as well just use the borrowing facility. 

Dont tell the dealer you intend to pay it off as they lose out when people do that. They are incentivised to sell pcp deals on new cars but they only get their target in most cases if a customer keeps the pcp for a certain amount of time. So just don’t say that is your plan.