How to Pay Cash for a Car (Exactly What to Say)

How to Pay Cash for a Car: Cash buyers pay more at car dealerships. Sounds counter-intuitive right? That's how car buying has worked over the last five years. Whether buying a new car, used car, or leasing, paying in cash never has to cost more if you know exactly what to say. In this video I explain exactly what to say to save money in a cash car negotiation.

Cash is not king at the dealerships right now but cash is still king in part of the auto industry. In the last segment of this video I provide insight into how a cash buyer can leverage their cash today to get the best deal possible, especially during this economic climate of uncertainty.

More information about this topic can be found at:

Timeline:

0:00 How to pay cash for a car
0:33 Why cash buyers pay more at a car dealership
4:25 What to say to save money as a cash buyer
8:40 Where cash is still king in the auto industry

I recommend the following videos to negotiate your next cash car deal.

#notwaitingtolive #howtonegotiateacardeal #cashbuyer

[cheezybred]

I Don’t say a single word about being a cash buyer until the deal is drawn up on the price of the car, if they start complaining, I just go somewhere else, there are plenty of people that will take cash, financing depreciating assets is the dumbest thing you can do. (I wrote this comment before watching the video, great advice)

[markh.]

Want to drive the dealer nuts as a cash buyer? Get financed, then pay the loan off as soon as you get your payment book or online payment account. Dealers will often lose their profit on vehicle loans paid off within so many days of the sale, because the finance source lost money on the deal.

[cocatfan]

I like that you give us the verbiage to use. So many articles tell you not to do this or that but do not tell you how or what to say. I stumble on my words when nervous, and I don't know what to say. So this is helpful.

[denniswilson]

One thing I always make the salesman understand is that we are negotiating the OTD price. That is the exact penny that is coming out of my pocket. Tax, tag, and all fees have to be included. Just give me the OTD and work backwards from it. I have learned that, yes, you can many times get a better deal if you finance because of the dealership's kickback.
My last new one I told them I was financing and asked what was the least I could put down. The vehicle I selected was a fairly rare no options-base car so it was the cheapest of that model to begin with by a tidy sum. It had all the current safety features, but one. They told me their best OTD price on their special .9% financing deal was 4% off MSRP which was only slightly better than a cash deal.
Then they offered me 11% off MSRP ( remember that's OTD ) if I financed it at the rate my credit score required which was 3.5%. I took the deal and then told them that since the interest rate was higher I had decided to pay 50% down. I probably should have waited a little longer to keep the dealer happy, but I went ahead and paid the loan off 60 days later. Also once we have settled on a number i tell them I want to skip F&I (this dealer let me ) and if they insist on putting me through it, once I go in I just keep saying no thank you. I have bought from volume dealers, but I seem to do better with small dealers with low overhead.
How bad did they stick me? It's an Outback and my total out of pocket is a shade under $25k. I could have gotten a better deal on a CRV, but fewer safety options, reliability ratings a tad lower, and less room. I also drove a RAV 4, but no base models at that time and their offers were too high.

[aphysionamedjonah]

Great video! Thanks for putting it together, looking forward to going in armed with some tactics for my first car purchase soon :)

[aimos]

This is the 2nd video I’ve watched of yours; very well done spoken and informed. Thank you

[mrs.delgado]

Your video is just what we needed! We need a 12 passenger van for our growing family and we want to pay cash. This is so helpful. Thank you.

[rs]

I just found you today. This is the only car buying channel on YouTube that has helped me. Subscribed.

[williambushman]

Very useful perspective and thank you!

[michaeld.]

Finally, I found the advice I was looking for on what I'll likely experience and the steps I need to take as a cash buyer for a new car! You're very well spoken and succinct. I've been looking no less than a few days for some strategy building confidence prior to my forthcoming trip to the dealership. There are so many well-meaning but poorly produced videos where information is blurted out, either with no continuity, or so fast with little regard to the incompetency of the uninformed that it's been like listening to someone speak in a foreign language. Thank you for your posts, and I will be checking out more of your videos to help me prepare myself as much as possible.

[davem]

Another great video, Manny. I probably would've gone in and said I already have financing. My plan is to get my loan approval, , go in, settle on price, then have my institution pay them in full. I will then pay my bank back in full, or close to it, then pay off the remainder, quickly.I already know the best word in the finance office is "NOPE".I gave you the thumbs' up #999 \m/

[terrybreen]

You get right to the point and explain things clearly and concisely. You insights are a great help. PP Sinoia

[stoneysoraclechannel]

This works ! I held out until the last minute of telling them I was buying cash. I didn't give them my ssn. I ended up getting a extended 3 yr warranty with road side assistance and a loaner car until they ship mine. I also got 6 free oil changes. Thanks Manny!!!😃

[WeOutHere]

I heard this mentioned before but you explain the reasoning much better.

[samgalindo]

Great video and information!! I also gave the internet salesman a 30 minute time limit to make a deal or I walk away to the dealer next door! You are correct sir, another dealer will take your terms in many cases! Thank you for a excellent video!

[lightings]

Thanks! Excellent advice. I live in the Greater Cleveland area as well

[nitewalker]

Great vid will ur tips very soon looking 2 buy in a month or so...thanks will u posted..sharing!

[carriebishop]

Thankyou so much .You have really helped me.Take care

[pajokard]

I'm shopping for a used car and I will try to do your advice. Thank you and God bless!

[dumbobear]

Good value and advice...thx for helping consumers. Subd