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N89
10-28-2022, 05:02 PM
So weird thing happened today, went to a dealer to look at a new vehicle for the wife.
We took the vehicle for a test drive, she loved it and we decided to buy it, sat down to work on the deal and when I told the salesman that I would be paying cash he said that he will have to add $7,800 to the price of the vehicle, supposedly the advertised price is for lease or finance only.
Wtf is going on, is this normal?

ZR
10-28-2022, 05:08 PM
I posted about cash being an issue when I tried to buy 4 different ZL1's I saw out West this summer. Most tried to force me into financing, signing a contract I'd keep loan at least 24 months or did as you saw n added additional charge on for cash. Told em I accept their terms n bought nothing.
WTF happened to price they advertise is the price you pay?

5.4MarkVIII
10-28-2022, 05:51 PM
Really don’t get how they can get away with that.

Does the price they want for cash equal MSRP?

ZR
10-28-2022, 05:53 PM
OR above.

N89
10-28-2022, 06:27 PM
I posted about cash being an issue when I tried to buy 4 different ZL1's I saw out West this summer. Most tried to force me into financing, signing a contract I'd keep loan at least 24 months or did as you saw n added additional charge on for cash. Told em I accept their terms n bought nothing.
WTF happened to price they advertise is the price you pay?

Sorry I missed your post on this, we’re you looking at new cars or used?


We are looking at a new vehicle, wonder if the same goes for used cars.
Doing a bit of quick math the $7,800 they wanted to add to the price of the vehicle is roughly the cost on the interest to finance, I think this dealer finances directly to the costumer so they want to make it up if you pay cash. I guess it makes sense but it would be nice if they advertised this up front.

N89
10-28-2022, 06:29 PM
In my case the extra cash they want is above MSRP.

FABMAN
10-28-2022, 06:39 PM
I would hard pass on the purchase. I feel that the car market is on the verge of a massive collapse. Rising interest rates, high inflation combined with more and more supply chains coming back online = higher inventories and aged cars.

to compound things, this year is seeing record repo rates south of the border and now dealers have less options to offload cars quickly in the US. Incentives will be returning soon.

5.4MarkVIII
10-28-2022, 06:39 PM
I’d try another dealer. Or call the manufacture directly and see what they say.

Ultimately they can charge what ever they want. And vehicles are fetching a premium right now. Dosnt mean you have to pay it though.

Personally I’d tell them flat out why I’m walking and take my business elsewhere

N89
10-28-2022, 06:52 PM
I would hard pass on the purchase. I feel that the car market is on the verge of a massive collapse. Rising interest rates, high inflation combined with more and more supply chains coming back online = higher inventories and aged cars.

to compound things, this year is seeing record repo rates south of the border and now dealers have less options to offload cars quickly in the US. Incentives will be returning soon.


Yes I agree when it comes to the used car market, prices are already dropping and will continue to drop.
For new cars I’m not so sure, specially with the “premium” cars, there will be more incentives but the prices will not drop. I hope I’m wrong tough.

N89
10-28-2022, 06:55 PM
I’d try another dealer. Or call the manufacture directly and see what they say.

Ultimately they can charge what ever they want. And vehicles are fetching a premium right now. Dosnt mean you have to pay it though.

Personally I’d tell them flat out why I’m walking and take my business elsewhere

I told them that there was no deal and the salesman didn’t seem bothered at all, they know the car will sell anyway.
But I will try another dealer for sure, I’m in no rush.

ZR
10-28-2022, 08:00 PM
Sorry I missed your post on this, we’re you looking at new cars or used?


We are looking at a new vehicle, wonder if the same goes for used cars.
Doing a bit of quick math the $7,800 they wanted to add to the price of the vehicle is roughly the cost on the interest to finance, I think this dealer finances directly to the costumer so they want to make it up if you pay cash. I guess it makes sense but it would be nice if they advertised this up front.

All four were new, dealer also could have cared less about loosing the sale. Thought was to fly out West n drive one home, keep until the car I have on order comes in.

Zutz2v
10-29-2022, 06:34 PM
I told them that there was no deal and the salesman didn’t seem bothered at all, they know the car will sell anyway.
But I will try another dealer for sure, I’m in no rush.

What car is it ?


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Spock
10-30-2022, 10:54 AM
Let me guess... part of the GO AUTO network?

fast Ed
10-30-2022, 01:43 PM
Go Auto has retreated from Ontario, they only have one dealership left that they are still trying to unload. They've realized that the business practices they get away with in the western provinces won't fly here in Ontario.

Minaccia
10-30-2022, 02:01 PM
Not sure if it has anything to do with this but some banks are charging a fee when making cash deposits into their business account. I believe they call it a Tech Account or something along those lines.

N89
10-30-2022, 02:16 PM
What car is it ?


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We are looking for a macan

N89
10-30-2022, 02:26 PM
Let me guess... part of the GO AUTO network?

Not sure what the GO AUTO network is.
We were dealing with a Porsche dealer, but I guess this is normal now. My sister in law works for Subaru Richmond Hill and she told me that they also charge an extra to anyone paying cash, but at least they do advertise it up front.

fast Ed
10-30-2022, 02:40 PM
Not sure if it has anything to do with this but some banks are charging a fee when making cash deposits into their business account. I believe they call it a Tech Account or something along those lines.

Lou, in the case of these particular dealerships it's just a matter of them getting a cut of the profit from the financing which they would miss out on when the customer is paying cash ... hence the rationale for an extra charge.

Gr8Stang
10-30-2022, 02:40 PM
Yep, welcome to the world of short supply. My daughter ordered a RAV4 (2022) in late April. Dealer called in August to say they would not be able to get one and that she would have to put an order for a 2023 (and of course, it would be more $$). They did call her about a month earlier and offered her a more expensive 2022 RAV that they said a deal fell through on. She passed as she had a budget and wasn't going to pay more. She also planned to pay cash. Some of this can be blamed on the supply side issues, but there's also a bunch of dealers taking advantage and jacking prices above MSRP and/or trying to force financing or leasing to maximize their pay day.

Remember the dealer, and when the market turns (and it will), go elsewhere. Eventually this will again become a buyers' market.

bluetoy
10-30-2022, 03:23 PM
Never mention paying cash, take the financing. when you get home call and pay off the loan. Done it a few times before, it didn't cost me any interest at all. If they don't think you will pay it off then they wont ask to sign an agreement to keep the loan.

Ponyryd
10-30-2022, 04:15 PM
^This is my take as well.
A couple years ago my wife wrecked her Grand Cherokee and we needed a replacement, long story short, when shopping for new Durango they knew I wanted to pay cash and it wasn’t an issue for me, but I did work there. Now, they did tell me that I would be eligible to pay less if I financed, as there was some kind of incentive for it, but that I could pay it off in full after 6 months I think. I ended up finding a 6mo old exec car so I didn’t end up doing it anyway.

ZR
10-30-2022, 04:31 PM
Never mention paying cash, take the financing. when you get home call and pay off the loan. Done it a few times before, it didn't cost me any interest at all. If they don't think you will pay it off then they wont ask to sign an agreement to keep the loan.

Tried that with dealers out West, forced to lock into a contract where you "agree" to not pay off for at least 2 years.

Mustang4
10-30-2022, 09:13 PM
Never mention paying cash, take the financing. when you get home call and pay off the loan. Done it a few times before, it didn't cost me any interest at all. If they don't think you will pay it off then they wont ask to sign an agreement to keep the loan.

That seems like a good plan.

N89
10-31-2022, 07:41 AM
Tried that with dealers out West, forced to lock into a contract where you "agree" to not pay off for at least 2 years.

Not sure if this was the case with my deal (I didn't ask) but it makes sense for them to lock you into a contract, they will get their money one way or another.

N89
10-31-2022, 07:42 AM
^This is my take as well.
A couple years ago my wife wrecked her Grand Cherokee and we needed a replacement, long story short, when shopping for new Durango they knew I wanted to pay cash and it wasn’t an issue for me, but I did work there. Now, they did tell me that I would be eligible to pay less if I financed, as there was some kind of incentive for it, but that I could pay it off in full after 6 months I think. I ended up finding a 6mo old exec car so I didn’t end up doing it anyway.


Sometimes thinks work out for the best.

N89
10-31-2022, 07:55 AM
^^^^

Just like you we were looking for new, but we ended up finding a used low km 2018 macan turbo spec'd just the way we wanted it, with about 4 months factory warranty left, plus the dealer will give us a 2 year CPO warranty on top with the option to extend.
Called the dealer on Saturday and we are going to have a look at it this afternoon, i didn't mention payment options so let's see what happens

mavrrrick
10-31-2022, 11:06 AM
I’d try another dealer. Or call the manufacture directly and see what they say.

Ultimately they can charge what ever they want. And vehicles are fetching a premium right now. Dosnt mean you have to pay it though.

Personally I’d tell them flat out why I’m walking and take my business elsewhere

And will NEVER walk through their doors again.

Ponyryd
10-31-2022, 09:14 PM
^^^^

Just like you we were looking for new, but we ended up finding a used low km 2018 macan turbo spec'd just the way we wanted it, with about 4 months factory warranty left, plus the dealer will give us a 2 year CPO warranty on top with the option to extend.
Called the dealer on Saturday and we are going to have a look at it this afternoon, i didn't mention payment options so let's see what happens
Nice, CPO is a great option for higher-end stuff like that, I have to do those at work and there’s a lot of boxes to check…..plus it’s gravy work so the techs usually up sell whatever they can.

Laffs
11-01-2022, 12:11 PM
We are looking for a macan

My father bought his Porsche this year from Porsche Lauzon in Quebec. They were amazing to deal with over the phone and email. No hassles. Shipping from dealer to Windsor was only $800 through “Safe Auto Transport” who were also total pro’s.

N89
11-01-2022, 12:23 PM
My father bought his Porsche this year from Porsche Lauzon in Quebec. They were amazing to deal with over the phone and email. No hassles. Shipping from dealer to Windsor was only $800 through “Safe Auto Transport” who were also total pro’s.


That's awesome, how does he like it?

N89
11-01-2022, 12:31 PM
^^^^

Just like you we were looking for new, but we ended up finding a used low km 2018 macan turbo spec'd just the way we wanted it, with about 4 months factory warranty left, plus the dealer will give us a 2 year CPO warranty on top with the option to extend.
Called the dealer on Saturday and we are going to have a look at it this afternoon, i didn't mention payment options so let's see what happens



We went to have a look at it last night and we bought it.
Pfaff Porsche in Vaughan were amazing to deal with, they honored their advertised price regardless of payment options, no games at all, they were first class even for a used vehicle.

Bonus is that because of the other dealer's games we ended up getting a better vehicle and saved thousands.

ZR
11-01-2022, 01:34 PM
Awesome news.

MUSTANGWOP
11-01-2022, 02:03 PM
That's great to hear, congrats!

mavrrrick
11-01-2022, 03:00 PM
We went to have a look at it last night and we bought it.
Pfaff Porsche in Vaughan were amazing to deal with, they honored their advertised price regardless of payment options, no games at all, they were first class even for a used vehicle.

Bonus is that because of the other dealer's games we ended up getting a better vehicle and saved thousands.

Guess everything happens for a reason… congrats!!!


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bluetoy
11-01-2022, 04:07 PM
Now drive it to previous dealer and show them that cash works fine for honorable dealers.

RedSN
11-01-2022, 04:10 PM
^^^while i think this is a great idea, i don't think it would make any impression on dealer #1 whatsoever.

mavrrrick
11-01-2022, 04:54 PM
^^ cause nobody really gives a crap anymore ^^


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Laffs
11-01-2022, 09:38 PM
That's awesome, how does he like it?

Loves it. Absolutely the best car he has ever owned. Ive driven it a few times and its ruined all other cars for me.

Also congrats on the purchase from Pfaff. Dont go in to Pfaff tuning unless you wanna spend big money.

N89
11-02-2022, 06:18 AM
^^^while i think this is a great idea, i don't think it would make any impression on dealer #1 whatsoever.


You are right, i am sure they couldn't care less.

N89
11-02-2022, 06:22 AM
Loves it. Absolutely the best car he has ever owned. Ive driven it a few times and its ruined all other cars for me.

Also congrats on the purchase from Pfaff. Dont go in to Pfaff tuning unless you wanna spend big money.


Nice!
Yeah... this one will be the wife's daily, she doesn't need to go any faster LOL.