Originally Posted by tippy25
Wish I saw this thread before I bought my '13 WRX hatch. I have a couple questions in hindsight that I didn't think about earlier.
Personally, I refuse to talk numbers until I drive everything that's on my list of potentials. I make that clear at the start of things. And before negotiations even started, I had an offer for a loan already in my hand. I figure that's a good way to be taken seriously. The dealer knew they couldn't match my offer in-house, but they worked with several banks local to them to get me a better deal. How much of a benefit was that to them than me using my own financing offer? Is it effectively the same thing or do banks typically give some sort of kickback for the business?
Yep, like AllAWD said. Any time you sell a "product" there is profit to be made. Loans, warranties, service plans, etc all have a percentage of profit to be made.
So it is in the Finance Dept's best interest to try and gain your business in as many ways as possible.
If you come in with a loan already in hand, don't opt for any extra products/services then the Finance Mgr just printed paperwork and didn't make anything for their paycheck.
That's why I always kinda chuckle when my customers threaten me with paying cash to get a leg up in negotiations when all that does is kill their chances of getting a "better" deal because you have eliminated any chance of my Finance Dept to make a cent.
Dealers will always take you seriously if you are actually "in house". If you are an internet tough guy that says this but does the other, then you won't be taken seriously.