Charge new car to credit card ???

[73ss454]

We would take up to 2K on a CC at the dealer I worked at.

I never checked if there's any type of law that says a vendor must take any amount if the person is approved for that amount. Interesting! I would think that the CC company would be upset if they knew of any type of limits set by a vendor.

 

[audreyh1]

We did - about $20K. For some reason the dealer encouraged us to do this, and we did get miles. We were paying cash for the car, so we just paid off the credit card instead.

Audrey

 

[ERD50]

Same thing here. The dealership told us the credit card companies were wising up to this and our purchase would be limited to 5% of the cost of the car.

I guess I don't get this - don't the CC companies encourage people to use their cards for purchases? So why would they want to discourage it?

-ERD50

 

[bssc]

When we got our Dodge, they only let us charge $3K. We did finance $5K with them because they gave us $1K back and $5K was the minimum amount we needed to finance.

 

[Craig]

Well, perhaps someone at a dealership said this was a limitation set by a credit card company, but I've never heard of such a thing.

Another, arcane factor here is that there is a dealership agreement between the retail finance company and the dealer ... that agreement indicates the dealer represents the buyer's down payment is paid in cash. Technically, payment of the downstroke by credit card is a violation of that agreement, unless the dealer discloses this to the lender.

The big reason is the fees, no question.