How did you buy your last new car?

[ERD50]

Yes to the first. I just tell them that I don't want them and have never had a problem. Around here the dealers try to tack on a "documentation fee" or "doc fee" which is usually pre-printed on their contract form and is really for them doing the paperwork associated with the sale. I had one salesman try to con me that it was required by state law and told him he was full of sh*t. In each case I tell them that I refuse to pay for them doing their paperwork and they typically back down and just adjust the top line price downward to make up the difference.

Never tried on the second and I probably have signed something like that but it has never been a problem for me. I suppose you could refuse and walk out the door if it is a dealer thing, but if it is a manufacturer thing then I don't see that you have much leverage but it wouldn't hurt to try.

Thanks, the trouble I've seen is the dealer adds that junk to every car on the lot. I guess I'd need to make the case ahead of time.

As far as the arbitration agreement, I did avoid it once, just flat out told the guy I would need a good reason to sign my rights away. After a very firm push or two (doing my best Clint Eastwood glare), he wrote "declined" on it and moved on. Another time, it was late, and this is one of the last things they hand you to sign. I fought, but the guy said the owner requires it, and they can't sell a car w/o it. And I'm always the only guy that ever didn't want to sign it (either false, or there sure are a lot of sheep out there). I was thiiiiis clooooose to walking out, but I caved. Wasn't sure if I could find another dealer that would waive it, so I went ahead.

The arbitration contract is a doozy - you use their mediator, and you pay the first $X in expenses for any dispute. It's really one-sided.

edit/add: Doc fee - yep, I had a salesman word it very carefully - if I didn't know better, I would have thought it was a required fee. But in IL, there is simply a regulated maximum fee they can charge. They are not obligated to charge it. I thought I had found an error on their docs, I was going to ask for a refund of that fee, but it turned out to be correct.

-ERD50

 

[pb4uski]

Thanks, the trouble I've seen is the dealer adds that junk to every car on the lot. I guess I'd need to make the case ahead of time.
...

I've run into that too. I just tell them that I don't care for them and they have no value to me so they can either take them off the car (like car mats) or not but there is no way I am paying for them. I give those things zero value in any offer I make so while in the dealer's mind he may be including something for them, I'm not.

 

[MBAustin]

In 2010, I used Truecar to figure out what a good target price would be. I also was paying cash and selling my old car separately. Went to the closest dealer to test drive the Prius (truly to make sure I really wanted one), intending to contact other dealers via the internet to actually purchase the car.

After the test drive, I was ready to leave as they didn't have one equipped the way I wanted on the lot. Within minutes the salesman found a Prius at another dealer equipped exactly as I wanted it and agreed to sell it to me for about $50 more than my target price (he subtracted all of the "junk fees" to get there). So I bought on the spot and picked it up a few days later. Most painless car shopping experience I've ever been through.

 

[scrabbler1]

I've run into that too. I just tell them that I don't care for them and they have no value to me so they can either take them off the car (like car mats) or not but there is no way I am paying for them. I give those things zero value in any offer I make so while in the dealer's mind he may be including something for them, I'm not.

Reminds me of what happened when I bought my last car. In addition to the sticker price, there was a second "sticker" with 3 costly and mostly worthless dealer-installed options costing about $1,200. One item had some value but was vastly overpriced. I told the salesman that I did not care and wasn't paying for the other two after he told me that "All of the cars have those things." I added a small amount (I kept that to myself) for the third one when I calculated my price.

 

[pb4uski]

Since the OP is paying cash, I'll share my favorite car buying story. I had found a car that I was interested in and negotiated hard with the dealer but we reached an impasse where we were ~$500 apart so I went home. That was on a Saturday. On my way to work on Monday I dropped them off a check made out to them for $150 more than my last offer (the price we were negotiating was an all inclusive drive-away price) and gave it to the salesman and told him it was my final offer for the car and if they wanted to sell it to me for that I would buy it but if not to just rip up the check and sent it back to me at the address on the check. I hadn't even finished my first coffee at work and the guy called to ask me when I wanted to pick up the car.

A couple years later I tried the same thing with a dealer down the road and a couple days later received my torn up check in the mail.

 

[SumDay]

Just wondering, DH is a GM Retiree, so we have that discount. Would shopping the car on the Internet still work for us? Or is that one too many discounts?

 

[Cb]

My most recent purchase was a 2012 Mustang GT. There are a handful of pretty active Mustang forums, so I was able to learn about a few peculiar incentives:

- one was a $750 brochure coupon that appeared in a significant percentage of the brochures sent out in response to requests submitted to Ford.com. I made 3 requests and two of the brochures I received had the coupon.

- the other was the availability of "X-Plan" pricing, one of the a discount plans offered to Ford employees, retirees, suppliers, etc. On the forums I learned that members of the Mustang Club of America for ($50 for a year) are entitled to X-Plan pricing.

I put off ordering one until I saw photos of the 2013's at the LA Auto Show (late fall), I didn't care for the changes, and fortunately there were sizable incentives on the 2012's toward the end of the model year.

So if the car you're interested in has active forums, you might learn about more incentives than you would otherwise.

 

[brett]

In 1997-at the dealership. Lots of haggling and I had to walk away twice before we agreed on a price. Still driving that car (import). At that time we were negotiating all in price. Once the deal was done a d I was turned over to the business manager they tried to add admin and then freight/psi. We stood our ground and started to get up from the chair to leave. The business manage relented. We of course passed on all the other high margin stuff-extended warranty, undercoat, etc.

Bought anther car for DW two years ago. Went with a low mileage higher end pre-owned import model. Paid exactly half of what the new model would have cost us at that time. It took some effort...we were looking around or two months in order to find the 'right' car.

 

[Texas Proud]

Just wondering, DH is a GM Retiree, so we have that discount. Would shopping the car on the Internet still work for us? Or is that one too many discounts?

I thought the best price was the one that GM had... I bought one when somehow my brother was connected to GM... IIRC, there were two kinds of discounts.... buy at a price GM published and pick it up from whatever dealer you wanted... no extra fees, no fuss... and the dealer got a fee for getting it ready....

Or, you find the best price and get an additional amount off the car... I think this was not as good as #1, but for some models it was...

If you are going for #2... then yes, you need to get the best deal you can...

 

[FinanceDude]

Just wondering, DH is a GM Retiree, so we have that discount. Would shopping the car on the Internet still work for us? Or is that one too many discounts?

GM retiree price is way below invoice. Just provide proof, and the dealer gives you the price. Don't let them add pinstriping, rust protection, etc. Also, do not pay the add-on "processing fee", that fee is nothing but a moneymaker.

 

[rbmrtn]

Just wondering, DH is a GM Retiree, so we have that discount. Would shopping the car on the Internet still work for us? Or is that one too many discounts?

Probably depends on the incentive programs. I bought a new truck back in '06. The company I worked for had an employee discount plans for various things, cars, appliances, electronics etc. For the cars they had the car employee price which was x amount below invoice. So I got that, 4k rebate because what bought was an 05, 3K off for financing through the car company ( paid it off the first payment ), 1.5k off for regional discount Katrina recovery, and I forget 2 or 3 other smaller ones.

 

[ERhoosier]

Used to work for a Big-3 co yrs ago and still have relatives who are ER'ed from all 3. I've bought most of my vehicles under employee discounts, although also bought other makes in dealer negotiations and leased a few times. True employee/retiree discounts are best. Sometimes there are employee bonus cash incentives that make deals too good to pass up. Notch below this is supplier discount (like Ford X-Plan) that is often beatable with good negotiating skills (except on a few hot sellers). Friends/family discounts are variable. Keep in mind these are general observations- YMMV.
For ordinary (non-employee) deals ALWAYS do your homework!!! I've found Edmunds to be better info than Consumer Reports. Info more UTD & accurate for your local area (i.e. TMV). End of mo or qtr usu best time to haggle, but try not to car shop when you are desperate (i.e. in love with ONE specific car or current car is seriously dead). And never, ever take 1st offer for either the new car or your trade-in. Some states tax only the diff in cost between new vehicle & TI so that can affect decision on handling your old ride. And +1,000,000 on refusing expensive dealer add-ons like paint protection, rust proofing, over priced extended warranties, etc. As Nancy Regan said- just say NO!!!!

DW hates the process, but I've come to almost enjoy the art of the car deal. Often takes a few days, and yes sometimes deal just ain't happening. In buying a vehicle this yr I made a final cash offer (trade was involved) & sales manager said no claiming he would loose $$. Knew that was BS but did not say so. Calmly thanked 'em for their time & walked out. Got call that eve saying "my new car" was waiting for me- at their price. Said my price or no dice. Now DW was starting to cave 'cause she wanted THAT car. Reminder her that's sign of weakness. Three days later (EOM) dealer calls & accepts my deal. No extra add-on charges, financing, or dealer 'packs', & yes I kept the rebates. Saved $2400 vs their "final" offer, tho DW still says she hates car negotiations. Disciplined, calm, well-informed bargaining usu works & can be well worth your time.

 

[ejw93]

Costco.

Costco, Costco, Costco.

Purchase before our latest was a dealer 'walk-in'... I needed to shower after the experience.

 

[rescueme]

Notch below this is supplier discount (like Ford X-Plan) that is often beatable with good negotiating skills...

True; I ordered/purchased my '02 Mustang GT vert at a price under the X-plan.

 

[veremchuka]

Last time I bought a new car it was 1973 and I paid cash. Since then I just buy a car that's 7-10 years old and pay cash and drive it until it can't be driven any longer.

 

[Finance Dave]

If you live in a large city with many dealerships, I think one of the internet purchase tools works well.

I live in a tiny town, there is only one dealership for each make...so I simply go into the dealer with a price in hand (can get invoice price from various sources) and say "I'd rather buy this car locally than drive to city xxx 1 hour away...but I will go there if I can't get a good price from you. I'm looking for a cash deal...so let's not talk about payments, leases, trade-ins, undercoating, or all the other ancillary items..let's talk price including taxes, destination, the temporary plate you're going to put on, and every single dollar I'll be paying."

Be sure to talk to the sales manager, not just a salesperson. A salesperson is often a subcontractor of the dealer, and their signature/word may not be legally binding. Tell the sales manager you want to purchase today, and that if you walk out, you're gone for good.

 

[mickeyd]

Bought a new Corolla about a year ago and was prepared to pay cash for it, but decided to take advantage of Toyota's 0% 36 month deal. Could not ignor 0% $.

 

[travelover]

.......Could not ignore 0% $.

Good point. You have to put it in a savings account to get that rate.

 

[sheehs1]

One resource I found invaluable for my purchase (2 years ago) was a car forum catering to the make and model of the car I purchased. Members of this forum, some working for dealerships had posted (anonymously) the actual cost and invoice cost for each model and every package/option. This gave me a starting point from which I asked 4 or 5 dealerships to bid.

The internet forums are a great resource to find out the problems with particular makes and models. Also, check out the government vehicular complaint website to see if there have been complaints.
Never hurts to know stuff.

www-odi.nhtsa.dot.gov/ivoq/

If link does not work just do a search on "government vehicular complaints" and the website will come up in the search.