Cash for Cars

Physician's Money Digest, March15 2005, Volume 12, Issue 5

There was a time when cash was kingin the car-buying world, when a buyerwith a bundle of banknotes could usuallyget a better bargain than one who neededa loan. Since car dealers have started todepend on the financing arm of their operationsto generate profits, though, thepower of cash has diminished, but notentirely. On your next car-shopping trip,you may want to dangle a cash deal infront of the salesperson to see whether itcan move the price needle in your favor.This tactic can be especially effective onpreowned vehicles; often an auto dealerwill accept a cash offer below the "rockbottom"price to "move the metal."