Do car yards accept credit cards or do they refuse due to the fees?
I was reading a column by someone who walked into a yard ready to purchase and drive away but wasn't allowed to use his visa. Is this common practise and if so how do people normally pay if they walk in and want to drive away with something?
This may sound stupid but I've only ever purchased one car privately before.
jmma,
Oct 21, 9:10am
I can't answer your question, but I will say that the only stupid question is the one you don't ask. (o:
2sheddies,
Oct 21, 9:13am
I don't know if they all do, but I've seen a few dealer cheapies offering credit card as a payment option. But that was for 2 or 3k. unsure if you could buy a 10k car on the plastic.
tintop,
Oct 21, 9:13am
Agreed :)
There will be a good answer coming soon.
thunderbolt,
Oct 21, 9:34am
Purchased a second hand car last month, was allowed to put deposit (up to 5K) on the credit card. Might be different at each yard though.
macman26,
Oct 21, 10:02am
Put $8 k on visa 7 years back for a car. Just asked first.
ianab,
Oct 21, 11:42am
Paid a $500 deposit over the phone with a Visa card for my last car. Out of town dealer and I wanted the car held for a couple of days.
Paid the balance with internet banking using the sales guys PC. Printed receipt for the transfer on his printer, and drove away.
Talk to the dealer and see how they want to handle it. They will probably prefer bank check or direct credit as the fees are less than credit cards.
kazbanz,
Oct 21, 8:21pm
Sorry but the answer is "IT depends" theres several possible senarios. First of all smaller dealerships or backyarders (home based traders) simply may not have credit card facilities at all. Second-No matter what credit card fees have to be paid. They are between 1.5 and 2.5% . so on a 10k car that's $150-$250. If you tell the dealer up front you intend to pay by credit card then this gets factored into the deal no problem/no issue. If you negotiate the best possible deal you can "for cash" then pull out the credit card as your "cash" then as you will understand theres a likelihood either they may refuse or will ask you to pay the card fees. -Incidently that is legal. If its just a holding deposit its unlikely the dealer will have any issue. On a side note. With so many other payment options now available credit cards are rarely used.
tgray,
Oct 21, 8:33pm
And 'physical cash' is not necessarily king - I prefer online bank transfer.
petal_91,
Jan 14, 5:15pm
Think of all the air points or other loyalty points you'd get on your card with the purchase of any reasonably expensive vehicle! Also some platinum type cards do stuff like adding an extra year or two on the manufacturer's warranty for items purchased on the card. If you can pay it on card it is probably worth it.
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