putting car down payment on credit card (part of it)

[Rallispec]

trying to buy a car soon.

putting down a large down payment, however will have an additional 2 grand available about a week after I buy the car.

Do I put the additoinal 2 grand on my CC, make one big payment and use the cash later to pay off my CC. Or just put what i've got down on the car, and then apply the 2 grand to the initial payment.


I'd assume option b is probably better (avoid racking interest charges on my CC) however I'm not sure if putting down more at the time of signing will work out to me getting a better deal.

 

[Zim Hosein]

I'd play it safe and keep the "extra" 2K for a rainy day Rallispec

 

[Viper GTS]

Put it on your credit card.

As long as you pay it off within your grace period you'll pay no interest.

That is of course assuming they'll take $2K from a CC.

Viper GTS

 

[Rallispec]

Originally posted by: Viper GTS
Put it on your credit card.

As long as you pay it off within your grace period you'll pay no interest.

That is of course assuming they'll take $2K from a CC.

Viper GTS

I'd probably use the credit card to credit an additional 2k to my bank account, and the pay it all together with one check. Assuming that it is possible to do that.

 

[aphex]

Whats wrong with your Spec-V?

 

[Rallispec]

Originally posted by: aphex
Whats wrong with your Spec-V?

It's for my g/f

she's in Ireland right now for 2 weeks, i'm thinking about surprising her with a new car (mazda6) when she gets back.

we've been saving up for her to get it for a while and were going to wait until march-ish or so. I thought i'd be nice and surprise her with it early.

The extra 2k will come from selling her car that she drives now, plus anything that she's set aside for the car. (which won't have been that much, since most of her money went to this ireland trip)

 

[Bryophyte]

Originally posted by: Rallispec

Originally posted by: Viper GTS
Put it on your credit card.

As long as you pay it off within your grace period you'll pay no interest.

That is of course assuming they'll take $2K from a CC.

Viper GTS

I'd probably use the credit card to credit an additional 2k to my bank account, and the pay it all together with one check. Assuming that it is possible to do that.

They'll probably hit you with cash advance fees and interest from day 1. Pretty sure you don't get a grace period for cash advances.

 

[RossMAN]

Originally posted by: Bryophyte

Originally posted by: Rallispec

Originally posted by: Viper GTS
Put it on your credit card.

As long as you pay it off within your grace period you'll pay no interest.

That is of course assuming they'll take $2K from a CC.

Viper GTS

I'd probably use the credit card to credit an additional 2k to my bank account, and the pay it all together with one check. Assuming that it is possible to do that.

They'll probably hit you with cash advance fees and interest from day 1. Pretty sure you don't get a grace period for cash advances.

Yeah there are two possible catches with using your cc for $2k:

1) Car dealership may not accept it.
2) Make sure they charge it as a PURCHASE and NOT A CASH ADVANCE (which technically it is). A cash advance immediately begins accruing interest of around 19.99% and there is no "grace period" of 25 days.

So if #1 and #2 are cool then use the cc.

 

[ElFenix]

Originally posted by: Rallispec

Originally posted by: aphex
Whats wrong with your Spec-V?

It's for my g/f

she's in Ireland right now for 2 weeks, i'm thinking about surprising her with a new car (mazda6) when she gets back.

we've been saving up for her to get it for a while and were going to wait until march-ish or so. I thought i'd be nice and surprise her with it early.

The extra 2k will come from selling her car that she drives now, plus anything that she's set aside for the car. (which won't have been that much, since most of her money went to this ireland trip)

i'm sorta debating trading in my se-r for a mazda6... if only the 6 wasn't so damn slow... and have funky oil changes...

but back to the thread, i paid my down with credit card since i hadn't freed the money from the stock it was in at the time i bought the car. ain't no problem. they'll try to get you for the processing fee until you remind them that their contract with mastercard/visa/amex probably says they can't do that.

 

[olds]

Some dealers won't take a large payment via CC. They have to pay the points.

 

[NicColt]

I wanted to pay my entire car on CC and the dealer didn't want it. I have two gold cards and it would have fit on one. They also don't take cash, so I had to spend $5 on a certified check. I ended up paying $5 more for my car.

it's sad when even cash can't buy you a car.

edit
>They have to pay the points.

exactly, I have %1 cash back that I wanted, you can buy lots of things on CC but not a car.

 

[Elbryn]

take a 0% balance transfer to one of your credit cards. then when your card shows a surplus ask for a refund of excess balance.

 

[olds]

Originally posted by: NicColt
I wanted to pay my entire car on CC and the dealer didn't want it. I have two gold cards and it would have fit on one. They also don't take cash, so I had to spend $5 on a certified check. I ended up paying $5 more for my car.

it's sad when even cash can't buy you a car.

edit
>They have to pay the points.

exactly, I have %1 cash back that I wanted, you can buy lots of things on CC but not a car.

What dealer doesn't take cash? Was it on a weekend?

 

[ScoobMaster]

Heh - reminds me of when we bought our popup camper back in 1999. The credit union RV loan rate was 10.7%, but My Mastercard was 7.9% (special credit-union issued Mastercard). I bought the camper with the card and didn't have to do any loan papers

 

[Viper GTS]

Originally posted by: oldsmoboat

Originally posted by: NicColt
I wanted to pay my entire car on CC and the dealer didn't want it. I have two gold cards and it would have fit on one. They also don't take cash, so I had to spend $5 on a certified check. I ended up paying $5 more for my car.

it's sad when even cash can't buy you a car.

edit
>They have to pay the points.

exactly, I have %1 cash back that I wanted, you can buy lots of things on CC but not a car.

What dealer doesn't take cash? Was it on a weekend?

Why would a dealer want to take cash?

Much easier & safer for them to make you go get a check or money order.

Viper GTS

 

[richardycc]

Originally posted by: Rallispec

Originally posted by: aphex
Whats wrong with your Spec-V?

It's for my g/f

she's in Ireland right now for 2 weeks, i'm thinking about surprising her with a new car (mazda6) when she gets back.

we've been saving up for her to get it for a while and were going to wait until march-ish or so. I thought i'd be nice and surprise her with it early.

The extra 2k will come from selling her car that she drives now, plus anything that she's set aside for the car. (which won't have been that much, since most of her money went to this ireland trip)

what if she comes home with a new bf??? :Q

 

[olds]

Originally posted by: Viper GTS

Originally posted by: oldsmoboat

Originally posted by: NicColt
I wanted to pay my entire car on CC and the dealer didn't want it. I have two gold cards and it would have fit on one. They also don't take cash, so I had to spend $5 on a certified check. I ended up paying $5 more for my car.

it's sad when even cash can't buy you a car.

edit
>They have to pay the points.

exactly, I have %1 cash back that I wanted, you can buy lots of things on CC but not a car.

What dealer doesn't take cash? Was it on a weekend?

Why would a dealer want to take cash?

Much easier & safer for them to make you go get a check or money order.

Viper GTS

A dealer would want cash because they are in the business of selling things. If they limit forms of payment, they limit sales.

 

[olds]

Of course, any cash payment over $9999 must be reported to the IRS and you have to fill out a form saying where the money came from. At least here in CA.

 

[lobadobadingdong]

I'd wait a week

 

[Thegonagle]

First, I've seen many different policies posted at various dealerships regarding the use of a credit card, from limits like $500, $1000, or $2000, to a sign that simply said "we do not accept credit cards for vehicle sales." The reason is because the transaction fees the dealership must pay for huge credit card transactions could potentially wipe out a significant portion of the profit margin on some "thin" deals.

Second, only use your credit card if having a larger down payment will allow you to get a better interest rate on the car loan. Otherwise, it's pretty pointless because you can just pay the car loan early.

BTW, I had no problem bringing in $2000 cash for my down payment. I had the cash on me in case I found a $2000 cream-puff from a private party while I was out looking; that way, I could buy it on the spot. Unfortunately, when you need a car quickly, those deals are hard to find. I ended up finding a $9,500 car from a dealership and using my pre-approved car loan from my credit union. When the finance person said "I just need your check for the $2,000 down payment," I told her I had the cash on me. She said "OK, I'll just print out a cash receipt for you." There's no reason at all for them make you bring in a money order or anything else.

 

[IHYLN]

Originally posted by: Rallispec

Originally posted by: aphex
Whats wrong with your Spec-V?

It's for my g/f

she's in Ireland right now for 2 weeks, i'm thinking about surprising her with a new car (mazda6) when she gets back.

we've been saving up for her to get it for a while and were going to wait until march-ish or so. I thought i'd be nice and surprise her with it early.

The extra 2k will come from selling her car that she drives now, plus anything that she's set aside for the car. (which won't have been that much, since most of her money went to this ireland trip)

Personally, I would never buy a car for anyone that wasn't my wife or very close relative. Seems like you are heading down the foolish track to me.