[Fun]

Originally Posted by Tyestick

Hey fellow 6th gen owners,

I’m about to make my 6th gen purchase. A 2019 1LE.

I’ve secured financing through a local credit union, and the dealership still wants me to fill out a credit application.

I asked them why, when I’m funding the purchase through my credit union.

They told me me, that they need me to fill out the application, because it takes 5 days for the check to clear from the credit union.

I’m not to keen on people running my credit, especially when I’m not purchasing directly through them.

Is this common practice?

I’ve done personal checks, they don’t send title until it clears, and I’ve done wire transfers. Tell them it’s their choice. If not good enough move on.

[devnull]

Originally Posted by Yanniz

Cash the check from your credit union, all in $1 bills and bring the cash to the dealer. That’d be fun and you’ll have a story to tell about Stealerahips!

I did this to a dealer who was being a total jerk after the deal was agreed on. We gave him a little over $5k in small bills (whatever the bank could come up with).

Enjoy counting there Sparky!

[dpevans]

We purchased my Camaro and my wife's Camry with cash and they never requested a credit check. You would be shocked though if you looked at your credit report and seen how many people run credit checks on you. I have one of the credit agencies send a notification every time someone runs a credit check. I would assume your dealer works with this credit union and will do all the paperwork internally.

[Need4Camaro]

Here is the deal.

Car dealers make NOTHING, literally $0 on new car sales themselves. They make more money on USED cars than NEW cars as they have the ability to markup used cars to profit.

If you buy a car new, they can only sale it for the MSRP, exactly what they bought it for, so there's no room for profit. When it comes to new cars, car dealers make their money on financing kickbacks from their lenders. They will try to get you a lower payment, but increase the interest rate, therefore they profit.

I personally would go to another dealer, that or have them hold the check until it clears. I would NOT have them run my credit. They will try to weed you out of your personal loan into one from their lenders so they make money.

[Tyestick]

Thanks for all the replies guys.

The financial manager, and myself came to a compromise. I drove management to the credit union, they issued him the check, and I now have a 2019 1LE. :-)

[RIPws6]

If you don't want your credit ran, leave the car at the dealership until payment clears. Then, hop in the car, give them the finger and drive off.

[Larrio Andretti]

Originally Posted by Memphis SS

Not correct bud, my wife works for a insurance company that does banking and unfortunately there are con artists that can make fake bank and credit union checks.

And NO on the other post that said give a fake SS number.. not even going into that one.

Options: As posted above do a wire transfer and your done. Or which this would not be my favorite but you could tell them to hold the car until check clears. I just had a buddy that bought new Tahoe and he refused to do a credit check because he was paying cash (bank check) they wouldn’t just take it so he went down to the bank with the salesman to get it confirmed for the dealer.

When I bought my Corvette I told the dealer what bank the checks were drawn on and had them confirm funds were in place a head of time. When I got there they tried the we need a credit check I said see ya and the changed there tune but that has been several years ago. I think now they are more strict plus your buying a high dollar car.

Yeah bud.... it does work like that. Bought 3 cars this year. Went in with bank checks. Walked out with cars. So yeah it works that way.

[LT4Greg]

Congratulations tyestick on your new SS 1LE! I knew they were jerking you around but you got it settled so enjoy it and welcome to the forum and post pics of that 2019.

[ScatPack]

They do this because once you have their car and if your check bounces, they will force you into a loan from one of their creditors unless you make arrangements to make the check good. Happened to me last time as well when I paid "cash" aka check from a CU. Not all dealers do it, but its becoming more common practice. They also want the opportunity to get you a better rate with one of their lenders. Its a mild scam but its shrouded in safety for them if your CU does not honor the check.

This usually happens when someone gets approved for a certain vehicle, then they buy something else that might be in a much worse loan to value out the door. People get approvals for cars, then those cars might be sold or not exist. Then they get switched to something else that is not as great of a deal, and the CU decides after the fact that they dont want to write a loan for that vehicle.

I personally would not fill out their app. They will shop you across the moon and stars. You will pickup 20 inquiries in the process and yes they all matter in terms of your score even if they were pulled same day for the same loan. Anyone with credit monitoring will tell you that its a lie saying that several inquiries in one day for the same purchase dont impact your score. They sure do, and to the tune of 2 points per.

[ScatPack]

Furthermore you can just buy the car with your check, then pick up the car once that check clears the bank. Just have them put it in the back in an empty bay with a sold sign on it.

[L8Apex]

They get paid for every credit app they process, I was told this by one salesman. You can definately refuse this, I have.

[Deki]

Originally Posted by Need4Camaro

Here is the deal.

Car dealers make NOTHING, literally $0 on new car sales themselves. They make more money on USED cars than NEW cars as they have the ability to markup used cars to profit.

If you buy a car new, they can only sale it for the MSRP, exactly what they bought it for, so there's no room for profit. When it comes to new cars, car dealers make their money on financing kickbacks from their lenders. They will try to get you a lower payment, but increase the interest rate, therefore they profit.

I personally would go to another dealer, that or have them hold the check until it clears. I would NOT have them run my credit. They will try to weed you out of your personal loan into one from their lenders so they make money.

Sorry to burst your bubble friend, but dealers get internal incentives from manufacturers based on sales, plus what they call hold back. They also don't pay MSRP for the cars. In fact, most dealers don't own the inventory outright. They make plenty of money on new cars, even when they sell them under invoice.

[Infamus]

They always try and pull the same thing. I get my financing sorted before I ever show up to get the car. I'm clear with them, they always come back with we can beat the rate but I know better.

funny thing the dealker tried when I purchased my Vette and the 1LE said no and with the 1LE they insisted and I told them no deal and left. That afternoon they called and everything was now sorted.

When I purchased my GTS I told the Benz dealer I had financing and he never asked about running a credit check. Done deal. its a scam...

[ScatPack]

Originally Posted by Deki

Sorry to burst your bubble friend, but dealers get internal incentives from manufacturers based on sales, plus what they call hold back. They also don't pay MSRP for the cars. In fact, most dealers don't own the inventory outright. They make plenty of money on new cars, even when they sell them under invoice.

Ahaha thanks for posting that. I got a laugh at his post about dealers paying MSRP for cars.....Ahahahaha