Do main dealers accept credit cards for buying a car?

[rix]

Mercedes in particular... I'm considering buying but the PCP rate is at 5.9% which means funding a 20k debt for 2 years at a cost of approx £130 of interest a month in real terms.

Considering bunging the whole thing (or at least the balance after my intended cash deposit) on a credit card and transferring balance if I need to at the end of a zero rate period.

I know I could just ask, but dunno whether it's generally a complete no no!

[whoami]

Most dealers will only let you put a small amount on the card (£1-3K) "free". The rest will attract a card fee of 2-3%.

[rallycross]

whoami said:

Most dealers will only let you put a small amount on the card (£1-3K) "free". The rest will attract a card fee of 2-3%.

3% fee most likely.

[750turbo]

I have done this a few times now - Never been charged extra, although I am aware that the users pay a charge.

Just ask them - I am sure they will not bite.

[Butter Face]

Are you getting any deposit contributions on the PCP deal? Don't forget if you find yourself you won't get it.

[VolvoT5]

Bought my last car on card, wasn't a main dealer but it was about 7k. They did charge 2% fee over £1000 IIRC, but it was still cost effective as I had deal on the card.

Obviously a CC is a very bad way to finance a car though if you intend to pay off over a long period though.

[33q]

I am thinking of trying something similar to buy a £6k IQ.

Time the purchase date right and balance transfer it away on a low fee card for 2 years plus.

I agree if you don't ask ..... Or stipulate it as your terms...

[750turbo]

VolvoT5 said:

Bought my last car on card, wasn't a main dealer but it was about 7k. They did charge 2% fee over £1000 IIRC, but it was still cost effective as I had deal on the card.

Obviously a CC is a very bad way to finance a car though if you intend to pay off over a long period though.

Not if you have the facility to constantly swap to cheap deals though.

I did this for a while - Utter ball-ache - but worked if managed correctly.

[Vipers]

Paid 17k for an ex demonstrator at Arnond Clarke in Aberdeen, no problem. Using my bank card.

[rix]

It will be about a 25% discount on list tho not sure if mercedes finance see it as a deposit contribution linked to the PCP! or whether they just finance whatever is needed. The 5.9% doesn't seem that amazing so they may possibly make something out of it which offsets some of the discount.

2 years motoring at 10k per year, PCP route with £7k up front would mean a total cost of £9928 (or 3 years = £13381). Alternatively I could lease, all things being equal for £7859.

Is leasing the no brainer it seems to be? I'm drawn to 'ownership' just because it seems more sensible tho clearly the sums suggest otherwise!!

Any idea if mercedes GFVs tend to be optimistic? If I was likely to have a bit of equity over the £20k bubble then I'd probably go PCP... confused!!

[vikingaero]

Quite common on secondhand cars in the single digit thousands. But most dealers will have a better margin to play with on used cars.

[Vipers]

swerni said:

Vipers said:

Paid 17k for an ex demonstrator at Arnond Clarke in Aberdeen, no problem. Using my bank card.

He asked abiut credit cards not bank cards

Oh well, must be a big difference, thanks for the clarification......................

[FreeLitres]

swerni said:

Vipers said:

Paid 17k for an ex demonstrator at Arnond Clarke in Aberdeen, no problem. Using my bank card.

He asked abiut credit cards not bank cards

I paid £15k for a TVR on my debit card, no problem. Don't credit cards have a credit limit on them which would limit your maximum purchase? I rarely use my credit card but my credit limit is about £5k IIRC.

[whoami]

Vipers said:

Oh well, must be a big difference, thanks for the clarification......................

There is.

Debit card = Free.

Credit Card = 3%.

[lukefreeman]

I'm sure I read somewhere you can hook up your credit card to a paypal account.......Could you payapl gift your missus the cash, and just pay off her debit card

Would that work>

[rix]

Good effort but credit card funded gifts are subject to 3.4% fee...

[ChrisNic]

Things are changing surrounding credit card fee's, it should prove easier to use credit cards in the future but whether the 0% deals continue when revenue streams change for the companies remains to be seen.

http://www.moneysavingexpert.com/news/cards/2015/0...

[Mr Tidy]

Back in 2008 paid about £15K by debit card at a main agent, but credit card would not have been acceptable (presumably a fee issue).

If you ain't got it, don't try to buy it!

[shake n bake]

Mr Tidy said:

If you ain't got it, don't try to buy it!

Do you have a mortgage?
It makes me laugh when the 1920's minded idiot rolls along and spits out this drivel, in your world this country and most developed countries would be in a far worse state than they are currently.

In answer to the original question, it's at the dealers discretion regarding a credit card fee, we are supposed to charge 2.5% but rarely do.

[Axionknight]

Mr Tidy said:

Back in 2008 paid about £15K by debit card at a main agent, but credit card would not have been acceptable (presumably a fee issue).

If you ain't got it, don't try to buy it!

So did you pay cash for your house, or do you rent, out of interest?