If we go to a used car dealer, will they check credit reports?

[Anonymous]

Will a used car dealership check credit reports to negotiate price? We want to pay cash but it's better not to reveal that right away, but we also don't want to jeopardize a home loan by looking like we're applying for more credit. Need the car before the home loan would close but both very soon.

[Anonymous]

If you want to pay cash, just decline the credit check and tell them you are paying cash.

[Anonymous]

Agree on a price first, of course. When you say you're paying cash they will likely try a bait and switch. Be prepared to walk out. Getting the price you want, without going with the lender they suggest, AND getting it that day may be difficult.

[Anonymous]

Or just pay the premium and go to Carmax.com. I picked out my car online, which gives the final out the door price. Gave the final number to my credit union. Went to Carmax and drove home the same day. All on the same day. I'll never go to a regular dealer again. Ever.

[Anonymous]

Make sure to tell Carnac to remove the Carmax logo they stick to back.I Don’t buy from them but if I buy a used car I don’t want to be a road billboard for them.

Learned this 20+ years ago when I bought a Toyota from a Volvo dealership the day it was traded in. Befire I could finish the deal they were already about to stick their “Acme Volvo” logo on the back.

[Anonymous]

The carmax logo is on all the cars they sell. They put it on prior once the cars hit the lot

[Anonymous]

OP, if you feel strongly about not disclosing cash, pull your own credit report/score estimate so it is a soft pull. You may already have it from the mortgage process. Take it with you and be very clear you won't let them run credit until the deal is almost final because of house shopping - that you're looking around at multiple dealers so you can't let them all run it. You're just trying to make them realize you're a serious buyer.

Here's the thing. The bait and switch "don't tell them you're paying cash until the end!!1!" advice is all over the internet, and I get the logic. But trust me, they aren't idiots. This happens all the time, and they are not going to take it in the pants because they quoted you a price with their financing kickback built in, then you didn't finance. The pricing will be dependent on you financing, and any hesitation to commit to that will mean they don't even quote you that price. Even if you actually were going to take a loan, they look for signs you're going to pay it off within 90 days - they lose their financing revenue if you do that.

If you go in and say, "we're open to financing, we could do either" - you get the cash price. You say "Yeah, we want to finance," and then change it up last minute? Deal is off, they are going to requote you.

Save yourself the hassle and be upfront with them. You will get the best price for your total circumstances by wasting as little of their time as possible. Don't try to be tricky - they know these tricks and can run circles around you.

[Anonymous]

Also, I hate when dealerships put emblems on cars and always ask they be removed. It is never a problem. But if they can't for whatever reason, they are surprisingly easy to remove yourself with a hairdryer.

Not sure how we got onto that from the OP, but clearly somebody has strong feelings about Carmax's badging practices 😄

[Anonymous]

I went in with a check and loan approved and they still pulled a credit check a second time although sales person said it would be a soft pull. So damn annoying and needless in my opinion. I was part by $20000 personal check. But, they could have just verified the funds in my account versus pulling another report.

Not sure how you can avoid a credit check if you need to finance. Maybe pay cash?

[Anonymous]

Anonymous wrote:If you want to pay cash, just decline the credit check and tell them you are paying cash.

If you are paying cash you best walk in with a bag of dollars. If you use a check they will still run credit.

[Anonymous]

Anonymous wrote:Also, I hate when dealerships put emblems on cars and always ask they be removed. It is never a problem. But if they can't for whatever reason, they are surprisingly easy to remove yourself with a hairdryer.

Not sure how we got onto that from the OP, but clearly somebody has strong feelings about Carmax's badging practices 😄

Also remove the dealer license plate frame. If they want to advertise they can pay for it.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Also, I hate when dealerships put emblems on cars and always ask they be removed. It is never a problem. But if they can't for whatever reason, they are surprisingly easy to remove yourself with a hairdryer.

Not sure how we got onto that from the OP, but clearly somebody has strong feelings about Carmax's badging practices 😄

Also remove the dealer license plate frame. If they want to advertise they can pay for it.

Yes, it's annoying how many people just leave that dealer frame on forever.