Financing Issue(s) getting financed?

[Steppenwolfe]

Uhmm.... Now I'm curious..

Show of hands: Do some people think it's bad form to pay off your loans early? A stab in the back to the financier?

It has NEVER occurred to me that if I owe somebody money and pay it off early that somehow this is an offense.

They've got their money and can now invest it and make what they would of earned in interest. Or they can loan it out again.
Or they can roll around in it in a big pile on their bed. Whatever...

If they invest it they should be able to make as much money as the interest. Plus now they have the benefit of being in possession of the principle / security.

Plus if you pay them off with future dollars (i.e over the life span of the loan), you're paying them off with dollars that are worth less than paying them off with today's dollars. (i.e. due to inflation). So there's a benefit to them.

Interested in what others think..

No, you're right. Ovrszd is over reacting a bit, my :2cents:.

 

[ovrszd]

No, you're right. Ovrszd is over reacting a bit, my :2cents:.

Just stating my position. I thought that's what this discussion was about?

So,,,, you are right and I'm wrong??

We've drifted so far from the original intent of this thread that the OP has gone home.

No one is going to run out tomorrow and change their way of doing business.

If I'm over reacting then every poster here is. Including you.

 

[hystyk24]

It's irrelevant. Unless they offer a cash price or you can eliminate the use of credit cards by everyone so that fee goes away. So in the end he pays less that you cash people. (If he pays it off immediately like he says does.)

I also use my card for everything because of miles or cash back... Also haven't paid an interest charge in a decade. Looking for that zero turn mower and came across mowersdirect.com. Not that I'm hyping them, but they offer 2% reduction for those paying by check. Found a new 2016 leftover Bad Boy mower in Sarasota today. Dealer took $400 off an already fantastic price because I was not financing and then knocked off another 2.5% for not using a credit card. To make your point, when the advantage of paying up presents itself... Kubotas' loss is my gain... and still orange �� ...

 

[ultrarunner]

You know an honest car salesman?

Yes... my Grandfather in the business for 50 years.

When he passed away the funeral was standing room only and the newspaper ran with a story Beloved Car Dealer Succumbs to Cancer.

All these years later people will recognize my name and ask if I'm related.

Back in High School... I placed a lot of cars to friends and teachers... and never a bad word...

Some of my friends were a little unhappy at the time because they were looking to spend every dime on a new high hp car and my grandfather would have the grandfather talk in the office saying getting tied down with car payments to the point you live only to afford your car note is a common mistake...

He never wanted anyone upside down in their purchase... advertising was by word of mouth and repeat business.... some had 4 generations buying and trading cars.

Local mechanics would refer customers and never a kick back expected or accepted...

One thing my Grandfather never did was buy any vehicle from an auction.. simply would not do it.

Learned a lot from him and often didn't realize it at the time just how special he was... 50+ years in the business with a stellar reputation is remarkable.

Treat people fairly and put your home phone number and address on your business card... I asked him about this once and he said it was about buying with confidence... venture to say that even back then not many Dealers put their "Residence" phone and address on their business cards.

 

[paulfun9]

When i bought my last car, it was actually less to finance than if i had paid cash.

I haven't encountered the situation when I could do a major purchase with credit on something like a Car/Truck/motorcycle or even a tractor that I would pay less by using any type of finance compared to cash. Not saying it isn't possible but so far I have been able to save more by paying cash with every single major purchase since 1992 right up to my latest purchase last week of a new Boat.
This has me wondering if more people are just accepting the prices offered without question and not walking if the deal isn't sweet enough.

As many other folks have realized with some stores you don't win when you pay cash. most of those stores I don't shop often but will not hesitate to use a credit card that gives me something worth while in a point system but the bill is paid in full every month. Most of the stores I shop frequently give a cash discount and some don't even accept credit cards at all so there is no mark up for them to begin with.

Like many who understand the mark up but would rather pay cash. I would prefer we not have to deal with it at all but since we do I will play the game when need be and do the best I can for my pocket.

Those who honestly think that people will not pay for something that does not equal in value to the cost are not paying attention IMHO as I honestly think people are confusing wants and needs and paying way too much for many things just because some other fool is paying that much.
Remember that question when you did something questionable as a child "If all your friends stuck their hand in s--- would you?" My answer was always no and still is.

 

[ovrszd]

I also use my card for everything because of miles or cash back... Also haven't paid an interest charge in a decade. Looking for that zero turn mower and came across mowersdirect.com. Not that I'm hyping them, but they offer 2% reduction for those paying by check. Found a new 2016 leftover Bad Boy mower in Sarasota today. Dealer took $400 off an already fantastic price because I was not financing and then knocked off another 2.5% for not using a credit card. To make your point, when the advantage of paying up presents itself... Kubotas' loss is my gain... and still orange �� ...
View attachment 515951

Good stuff. Did you inquire about cash discount or did the dealers offer that information?

 

[ovrszd]

I haven't encountered the situation when I could do a major purchase with credit on something like a Car/Truck/motorcycle or even a tractor that I would pay less by using any type of finance compared to cash. Not saying it isn't possible but so far I have been able to save more by paying cash with every single major purchase since 1992 right up to my latest purchase last week of a new Boat.
This has me wondering if more people are just accepting the prices offered without question and not walking if the deal isn't sweet enough.

As many other folks have realized with some stores you don't win when you pay cash. most of those stores I don't shop often but will not hesitate to use a credit card that gives me something worth while in a point system but the bill is paid in full every month. Most of the stores I shop frequently give a cash discount and some don't even accept credit cards at all so there is no mark up for them to begin with.

Like many who understand the mark up but would rather pay cash. I would prefer we not have to deal with it at all but since we do I will play the game when need be and do the best I can for my pocket.

Those who honestly think that people will not pay for something that does not equal in value to the cost are not paying attention IMHO as I honestly think people are confusing wants and needs and paying way too much for many things just because some other fool is paying that much.
Remember that question when you did something questionable as a child "If all your friends stuck their hand in s--- would you?" My answer was always no and still is.

Enjoyable read. Defines the current society well.

 

[hystyk24]

Good stuff. Did you inquire about cash discount or did the dealers offer that information?

A slight prompt whether he could do any better on the already discounted price. He asked me if I was financing and then if I was willing to write a check rather then use CC. Told me they had the machine there for 11 months and would give me a bottom line number. It was already marked at $4500, down from the 2017's $5200. He returned with a price of $4100 or $4000 if I wrote a check... Perfect example of a dealer offering cash incentive over financing, but remember they are not making money on the 0% financing other then a $50 fee and maybe these forced insurance policies... Decision to use the CC or cash is a simple financial decision. That 4K CC transaction translates to an $80 benefit to me if redeemed for a travel expence or $40 if I redeem it for cash.

 

[Steppenwolfe]

Just stating my position. I thought that's what this discussion was about?

So,,,, you are right and I'm wrong??

We've drifted so far from the original intent of this thread that the OP has gone home.

No one is going to run out tomorrow and change their way of doing business.

If I'm over reacting then every poster here is. Including you.

Ok... I was referring to what you said about being honest. Getting cash back, paying off a loan early, or getting the best deal isn't being dishonest. Maybe I read more into it than was there....

 

[ovrszd]

Ok... I was referring to what you said about being honest. Getting cash back, paying off a loan early, or getting the best deal isn't being dishonest. Maybe I read more into it than was there....

I think actually you didn't read in detail the post I replied to.