DON'T SAY "I'M PAYING CASH" at CAR DEALERS - The Amazing ELIZABETH! The Homework Guy, Auto Expert

paying cash for your next car you don't say i'm paying cash the moment you walk into a car dealer great news the homer guy team is back today with a lot of new information for cash car buyers and some master negotiating tips from our expert negotiator elizabeth it's going to be amazing hi i'm kevin hunter also known as the homework guy and author of is that the best you can do today's cash video is brought to you by the homework guy team home of super high intensity training for car buyers and a witty group of auto experts to boot if you appreciate us working hard to bring you up to speed with our great videos and you want to support our efforts well there's plenty of ways for you to get on board and show us a little appreciation well you can start by recommending us to your friends and help us get to that one million subscriber mark before we dig into today's video i wanted to give you a quick update we posted last week that one of our youngest members of the homework guy team was seriously ill and had to be hospitalized there was an amazing response from our loyal followers here's this little gal affectionately nicknamed beanie because of her love of coffee she'd literally come down the steps in the morning and say coffee rub in her eyes well i'm letting all of you know that she's out of the woods now feeling like herself once again thanks for all of your kind words your thoughts and prayers on her behalf we appreciate all of you more than you know thank you today we're delighted to be back on this subject of cash buyers you see the more cash buyers there are the more the car business has to change to a better business environment for everyone cash is their kryptonite because it defeats a lot of nonsense in the finance office okay a quick recap and then we get back to the new stuff you don't walk into a dealership and say i'm paying cash if you didn't already know you might ask well why not i thought cash was king okay it's true that a few dealers do like cash for their cars but we're here to address the bulk of what's true in the car business the dealers who have a finance office peddle loans and products and push dealer fees on you those dealers generally do not like cash buyers the reason is simple they want car loans let me give you an example of why if i tell you that i'm going to give you 500 it's a simple transaction here's the 500 bucks done deal but if i tell you just give me 30 a month for the next two years and i get you to focus on that little monthly payment you might not run the math and realize i'm charging you 720 for the 500 bucks i gave you the exact same thing is true in a car dealership when you finance they love you because they can stuff a ton of fat in the way of products fees and packed interest rates on a car loan and many of you don't really notice that the monthly payment suddenly made your car cost 150 percent or 200 percent of the price you started with loans give dealers a smoke screen to put tons of things on you cash doesn't when you say i'm paying cash when you walk in that front door you're letting the dealer know that they'll miss out on a huge chunk of their profits in the finance office so they stick it to you on the price of the car a lot of cash buyers are paying higher prices instead of lower prices on cars and wondering why patty a writes i did this years ago meaning she told the dealer she was paying cash lesson learned i thought it would make my life easier if i had told them i had no trade-in and i was paying cash well never again patty learned the hard way that doesn't have to be you you must keep your cash options to yourself at first anyway this brings up several of the follow-up questions we've had from approximately 8 million viewers who have commented on our previous editions of cash-based videos for example if you don't tell them you're paying cash up front when do you tell them you're paying cash or if you're trying to keep this a secret won't they just keep hassling you until you tell them how you're paying for the car and what tips do you have for this to answer these questions i've brought in elizabeth today all of you have wanted to see her again anyway and elizabeth is one of the fiercest negotiators on the homework guy team hundreds of car deals she has participated in and tons of amazing car deals under her belt i want you to pay close attention to the words that she uses kind of like trained word tracks a salesman is using on you well elizabeth knows exactly what to say to shut down a salesman who won't stop asking how you gonna pay she knows exactly what to tell the finance officer when she decides to pay cash if you've seen her on previous videos you know you're in for a treat elizabeth first of all thanks for joining me on camera we're all aware here on the homer guy team that you like to play that behind the scenes role but you got a lot of fans out there now since they saw you on the show well that's flattering um i just do my best i want to start with this some salesmen say they'd kick a car buyer like you out of the dealership immediately like as if they don't want to put up with a customer who essentially drives the deal like you do well i see those comments too and they're not true i have never been asked to leave a dealership and i've done this hundreds of times either for myself or for our followers or with members of the homework guy team right never once been asked to leave what do you think that is do you think it gives you an advantage being female or do you think it's just how you handle the situation oh well you have to know exactly what you want so let me start with that and it's you have to be respectful but firm um i just don't want anybody lead me around and tell me what to think that and that's true of anything i buy it's not just a car um which is a big decision but i for sure don't let anyone manipulate me with a bunch of nonsense but i can't overstate how important it is that i do my homework first everybody needs to do that uh even with what i do know about car shopping i'm not on their lot without a few hours of research on my belt on the specific vehicle or if there's laws in the area that are going to affect the deal yep um and if i'm just shopping used cars which is definitely the smartest way to go for buyers i always know what the cash value is the vehicle you have to have that information and with that math you know exactly what's a fair price we just covered how to do the cash value on a recent video and so i'm not going to spend a lot of detail on that now but just take a couple of minutes and just explain it and give it a brush over okay well get out pen and paper you need the vin number the year the make model trim level color and miles of the car and no matter what you're car shopping for this is the information that's easy to get so you go to cali blue books website click the option for a cash offer and you put your contact information in and for a little bit of privacy i use a google voice number and an email that i set up for car shopping so that when they call me back i don't have to answer them right but within minutes i have a cash offer from kelly and then actually not long after several dealers will email me saying that they want that car for that amount so it pretty much tells you that they're interested in a car for the cash value so that everyone's clear on this you're talking about the car you're shopping for so you're taking a car right off a dealer's lot putting it into kelly like it's a car you own and kelly sends you a cash offer right you can just take the information off any vehicle they don't have no idea if it's yours or not and you just punch it in and that's what you get back so let's go back to why you've never been asked to leave a car lot despite how you handled the deal even though sales people comment on our video channel that that you'd get kicked off the lot do you believe that being informed having your homework done do you think that's key to what you do and you think it's key to why they don't ask you to leave all without a doubt they just they know i'm different they can't buffalo me um and it puts them back on their heels they're still gonna sell me a car but they're not gonna sell me all the other garbage so if i keep things moving along telling them what i want um and that if we're gonna do business uh if they follow what i'm asking for um i lead during the sales process and then people can't forget that so stay on top of the salesman and the other staff and you'll get what you're looking for you can easily be fooled by things sales people say and do when you don't know what you're talking about exactly so let's get to the question about a pesky salesman who won't stop asking you how are you going to pay and you don't want to tell them that you're paying cash this is actually one of your favorite questions is my favorite it's like the mic drop yes um okay so you never mention you're paying cash until the very end and if they pester me about how i plan to pay i just have a simple response i say look i never talk about payment options or financial history out in the open i want to be in an office where it's private and but even before that is the car the price that i'm willing to pay so if it's not the price i'm willing to pay i'm not buying a car you don't need to know my financial information so there's no reason for you to talk payment considerations when you don't even know what the vehicle is yet that you're going to get yep okay that's a solid point that any car buyer has to uh remember so imagine walking around in any kind of store shopping for anything and somebody walks up to you and says how do you plan to pay it's completely an unnatural question that only people only those in the car business ask and they're just doing it to try to set you up for the finance office so let me ask you this what if they don't take a hint and they keep bugging you about payment what are you gonna pay i'll just say it again more firmly i've already told you that if you don't have the vehicle i want at a price i'm willing to pay talking about payment is pointless and what if they keep asking you know through the conversation it comes up again well i i'm still respectful but they can see i'm getting a little irritated um because i've communicated clearly and at this point i say your dealership is required by law to respect my rights to data privacy so if you keep asking me financial questions out here on the showroom floor that's not appropriate and are you attempting to violate my data privacy rights that pretty much kills it right there it's kind of like a like a lawyer question they basically are trying to bully the car buyer into following their process aren't they right but but think about something have you ever gone to a bank to apply for a loan they don't just come out the lobby and start talking to you in front of other people and have you fill out forms where people can look over your shoulder and see your you know your social security number so if banks worked like car dealers you'd quit going to that bank right away and that loan officer would get fired and no other profession gets away with doing this kind of stuff so don't let the dealership push you into these decisions either your point about data privacy laws has to be a shocker for them exactly um they aren't used to it i actually heard a salesman say to one of the managers that i think she works for one of the state departments or something it's like they think i'm a mystery shopper for the attorney general's office which is great i get a good deal and i know they're running scared so at this point uh they could likely be a little bit worried about who you are how you know you know and the conversation about paying is kind of off the table it's off the table that's the strength of being in control it shakes them up takes them off their game plan so when do you tell them you're paying cash at the very end um so i'm in the finance office and in some cases i'll give the finance officer a few minutes to show me what he has you know and i've i've never taken the deal they propose never it always has to be cleaned up first and when i'm satisfied that everything is revolt when everything is fixed on the deal that's what i tell my paying cash so explain what you mean by cleaning up the deal okay well when you arrive at the finance office the person's already started loading your deal full of fees and products before you even got before you get there yep um it's part of their plan to artificially inflate the cost of the car and pack things into the deal it would be like window etching paint protection fabric protection nitrogen filled tires insurance extended warranty the list goes on so you're going to take all of that off the contract right so i line out every one of those things and i tell him i want it gone i want it gone if he starts to say anything i interrupt i said take it off i just want it all gone you don't let them bully you into accepting something no so so let me clarify you can always expect resistance because they want those extra dollars badly but don't i don't generally get a lot of resistance in finance because think about it the salesman and the sales manager have already been dealing with me they know i'm a different cookie when i show up and at their door so this guy knows he's going to have an uphill battle with me so and you've been on the inside of these deals as well you've seen it inside the dealership you know everybody talks yes exactly well that's what making a deal is just talking when your customer's not present so and it doesn't stop him from trying though but he caves in pretty quickly when he knows that everything else has failed so the advantage is to get that control right from the start and just hold on to it and don't forget it i'm in the driver's seat and i'm not going to give up my seat now to ride shotgun with somebody who thinks he's going to empty my pockets um he's probably not going to admit it out loud to anyone but he's already accepted defeat before i came into his office i can just see it in his eyes you're dead on the money there's a ton of communication with finance that happens during this customer interaction with the salesperson out on the shoulder floor and that's key information for all of our viewers out there to know be in control of your deal early be respectful but firm like you do it and it gets much easier in finance too right and you're kind of in that that mindset and you'll just keep yourself there um so lead stay in control don't let the finance officer take you over when you get to their office i stop them almost right away the moment i see they're going to try to go into those sales pitches nobody has to listen to a sales pitch for stuff you don't want to buy no exactly how fast does that happen from the time you sit in finance how fast you shut them down okay well i usually interrupt and take control within like 30 seconds um very fast other times it might be a few minutes but never more than five minutes um i know that everything i'm expecting from them is reasonable but i just don't let up on it so that that's key actually knowing that it's reasonable and you're not being you're not being a jerk customer in any fashion okay so you give them no chance to get their hopes up or shift momentum over in their favor well there's no chance for them to gain momentum with me but yes um car buyers have to know that they have to shut down the nonsense lines back in sales and control the finance presentation right from the beginning so in all the car deals you've worked how often do you hear the finance officer say that you need extended warranties or gap insurance you know stuff like this to uh protect your investment their favorite quote you know they try it every time and uh i love when they tell me i need to protect my investment and i say oh we're on the same page i watch out for my investments all the time so no worries if the deal here isn't right i won't be using any of my investments to buy your car today that's that's really key so i know we have we have some viewers out there who are rolling on the floor laughing right now hey i know what an investment is investments make me money a rapidly depreciating car doesn't fit that description so what's your goal in finance first just get the junk off the contract i line it all out i tell them to fix it then i ask for the tax title license fees to register the vehicle to me and i want that information right away and they can have it just in minutes it's all right in their system right finance officers like to fudge on these like the taxes and state fees by estimating them have you had that experience oh all the time what i'll do is if i have a vehicle i'm looking at um specifically i'll call the dmv office before i visit the dealership i know exactly what the state fees are within you know a few dollars and now i want the finance officer to give me that exact information i don't accept estimates and it's it's easy to tell the difference because an actual you know fee from the state has dollars and cents dollars and cents every time yep and i look them right in the eye and say this is my out the door price right they love it when customers say out the door don't they right when you know the lingo but no it's it's way too far down the road at this point for them to argue with me more i always get my out the door price so a lot of customers get stuck with paying fees like delivery fees prep fees and you know the all popular document fee for example well i don't pay any of the fees with with one exception i'll sometimes give them 75 you know like the homework guy teaches for the document fee if they've been nice you have to explain to them that you know the document fee is just extra money going to the dealer because a dealer is asking me for the extra cash without me agreeing to it but i don't let them change the car price by tacking on the fees what if they claim that state law requires them to keep their fee the same well that's easy you just have to do a little wiggle with the math if they say they have to i have to pay 5.99 because everyone else did well i just take um you know 599 less 75 off the price of the car and then there's your 5.99 fee but i'm still paying the same out the door price so what's been your experience with getting them to either remove the document fee or discount the car as you just stated well i've walked a few times sometimes i'll just pick my keys up and make it look like i'm gonna start you know to waffle um the keys in your hand is that sign of control you know you're not trapped and they know it and as i said before because of the reports they got from sales when out first arrived they knew this was going to be a tough day for them before i got to finance so it helps me a lot it gives me an edge and it's good to have a reputation of being a little tough have you ever had a finance officer get up and leave any time you've been at the i've actually experienced that myself i'm curious if you have um they say they have to go check on something but the truth is they're terrified of smart car buyers they think they're going to get in trouble for not selling you all the junk yeah and they don't know where to go with you they don't have any other game plan yeah so at this point you've cleaned up the car deal and you still haven't mentioned how you're paying have you no so when the contract is clean and it's you know to my satisfaction and he agrees that we're looking at the out the door price that's when i say oh i'm paying cash and i pull out my checkbook immediately uh i don't ask for permission it's my car deal and i just do it and the poor fidesz guy just like falls out of his chair you can hear a pin drop uh but he pretty much knew this was coming the the thing car buyers have to remember is it's your car deal you can buy a car the way you want to anywhere and you all these people nothing you go in there get what you want and you don't have to put up with the nonsense but be respectful but never have to put up with it a lot of questions showed up on our videos from last year about paying cash apparently people have forgotten how to pay cash without having a stack of greenbacks in their hand how do you do it okay well that's pretty simple um i can carry cash on occasion you know up to five thousand dollars but my favorites are just a personal check because dealers can scan it and verify the check easily sometimes they'll say let's put a given amount on your debit card to verify funds and then you put the rest in a check so it there's no fee for you obviously um you just have to call your banker and uh raise the limit for the day so if you're using the debit card yeah so they can expect that a certain amount is coming through to be processed and of course if you're doing financing with a bank you can also bring a bank check with you yep bring the bank check um you can do cashier's check certified check electronic transfer money order you know the list goes on all of them work yeah so let me emphasize something um if the finance man is giving you a big problem we're paying cash it's because you gave up way too much control from the time you walked in the door i i totally agree yep everyone talks you know everyone talks in the process but when they clearly know that you're the boss in your own car deal you get treated differently that's funny that you said that because when you did the cash buyer negotiation then a couple of people were saying elizabeth is the boss thanks guys so anything else you want to add uh yes everyone should be watching the homework guy videos the behind the scenes team that works on all these is amazing and i'm proud to be a part of it and many of us do the research and comb through the content you're the obvious face of all this kevin but it's it's not one person's opinion here i've done hundreds of car deals and some of the contributors have 30 plus years of experience right great people from all around the country help with what we do so watch the videos do your homework be prepared stay in control from beginning to end and you'll actually be just fine well okay well let me add this though promise yourself that you never wake up one day and say i'm gonna go car shopping and then head straight to the dealership um without your homework being done you're just asking for trouble right so i don't stop there unprepared you don't shop unprepared none of us do heck i write a grocery list so i don't come home with too much stuff right so nobody should be cutting and we're the pros at this and we don't cut corners on our homework yeah exactly yep all right well thanks for doing this and let's see what our viewers think uh do you want to see a lot more of elizabeth coming up in the future i think the answer is probably yes there you have it protect your plans of paying cash until the very end don't let anyone bully you in the process get yourself an amazing cash deal and use any of the methods from personal check to debit card business check bank check certified check money order an electronic transfer of funds the many different ways to pay cash you don't have to have cash in hand to do this if you appreciate the video today consider giving us that great big thumbs up and leave a comment down below include the homework guy and look for us on any of your favorite social media platforms out there

Channel: Kevin Hunter The Homework Guy

Views: 723,519

Keywords: Car prices, car loan calculator, Auto sales, Used cars, Car, Cars, Car dealers, Car news, Automotive, car dealer finance office, rebates for new cars, cash buyer discounts, car buying secrets, car buying mistakes, buying a car with cash from dealer, when to tell dealer you're paying cash, if you pay cash for a car do they check your credit, pay cash for car, 0% finance, is it suspicious to pay cash, disadvantages of paying cash for a car, why you should never pay cash for a car

Id: 8hWyaHlRqUA

Length: 21min 44sec (1304 seconds)

Published: Sat Feb 27 2021