I know from threads today and a couple of weeks ago that there are people who are actively shopping for cars. I wanted to pass along a quick tip to all of you. If you are able to get the opportunity, use the Capital One Blank Check loan.
Basically you apply online and, if approved, they send you a blank check overnight. There is usually a $15 overnight fee but they should waive it for you. You can sign the check for any amount up to your max approved amount.
Not only was Capital Oneís interest rate the lowest I came across, but the blank check is an invaluable leverage tool in negotiations. We were able to get a car that had a sticker of $14,200 for $11,000 including tax. And they gave us $1650 for my wifeís old car while the KBB was $1300.
The blank check gives the buyer the leverage. I was able to talk the dealer down by saying things like ď$X is where we need to be, you get down to there and Iíll sign the checkĒ. When it was all said and done he the salesman was at $11,150.00. I knew going in that I didnít want to finance over $11k. Neither side would budge on that last $150.00. So I basically wrote the check out for $11k and gave him a take it or leave it offer and he took it.
As auto buyers, we are the ones who are usually given the ultimatum. This turns the tables. Itís a great tool that I highly recommend. I know a couple of other lenders have a similar program (HSBC Bank for one), but like I said Cap One had the lower rates that the others.
Again, if your in the car market and need to finance, give it a look.