Has anyone put a car onto the credit card? Is there a limit how much you can put on there?

 

LOL! Every credit card has a different limit; almost all are too low to get a car with. If you have like the Black Amex or something I think that's unlimited... Not sure why anyone would do this...

 

I used my credit card for part of my down payment because I was waiting for someone to pay me back some dough. Anyways the dealership I went to had a 2k maximum for plastic.

 

The idea is getting a card that has 0% to lower the loan interest, my friend said there was 2k limit too from Honda dealer.

 

The American Express Centurion Card is unlimited....and it's not black plastic anymore it's made out of titanium....

 

wow, 2k max is nuts. i knew someone who paid whole car on plastic... maybe things changed

 

I used my credit card for my $6K down payment. I had the cash, but got the 3% points on my card and paid if off the next month. I don't see why the dealership would care if your card has a high limit.

 

Good to hear that, thanks

 

some deles will not cuz it can affect the credit they give you. Your down payment helps with the financing rate you get if you put yur down payment on a card it can say that you dont have the cash for the down payment. and there for affect you rating.

 

First off, you'd need a card with a really high limit. Second, it wouldn't make any sense unless you planned on paying off the entire balance right away, so you'd need whatever the car costs in cash. Credit cards are unsecured, meaning whatever rate you currently have could go up at any point. Infiniti has 0.9% financing right now and that cannot go up during the term. You could probably collect some pretty nice rewards though if you had the cash to pay off the entire balance immediately.

 

also just thought of this, credit card companies charge the business a % of the price swipped. so we take a hit

 

ya the .30 + 2.9% is only thing I think the dealer want to put limit on the credit card usage.

 

Bingo! I bought a used car once with a credit card. The dealership didn't want me to do it, but I did. I had the money to pay for it but wanted the points. I pay off my card balances each month, but use them because I can get discounts at certain vendors and because I accumulate a ton of cash, airline miles, and other rewards. I use them to pay all my bills, both at home an in my business. That adds lots of cash back and miles really quickly. As long as you pay off the balance each month and don't over extend, it's a great way to get over on the credit card system. Most of them wan to extend my credit limit every 3 months or so in hopes of getting me to overspend and carry a balance so they can make some interest off of me. Ain't happening.

To Solo's point, the card companies do charge a percentage of all transactions to the vendor, so as a business owner I very much prefer cash. But if you read your merchant agreement Solo, it states that you cannot refuse or discourage a patron from using the card vs another method of payment or you are in breach of the agreement. Amex is the worst. I suggest that they use a debit card because it charges me much less than a credit card.

 

A few years ago, CC companies started catching on to people putting large down payments on cards. They started changing their regulations, actually wanting a lien on the car (just like a bank) if the card was used for a certain amount on a vehicle... so dealerships have moved away from doing it. Most card-present transactions are much less than 2%... so you're talking less than $40 on a $2000 swipe.

But about 10 years ago, I bought a new Viper on an Amex...

 

Ouch! Amex can be as much as 7% for the merchant. Dealership got raped. Nice going.