I did that once -- Delta Skymiles AMEX, charged $9K when I bought a '08 FXD, paid it off next month.

 

I can totally understand why some folks would make payments. Even before I had my other stuff paid off, I always saved and paid cash for my toys... mainly because I didn't want to be tempted to "have to sell" if I got into a tough financial situation (I didn't want to risk being over extended).

 

As a general rule I have not financed purchases for the past two decades. I have done that twice since 2009. In 2009 I walked into a Chevy dealer to look at a Vette. That was the year they had a program for employee pricing which was almost $10K off. That was supposed end that day and get replaced the next day with 0% financing.

They had a sign on the window saying employee pricing AND 0%. I asked three times are you sure?

I drove away in the Vette. That afternoon on a Tuesday GM told the dealers that they would do both programs. I did a four year loan while my money was earning 4.25%.

The next time was last month. I had been planning on adding a Road King. The dealer had a 14 in silver with the wheel option. But I was short in my money market account to cover the full amount. The salesman suggested financing. I said no that I will wait until mid summer and go for a 15 as the money market account would be built up by then.

I stop in often on rides and the sales manager said he could get 3.9% interest. Again I said no. Then he said what if we give you $2K of msrp?

I said "Write it up." I put $5K down and will pay the loan of in June. The $2K off more than covered the sales tax and interest charges with some left over for the other fees.

Wife was not happy that we are in debt now.

 

Who gives a eff if it's financed or paid in cash? Sure it would be nice to have it paid for and make a cash deal but if you've ever bought from a dealer cash doesn't really mean that much difference anymore. So hey let them make a little interest and stay in business and after I drive the hell out of this one- i'll be back in a few years for a new one! To each his own.

 

Cash doesn't help the deal when buying. When I was shopping for a pickup I had a couple dealers tell me they would rather finance then have cash. They make money of financing. So I suggest make the deal before telling them you are paying cash. If I don't have the cash I use a credit line and then pay it off as soon as possible.

 

Bingo! My retired friend just purchased a new cage. I was surprised to learn that he financed when I know he could just write a check. He said he was paying half the interest with financing that he would lose on that money if he'd taken it out of his investment account.

 

Exactly! I couldn't do that with my bike as the dealer was offering a 7% interest financing, too high.
But when I bought my bmw (car) I put down 20%, financed the rest at 2.99% with 35 monthly rates of just over 300$ and a final balance equal to 50% of the initial value. so 34k remained in my investment account for 3 yrs earning well above 2.99% and I finally paid off the balance last March.
I'll do the same deal anytime. Shame I couldnt refinance the final balance at the same 2.99%. On the other hand, both bike and car are mine and don't owe a penny to anyone.

 

It felt so good to put cash down and ride away with the title in hand, car will be paid off soon. I do like paying myself 4% interest on my loan from my retirement

 

I was offered 18% interest at the dealership. The salesman assured me it was normal. I told him I was offended and walked out. I contacted my Credit union, who offered to refinance my 10 year old Toyota Tacoma for 2.49%. I then took that cash to the dealership and paid cash for a beautiful used 01 Fat Boy Custom with over $12,000 in upgrades and only 10,000 miles on it. So technically, no I dont make payments on my Harley. And the payments on my re-fi are cheap.