- Finding a Deal on a Repo Vehicle Might be as Close as Your Local Credit Union or Bank.
Used car shopping for a lot of people has been limited to two basic options. The first one is purchasing from a local car dealer who has sales quotas, fees, and commissions between you and the price. The other option is taking a chance on a private seller who might be a fly-by-night just trying to get rid of a problem vehicle. Fortunately bargain seeking car buyers have another great alternative to the typical used car shopping experience.
All across the United States there are local banks and credit unions that occasionally repossess vehicles from non-paying members. What many people aren’t aware of is that these lenders will then turn around and sell the repossessed vehicles right back to the public at a discount. Although these sales are sometimes hard to find, many of the banks and credit unions will publish these orphaned vehicles for sale on their websites. There is a free list of these nationwide repo sales available at RepoFinder.com.
There are many great reasons to consider buying a repossessed vehicle from a local credit union or bank. Here are a few of the best:
#1- Repo's are priced to sell:
Repossessed cars are priced to sell fast. Unlike a car dealer, when repo vehicles are purchased there is no commission built into the price. Credit unions and banks are not looking to earn a profit from the transaction. In most cases the bank will expect to take a significant loss just to get the repo off of their books. When you're dealing with the lender directly there is a better chance of negotiating a rock bottom price.
#2- The banks and credit unions will provide financing:
Local banks have built a solid reputation in auto financing. Even if you were to buy from a private seller or dealer you would still probably end up at a local credit union applying for a loan. Many credit unions will offer special financing deals on repossession sales. Keep in mind that banks and credit unions can negotiate not only the vehicle’s price but also the interest rate. When you combine low prices and low interest rates you’re on your way to a good deal.
#3-Banks and credit unions are trustworthy:
Local banks and credit unions have worked hard to earn your trust. Their reputation is on the line every time they work with you. They simply can't afford to put their credibility at risk. You won't get any high-pressure sales tactics convincing you to buy something you don’t want or can’t afford. Their primary goal is to make sure you are satisfied with their service and will be completely up front about the transaction. It is important to remember that repossessions are typically sold as-is. Be sure to take time to inspect the vehicle prior to submitting an offer.
Buying a repossessed vehicle isn’t for everyone, but it’s worth a try for car buyers interested in finding a good deal. Buying from the lender is certainly a different experience. Try to be patient when you negotiate. Keep in mind that they're bankers, not car salesmen. A little politeness goes a long way.