Dealerships Rip You Off With The “Four-Square,” Here’s How To Beat It (2007)
Car buyers trade tactics for avoiding dealership sales tricks such as the “four-square” worksheet, focusing on negotiating only the out‑the‑door price and often arranging independent financing in advance. Many argue that dealer profit is increasingly tied to financing and add‑ons, so withholding financing details, shopping multiple dealers by email, or buying used from private sellers—or direct from manufacturers like Tesla—can yield better deals and fewer games. Others emphasize knowing your alternatives, being willing to walk away, and valuing time and simplicity over squeezing out the last dollar.
Defeating the “four-square” and core dealer tactics
- Many say the real counter is: negotiate only the out‑the‑door price (including tax/title/license) and nothing else.
- Advice to ignore monthly payment, down payment, and trade-in boxes; focus on total vehicle price.
- Some advocate paying cash and refusing financing, though others warn this can reduce dealer flexibility on price.
- Several stress being ready to walk away; even physically leaving once often improves offers.
Financing: credit union vs dealer, and ethics debates
- One camp: secure financing from a credit union before visiting; avoid negotiating anything except price.
- Another: don’t disclose outside financing; let the dealer assume you’ll finance so they discount the car, then refinance or pay off early.
- Disagreement on ethics: some see promising to finance then paying off early as deceptive; others say if the contract allows it, it’s fully fair.
- Discussion on “interest arbitrage” (cheap car loans vs high-yield savings); some see it as rare and not life-changing, others see small, legitimate edge cases.
Avoiding dealerships and alternative buying channels
- Strong contingent: “the only winning move is not to play” — avoid dealers entirely.
- Suggestions: buy used from private sellers with Carfax, pre‑purchase inspections, and price benchmarks; expect 10–15% savings vs dealers but more time and hassle.
- Others value time and warranty protections more than savings and prefer reputable dealers or direct-from-manufacturer models.
- Tesla’s fixed-price, no‑dealer model is praised for simplicity, but criticized for high prices, range claims, repair constraints, and build quality.
Dealer alternatives and remote negotiation tactics
- Common strategies:
- Email or text many dealers asking for out‑the‑door cash quotes, then play offers against each other.
- Contact fleet departments (including via Costco and similar programs) which often use volume-based compensation and simpler pricing.
- Time outreach near month-end to exploit sales quotas.
Trade-ins, fees, add-ons, and leasing
- Some recommend selling old cars privately for more; others refuse the hassle and accept trade-ins.
- Warnings about inflated doc fees, unnecessary coatings/rustproofing, and “already on the car” addons.
- Leasing is portrayed as another complex “hustle”: obscured interest via money factors, residual value risk, mileage limits, and early-termination penalties.