Buying XUV700/Innova Hycross with Credit Card

[aj204~]

Narrowed down car search to 2 - XUV700 AX7L or Innova Hycross VX (on-road being quoted is about 32-33 L). Having put down the advance for both, I might take the one which gets delivered first probably which might be as early as Feb'24). I have also initiated the discussion with sales rep on using credit card for 15L and rest will be financed - so far both dearlership have asked for extra 2% - which I am going to negotiate further.

I have below cards with me. Need suggestions from you guys on how to maximize the returns and split the 15L bill here -

Card​	Limit​
Amex Plat Travel​	4.34L
Amex Plat Charge​
Magnus Burgundy​	9.73L (Shared Limit)
Axis Atlas​	9.73L (Shared Limit)
Yes First Exclusive​	3.75L
HDFC DCB​	9.73L (Shared Limit)
HDFC Marriott​	9.73L (Shared Limit)
ICICI Sapphiro​	5.6L (Shared Limit)
ICICI Amazon Pay​	5.6L (Shared Limit)
One Card​	5L
SBI Vistara​	4.67L

 

[vivekea]

Do not pay any extra charges for using CC. I bought my XUV700 (top-end) with downpayment paid by card (decent amount). Same thing dealer tried on me but since I already knew about this illegal extra charges being imposed on gullible customers, I warned them if this gets escalated, then their merchant account will be at risk of getting blacklisted. They tried all tactics, I gave no room for negotiation. The moment you sit down to negotiate is when you get exploited.

Absolutely no need to negotiate, no need to accept. Warn them and tell them to talk to their GM. They'll discuss internally and end up accepting. I bought another vehicle (different brand) just last month, same strategy. Paid via CC again. Similar BS of the dealer demanding extra, paid 0.

P.S. They'll try the usual bullshit about how there is waiting period on the vehicle and how they're getting it so soon for you and blah blah just to justify these extra charges making it seem like they're doing some favor (just BS), again do not accept all this crap. FYI, I'm one of those first 25k bookings, so you can imagine the peak demand this car had (still has to some extent) and yet I still did not pay extra, imagine how much dealer tried since there were customers literally waiting to grab it the moment I would let it go...lol. Good luck!

It's the MDR on the CC we are talking about. Can you tell me which is this dealer who got so scared and gave you 0 percentage for a 7 digit amount.

I had to negotiate real hard to get zero mdr for 4 lakh.and 0.8% for 11 laks.. 8k approx. Which I got compensated with additional accessories by the dealer.

 

[neo.puneet]

Magnus burgandy is best. Split in 2 payments. Don't use any other Credit card. I'm planning to pay 7 lacs in 2 payments myself next month. I don't have burgandy but still Magnus is best. A 7 lac payment translates to 75k INR value in Accor Hotels for me. For you, it would be 4.4 lacs INR value in Accor Hotels.

 

[paxauquabriba-4876]

Do not pay any extra charges for using CC. I bought my XUV700 (top-end) with downpayment paid by card (decent amount). Same thing dealer tried on me but since I already knew about this illegal extra charges being imposed on gullible customers, I warned them if this gets escalated, then their merchant account will be at risk of getting blacklisted. They tried all tactics, I gave no room for negotiation. The moment you sit down to negotiate is when you get exploited.

Absolutely no need to negotiate, no need to accept. Warn them and tell them to talk to their GM. They'll discuss internally and end up accepting. I bought another vehicle (different brand) just last month, same strategy. Paid via CC again. Similar BS of the dealer demanding extra, paid 0.

P.S. They'll try the usual bullshit about how there is waiting period on the vehicle and how they're getting it so soon for you and blah blah just to justify these extra charges making it seem like they're doing some favor (just BS), again do not accept all this crap. FYI, I'm one of those first 25k bookings, so you can imagine the peak demand this car had (still has to some extent) and yet I still did not pay extra, imagine how much dealer tried since there were customers literally waiting to grab it the moment I would let it go...lol. Good luck!

glad & good to see people standing up against these caunts.

wish more people do this than just bending over to dealerships.

 

[FinoGuy]

Do not pay any extra charges for using CC. I bought my XUV700 (top-end) with downpayment paid by card (decent amount). Same thing dealer tried on me but since I already knew about this illegal extra charges being imposed on gullible customers, I warned them if this gets escalated, then their merchant account will be at risk of getting blacklisted. They tried all tactics, I gave no room for negotiation. The moment you sit down to negotiate is when you get exploited.

Absolutely no need to negotiate, no need to accept. Warn them and tell them to talk to their GM. They'll discuss internally and end up accepting. I bought another vehicle (different brand) just last month, same strategy. Paid via CC again. Similar BS of the dealer demanding extra, paid 0.

P.S. They'll try the usual bullshit about how there is waiting period on the vehicle and how they're getting it so soon for you and blah blah just to justify these extra charges making it seem like they're doing some favor (just BS), again do not accept all this crap. FYI, I'm one of those first 25k bookings, so you can imagine the peak demand this car had (still has to some extent) and yet I still did not pay extra, imagine how much dealer tried since there were customers literally waiting to grab it the moment I would let it go...lol. Good luck!

Even Hospitals like apollo, fortis demand extra 2-3%.they even have posters sticked near billing counter about same. The problem is that, if you tell them it's illegal n all they say they're not accepting card payments temporarily! Then what to do?

 

[Eye of Ajay]

I also had bought my Seltos in 2019 with a credit card for which I had prepaid the card due to low CL in my Vistara Infinite for which I got CV's & 3 Business Class ticket you can do the same but with Magnus Burgundy.

You need to prepay more amount into the card above your CL so that the amount becomes 15L in total and you can pay full amount together.

 

[ccdc]

does anyone have the link ro rbi website which would give this rule of not accepting mdr for cc payments?

 

[techt]

does anyone have the link ro rbi website which would give this rule of not accepting mdr for cc payments?

calling @Bugs Bunny

 

[Bugs Bunny]

calling @Bugs Bunny

Sorry I had the pdf in my older phone. Need to find it again.

 

[techt]

Sorry I had the pdf in my older phone. Need to find it again.

 

[FinoGuy]

Sorry I had the pdf in my older phone. Need to find it again.

After some digging got the rbi pdf.
click here to download and check.
@techt @ccdc @Bugs Bunny

 

[Knice]

After some digging got the rbi pdf.
click here to download and check.
@techt @ccdc @Bugs Bunny

pdf mentions about debit card charges, but these are credit card charges na?

 

[FinoGuy]

pdf mentions about debit card charges, but these are credit card charges na?

This is the only RBI rules pdf I can find. There Isn't any other.. Cc mdr may be sightly high than dc MDR. But, whether its cc or dc, the context is same, its MDR charge; be it cc or dc. So it should apply to cc too even though there's no mention.

---

Other forum members may comment their take on this.
But as I said the ground reality is always dark, the Merchant will just say "we're not accepting card payments temporarily" & escape!.

---

Some dealers are ethical, they don't do this 2%double standard business.
I paid in full by dc for yamaha bike few years back, no questions/objections asked.
It was more of a convenience than saving at that time. The reward points I got for this, eventually expired as I was lazy to redeem them!

 

[aj204~]

Main bhi hu saathme🌚

Already feeling the pressure..

 

[aj204~]

Do not pay any extra charges for using CC. I bought my XUV700 (top-end) with downpayment paid by card (decent amount). Same thing dealer tried on me but since I already knew about this illegal extra charges being imposed on gullible customers, I warned them if this gets escalated, then their merchant account will be at risk of getting blacklisted. They tried all tactics, I gave no room for negotiation. The moment you sit down to negotiate is when you get exploited.

Absolutely no need to negotiate, no need to accept. Warn them and tell them to talk to their GM. They'll discuss internally and end up accepting. I bought another vehicle (different brand) just last month, same strategy. Paid via CC again. Similar BS of the dealer demanding extra, paid 0.

P.S. They'll try the usual bullshit about how there is waiting period on the vehicle and how they're getting it so soon for you and blah blah just to justify these extra charges making it seem like they're doing some favor (just BS), again do not accept all this crap. FYI, I'm one of those first 25k bookings, so you can imagine the peak demand this car had (still has to some extent) and yet I still did not pay extra, imagine how much dealer tried since there were customers literally waiting to grab it the moment I would let it go...lol. Good luck!

Thanks for that detailed response. I think I need to up the ante on the dealership guys here. Fortunately, there a 2 more Mahindra dealerships in the city I'll try to talk to both of them.

In these situations, people who are prepared to walk away usually get the best deal.

 

[aj204~]

Even Hospitals like apollo, fortis demand extra 2-3%.they even have posters sticked near billing counter about same. The problem is that, if you tell them it's illegal n all they say they're not accepting card payments temporarily! Then what to do?

Thats true as well. My other car which is a Kia Seltos - dealer comes up with this excuse everytime - even for servicing payments.

 

[SmartSave]

It's the MDR on the CC we are talking about. Can you tell me which is this dealer who got so scared and gave you 0 percentage for a 7 digit amount.

I had to negotiate real hard to get zero mdr for 4 lakh.. 8% for 11 laks.. Which I got compensated with additional accessories

I said downpayment which was sub 10L. But I've seen people buying with full payment too.

The fact that you "negotiated" is the problem. I've clearly said in my OP, there is no scope for negotiation of something that is not valid. Why are you even sitting down for negotiation? Take a stand and reject firmly.

The simplest way to deal with this is to ask them to give in writing that they want to charge extra for using credit card for the payment and hint them the escalation to Bank/RBI, that'll end the conversation. They cannot give it in writing and if they do it (then the ground staff doesn't know it) and you can actually escalate it with RBI/Bank and see the magic! -- Even before going to RBI, just escalate to senior management and if they made a mistake of giving in writing (highly unlikely) then you'll have an upper hand for a lot of things.

glad & good to see people standing up against these caunts.

wish more people do this than just bending over to dealerships.

Lack of awareness and not being able to take a stand is why most people give into all these kinda exploitations. People get scared to escalate and let go even after getting looted and that has resulted into this becoming an SOP across India as if it's all legally allowed and I've observed even the ground staff don't know the legality of this, they just convey what accounts team tell them and think it's their company's standard policy...lol. My recent purchase, the SA was like this is common across India and all dealers in the city charge too, etc. lmao as if it holds any ground, if N number of dealers are doing it, doesn't mean it becomes legal.

Even Hospitals like apollo, fortis demand extra 2-3%.they even have posters sticked near billing counter about same. The problem is that, if you tell them it's illegal n all they say they're not accepting card payments temporarily! Then what to do?

Have them give it in writing to YOU stating they cannot accept payment via your credit card and why. Generally the first level of ground staff are puppets of seniors and just give a standard generic reply. Man up, escalate to their senior as high as you can go. Get things in writing via email or on their official paper as to why they do not want to accept and if they want to accept, they'll charge extra for accepting the payment via credit card. In most cases, this in itself will settle things if you take a stand and demand it in writing.

Generally people accept whatever BS the other party says as if that is true and assume that's the standard policy. This is unfortunately due to lack of awareness and confidence. Escalate this as high as you can and explain how this is illegal, many within the org are also noobs and just following instructions from higher up. There would be one of those folks within the org that take a step back seeing how you are aware about things and the consequences of letting you further escalate, that's when they'll make an exception for you.

If they continue, then escalate to the bank/RBI. But have things in writing for this to work.

Thanks for that detailed response. I think I need to up the ante on the dealership guys here. Fortunately, there a 2 more Mahindra dealerships in the city I'll try to talk to both of them.

In these situations, people who are prepared to walk away usually get the best deal.

Indeed. No worries.

I've been trying to spread this awareness every opportunity I get...haha.

It'll take time but people who are aware will save that extra 1.5-2% + get reward points effectively making the whole purchase at a better price than others. If this was in fact legal, then dealers wouldn't have objections to put this in writing.

---

💡 I would like to add this tip since we're on the topic, never disclose about payment via CC upfront.

Negotiate on the pricing, accessories, etc. etc. when the time comes for booking amount to be paid is when you reveal your mode of payment not until then. You kill your scope for further negotiation by revealing it beforehand.

And always take 2-3 quotes from different dealers and negotiate with everyone. Whoever offers best pricing and you feel satisfied from all angles is when you proceed, remember, it's business, don't hesitate and don't fall for their sales tactics of how pleasant they communicated with you or get into the guilt trap of any kind. It's your hard earned money, they will all want to loot the max meanwhile it's you who should try to save the max! Let all the dealers compete among each other to have you as the customer.

Also, if you're getting any vehicle from the stock, check which month it was manufactured and accordingly take into account the depreciation on its value, the more months its at the stockyard, the more value it goes down regardless of how much the vehicle is in demand (obviously also do your own PDI just in case). All luxury cars get hefty discounts just because of this. It becomes a loss for the dealer to keep it in their stockyard for any longer, it's in their interest to clear it sooner and it's your opportunity for a good deal. Happy motoring and saving

 

[ccdc]

I said downpayment which was sub 10L. But I've seen people buying with full payment too.

The fact that you "negotiated" is the problem. I've clearly said in my OP, there is no scope for negotiation of something that is not valid. Why are you even sitting down for negotiation? Take a stand and reject firmly.

The simplest way to deal with this is to ask them to give in writing that they want to charge extra for using credit card for the payment and hint them the escalation to Bank/RBI, that'll end the conversation. They cannot give it in writing and if they do it (then the ground staff doesn't know it) and you can actually escalate it with RBI/Bank and see the magic! -- Even before going to RBI, just escalate to senior management and if they made a mistake of giving in writing (highly unlikely) then you'll have an upper hand for a lot of things.


Lack of awareness and not being able to take a stand is why most people give into all these kinda exploitations. People get scared to escalate and let go even after getting looted and that has resulted into this becoming an SOP across India as if it's all legally allowed and I've observed even the ground staff don't know the legality of this, they just convey what accounts team tell them and think it's their company's standard policy...lol. My recent purchase, the SA was like this is common across India and all dealers in the city charge too, etc. lmao as if it holds any ground, if N number of dealers are doing it, doesn't mean it becomes legal.



Have them give it in writing to YOU stating they cannot accept payment via your credit card and why. Generally the first level of ground staff are puppets of seniors and just give a standard generic reply. Man up, escalate to their senior as high as you can go. Get things in writing via email or on their official paper as to why they do not want to accept and if they want to accept, they'll charge extra for accepting the payment via credit card. In most cases, this in itself will settle things if you take a stand and demand it in writing.

Generally people accept whatever BS the other party says as if that is true and assume that's the standard policy. This is unfortunately due to lack of awareness and confidence. Escalate this as high as you can and explain how this is illegal, many within the org are also noobs and just following instructions from higher up. There would be one of those folks within the org that take a step back seeing how you are aware about things and the consequences of letting you further escalate, that's when they'll make an exception for you.

If they continue, then escalate to the bank/RBI. But have things in writing for this to work.



Indeed. No worries.

I've been trying to spread this awareness every opportunity I get...haha.

It'll take time but people who are aware will save that extra 1.5-2% + get reward points effectively making the whole purchase at a better price than others. If this was in fact legal, then dealers wouldn't have objections to put this in writing.

---

💡 I would like to add this tip since we're on the topic, never disclose about payment via CC upfront.

Negotiate on the pricing, accessories, etc. etc. when the time comes for booking amount to be paid is when you reveal your mode of payment not until then. You kill your scope for further negotiation by revealing it beforehand.

And always take 2-3 quotes from different dealers and negotiate with everyone. Whoever offers best pricing and you feel satisfied from all angles is when you proceed, remember, it's business, don't hesitate and don't fall for their sales tactics of how pleasant they communicated with you or get into the guilt trap of any kind. It's your hard earned money, they will all want to loot the max meanwhile it's you who should try to save the max! Let all the dealers compete among each other to have you as the customer.

Also, if you're getting any vehicle from the stock, check which month it was manufactured and accordingly take into account the depreciation on its value, the more months its at the stockyard, the more value it goes down regardless of how much the vehicle is in demand (obviously also do your own PDI just in case). All luxury cars get hefty discounts just because of this. It becomes a loss for the dealer to keep it in their stockyard for any longer, it's in their interest to clear it sooner and it's your opportunity for a good deal. Happy motoring and saving

i have noticed normally they ask you upfront...how you will pay sir?..so not sure what to answer then

 

[SmartSave]

i have noticed normally they ask you upfront...how you will pay sir?..so not sure what to answer then

I don't think any sales guy would ask you that before finalising or negotiating the deal. Makes zero sense.

They want to know whether you're paying full yourself or financing is involved so they can push for their in-house financing assistance (don't go for in-house obviously).

You can tell them some percent downpayment + financing or whatever depending on how you actually plan to take it forward and can tell them you'll take care of the financing yourself.

 

[Pankhuri]

I also had bought my Seltos in 2019 with a credit card for which I had prepaid the card due to low CL in my Vistara Infinite for which I got CV's & 3 Business Class ticket you can do the same but with Magnus Burgundy.

You need to prepay more amount into the card above your CL so that the amount becomes 15L in total and you can pay full amount together.

If you don't mind me asking, what was your CL before adding extra funds and how much did you pay at the end with that CC?

Asking because a friend tried the same trick to buy an iphone with his Axis Flipkart card which had a limit of 15k. But he was informed that the max he can pay over the credit limit with this method is 1.2X of the limit. This was in 21 iirc.

 

[FinoGuy]

If you don't mind me asking, what was your CL before adding extra funds and how much did you pay at the end with that CC?

Asking because a friend tried the same trick to buy an iphone with his Axis Flipkart card which had a limit of 15k. But he was informed that the max he can pay over the credit limit with this method is 1.2X of the limit. This was in 21 iirc.

Its always better to stay within CL, even if you prepay, bank may impose over limit charge which is around 500+gst in axis bank. If purchase value is exceeding CL, then divide into 2-3 payments after each payment payoff the due & do subsequent txn. This way overlimit charge won't be applicable!