Buying A New Used Car Every 1-3 Months Then Flippin Them For What You Paid Or Profit
10-24-07, 05:47 PM
#16
Lexus Fanatic
The event that actually started that whole nonsense occurred at a mega-dealer strip-mall just a few miles from my house....in fact, I just missed it; I had test-driven a car earlier there in the day. It was, in some ways, a sting. Undercover police posed as drug dealers and offered to buy new cars right out of the showroom with "drug" money from sales. The salespeople there said they didn't care; just hand over the cash......they were there to sell cars, not be concerned with possibly illegal money and where it went. In a few minutes, FBI agents were all over the place. There were several arrests.....including two service managers. That led, in Congress, to the $10,000 rule....something we're still stuck with today. That doesn't mean that police are going to question every cash sale (I have paid cash for several cars since then and never saw police), but the authorities simply want to know where drug money MAY be going, even with innocent people that just have fat wallets, that's all. It can, in some cases, also be reported to the IRS.....but I don't much of the details on that.
http://aemag.com/current_articles/feature_aug07_01.html
Last edited by mmarshall; 10-24-07 at 06:04 PM.
My mom paid more than 10k cash for her Lexus?!?!!
10-25-07, 06:24 AM
#20
Lexus Fanatic
The action was taken because the salespeople were told that the money was illegal.
I only brought this up to explain why all cash sales of over 10K are now reported to the government...the poster who opened the thread mentioned looking for somebody with 10K in cash. But that doesn't mean that he, or me, or anyone else on CL is actually dealing in anything shady.
10-25-07, 12:57 PM
#22
And, by Federal law, any cash sale (even if by check), over $10,000 is reported to law enforcement. This is not something that started with terrorism, the Patriot Act or 9-11; it goes back years before that.
The event that actually started that whole nonsense occurred at a mega-dealer strip-mall just a few miles from my house....in fact, I just missed it; I had test-driven a car earlier there in the day. It was, in some ways, a sting. Undercover police posed as drug dealers and offered to buy new cars right out of the showroom with "drug" money from sales. The salespeople there said they didn't care; just hand over the cash......they were there to sell cars, not be concerned with possibly illegal money and where it went. In a few minutes, FBI agents were all over the place. There were several arrests.....including two service managers. That led, in Congress, to the $10,000 rule....something we're still stuck with today. That doesn't mean that police are going to question every cash sale (I have paid cash for several cars since then and never saw police), but the authorities simply want to know where drug money MAY be going, even with innocent people that just have fat wallets, that's all. It can, in some cases, also be reported to the IRS.....but I don't much of the details on that.
http://aemag.com/current_articles/feature_aug07_01.html
The event that actually started that whole nonsense occurred at a mega-dealer strip-mall just a few miles from my house....in fact, I just missed it; I had test-driven a car earlier there in the day. It was, in some ways, a sting. Undercover police posed as drug dealers and offered to buy new cars right out of the showroom with "drug" money from sales. The salespeople there said they didn't care; just hand over the cash......they were there to sell cars, not be concerned with possibly illegal money and where it went. In a few minutes, FBI agents were all over the place. There were several arrests.....including two service managers. That led, in Congress, to the $10,000 rule....something we're still stuck with today. That doesn't mean that police are going to question every cash sale (I have paid cash for several cars since then and never saw police), but the authorities simply want to know where drug money MAY be going, even with innocent people that just have fat wallets, that's all. It can, in some cases, also be reported to the IRS.....but I don't much of the details on that.
http://aemag.com/current_articles/feature_aug07_01.html
Yep, over 10K cash trans are reported. I have done it a lot of times.
Come on, look at my signature, al my Lexus, Bimmers I paid cash.
but hey, they can verify my money any time they want.
10-30-07, 09:51 PM
#23
Driver School Candidate
Join Date: Oct 2007
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Car flipping can be a tricky business. If you can spot the diamonds in the rough, you may have something. But remember, someone actually needs to buy the car from you. Hopefully you've found something that you can make a nice profit on. I recently built a resource so that people (buyers and sellers) could figure out exactly what other people are paying for cars. Check this out:
http://www.pricehub.com
Any feedback (good or bad) is welcome. I really want to bring a little more transparency into the car market.
http://www.pricehub.com
Any feedback (good or bad) is welcome. I really want to bring a little more transparency into the car market.
10-31-07, 02:21 AM
#24
The most actual cash I paid for a car was $18K. The most wire transfer I paid for a car was $32K which is basically cash. The $32K was private party so that is different, but I'm sure the $18K to the dealer was reported, but I don't care since I have nothing to hide. One major local dealer here did get busted by the Feds for taking $10K+ cash deals on their cars and not reporting it. That dealership which is a new luxury car dear (I wont say which brand) had to pay a hefty fine. Nobody went to jail, but it did cost them. I'm sure they, as well as all the other dealers don't make that same mistake anymore
10-31-07, 06:17 PM
#25
i think its a good idea, not to make money, but just to drive different cars. we have an uncle in vegas who does it and for 4 years, he has been able to make 2-3k on each car. he buys porsches, mb's,bmw,lex other high end cars, drives em for 4 months then sells em, but now his home equity is gone well thats what he says. i dont understan that home equity stuff
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JerryT
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