What does it mean to issue an invoice in advance when buying a car?
2 Answers
Car dealerships currently have slim profit margins on vehicle sales, relying mainly on year-end manufacturer rebates. Manufacturers settle accounts based on the calendar year, so dealers aim to meet or exceed sales targets before the year-end settlement by issuing invoices in advance. Here are some important considerations when buying a car: 1. Budget: Prepare a budget in advance and check the engine number of the desired vehicle to avoid purchasing a refurbished car. 2. Test drive: During a test drive, assess how easy the vehicle is to operate, as well as its noise insulation and shock absorption, which can be immediately felt. Besides driver comfort, rear seat space and seating comfort are also crucial. Check the rear seating space for any sense of confinement, the quality of interior materials, and whether the design is reasonable. 3. Pricing: Inquire with the salesperson about available discounts and promotions. Car dealerships often run promotions. Clarify whether the quoted price is for the base vehicle or the total on-road price to avoid exceeding your budget. Also, ask about the number of free maintenance services included.
In the automotive industry, I've seen this situation quite often. Pre-invoicing a car purchase means the dealer issues the sales invoice before you've made full payment or taken delivery of the vehicle. The main purpose is to help you handle other matters in advance, such as using the invoice to purchase insurance from an insurer or going to the DMV for registration procedures, saving you waiting time after the car arrives. For popular models or during promotions, salespeople may offer this service proactively to retain customers. However, there are risks involved—if the deal falls through, the invoice becomes invalid and may even lead to tax-related issues. So I recommend doing this only when you're certain about the purchase, and not just for convenience to avoid disputes. It's especially important to discuss the details with authorized dealers.