Auto Loan

so, let's pretend that someone has a decent cash 'business', and wants to spend some of that cash on a car. knowing that cash transactions over $10k get IRS attention, he avoids that route. he wants a good dependable car that looks nice, and figures it'll cost around $15k. he is unable to get an auto loan because his "provable" income is too low. has anyone else had this dilemma? what did you (or your hypothetical friend) do?

just make any single deposit under $10,000, multiple times spaced across a couple of weeks. then write a check or use debit card to pay for car. foolproof.

Car dealers love cash not a problem. Just tell him you will pay cash and you should get a deal. Every car I have bought I bought with cash, but from legal means.

Even if you have enough cash to pay for it in total, try to get an auto loan on it. I would contact Capital One auto finance online and offer to put 50% down. They will probably go for it based on the fact that you have so much equity in the car. If that doesn't work, go to a lot that does their own financing. Put 10% down and finance the rest even if its at 24% interest (hopefully lower). Who gives a fuck what the interest rate is, since you are paying it back with untaxed money. Its just another way to "clean" your "soiled" cash. Those dealers don't expect you to pay off the loan anyway. They make their money by repossessing the car an selling it again anyway. However, make your payments exactly on time (even a little earlier if possible), and you will keep your car as well as possibly improving your credit rating.
Just a suggestion.

desertrat said:

just make any single deposit under $10,000, multiple times spaced across a couple of weeks. then write a check or use debit card to pay for car. foolproof.

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Doing that is called "Structuring" and it is illegal. Spending 15K in cash is not illegal, just Uncle Sam will want to take a look. You could just tell the IRS that you saved that money in your mattress for 10 years, how would they know otherwise?