To get the best deal, whether you’re buying a new or used car, you want to avoid the “lion’s den”. In other words, don’t even go to a Dealer until you’ve already struck a deal.
That’s right. To get the absolute best price possible, you do not want to be sitting there in a Dealership negotiating back and forth with a salesperson. This is where they want you.
The Dealership is where they can wear you down or confuse you with their very effective selling techniques such as “the 4-sguare”, “going for a bump”, “using leg”, and many others.
Instead, you want to stay off their turf entirely by simply using the phone.
Call three or four Dealerships with similar vehicles and tell them you are buying a car in the next 48 hours. Also tell them the car you are interested in and that you are comparing final offers from four different Dealerships. Keep the call straightforward and short.
By doing this, the Dealers are forced to compete for your sale. Let them get back to you with their best “out-the-door” prices. If a Dealer’s quote takes them out of the running, let them know you’ll consider another offer from them.
Trust me, Dealers want your business. They’re not going to want to lose the sale, particularly when they also know you are buying a similar vehicle somewhere else.
The last Dealer standing wins. Only then do you go to the Dealership to look at and drive the car, and to then do the paperwork if you are satisfied.
This technique also works even better during the last two or three days of the month. Often, Dealerships have monthly quotas and their last few days “make or break them”.
By following this technique, you’ve been the one in control during the entire process.
Tags: Absolute, Bump, Buying A Car, Buying Car, Car Buying, Days Of The Month, Effective Selling, Few Days, Lion, New Car, Paperwork, Phone Call, Quotas, Salesperson, TurfRelated posts
Buying a car is an expensive thing. But, does it have to be? There are a number of things that you can do to get the car that you want for much less. Simple and a bit more complex, these tips will help you to save money in the long run. Buying a car can be affordable.
Here are five tips for saving money on your next car purchase.
1.Get your financing in order before you leave to look at cars. While many car dealerships are offering financing for vehicles, this can be one of the more costly options. Make sure you talk to online financing companies, your local bank and your credit union. You probably will save a good amount of money here.
2.Do the down payment. Even a bit of a down payment can help you to save considerably down the road. You can save a good deal of money if you invest wisely. But, adding a bit of a down payment to the purchase will help to lower the amount of principal that you actually owe on that vehicle purchase.
3.If your credit is bad, get a co signer. Having someone else that can help you to get your car is a great way to secure a vehicle for a more affordable price. This helps to lower the amount of risk that you present to the car financer. The lower the amount of risk you prove to be, the better your chances of paying less for that car.
4.Trade-ins are good too. If you have a car that you plan to trade in, you may be able to get a good price for it. To improve the amount you get, make sure that the car is as clean as possible, is running well and has been taken care of. In addition to this, make sure that you know the value of it by looking it up on the web. Know what its worth so you do not get taken. The value of the trade in will lower the amount you have to have financed on your vehicle.
5.Shop around and haggle. There is no shame in saving money. Dealers are selling cars to make a commission. How much will they make off of you? Do your homework out the type of car you are looking for and know its worth. Look at several dealerships to find the right car at the right price. Don’t forget to haggle with the dealership salesmen. But, whatever you do, do not be insulting to them. That’s the wrong way to get your price down.
Take these five ways to save on the next time you buy a car and you will walk way with the benefits that you deserve. You can save a good amount of financing and interest charges this way.
Tags: Amount Of Money, Better Your Chances, Buying A Car, Buying Car, Car Buying, Car Dealerships, Car Ins, Car Purchase, Co Signer, Costly Options, Homework, Invest, Local Bank, Money Dealers, Risk, Selling Cars, Shame, Tips For Saving Money, Trade Ins, Ways To Save MoneyRelated posts
There are many challenges you will face when buying either a new or used car. It depends on the model that you want, how much is the budget, the size of your family and the options that go with it.
If you have an idea on the right car, then a little research on the value of the car in the market to date will be able to help the you when approaching a dealer.
This can be done by checking the internet or looking through the local newspaper before going to the various dealers in the area to make comparisons.
If the ideal car is not available on the lot, the if you tell the dealer about it these people can help by looking for that particular model or offer a similar car similar to your choice.
Since dealers often want to get rid of the cars quickly, it is also possible to get a good deal on what is available as long as it meets your requirements.
Most cars have a maintenance record. The buyer must ask the dealer to see it and if it is not available, then you should contact the dealership or repair shop where most of the work was done.
The buyer has the right to see a copy of the dealers warranty. To be safe, you can also ask if a service contract is provided in buying the used car. This contract that is offered by the dealer may or may not provide coverage that is in the manufacturers warranty which may cost extra.
Since the warranty usually comes when buying a car and the service contract does not, it is best to ask if you need to avail of by answering some questions;
What are the differences between the coverage of the warranty and the service contract?
What repairs are covered?
Is routine maintenance covered?
Who will pay for labor and parts if brought to the shop?
Who is authorized to perform the repairs and where?
How long does the service contract last?
What are the cancellation and refund policies?
Just looking at the car will not give information if the car is in good condition. It should be test driven under various road conditions such as the highway or in traffic.
Since most people are not that knowledgeable about cars, it is advisable to bring the car to a reliable mechanic for proper inspection.
Tags: Budget, Buying A Car, Buying A Used Car, Cancellation, Car Dealer, Car Service, Cars, Challenges, Face, Ideal, Maintenance Record, Manufacturers Warranty, Model Car, New Car, Refund Policies, Right Car, Road Conditions, Routine Maintenance, Service Contract, WarrantyRelated posts
How To Buy A Car (Trust Me – I Used To Sell Them)
We Americans like to buy a car at the dealership in one afternoon, and the dealerships try very hard to make us think that is possible and even smart. But its not. Realize how big a purchase a car is. And it is complicated.
Buying a car is the second-largest purchase most people make after buying a home. When you buy a home, think about all the help you have: you have a broker to help you find the best home for you, and a mortgage broker to help you find the best financing. And an inspector to make sure the house is safe. Sometimes you also have an attorney to make sure the contract is fair, and a title company makes sure the title is clear before you pay for the home. But when you buy a car, there is not one person there to help you. And the dealers want you to THINK you can waltz in to the dealership and buy a car from start to finish in an afternoon and sure, you can, but you will pay much much more if you do it that way. Here are four tips to give you an advantage:
1. Make at least one trip to the dealership JUST to look around and drive the cars. Promise yourself you will not buy that first time, no matter what. Why? So that you can go home and look up information on the internet, including dealer cost, safety ratings, option prices, and any manufacturer to dealer incentives that the dealer has certainly not told you about!
2. Know what you can afford before you visit the dealership to buy! This means talk to your personal banker or credit union officer before going to the dealership. Why? Some dealerships might actually WANT you to sign on for a more expensive car than you can afford so that you will then default on your loan and they will repossess the car.
3. Whenever the finance manager calculates something, insist that he show you the calculation. Why? The easiest place for dealerships to take more money from you is in the monthly payment. It is VERY common for dealers to increase monthly payments by just a few dollars, even $20 per month, over about a five year period is like giving the dealership $500 extra on the spot.
E.G. If you tell the salesman you can afford a payment of $500 per month, he might find a deal for you in which the payment works out to $460 per month. But instead of telling you that, he might tell you that he has great news!! – - that your payment is down to $480. What happens to the $20 difference between the lender’ $460 per month and the $480 the dealer is charging you? It goes right into the dealers pocket, and you will never know it unless you Len how to run the calculation yourself, or at least run it by your banker. How much would a dealership make, taking in an extra $20 per month for five years, on a loan with an interest rate of 3.9%? About $500. It is next to impossible to figure this kind of thing out without a financial calculator, or a friend with a financial calculator. But its worth the trouble!
4. Write down everything you learn about the car, from the internet, magazines, and especially from the salesman. Why? Doing this keeps everybody honest, and literally on the same pageYOUR page! Your salesman will see that you are writing down everything he says, and he will be less inclined to lie, or to try to change information on you later on. This tip is all about staying in control.
Tags: Buy A Car, Buy Car, Buying A Car, Buying A Home, Buying Car, Car Dealership, Cars, Dealer Incentives, Easiest Place, Expensive Car, Finance Manager, How To Buy A Car, Money, Mortgage Broker, Option Prices, Personal Banker, Purchase A Car, Safety Ratings, Title Company, WaltzRelated posts
I had what I thought was an interesting question sent in to me the other day and that is the topic of this article. The question asked was essentially; out of all of the car buying tips, the car deal negotiating tips, and out of all the dos and dont dos when you are car shopping and ultimately buying, what is the single most important area to have under control as the buyer.
I had to preface my answer by saying that in order to get your best deal when buying a car, there are many pieces to the car buying puzzle. They are all individually important because when you put all the buying processes together they make up your deal. And all of these car buying puzzle pieces are what dealerships are all about. They each represent an opportunity to sell you something and therefore make a profit on that sale.
Having said that, this is a great question and you would probably get many different answers. But, since you asked and I have pondered Ill give you my thoughts.
I would have to say financing. You must take the time to do such things as:
Get and understand your credit report.
Shop around for your financing options and ultimately get yourself pre-approved so you will know the amount, the interest rate you qualify for, and the length of your loan.
If you dont get your financing questions answered and in order, you can literally cost yourself thousands of dollars. So, while all of the other aspects of buying a car are indeed important, such as the price of the new car, what you get for your trade, and all of the research that goes into these areas; you can literally give it all back and much more in the dealers finance department.
If I get all my financing lined up ahead of time, why would I even bother with the dealers finance department?
A Good question; and there are a couple of aspects to the answer. First, once you know what you qualify for (a bird in hand), you can then give the dealers finance manager the opportunity to do even better for you. Secondly, even if you have no intention of using the dealer financing option, youll still have to have a seat in the finance office just to sign all the paperwork. Which means the finance person will do their best to sell you their financing package. So being prepared is the best answer.
If you have your financing in hand and know all your numbers ahead of time, youll be able to fend off the monthly payment approach by the car dealers sales person. Buying a car based on monthly payments is good for the dealer; bad for you.
Also, your financing homework becomes even more important if your credit is less than grade A. Be mindful that just the difference in just a couple of percentage points on your interest rate can represent over a thousand dollars to you during the life of your loan. And if your credit score leaves a little to be desired by potential lenders, you will probably see a wider range of qualifying quotes that you get back. So it is even more important that you get your car financing house in order before you head out to the dealership.
Certainly, financing is but one piece of the car buying puzzle. But, its a big piece. And you can rest assured its a big piece (for potential profit) for the dealer. Many people dont realize that this is yet another area at the dealership that you can and should try to negotiate on the road to getting your best car deal.
If you have done your research and homework to give yourself the best possible chance on the front end of the car buying process (new car & trade-in), dont give it all back on the back end of the deal (financing & insurance F&I) by not knowing what your financing numbers and options are.
Tags: Bird In Hand, Buying A Car, Buying Car, Car Buying Tips, Car Deal, Car Shopping, Control, Credit Report, Dos, Finance Department, Finance Manager, Financing Options, Good Question, Interest Rate, Negotiating Tips, New Car, Opportunity, Preface, Puzzle Pieces, Thousands Of DollarsRelated posts
Thinking Of Buying A Car On Finance? Then Go With A Specialist
The majority of people who are buying a new car dont have the luxury of being able to pay out cash for it; they have to consider buying a car on finance. One of the best ways of ensuring that you get the cheapest deal possible on the loan for your new car is to take the advice of a specialist in car finance.
Car financing can be very confusing and there are many aspects that have to be taken into account when looking for the best deal. When comparing loans a specialist will make sure that they compare loans that are similar, this means that they will compare fixed rate loans alike and variable alike.
Sometimes there are many hidden costs in a loan such as early redemption fees if you should pay the loan up early, along with administration costs and again a specialist will be well aware of these hidden charges and avoid them wherever possible. Another factor that the specialist will be aware of and which you might not when looking to buy a car on finance, is that quotes for weekly repayments on the loan can look cheaper and are tempting, but very often work out dearer over the year when the APR is taken into account.
When going with a specialist when buying your car on finance take into account the fact that some lenders will add on what is called payment protection. Payment protection ensures that if you should come out of work then the car repayments would still be paid as you would have a sum of money coming in each month. While the cover can be a good thing, if it is included in with the loan it is the most expensive way of buying the cover and you can buy it independently. Ask the specialist looking for your car loan to make sure that payment protection isnt included in the quote for the loan.
Tags: Administration Costs, Advice, Buy A Car, Buy Car, Buying A Car, Buying A New Car, Car Finance, Car Financing, Car Loan, Car Quotes, Finance Car, Finance Quotes, Hidden Charges, Lenders, Looking To Buy A Car, People, Rate Loans, Redemption Fees, Repayments, Sum Of MoneyRelated posts
Its just one of those mornings. As the rain pours down and Im trying to start my mini (yes those old small ones) I decide its time to buy a new car.
Now, before I embark on this wonderful journey- there are a few stumble blocks I need to sort out. Firstly, I cant afford a new car, but Im sure I can find a nice, affordable second hand car somewhere. Secondly, I have no idea what to look for in a car.
For me its all about how cute I will look in it and that it will take me from point A to point B. I know nothing more than the absolute necessary. The engine is in the front under the hood, the spare wheel is somewhere in the back and I know where the exhaust is. Furthermore, my knowledge is very limited.
With my boyfriend out of town and my time relatively limited, I need to find some or other guide to help me. A guide for people who knows nothing about cars, something written for dummies, a buyers guide for second hand cars.
Obviously, the best and first place I look for this Used car buyers guide for dummies is on the Internet. I, of course, find quite a few irrelevant results that just show me lists of car dealers.
Eventually I stumble across a very in-depth used car buyers guide that gives you twelve different things to look out for when buying a car. I had to read it twice to understand everything, but eventually I got the hang of it.
Firstly, they give some helpful advice regarding the purchase of the used car. Then they chat about registration and documentation and give some useful information- mentioning things like the Vehicle Identification Number and where you need to look for it!
Furthermore the buyers guide supply the reader with tips on what to look out for when they are viewing a second hand or used car. They even mention the appearance of the car- and no this is not just the outside of the car!
They give little tidbits to look out for when you start-up the engine. Apparently, when you test-drive the car, you should drive it at various speeds- this will give you an indication of the condition of the engine.
The bodywork of the used car must be inspected and you should look out for any accident damage to the car. Make sure to check out the interior and the upholstery- lift seat covers to see if the seller isnt just hiding damaged seats!
Half of these things I would have never even thought to look at! Other tips include information about the gearbox and clutch, brakes and suspension, radiator and cooling system, as well as more general things like steering and tyres.
Must say, after reading this guide, I will definitely be able to pick out my new second hand used car with more confidence! For those women and other dummies out there that know nothing about what to look out for when buying a second hand or used car- get yourself a buyers guide! It really does help.
Tags: Appearance, Buy Car, Buying A Car, Car Buyers Guide, Car Buying Tips, Car Chat, Car Dealers, Different Things, Dummies, Irrelevant Results, One Of Those Mornings, People, Rain, Second Hand Car, Second Hand Cars, Spare Wheel, Time To Buy A New Car, Vehicle Identification Number, Wheel, Wonderful Journey