Three Things to Look For When Car Shopping
Make Sure You Follow These Car Shopping Tips
Let’s face it, car shopping isn’t always a walk in the park. While there are indeed many dealerships out there that conduct business in a fine and ethical manner, there are still many that don’t. The car shopping business is a game, and unless you know how to play it, you’ll be out some cold-hard cash. Make sure you follow these car shopping tips when looking for a new car.
Forget the Monthly Payment Trick
One of the first things a car salesman is going to ask you when you go car shopping is how much you want to keep your monthly payments at. The minute you give him or her that number, he or she is going to start calculating just how much money they can make off of you while keeping you at your ideal monthly payment.
If a car salesman asks you how much you want to keep your monthly payment at, refute the question and give them an answer of how much you want to spend on a car. So if Slick at the dealership says “How much do you want to keep your monthly payments at?” you respond with “I want to stay at under a $20,000 purchase price.”
Market Adjustment Fees
If you see something called a “market adjustment fee” or an “additional dealer markup” when you go car shopping, demand that they take it off the price of the car. It’s nothing but an additional markup to the dealer’s already high profit margin. If the car dealership won’t sell you the car without charging this ridiculous fee, take your business elsewhere. There’s never a reason to spend more than MSRP for the vehicle you want.
Bring Your Own Financing
With all of the schemes that unscrupulous dealerships try to pull on the lot, it doesn’t stop at the signing of the sales contract. Some of the scams can continue into the financing office as well. From charging you higher interest rates to lying about your credit, car dealerships have been known to play a host of financing games. To avoid the headaches, bring in your own financing when you go car shopping.
For more great car shopping tips, visit this car buying tips website.
Comments
Very good advice, all of it. Frugal car shoppers may also want to see the Vehicles and Maintenance section of Frugal and Fashionable Living for articles on keeping the car well-maintained, lowering the cost of a used car, etc.
Posted by: Shel Horowitz | February 15, 2006 6:12 AM
Another thing that has always worked for me is First get the dealership to give you a trade in value on your existing vehicle, then ask to see the dealer invoince, or manufacture invoice on the new vehicle. After seeing this paper agree to ONLY pay what the dealer paid the manufacturer for the car, and also I tell them I will not pay any extra fees like delivery fees.
I was able to get my husbands truck for him for $13,500 when it was listed for $21,995. They also gave us $2000 trade in, even though they weren't happy about it. But because they agreed before hand they stuck with it, becausae they didn't want to lose a sale.
Posted by: Amy | June 20, 2006 9:15 PM