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Car Loans
6 Ways to Get the Best Car DealsBy Catherine
BillSavings.com Brief:
This is a great time to go shopping for the best car deal. Overcrowded car lots are putting pressure on salespeople to make deals and offer special financing in order to entice buyers. Take advantage of the surplus and do your research before heading off to the car lot. Getting informed and following a few simple tips could save you a lot of money.
When you are shopping for a car, there are ways to get the best car deal possible. Especially in this economy, most car dealers are offering specials and great financing opportunities. Sluggish sales can work in your favor as dealerships hope to entice buyers and move vehicles off the lot. But don't walk up to a salesperson without being prepared and fully informed. You still have to do your homework in order to save yourself some money. Buying tips 1. Consider a used car. Many people go out and get dazzled by a new car with all the latest gadgets and accessories. They are in love with their purchase for a year, maybe two, before the high loan payments start to get old. If the car doesn't get great gas mileage, that can hurt in the wallet as well. As you head out to the car lot, you don't have to make the same mistake. 2. Look into a certified, previously-owned vehicle. Even if a car has only been owned a year, this can save you a lot of money. Certified used cars are backed by a tough inspection process and warranty. You can easily find a car that's been owned for a short while and is in as good a shape as new offerings without the high price. New cars lose value the moment they are driven off the lot. Surely you can do better than to dump a ton of money on something that won't make a return on the investment. Sometimes you can't find the car you want at a used lot or there are financing deals that make buying new a more enticing offer, but those are few and far between. Consider your options and don't rule out a used car. It could be the best choice of them all. 3. Do your research. Thanks to the Internet, shopping around for the best car deal has never been easier. The wealth of information online gives customers the upper hand. When deciding on a make and model, take into account the different safety features, fuel efficiency standards, and the manufacturer's reputation. How does the car's resale value hold up? After you have decided on the kind of car you'd like, look into the different prices and financing that's available. Check out the blue book price, MSRP, and other details so that you are fully informed. Print out the information you find and take these documents with you to the car lots. Take notes on what the salespeople tell you. You can always use your vast knowledge when negotiating for a better price. 4. Get a report from CARMAX. If you are interested in a particular automobile, the seller will usually offer to get you a report from CARMAX at no charge to you. If they do not offer you a report, you can go online and get one yourself. The charge is usually around $20 and can last a few months so you can go back online and check multiple reports without costing you money each time. These reports are invaluable when you are buying a used car. You can find out how many owners a car has had, where it's "lived", how many accidents it's been involved in, and any other information that may tell you if the car you're interested in is a lemon. With so many natural disasters in different parts of the country, you should know if your best car deal on a used car is really a previously flooded vehicle that shouldn't be on the road. 5. Review your credit history. You should already know your credit score and the information contained in your record. It's important to check your data at least once a year if not more simply to prevent credit card fraud. However, if you are not aware of what your history contains, get informed before you go out to look for a car. If you have an excellent report and high score, you can qualify for special financing that could save you thousands of dollars when securing a loan. This can also help you when you begin negotiations with a salesperson. If your score is low, you may want to wait a few months so you can pay off old debt or go about improving your standing. You should also shop around for favorable loan rates if you are a credit risk. 6. Secure the best loan possible. Obviously you will save money if you purchase a car with cash. You won't have to worry about hidden fees or interest rates. However, most people cannot afford to pay $20,000 for a car out of their own pocket. Financing is available for you to obtain a loan in order to pay for your automobile. Get approved for the best car deal you can find before heading out to shop. This will help when you are negotiating deals with the financing unit at the car dealership. Consider putting down as much as possible and inquire about the shortest loan period in order to cut down on costs. Compare rates from banks, credit unions, and other lending institutions. After you are approved, take the paperwork with you in case a better deal can be found at the dealership. These are ways to save hundreds, if not more, when looking for the best car deal and making arrangements to pay for it. 8/12/2008
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