| Buying a new car is easy; getting
a good deal often isn't. Here's how to stack the odds
a bit more in your favor:
Shop money first:
Many people make the mistake of shopping for a car,
then worrying about how to pay for it. Instead, check
into your financing options before you get near a
dealership. You have many options from credit unions
to banks to the captive financing arms (GMAC, Ford
Credit, etc.) of the automakers themselves. Offers
can vary considerably; as with a real estate loan,
even a seemingly small difference in the interest
rate being offered can cost (or save) you a lot of
money over the life of a new car loan.
Know the true cost of what you're buying
(and what you can afford):
There is more to the cost of a new car than the price
you pay for the car itself. Things like insurance,
property taxes (where applicable), annual fuel costs
and so on should always be factored into your purchasing
decision before you commit to buying anything. Insurance
payments on a high-performance sports car may be more
than you expected. People sometimes get into trouble
by focusing on the car payment alone -- forgetting
about the peripheral costs that come with the purchase
of any new car or truck. If you buy "on the edge"
-- with little cushion left for these unanticipated
expenses -- you might end up getting a visit from
the repo man.
Know your quarry:
Before you get near a dealer's lot, you should have
spent some time online getting to know as much about
the vehicle you're thinking of buying as possible.
What are the standard and optional engines? Available
equipment? The trim levels? What's the dealer invoice
price for the vehicle -- and the various options?
(Many people forget there's a big difference between
the MRP "sticker price" and actual dealer
cost for individual options as well as for the car
itself.)
|
