Buying a New Car Cheap

Your Mechanic Can Be a Valuable Asset When Purchasing A Used Car

2009-09-12T16:30:00.000-07:00

Car dealers are not particularly well liked, and knowing as many of them as I do, I can understand why that might be the case. I run an import shop in Florida that specializes in late model luxury imports. I've been in business for quite some time, and I have heard plenty of horror stories from customers regarding other dealerships. In my opinion, I think the majority of car dealerships one will encounter are reputable, by and large. I say "by and large" because some dealers I know use nickel and dime methods to maximize their profits, which I disagree with.

Car dealers are not particularly well liked, and knowing as many of them as I do, I can understand why that might be the case. I run an import shop in Florida that specializes in late model luxury imports. I've been in business for quite some time, and I have heard plenty of horror stories from customers regarding other dealerships. In my opinion, I think the majority of car dealerships one will encounter are reputable, by and large. I say "by and large" because some dealers I know use nickel and dime methods to maximize their profits, which I disagree with. Personally, I would rather give the customer a quality auto at a fair price and consequently gain a lifetime customer, but that's a topic for another article.

One of the more recent horror stories I heard involved someone who had purchased a vehicle that was leaking oil. For those of you that know anything about cars, you know that this is nothing to be taken lightly. The customer was assured by the dealership that this older, yet low mileage used car was in pristine condition. Here's where it gets interesting... Before the sale, the customer asked if she could have the car inspected by her mechanic. The dealership did everything they possibly could to keep that from happening, and succeeded. They told her that they would have their own mechanics do a "twenty point inspection" which would save her the time and expense of having her mechanic take a look. Unbelievable! Since the customer parked her car on a busy street where there were already several oil spots, she never noticed the leaking until after her ridiculously short thirty day warranty was up.

Her mechanic would have spotted an oil leak the minute he had the car up on the rack. As disheartening as this story is, there is a valuable lesson to be learned here. Car buyers, unless they are dealing with a dealer they are familiar with and whom they trust, should seriously consider having a mechanic check out any used car they are interested in (preferrably the local certified manufacturer dealer of the automobile make they are considering). I have had several first time customers ask me if they can have the car independently inspected and I am always happy to oblige. Take my word for it, the only dealers who would frown upon independent inspections are those who have something to hide.

3 Surefire Ways to Combat Rising Gas Prices

2008-08-03T10:54:00.000-07:00

I have heard the rumblings of many of you in
Readerland about the recent spike in
gasoline prices. In fact it's all I seem to
hear about lately. But at least it keeps you
from rumbling about the infrequency of my columns
and articles. Nonetheless, I have decided to
try to help you get through this crisis by
generously providing: 3 Ways to Combat Rising
Gas Prices!

1. Don't Drive Your Car

This is, of course, the most obvious solution.
If you never take the old Plymouth out the
driveway, then it won't matter that at current
gas prices it takes $125 to fill up the 30 gallon
gas tank, or that you only get about 2.51 miles
to the gallon. If you never drive, you could
care less.

Of course, I know what you're going to say. "But
Tim, I have places I need to go-like work. And
the kids have school and soccer practice. And
then there's grocery shopping and yoga lesssons
and dinner at the Richardsons and blah blah blah
and...." Ok, I get the point. Not everyone can
sit around the house writing not-so-funny articles
and searching the Internet for Drew Barrymore
photos like me. I fully understand that some of
you have a life. But just because you don't drive
your own car doesn't mean you can't get around.
The answer?

2. Carpool

It's seems so simple now doesn't it. Instead of
using your gas-Use Someone Elses! Have someone else
pay $5.50 a gallon for gas to take your kids to
school. Make someone else dip into their retirement
fund just so they can cover the gas bill needed to
get you to the office and back everyday. Make someone
else get a second job so that they can have a full
tank of gas in their SUV when your daughter needs
to cruise the mall. It's so simple.

Of course, the concept behind carpooling is that
everyone takes turns driving. So in a normal carpool
situation you would eventually be required to use
your car and spend your money driving others around.
But this is not a Normal Carpool Situation, this is
a Tim Ward Carpool Situation (TWCPS). In a TWCPS you
avoid using your own car by making it so that the other
carpool participants would rather walk barefoot on 120
degree asphalt than ride with you. You achieve this by:

(a) never washing or cleaning your car. Leave it
looking and smelling like the county landfill.

(b) Have the worst behaved child in your family sitting
in the front seat at all times. Feed the child lots of
candy so he/she is always superhyper.

(c) Refuse to discuss anything in your car except your
spouses bad bathing habits, bodily fluids, hang nails,
chest hair, etc.

(d) Only play reggae music on the radio. Loud!

You shouldn't have to worry about anyone wanting to
ride with you ever again.

3. Ride the Bus/Subway

Many cities have a mass transit system that is an
alternative to driving your own vehicle. If you live
in a city that doesn't have one don't worry-you can
always move. Of course, riding public transportation
does have a few drawbacks, but these can be easily
overcome if you follow these simple guidelines:

1. No matter what happens never, ever make eye contact
with anyone. Making eye contact is an invitation for
someone to mug you.

2. No matter what happens never, ever give up your seat
to anyone. This is seen as weakness, and will be taken
as an invitation to mug you.

3. No matter how tempted you are never, ever strike up
a conversation with the person sitting next or across
from you. This is very annoying and can be taken as an
invitation for someone to mug you. Or worse, for someone
to talk back.

4. Always make sure you are alert to get on and off at the
right stop. Getting off at the wrong stop can lead to
immediate mugging.

5. Never, ever take children with you on public transportation.
Fellow passengers hate children. Children make you definite
mug victim material.

Well, there you have it. 3 ways to deal with rising gas prices.
Hopefully, you will be able to use these methods to keep
from spending twice your car's Blue Book value just going
to Walmart. Hopefully, next time your friends are grumbling
and ranting about the mounting gas prices you will be able to
just sit back and smile, content because the issue no longer
concerns you. Hopefully, I've once more helped my loyal readers
in a time of crisis. And all I ask in return as a simple
thank you next time you see me. Just make sure we're not on
the bus. I'd hate to have to mug you...

About the Author

Timothy Ward publishes the Ward Wide Webzine, a publication that refuses to bring you anything but the best articles and internet marketing tips. it is also slam-packed with humor and laughs. Subscribers are expected to interact through contest and submissions. To subscribe now visit:
http://www.wardwidewebzine.goduck.net">http://www.wardwidewebzine.goduck.net

Can You Afford a Car Loan?

2008-06-17T14:36:00.000-07:00

Car Loans : Why Is a Car Loan A Cost Effective Option

by Amanda J. Keppel

A personal car loan offers you necessary amount to purchase a new car. Now you can flaunt your new car to all your neighbors and friends and make them feel envy. Personal car loan turns your dream to reality.

It's not easy for most of us to afford a car when we have to meet all other expenses at the same time. Personal car loan will enable you to buy a car, when you don't have sufficient resources. It can be availed in two ways- secured and unsecured personal car loan. With secured personal car loan, borrower is required to offer any property as collateral with the lender. He enjoys low interest and small monthly repayments. However if you fail to payback the lender, he has the legal right to repossess your property.

Whether you want to buy a new car or an old car, a personal car loan will provide you the fund. Personal car loan is better than financing through car dealer or financer in the sense that it carries much lower interest. You will also be provided with some other lucrative facilities if you buy your car with a personal car loan.

With a secured car loan you can avail car loans at lower interest rates, on the other hand with an unsecured car loan you will have to pay higher interest rates. As far as the repayment terms are considered, you will get a shorter repayment term with an unsecured car loan. But with a secured car loan you can enjoy a longer repayment term.

A personal car loan can be availed by you despite your bad credit record. But to avail the loan with suitable term and condition you can explore the market. Taking quotations and making comparisons among various lenders will enable you find out the suitable loan package.

About the Author:

Obtain updated advice on Car Loans and get free access to loan articles written by financial people by visiting http://loans-pages.info, a popular website that provides loan information and advice.

Should You Refinance Your Car Loan?

2008-06-06T17:18:00.000-07:00

When Does Refinancing Your Car Loan Make Sense

by Jay Anderson

So you are considering a refinancing car loan to make your payments more affordable. Did you know that not only will it make the payments less, but in the long run it can save you money in interest if done correctly? You need to look at your current circumstances.

If you have purchased a car in the last year or two, you know that the excitement of purchasing a new vehicle can sometimes overwhelm you. Instead of paying attention to the interest rate and trying to get the lowest one possible, some people are so caught up in the moment that they end up with a higher rate than they wanted.

Rates vary from dealer to dealer and state to state. Some people have reported getting an interest rate of almost 19 percent, which is ridiculous, even in a bad economy or with bad credit. The interest rate is dependent upon several factors such as your credit, the price of the vehicle you are purchasing, and how long you are financing it. It also depends on how much effort you put into shopping around for the best rates!

There are several programs available to help you to reduce your interest rates. A second chance finance offer can lower your interest rate by up to 11 percent. Refinancing car loan payments can make sense if you think about the long-range advantages as well as the current ones. Yes, you will have a lower payment but you can also save thousands on interest depending on the price of your car.

Take, for example, a car loan financed for 84 months at 12.6 percent. If you can get your interest rate lowered to even 8.99 percent and a year cut off the financing time, a savings of $7,647.79 in interest payments are realized. Now this is really when a refinancing car loan makes sense. Remember, you are no longer financing the entire brand new cost of the car, but only the outstanding balance where you have already reduced that balance from the payments you have been making to date.

The good news is that not only do you save money on interest but when your car is paid off, it will have a higher value than if you had not gotten the year cut off the financing time. Another year of wear and tear on the vehicle makes the value go down, so in reality it would be worth less than if you paid it off a year earlier.

Typically a typical finance rate on a 60-month loan is 8.99 percent with decent credit. However, with nine cuts in ten months by the Federal Reserve Board, who knows what the typical rate is going to be today or tomorrow. One thing that does tell you though; now is the time for a refinancing car loan.

One thing you should take into consideration when you are weighing your options about whether or not to refinance, is how the interest rate on the loan you have now is calculated. If it is a simple interest loan, you are being charged interest everyday on the balance of the loan.

Can you pay your car off early or is there a prepayment penalty for this? This is one thing of many factors you need to know about your finance company. Even if you do not have good or excellent credit, you can apply for a refinance. If you refinance, is your state going to charge you a fee for changing the name of the lender on the title of the car? Some states do and some finance companies pay this while others do not.

It just makes good economic sense to check into a refinancing car loan. If you only save $500, that is money that you can use on other things in this day and age, like maybe, gasoline.

About the Author:

For more information and additional insights about a Refinancing Car Loan as well as getting a free online refinance car loan quote, please visit our web site at http://www.car-loan-resources.com/car-loan-refinancing.php

Car Electronics

2008-06-06T09:02:00.000-07:00

Worthy Electronics For The Common Car Enthusiast

by Chris Channing

Electronics have always been popular among consumers, but the electronics industry found a match made in heaven after being paired with the automotive industry. Ever since, consumers have been fast at work in finding new ways to put all types of electronics in their cars. The results, as it seems, have been quite astounding.

The most basic of all car electronics is the car alarm. The proper car alarm will be able to ward off attackers who would want to do damage or steal items in the car or even the car itself. To protect against such tragedy, car owners should always obtain a car alarm first. Even if one doesn't have the best looking car of them all, even a sub-par vehicle is quite costly should it be stolen.

It's tough to conclude if the DVD player present in cars today is too distracting or worth the trouble in obtaining. For drivers, there is obviously not much to gain. But for passengers and small children, there is no better way to keep passengers entertained than to invest in a DVD player. The only point to worry about is the fact that drivers may become distracted from such items.

Avoiding an accident, such as in the case of the car alarm, is important for car owners. Although it wouldn't seem to handy at first, the HID lighting systems available today are almost necessary for those driving in rural areas. These HID lights are brighter, cleaner, and more efficient- meaning they will be better in avoiding animals and pedestrians. They also look great compared to traditional lights- which gives credit to one's reputation.

GPS devices are also very popular on the car electronics market. After all, there is nothing worse than getting lost while on a vacation or on the way to a certain location. If one lives in the city, it's almost a mandatory purchase. Otherwise, it's great to have around so that missing a turn or even finding shortcuts is possible. And thanks to 3D technology, the whole process can be viewed in interesting perspectives.

Lastly, electronic air horns are all the rage in the customization scene. It is genuinely unique to have air horns fixed to one's hood. Although this look isn't for everyone, it certainly brings out nice features in bigger vehicles such as an SUV or truck. Some large cars, like the Cadillac, also do well with being fixed with such a horn.

In Conclusion

In the end, there are too many options in car electronics to cover such a vast topic in one sitting. Investigating the different types of entertainment, functionality, and help that comes from such electronics is vital for the avid car enthusiast to get the most form their car. If nothing else, an electronic car alarm should be obtained so as to keep an investment that has been made in one's car. And in the end, it's not always about many features one can stuff in their car- but to choose the right ones (No one really needs a DVD screen in the rear view mirror do they?).

About the Author:

Learn more about Car Alarm Systems and HID Kits.

---------------------------------

Brand New Top Secret Shows You How to Buy Cars at 60% or Less!

2008-05-17T12:45:00.000-07:00

World famous Dr Suzanne Gudakunst has just released her biggest "shocker!" ever ...

--> Her Secret to buying expensive cars for as
little as $300 a month!

Dr Suzanne made it big on both TV and now the Web - but what most people don't know is that she routinely buys exotic and luxury cars for as little as 50% of what car dealers force everyone else to pay.

She is able to do this because she discovered something NO car salesman ever wants you to find out about!

This Secret is so powerful, yet involves doing just 1-3 things (usually) that will allow you to get ANY CAR you want (including normal day-to-day average cars you see on the highway, to even the most expensive exotic cars such as Lamborghinis and Rolls-Royces!)

Most recently Dr Suzanne herself used her own secret to buy over $1 million worth of cars, but where she saved $700,000 using her amazing new breakthrough secret (so she paid just $300,000 and got 6 very pricey cars worth $1 million - and each one was brand new and this year's model!)

But you DON'T have to be looking to buy these top and most expensive cars - but can use her secret to buy any car - even a middle-class Sudan or family vehicle.

So, at this point it's only fair to ask:

"How did Dr Suzanne discover this?"

Simple really ...

Although very rich (Dr Suzanne makes over $45,000 a day online alone) Dr Suzanne is the kind of gal who doesn't believe in paying "extra" if you don't have to.

One day while shopping around for her first Bentley Rolls-Royce, she got "mixed feelings" from the car salesman trying to sell her the car.

She felt that he wasn't telling her the truth (a kind of "sixth-sense" sort of thing).

So she began compulsively investigating all the deals she could possibly find elsewhere and online, and in the process she started to see a clear pattern:

--> People are being lied to and cheated out of
$10,000's each and every time they buy even
a single car!

Dr Suzanne then got really "ticked off" and this drove her to an even DEEPER investigation far, far further until she had a stack of facts, figures and even methods that allowed her to get one over on the car dealerships (for a well-deserved change!)

Being a doctor and scientist, naturally Dr Suzanne wanted to put her "New Discovery" to the ultimate test:

* * * A real "live" case! * * *

So she went out and applied her new found "Secret" only to discover that she could get a Rolls-Royce for as little as $600 a month, and a Lamborghini for as little as $1,160 a month!

She also found that she could get the prices on these same kinds of cars reduced by as much as 30%, 50% or even by as much as 90% (or even more!)

Then she decided to see if this same "Secret" could work for what most people considered "normal cars."

And guess what: * * * The SAME Secret held TRUE! * * *

Dr Suzanne was now armed with what is now considered by experts at below wholesale buying to be the "Greatest Car Buying Secret" ever discovered!

So powerful and amazing it PROVED in her own life that she decided to share it with several close friends to see if they too could apply it successfully.

And the SAME THING resulted!

One good and close personal friend of Dr Suzanne's is another Internet Multi-Millionaire (name withheld for privacy reasons) and who wanted to buy a brand new Lamborghini Murcielago which usually costs $412,700* (*this year's model).

After applying Dr Suzanne's secret he was able to get it for:

o NO Money down!
o and just $1,300/month!

Yeah, yeah ... I know, I know ... these people are already rich ... so why should they get to use the advantages of her secret, right?

The fact is: Regardless of how much you make (or like most of us, how little!) it doesn't matter.

As they say "a penny saved is a penny earned," so imagine saving $250,000 on a super exotic car (which means $250,000 earned!)

Or, for the rest of us, what if you saved:

o $15,000 on your next car purchase, Or ...
o $400 a month on payments

These savings quickly add up (and again, BLANK amount saved means BLANK amount earned, regardless of what you put in the BLANKS, right?)

So, if after reading this email you STILL insist on being an "idiot" and paying FULL Price when you no longer ever have to, then fine, leave all the biggest savings to the few of us who are smart enough to grab up Dr Suzanne's "Top Secret Car Secret!"

Oh, and by the way, with the few of us doing so, the car salesmen will have to screw someone else out of all the money that they are losing to us, so that means "YOU" will be their next victim.

... Unless of course you happen to have a COPY of Dr Suzanne's "Top Secret Car Secret" like we do!

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Bad Credit Auto Loans Advice. Get a Fast Car Loan Online

2007-12-29T18:01:00.000-08:00

Want a Lower Interest Rate on Your Car Loan?

2007-12-04T09:24:00.000-08:00

Clinching The Best Deal - Lower Interest Rates
Andrina James

by Andrina James
December 4, 2007

Planning to apply for car loans? What will be the monthly payments? What about the down payment? What would be the operative interest rates? Interest rates can either save or cost you thousands of dollars. Hence these FAQs have to be answered before going ahead with the car loans.

Online Calculations

There are online car loans calculator available to determine the loan amount, term of repayment and the interest rates. The prospective buyer should compare different principal amounts, interest rates, and numbers of years to find an affordable monthly payment. This would be helpful in choosing the desired car type at a suitable rate.

FICO Score And Car Loans

If a car loan is planned, the buyer should avoid any other loan for the next 6 months to one year, as the FICO would go down. Every time a loan is applied, and each time a loan request is made, the FICO score suffers. Higher FICO scores lead to lower interest rates.

Credit Report From Credit Bureaus

FICO scores can be obtained from the credit bureaus (Equifax, Experian and TransUnion). Lenders fix the interest rate based on these credit reports. The information in the report should be accurate. Any incorrect information in the report should be informed to the bureaus immediately.

Negative Credit Information And Bankruptcy

The surety of repaying the amount by the buyer would certainly lead to better interest rates. Yet, negative information and previous instances of bankruptcy car loan will lead to disproval of car loans, or might end up in a higher interest rate. Still, don’t worry for there are also dealerships that help irrespective of bad credit by providing no credit auto loan.

Insurance Coverage

Whenever the car is damaged, insurance can get the money back, provided the lender has given a full insurance coverage. This helps you to save money as you do not have to spend money on repairing a car which is of no use. The insurance details can be obtained from the car insurance company with the details of the car such as year, make, and model of the car.

Hidden Charges

The automobile loan should be manageable along with other debt repayments. The car would involve not only the interest and car price but also overhead charges, which will be a surprise to the customer if he is not prepared. Hence it is always advisable to keep some money in stored in the kitty while buying a car. Affordability to repay should be the deciding factor before going in for car loans.

The interest rates can either save or cost thousands of dollars. Higher Fair Issac & Co score (FICO) makes lower interest on car loans. Multiple requests for credit and previous credits are to be avoided before applying for car loans. A secured loan will definitely end up in lower interest rates though it cannot be got for no credit auto loan or a bankruptcy car loan.

""Auto Loan Application"

source: http://www.americanchronicle.com/articles/viewArticle.asp?articleID=44687

Used Car Shopping

2007-08-28T16:11:00.000-07:00

Used Car Shopping After Bankruptcy

Having the ability to go out and buy something after knowing that you have bankruptcy lingering over your head for many years is really a hard thing to imagine being able to accomplish. If you have filed for bankruptcy and are thinking things like this then you should get online and get to talking with some people that have had to file bankruptcy before, I bet they can fill you in on some things that might give you that little bit of hope that you are needing.

When you are first beginning your journey of regaining your credit so that you can purchase a used car perhaps, there are some things to keep in mind. Make sure that you have done everything necessary in establishing a good credit rating. Do not even think about going out used car shopping until you are almost 100% certain that you will stand a chance in having the ability to get a loan for a vehicle, otherwise do not bother, it may take longer than you had hoped. If you know that you are in good standings then it may be time to get up off the couch, stop sulking over things and get to shopping for that used car you have been waiting for!

Once you have decided that you are ready to take that plunge and you are wanting to go used car shopping, then you will need to think about one more thing. You will then need to determine if you are going to attempt on financing through the dealership or through an outside financing company. This is only if you even can get approved in the first place.

After filing for bankruptcy the best way to go about getting a loan for a used car would probably be through an outside financing company, however, it truly just depends on the situation, the prices and if the dealership may offer something you can afford, if you are approved. Making sure that you choose the proper way of financing the used car is very important, it could mean a huge difference in how much money you can expect to be out for all kinds of different interest charges and fees.

If you can get approved through the dealership, you will then have the opportunity in speaking with the used car salesman, you should remember that it is always about the right kind of negotiating and whether or not it is your lucky day really. However, if you were able to go through an outside financing company then your worries about having to negotiate should be much less. Either way it goes, whomever you have to do the dealing with, it is all about proving that you have the ability in keeping these payments made, and for a long period of time. If you have taken all of the proper steps in improving your credit score prior to attempting to purchase a used car then you should really have no worries, the proof is in the pudding, so to speak. Good Luck!

Building Your Credit Wisely

2007-01-23T10:27:00.000-08:00

Using a credit card wisely is an important step in building a good credit rating. If you're trying to re-build your credit or if you're young and just starting out, pay close attention the next time you receive a new card offer in the mail. When you're trying to build a positive credit history for yourself, using the right credit card makes sense. Making small purchases and then making your payments on time each month is a simple, reliable way to build an outstanding credit report.

What to Look For On a Credit Card Application

If you receive a credit card application that appears to offer a low monthly interest rate, don't make a decision until you turn it over and closely examine the Disclosure Box. In it you'll find a more important measure of credit terms - the Annual Percentage Rate, or APR. By federal law, the Disclosure Box will also tell you whether or not the card has what is called a grace period - a number of days, usually 25, until your purchase starts to accrue finance charges. If a card has a reasonable grace period and you pay off your balance at the end of each billing cycle, you won't have to pay finance charges. It isn't difficult to find credit cards that offer these grace periods, so if the Disclosure Box doesn't declare one then throw the application in the trash and look for a better offer.

If you don't have any credit history at all, a credit card company won't want to give you a very high credit limit, but that's probably best when you're just starting out. You don't want to be tempted to go into serious debt with your very first credit card.

Calculate Your Monthly Finance Charges

Ideally you want to pay off your balance each month to avoid paying any finance charges, but when that isn't possible it's important to know the actual cost of the items you purchase. The annual percentage rate, divided by 12 months, gives you the periodic rate that will be applied to your outstanding balance each month. You can estimate what your monthly finance charge will be by multiplying the periodic rate times the outstanding balance. It may sound complicated at first, but taking the time to learn this simple equation can make a big difference in how you use your credit card.

When you're able to see how much you actually spend on an item that you don't pay off at the end of the month, it might help you to resist the temptation to over-use your card. An item that you want to buy might be on sale at the time you purchase it, but if you don't pay off your balance at the end of the month then those finance charges can dramatically increase the actual amount you'll end up paying.

Use Your Credit Card as a Tool

Credit cards are only one of the tools available to help you build a positive credit history. Making on-time payments for other forms of credit, such as rent and utilities, are also important. Depending on your situation, within 1-2 years your credit rating will be improved enough that you no longer need to use your card for new purchases to maintain your good credit. Use these tools wisely, and they'll help build your financial future!

Car Dealer's Auto Sales Tactics

2007-01-22T14:50:00.000-08:00

If you are considering purchasing a new car or truck (this applies to used vehicles also), you should be aware of a few things about the salesperson you are about to encounter. To get the sale and maximize profit, auto dealerships teach their sales force some variation of the "10 steps to the sale". This will help you to be prepared for your next dealership experience.

The belief is that the steps to the sale are always the same and that as a salesperson you cannot skip a step or take shortcuts. If the salesperson finds that he or she is stuck on a particular step and can't get you to move on to the next one, they will most likely make a "turn". That is, turn you over to another person. The idea being that a fresh face or different personality will be able to move you on to the next step. A turn is not always a bad thing. You may truly dislike the person you are working with to the point of being unable to purchase the vehicle you actually want.

Let’s take a look at steps 1-3:

1) Meet and greet - First impressions are important. A clean cut and neatly dressed salesperson should introduce him or her self with enthusiasm and a smile. For example, "Hi, my name is Bill. Welcome to ABC Motors. And your name is?" This step is obvious and you should expect no less. But if your first impression of the salesperson is negative you will probably not be purchasing a vehicle from this person. Would you buy a car from a guy with slicked back hair who is wearing sunglasses and smoking a cigarette? Probably not!

Most customers will inform their salesperson at the time of the meet and greet that "I'm only looking" or I'm not buying today". A good sales representative will assume that what you are really saying is, "I'm looking for the best deal and someone who I feel good about buying a car from!" In many cases this is true. But if your intent is only to gather information then don't get caught up in the moment and lose sight of your objective.

2) Building Rapport - Here the salesperson is trying to earn your trust and to sell him or her self to you the client. They might engage you in small talk in an attempt to find common ground. Maybe ask you about your family or notice a bumper sticker on your car and use that as a starting place for a conversation.

Of course, all the time they are trying to get into your head. You should be aware of the implications if what you are saying as it relates to the sales process. The salesperson wants to understand your personality type and discover what motivates you so that you can be moved successfully through the sales process. This is, in a way, part of the qualifying process, (step 4) which will be covered extensively in the next part of this series.

3) Sell the Dealership - The purpose here is obvious. To convince you that this is the best place to make your purchase and of course have your vehicle serviced in the future. You might hear something like, "It was really smart of you to come here. Most people shop all over town but eventually end up here". Don't allow your ego to be pumped up with garbage like this. Maintain your objectivity!

Some very good salespeople will actually go so far as to give you a guided tour of the facility and introduce you to the parts and service departments before you actually purchase a vehicle. This is an excellent tactic and really is a service to you also. From the point of view of the salesperson it is part of "assuming the sale" and on the client side you get a good overview of the place you may be doing business with for years to come if you do end up purchasing a vehicle there.

Auto Loan Scams

2007-01-13T18:42:00.000-08:00

Car dealers are often portrayed as predators just waiting for an unsuspecting customer to come along. This is because many people believe that they are always on the prowl for unsuspecting buyers that are not very knowledgeable about cars. This can be unfair because we can argue that there are car dealers out there who would not cheat just to get an extra profit.

How do you tell the difference?

To avoid becoming a victim of sneaky car dealers, look at the following auto financing scams.

Yoyo scam

You will be allowed by the dealer to bring the car home as soon as possible. The dealer will take care of the financing, a few days later he will contact you again and tell you that there was a problem with your financing plan. He will tell you to set up a new financing scheme through him which, of course, will be at a higher cost and this will also entail a very high profit on the dealer's part.

Be wary of this trick and avoid it at all costs if you detect it. If you have a bad credit standing, don't have your financing done by the dealer and make arrangements for your own financing. If you ever do avail of the dealer's financing, you should never drive the car back to your home immediately. Wait for at least 24 hours just to make sure that the processing of your financing scheme has been completed already. By allowing 1 whole day to pass by, you are assured that the dealer cannot use this scam on you.

Window etching trick

Window etching is a very common scam. What the dealer will do is to offer to etch the VIN number of your car onto the window of the car for a price. Basically, the price ranges from as low as $300 to as high as $1,000. Some buyers think that they did a good job by being able to talk down the price to a few hundred dollars, but unfortunately for them, a few hundred dollars is still a good amount of money. The best way to avoid this kind of scam is for you to buy an etching kit that you can do on your own. This is available in most auto shops and costs around $20. See how much they profit from you!

Preparation fees

For preparing your car, the dealer will often add an additional preparation fee to your bill. Just to conduct a test drive, replace fuses, or take the car's plastic cover off will have your bill increasing by at least $500! If you visit other shops, you can get the information that these add on costs are already included in the MSRP as set by the manufacturer. Some dealers automatically add it to the buyer's order to make it look mandatory. To take care of this scam, you can ask the dealer to classify it as credit (it should be identical to the amount of the preparation fee) on the following line. If the dealer does not agree to this, you can just simply walk away from the dealership.

Market adjustment

The dealer will convince you that the vehicle you want is selling like hot cakes and very popular. In order to sell you the vehicle, they will do some "market adjustments" amounting to a few thousand dollars. This is usually indicated by a tag near the MSRP tag set by the manufacturer. Even if the car you want is very popular and is very much in demand, if it is in stock you should not be tempted because getting a "popular" car is not worth it if you have to pay a few thousand dollars more. You should never pay more than the MSRP set by the manufacturers. If you do, then you are allowing others to take advantage of you.

Warranty extension

Although this type of scam is old already, it is still being used and there are many who fall for this trick. What happens in this kind of scam is that when you make a loan for the car, the dealer will tell you that you are required to purchase an extended warranty because it is one of the conditions of the bank. There is a simple way of avoiding this scam. Ask the dealer to specify clearly in writing that the extended warranty is required for the loan to be approved. The dealer will most probably find a way to have it excluded. If he persists in including the extended warranty, do not do business with this guy and go to other dealerships.

These are some of the most common auto financing scams that are utilized by some car dealers. Always keep these in mind if you are going to buy a car. If you or a friend were treated fairly by a dealer in the past, consider using the same dealership again. It’s a good indication that they do care about their customers and aren’t just looking for a “fast buck.”

Think very carefully and do not buy on impulse. Good luck to you and go get that car!

Is An Auto Loan for You?

2007-01-12T11:41:00.000-08:00

The automobile is certainly a wonder of twentieth century technology. It has made its place in our American history. Though not as well known, a whole industry had to be created to effectively market this fairly expensive luxury to the general public.

The franchise system was used to lock in big profits for the auto manufacturers. Your local Ford or Chevrolet dealership is part of this system. If you want to buy a new Ford or Chevy you have to buy it from one of these dealerships.

The automobile dealership is basically a franchise granted to a car dealer by the manufacturer. These dealerships are exclusive franchises. This gives the car dealer many marketing advantages. Car dealers will use their proprietary knowledge to inflate the cost of your car purchase. Certain marketing practices could potentially cost you hundreds, even thousands of dollars that you shouldn't pay.

Although the car dealer may be reputable, the industry of car sales has adopted selling methods, practices and techniques that cause unsuspecting car buyers to pay more than they should for a new automobile.

These front-end charges are unnecessary and should be avoided:

Car Buyer Mistake #1 --

If you are charged a large amount of money for "set-up and prep charges", then beware. The truth of the matter is that the car was inspected before it left the manufacturer. The car was insured in transport to the dealer and if there was any damage during transport, that would have been paid by the trucking company. The total preparation to sell you the car really amounts to a quick car wash. Prep charges can run up to $800. You should pay nothing for any prep charges.

Trade-in Trickery --

Dealers hate to take trade-ins. They either have to sell them on their own lot or dump them at a car auction. It generally costs a dealer $600 to handle your trade-in. The dealer will pass this cost along to you. And even though the salesman says he can get you "top dollar" on your trade-in, you are really only getting the amount the dealer knows that he can sell the car for at an auction.

There are also other questionable charges that occur at the back-end of a car sale. You can avoid losing hundreds of dollars by being aware of these dealer tactics to make more money.

Dealer Periodic Maintenance:

Don't fall for this one. The dealer will charge you $40 per hour or more for every scheduled visit back to the dealer. You can get the same quality of service at Jiffy Lube for $20. The dealer is simply trying to assure more business for his dealership by selling you this option after you purchase your new car. If your car ever needs to be fixed, you may want to have the work done somewhere else anyway.

Vehicle Undercoating:

Even though the dealer might insist that you need this option, the truth is that the body of the car will begin to rust before the undercarriage will. Unless you plan to keep the car past 5 years, and you live near a coastal area, you can skip the undercoating and save $200 or more. All cars have a protective coating on the underside of the vehicle included standard anyway.

Credit Life and Disability Insurance:

You will be offered this insurance if you finance your car through the dealer. It seems like a good deal. It pays off the car if you become disabled or die. And you can just add it to the monthly payments, right? Yes, but don't buy this either. The total cost of this insurance will run you $1000 over the life of the loan. Save your money.

And always get your car loan from the bank, not the dealer. This will give you confidence when you walk into a dealership knowing that you are already pre-approved for the car of your choice. Don't buy a car just because of a rebate or low interest incentive either. These don't really save you all that much and you can pay less for the car you really want by knowing the following information about car dealerships:

The dealer's markup on a new car is between 18%-20%. This little bit of information will allow you to save money because you will know what the dealer actually paid for the car. You can negotiate a better price when armed with this information.

If you do buy a brand new car, expect the car to depreciate immediately by 20% when you drive it off the dealer's lot. This is because it is now a used car.

In the next year, your car will depreciate by another 10%. The second year it will have depreciated another 20%. So if you buy a 2 year old car in good shape and have it checked out by a certified mechanic before you buy it, you can save up to 50%.

These are tips that could save you or someone in your family a lot of money on your next car. Be a wise consumer. Always ask questions and know your options. It's the best way to keep more of your money.