Things TO DO to help get the best deal
Here are some things TO DO at the dealership to help you get in your car with a great deal.
Do: Be Wary When Dealers Start Talking About Monthly Payments
One tactic a seller might use is to bring up monthly payments before the total cost of the vehicle is established. This is to try and confuse the buyer in terms of what they’re actually paying for the car. When monthly payments are brought up, a buyer usually won’t know if the payment’s for 24, 36, 60 months, or what.
Clever salespeople might also focus on low monthly payments so they can inflate other variables, such as length of terms and sales interest, which will increase dealer profits while making sure you spend more on the car overall.
With approved financing from NIHFCU, you have a great package in hand before you get to the dealer!
Do: Get Your Own Financing To Save On Interest Rates
One of the things you should just about always do is to secure your own financing before you start shopping around. (If you’ve received financing approval from the NIHFCU, great job!)
You will almost always save on interest rates this way. Don’t be talked into working with a dealership’s in-house financing program—even if they say you can save, you’ll most likely always be able to find better financing outside of the dealership.
If you do borrow from a dealership, you’re then at the whim of the dealership. When you’re negotiating a deal, particularly the price of a car, having your own financing will save a lot of hassle down the road.
Do: Your Research
Telling the dealer, “I’m just here to look around,” is like honey to a bear, because then they can start immediately selling you. Always research prices for the car you want before you hit the dealerships. This way you will know when you’re being haggled and when you’re being given a fair price.
Dealers are trained to keep you in the door, once you’re inside. You can skip this whole step if you already have a plan, a price-point in mind, and are ready to barter. Most dealerships have online inventories, so that’s a good place to start looking for the models you’re interested in.
Remember to shop at home with NIHFCU’s Car Buying Service to save you time and avoid dealer haggling.
Do: A Vehicle Inspection
Even if you know nothing about cars, there are a few basic things you should always check before you drive the car off the lot. If the dealer seems hesitant or wisecracks about doing so, you should probably walk: there might be something they don’t want you to see.
Inspect the trim lines of the car to make sure they’re straight—no fluctuations, offset doors, fenders, or uneven lines. These could all indicate frame damage. The joints should be straight around the engine bay, with no signs of recent welding. Look for rust underneath the car, in the wheel wells, on the rails, everywhere. Rust is not a good sign, and oxidation should be a sure turnoff from buying that particular car.
Do: Test Drive It And Ramp It
When buying a car, the test drive is usually one of the last stages before you decide if you’re going to buy, so don’t go easy on it—the point of the test drive is to make sure it’s up to your standards. When in doubt, ramp it. It’s the best test of a vehicle’s ability to accelerate, the integrity of its suspension, and more.
If they won’t let you ramp it, at least take it on the highway. Be sure to brake quickly (though not on the highway), turn corners sharply (but safely), and accelerate hard.
You don’t want the car to be shaking when it’s going fast, that could be a sign of bad alignment, or other things that could cost you a fortune down the road. If the pedal is spongy when you brake hard, that could mean bleeding.
Do: Always Be Aware Of Your Credit Score
If you don’t know your credit score, a dealership will be that much more likely to rip you off: all they have to say is that you don’t qualify for a better rating. They may even inflate the rate you can get elsewhere knowing you are unaware of your credit score.
The best thing to do is to pull your own credit score for free, and know your score before you step foot in a car dealership. When you know your credit score, you can shop around for financing and find a better deal.
Remember, with approved NIHFCU financing before you enter the dealership, you have largely mitigated this concern.
Do: Know The Dealer’s Invoice Prices
The two most important things to know when buying a car: research car prices and know the dealership’s invoice prices.
The invoice price is also referred to as the “dealer cost,” which is the price that appears on the invoice that the manufacturer of a car sends to the dealer when the dealer receives the car from the factory.
A recent car survey on Kelley Blue Book said that knowing the dealer’s invoice can save an average of $800 on your buy. TrueCar, Kelley Blue Book, and Edmunds.com can all help you find invoice prices and what your trade-in is worth.
Remember to shop at home with NIHFCU’s Car Buying Service to save you time and avoid dealer haggling.
Do: Always Comparison Shop At Multiple Dealerships
Comparison-shopping is one of the two variables that Kelley Blue Book decided helped save buyers $800 on car purchases, combined with knowing the dealership’s invoice. This shouldn’t come as a shock to anyone, but if you can’t find the price you’re looking for at one dealership, it never hurts to go check another.
One method to consider is to email all the dealers around you and say “I plan to buy (enter car) today, and I’m going to buy it from the dealer who gives me the best price. What’s your best price?” Straightforward and to the point.
Remember to shop at home with NIHFCU’s Car Buying Service to save you time, compare prices at various dealers and avoid haggling.
source: hotcars.com/9-things-people-should-never-do-at-the-dealer-and-8-ways-to-get-the-best-deal/