Things to Know Before You Go to the Car Dealer
Posted: Wednesday, April 27, 2011
by Jim Klark
Car Buying How to and More!
The business of selling cars is a very competitive field and also one that can create huge profits for the dealership. These profits come from your pocket and the more you know about buying a car the less profit you will pay the dealership. Purchasing an automobile is not like going to your local merchant and buying goods or services it more like buying something from a street merchant a thousand years ago. The less you know the more you pay, therefore you can benefit greatly from the things to know before you go to the car dealer.
Knowledge is Power at the Car Dealership
Knowing the price of the vehicle you want to purchase before you go to the dealership is important and you kind find that information in a number of places. The internet is a wonderful thing and it can provide you with all the information you need before you go to the car dealer. You find out the M.S.R.P. or sticker price along with the invoice price with a few clicks of a mouse. Knowing the dealers invoice price of the car will let the car salesman know that you mean business.
While you are checking for prices you also want to make sure you check for any rebates or financing incentives that the auto makers may be offering. It is not unusual for the dealership to conveniently forget to include the rebate. When you know about the rebate or any low rate manufacturer financing before your trip to the dealership can potentially save you hundreds or even thousands of dollars. Low interest rate finance specials can save you a bundle over the standard finance rate, but if you don’t know that before you go to the dealership you might end up paying too much.
Probably one of the biggest mistakes people make when buying an automobile and financing their purchase at the dealership is not knowing their credit score before they get to the showroom. The person that doesn’t know their credit history and score when they finance an automobile is putting their fate in the hand of the dealership’s finance manager. Some the largest profits are made in the finance department of an auto dealer. The finance manager get you approved for a 5.9% interest rate, but write up your finance agreement for 7.9%. That 2% difference in the interest rate can be quite costly over the life of a 60 month auto loan which becomes a nice additional profit for the dealer.
You may buy a car every few years, but a car dealer sells automobiles every day and that experience has taught them to take advantage of every single aspect of your car buying experience. The things to know before you go to the car dealer can save you a fortune. Not only from the actual purchase price of your new car, but also from the auto loan they have arranged to finance your purchase.
This article on things to know before you go to the car dealer was written by Jim Klark. Jim has been in the auto industry for years and shares his inside information and car buying tips with consumers at his website CarBuyingHowTo.com. You can find more information including the steps to buying a car at his website along with the answers for your auto buying questions.
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